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What is digital transformation of an organization?

by Daniel J. Power
Editor, DSSResources.COM

Digital transformation changes processes, systems and operations by implementing improved computing technologies. Digital transformation involves using more data-based technologies and implementing tools like cognitive systems, predictive analytics, cloud-based applications, and online collaborative working. The digital transformation goal for managers should be to use improved computing technologies and data analysis to deliver customers more valued products and services. The processes should be more efficient and effective and with appropriate pricing and cost control more profitable.

Digital transformation changes organizations in terms of the: 1) customer experience, or 2) business operations, and/or 3) decision making. Digital transformation will/can make more customer data available and will/can improve operations. There are no guarantees with digital transformation.

Digital transformation is disrupting industries and organizations. Surviving the disruption of digital transformation is a challenge. Both knowledge and agility can help managers and organizations develop a vision for new uses of technology that will help the organization flourish and not just survive. Adoption and enhancement of innovative applications will likely separate the winners from the losers. Finding ways to implement a digital transformation strategy must be a priority.

Digital transformation should change the culture of an organization, but that is the greatest challenge. Will employees accept the new way of doing business or hinder change?

Digital transformation is occurring. Managers must rethink how to fulfill the purpose of an organization. The purpose of an organization hasn't changed, rather the means of accomplishing the purpose can change. Employing new digital technologies is the means or change enabler that managers must understand. Managers must learn and adapt to create change.

References

Olavsrud, T. "Change management for digital transformation: What's different?" CIO, AUG 3, 2017 at URL http://www.cio.com/article/3211898/digital-transformation/change-management-for-digital-transformation-whats-different.html

Last update: 2017-10-14 04:40
Author: Daniel Power

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