How to Avoid Digital Transformation Failure?

What is Digital Transformation?

Digital transformation can be described as implementing digital technologies into all areas of operation processes, thus creating new or modifying existing business processes and customer experiences suitable to new market needs and trends. Moving from paper to spreadsheets and then smart applications is a clear example of digital transformation.

What is the Difference Between Digitalization and Digital Transformation?

Digitalization is using digital information for established business processes, this situation is not changing how works are done, it is just simplifying the processes and making them easier and more efficient. On the other hand, digital transformation is changing the business processes and sometimes developing completely new business classes. The focus of digital transformation is on the user experience.

The basic difference between digitalization and digital transformation is the question that businesses ask themselves. Whether questioning the limits of their technology or asking how they can do the things they do in a faster way defines if they are aiming for digitalization or digital transformation.

What are Common Causes of Digital Transformation Failure?

The focus of businesses that want to be successful in the field of digital transformation should be people. This is because most failed businesses put a lot of effort into the digital part of the transformation but neglected the people.

In addition, most people think digital transformation is a part of the IT department while it is actually about company culture and business models. Not treating it like this leads to failure. McKinsey, Wipro Digital, and others identified some similarities between failed digital transformation attempts.

Common causes of failure include:

• Lack of understanding and cohesion among leaders on how to achieve digital transformation
• Lack of sponsorship
• Leaders who take a negative approach to the digital transformation such as a waste of time
• Leaders who are afraid of success and have anxiety
• Ignoring the evolution of employees and customers

How to Avoid a Digital Transformation Failure?

Measuring ROI and making improvements based on that data is the most important action to take to prevent failure. It is also important to give time to the project, as digital transformation is a process and takes time. Expecting immediate results is not a healthy attitude.

Explicitly informing executives and employees about the process, explaining to them how and when the project will be successful, getting enough resources for performing the transformation, and learning about the behaviors and expectations of employees and customers are important steps to prevent failure.

In addition, it is important for companies to choose the right software and get the right technology to support it. IT Asset Management is an important step that supports the digitization and digital transformation of companies. Choosing the right tool for this purpose is a high-priority task. Loggle is an application that ensures your control over your IT assets. Contact us to get to know with Loggle.