Digital Transformation: 6 key points

[tongfkymm44]

Digital transformation does not depend on tools, although they can be used to carry it out. I believe that we have 6 basic keys to be able to begin this transformation :

1. Digital culture
Before beginning to cover any transformation process, whether digital or not (digital is now the name given the connectivity we are experiencing), it is important to understand that in a business structure, changes must come from the top down . CTOs and CIOs must be the drivers of this digital transformation, always accompanied by senior management. It is a process of change and it will not be fast, but it will be efficient.

If the company's C's do not work hand in hand in this digital transformation, there will be no possible way to implement it in the company because, in addition, although the technology directors can lead the digital transformation, they must be supported or work hand in hand with the CMO, one will know the technology and the other the clients, and, going a little further, lastdatabase because without being accompanied by the CFO, a major change can entail a considerable increase in costs and they must also be supervised from a financial point of view.

But of course, we are talking about a transformation, a process of change at the company level, so the CPO (Chief People Officer) should always be there to support all staff to be open and active in change and also to encourage innovation from all areas of the company.

Finally, if we have the top management involved in the entire digital transformation process, direct mail mortgage marketing list project leadership will be necessary, therefore the CEO is the most suitable person to lead it.

As you can see and as I wrote at the beginning, every transformation must be assumed by each and every one of the people who are part of your company. If you do not start from that base, you will have problems. Therefore, the first key will be: the entire company must be aware of the need for this transformation.

We already know that we have a team that assumes and supports this change, now we must know what we want to do.

2. The what or the vision
We must analyze our threats and weaknesses, our opportunities and strengths, now we focus on them from a digital point of view and we have to know how to take advantage of all our knowledge , both of our company and of digitalization, to be able to trace a route that leads us to improved positioning.

A simple example:
I am a video store, but my customers don't like to look for a movie or go to the video store. Someone comes along, has a clear vision of the negative side of the video store, and organizes home delivery of the movie. Well done Netflix (Netflix will give examples of all the points).

3. The how or the processes
The first thing that all companies do is automate processes. This generally means cost savings and process optimization, although not necessarily. Your company must also be taken into account. Going digital doesn't mean being on social networks or having a website if it doesn't help your business. You must think about how it will help you. If you are a store, installing a dataphone means going digital. You give your customers more payment methods and you will improve their satisfaction. Congratulations, you have gone digital. Netflix created a website with a user registry from which they reserved films, paid by card... Process automation leads to cost savings and, in this case, improved income because every day that a film was not returned, they were charged.

4. Your clients
Your business grows as your clients grow, both in number and in their confidence in your services. The better service you give your clients, the more satisfied they are and, probably, the more investment you will surely need, the more recommendations you will need, and that means more clients... If you keep that in mind and take a look at the digital world, you will see that communication is no longer unilateral (television, magazines, newspapers...) Since the internet became democratised, everyone can communicate with their supplier, and the supplier who doesn't understand it will have a big problem, because the user will communicate it anyway. You must take advantage of this communication capacity and, above all, know what preferred way your user wants you to communicate with them. All of this will consequently imply a certain amount of resources, from processes to human personnel, keep that in mind! For example, going back to Netflix, thanks to the information it had on its customers, which films they rented and which days it could make recommendations based on their tastes, by email, when entering its page... This, folks, is called applied Big Data .

5. Adapting services and products
If you already know where you want to go, how you are going to do it and what your customers want, now you need to adapt everything to this digital transformation . Your services will inevitably change or adapt, as will your products. Let's take an example, again with Netflix, we already saw how they adapted services such as movie recommendations by email or the web, but let's go further. It turns out that internet speeds become reasonably fast to allow Netflix to adapt its product, which is none other than watching movies. Ah, now you can watch the movie on your computer, on your mobile device. You no longer need anyone to bring it to you, no waiting times, no return periods. Now you have your own video store at home for a fixed amount. In this case, we can call it a full-blown disruption of a status quo that has been maintained for decades.

6. Your business model
Great power requires great responsibility! If we talk about digital we talk about constant changes in everything around you , 10 years ago mobile phones could only send SMS or make calls, 5 years ago cars did not circulate alone on the highways. Electric vehicles were a utopia, and flying taxis were things from movies, but the Internet arrived, brilliant minds arrived or those who were able to sell what no one before was, the fact is that everything changes very quickly and your business model cannot be less, it has to adapt and anticipate changes, if we go back to Netflix we see how it changed its business model from a pay per use to a free flat , and that change has led them to be feared even in Hollywood because it has adapted and revolutionized its industry that is no longer just distribution but also production

As you can see, digital transformation is just adapting your business to the use of technology in order to be more competitive, profitable and disruptive.

I hope you found this second article interesting and, above all, transformative. If you want to read the first article in this series you can do so at Digital Transformation What is it? or you can visit our blog for more information.