Digital transformation, an introduction
Digital transformation is on top of the agendas in a lot of companies now a days. They see the digital revolution in which existing companies get crushed by new companies. There close competitors or other companies in there branch are losing to startups with profound new value propositions.
These companies inspire others to do better. But what is it they do? How can they be so successful?
The answer is: they profoundly transform there entire company. They redefine value propositions, processes and working methods. The data and IT is the foundation on which they build. They create blue oceans that rely on there digital resources. These can be existing resources, like the data that they already own or with the help of robotics, sensors, 3D printing, advanced analytics, AI, etc.
Is digital transformation bound to an Industry?
There are many companies that think they will not be affected by digital transformation. This is a risky assumption.
We all know the story of Uber and the traditional taxi industry. Who is to say that the car industry of tomorrow in not owned by Microsoft, Google, Apple or Tesla?
Retail is undergoing a major competition with online shopping. They are constantly redefining themselves to stay relevant.
You could even say to digital transformation goes cross Industry and that it redefines Industries.
People are selling there cars because it’s easier and cheaper to drive around with an Uber nowadays. They don’t see the value of a car anymore.
The rate of change
More and more people have access to the internet nowadays. Even in Africa people are connected to the internet, in Q3 2019 the number of phones sold was a staggering 55.8 million.
This enables a digital transformation to reach to a 100 million potential users in a matter of weeks or months. For example Pokémon GO reached there 50 million users in 19 days. While twitter did it in 9 months.
What can your company do to not be obsolete?
Think about how you can add more value to your customers. Don’t do it alone but do it with different teams and coworkers.
Figure out which digital investment deliver the greatest benefit inside your (redefined) industry.
What can you do with your existing IT infrastructure and data. Do you need to change it or can you already transform your processes.
What value can I add, and how do I measure it? Think lean and agile, be as responsive to change as you can be while maintains a longer term vision and digital strategy.