Digital technologies are having a profound effect on practically every business. Certain industries like communications, media, finance and insurance, and wholesale trade have been quick to adopt digitalization, making use of new tools and approaches in a short amount of time. The impact on other sectors, notably government, health care, construction, and agriculture has been comparably less. Some units within these areas are at the forefront of digital change while others are clearly lagging.
By now it is very clear to every business organization that its success and even its survival is dependent on its ability to get a grip on digital change management. But how can this be done and which are the areas that a firm should focus on?
Many companies make the mistake of focussing on technology while neglecting the people who will be using it. Remember that your firm’s digitalization process will produce the best results when your workforce understands how it functions and the manner in which it can be used to gain a competitive advantage.
New firms, which do not have to contend with the legacy systems and procedures that incumbents are saddled with can quickly gain a lead and take away market share from established companies.
How can a firm ensure that its people are part of the digital change management drive that it is implementing? One important step that you must take is to get the entire company involved in this initiative, not just the individuals in the IT department. Because digitalization is more than just implementing a new tool. It’s a new way of business.
Buying IT assets and increasing your budget for implementing new systems is the easy part. But the only way that your organization will be able to reap the complete benefits that digitalization has to offer is to increase digital usage within your company and its different departments. Because what use are the best tools, if nobody uses them?
The transformation should include utilizing the advantages that new technologies have to offer for improving the manner in which transactions are carried out. Firms will have to relook at the way in which they deal with their clients and their suppliers. The digital change management program should touch every function in your company.
Many activities that have been carried out using traditional methods will need to be changed to take advantage of digitalization. Your digital change management roadmap should prioritize customer-facing tasks. Priority should be given to those areas where the competition is ahead of you. So take a look at each of your departments and facilities. Which are the ones who make the most out of the available tools? Which aren’t and why? What marketing software is your competition using and which are the latest data management tools available for your customer relations department? These are just two...
The need to remain relevant and competitive in the fast paced workplace has seen many organizations digitalize their systems and processes, complementing their established sales channels with multichannel experiences and transacting, shopping or engaging via the web. Thanks to mobile and cloud technologies, a wave of disruption has therefore engulfed businesses across industries, and with no one willing to take the risk of falling behind, this comes with a host of challenges when trying to create a digital workplace.
Digital transformation is now the backbone of businesses, and it entails closely interwoven business processes with cloud technologies, mobile, social, and analytics, in every aspect. In this regard, all the underway technologies or those already in use today within an organization, make up the definition of a digital workplace.
This would include applications used by HR, as well as those that are important to the business, such as instant messaging, tools for virtual meetings, social media channels, email, and so forth. Therefore, the workplace can no longer be limited by employees in a physical space. Communication and collaboration will continue to evolve beyond the natural onsite work groups and giving a boost to innovation, growth, and efficiency of virtual teams.
Digitalization is largely driven by expectations of the modern workforce, with millennials expected to represent about 75% of the workforce by the year 2025. This group always have smartphones within reach, and their excitement is easily triggered by work styles that are not only flexible but also collaborative, and the convenience that comes with mobile experiences. Because of this preference, the expectations and experiences for the end-users are critical in determining which technological choices are made.
About 64% of employees would accept a smaller salary, as long as they can work from another place than the office. Digitalization is the way to attract such talents, and organizations whose online social networks are strong enjoy a 7% improved productivity. This translates to about 87% employee retention rates and a 20% increase in employee satisfaction.
One of the major deterrence of digitalization is the people within a company who are not ready to embrace multichannel capabilities and digital media. It, therefore, calls for time to introduce, develop and sustain a digital corporate culture especially since culture is not something that can be changed overnight with a simple memo from the CEO.
While leaders of a company may have sincere intentions of securing competitive advantage in the digital world, and in spite of investments in helping members acquire the necessary skills, the threat of cultural resistance is an ever present reality. Existing culture, a...