Future Ready Transformations Pay Off But Often Stall
The uncomfortable truth about digital transformation is that most companies are still all bark and no bite.
As businesses race to keep up with the ever-evolving digital landscape, the buzzword of the hour is undoubtedly "digital transformation." But while many companies talk a big game about implementing digital strategies, the reality is that most are falling short when it comes to actual execution. “Transforming a company to succeed in the digital economy requires a vision and a playbook to help leaders deliver on that vision,” explains Peter Weill, Stephanie Woerner, and Ina Sebastian of MIT Sloan School of Management.
To overcome these obstacles, the authors recommend that organizations take a more holistic approach to transformational change. They argue that companies that invest in digital capabilities are better able to respond to changing market conditions, deliver new and innovative products and services, and improve customer experiences.
Here are some tips to successfully manage a digitally-enabled business transformation:
- Motivate with a strong purpose. Leaders must make the company's purpose the journey's North Star. A strong purpose guides a company's version of Future Ready and becomes a shared goal that helps people make judgments about trade-offs during times of uncertainty.
- Commit to a pathway. Aligning on a common language for the transformation and then on the chosen pathway is critical in preventing executives and other employees from talking past each other and executing an uncoordinated approach with poor outcomes.
- Accumulate value. Leaders must ensure that digital transformation initiatives accumulate value from operations, customers, and ecosystems. Dashboards should be accessible by everyone at the company, including the board and top management team, to make success visible and guide next steps.
You can read the full article for free on our website.