Key steps to business success through digital transformation

Key steps to business success through digital transformation

26/07/2024
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Category: IT solutions

Digital transformation has the potential to create new opportunities for growth and success. There are challenges to overcome but with the right strategy and IT Services partner, change is easier than first thought possible.

Digital transformation is the integration of digital technologies into all areas of a business. By removing out-dated and laborious manual tasks it fundamentally changes how a business operates and delivers genuine value to its customers.

At Sharp, we believe that digital transformation goes beyond simply adopting new technologies, but embraces change, and places innovation and agility at the forefront of business growth.

The correct adoption of digital transformation will not only streamline processes, but also reduce costs, and deliver analytic insights that enable the organisation to respond quickly to market trends or changes. Every good digital transformation strategy will provide the foundation onto which AI technology can be built. This ultimately positions a business to be more competitive than its rivals.

Barriers to Digital Transformation

Implementing digital transformation can be challenging for organisations of any size as there are clear barriers to implementation and success that must be overcome.

The largest barrier for many SMEs is often seen as budget. Implementing digital transformation initiatives can be costly, and budget constraints can hinder the adoption of new technologies and tools.

However, there are often barriers to overcome well before budgets are discussed. Digital transformation often requires strong leadership, a clear vision, and a well-defined strategy. Without the support and commitment of top management, it can be challenging to garner wider support to drive the necessary changes throughout the organisation. Equally, without a clear plan, efforts can become disjointed and lack overall direction.

On a more practical level, many businesses simply can’t simply switch to new ways of working. Legacy systems and processes already invested in may not be readily compatible with more modern digital solutions. Equally, concerns around data security and privacy are significant barriers, forcing organisations to implement robust and secure cybersecurity measures to protect sensitive information.

A final barrier is often around staff and colleagues. Cultural resistance to change is often seen as part of human nature and can stem from fear of job losses, unfamiliarity with new technology, or simply a reluctance to change. In many cases this can be addressed with training and education – ensuring that all staff are effectively trained to engage with new ways of working will reduce cultural resistance.

Key Stages of Digital Transformation

In the modern business environment, businesses must adapt and transform operations to stay competitive or risk being left behind by rivals, or even by employees looking for smarter and more advanced ways of working. Before engaging with change there are several key steps any business must take:

Define the Vision: For many, the hardest part of any journey is the beginning, which is why understanding the aims and goals of the project are vital. By defining what digital transformation success looks like for the business is vital. Equally leadership buy-in is crucial for allocating resources and inspiring change. By ensuring they are committed to driving change safeguards against a short-term visions and a desire to see the end results.

Strategy and Assessment: Defining a comprehensive digital transformation strategy that outlines the steps, timelines, and resources required is vital. The strategy must align with business objectives as well as identify areas that need improvement and opportunities for digital innovation. This can be achieved by analysing the current technology infrastructure, processes, and capabilities and refining clear steps for change.

Agile Technology Implementation: Working with a trusted IT partner, evaluate and select the right direct technologies and solutions that align most closely with the digital strategy. No transformation is completed overnight, so look to implement changes incrementally and iteratively. It is best to use agile methodologies to adapt to evolving needs and internal feedback.

Data Management and Compliance: The new infrastructure is only as good as its processes and security protocols. Establish robust data governance and management practices, ensuring that all data is protected from potential threats. Equally, ensure that all data is accurate, secure, and accessible for analysis and decision-making.

Training and Upskilling: To create a culture of inclusion around digital change it is vital to encourage that all employees embrace change, learn new skills, and adapt to digital processes. This often means investing in training and upskilling, equipping staff with the necessary digital skills to not only engage with new processes but also feel part of the changes.

Measurement and KPIs: There is no silver bullet to digital transformation. Equally, there is no endpoint. Define Key Performance Indicators (KPIs) to track the progress of your digital transformation initiative and define an ongoing process of evaluating and refining the organisation’s strategy compared to its needs, as well as to market changes.