Faced with the digital transformation imperative, companies no longer hesitate to invest heavily in cutting-edge technologies. But in the end, a few years later, a significant number of them are disappointed with the results. How to explain this dissatisfaction? To be successful in your digital transformation, the implementation of specific technologies alone is not enough. It is necessary to combine it with the right business strategy, feed it with technological catalysts and, above all, insert the “human factor” to be able to put collaboration between teams at the center.
A successful digital transformation is not just a question of applications or technologies. Organizations must now accept to change the paradigm by integrating all their teams into a common project, pushing back the limits and thus projecting themselves into the creation of new digital frontiers. In the era of “all digital”, pioneering organizations will distinguish themselves with a strategy in which the human being imposes himself on technology.
Technology alone does not guarantee success
The period of evangelization in favor of a digital transition is now over. Companies have now understood the value and interest of advanced technologies. They no longer hesitate to invest in Big Data, cybersecurity, AI, automation …
However, according to McKinsey [1], 70% of digital transformation projects do not bring the expected benefits. A Forbes Insights study points out that 75% of senior executives say they are still looking forward to reaping a tangible benefit from these technologies, which they sometimes perceive as “disruptive.” They are not wrong: they are. It is still necessary that the interruptions it brings are well oriented, therefore well “metabolized” by the whole company. It is not enough to disturb, therefore to break the balance that works, for the disturbance to be positive and bear the expected fruits.
AI is a particularly striking example. According to a joint BCG-MIT study[2]only 10% of companies manage to financially benefit from its implementation.
And for good reason. The fundamental mistake is to think that the choice and implementation of a technological solution will allow you to reach your strategic objectives more quickly and to conquer new market shares.
Adding the solutions is not a strategy as such. Thus, emphasizes Deloitte in a study: “when all organizations are digital, any strategy must be a digital strategy; strategy will be the differentiating factor “.
Having a vision based solely on financial gains and productivity ultimately means losing all the opportunities that open up to companies in this context: sustainable innovation, sustainable growth, agile development, etc., many advantages that are worth considering.
To be successful in your digital transformation, it is therefore essential to broaden your vision and be able to project yourself towards new frontiers. It is more essential than ever to adopt a holistic approach in which the human factor is central.
Without forgetting the implementation of dynamic synergies between commercial forces and technological catalysts. Co-construction and collaboration with what is called “the profession” is today the essential factor for the success of the digitization of your company. Again, regardless of the human factor, no success can be complete.
A digital transformation rooted in people: the new frontier
Successful digital transformation projects demonstrate an elegant, harmonious and interdependent interaction between technology and people.
One element alone cannot be successful without the other. That is why the human factor must now be considered as the starting point of any digital transformation strategy to push back these new frontiers.
The latter should no longer be just a matter of management and IT teams. The corporate culture must move in this direction to lay solid foundations and obtain concrete results that unite the entire company around a clear project. Therefore, an inclusive process built around workshops to initiate and establish cross-functional and cross-functional collaboration is often a great place to start.
In any case, silo effects should be avoided. Multidisciplinarity and communication are therefore queen and princess respectively. These are the ones that will ultimately allow a complete analysis of the motivations, of the “weak points”, of the expectations but also and above all of the needs of each one with the aim of maximizing alignment.
It is precisely the establishment of a constructive collaboration that will avoid having to waste time and energy in implementing a change strategy at the end of the supply chain and once the solution has been implemented.
We no longer have to try to change the human factor. It is infinitely more productive to integrate it into the strategy from the beginning. It is in this precise point that the real innovation lies, the one that moves the lines.
Identify and measure the consequences
Can we really hope to succeed in our digital transformation this way? This is demonstrated by the first data from companies that have successfully implemented AI on a large scale. Organizations that accomplish more do not hesitate to reverse the proportions usually associated with investments. They adopt an employee budget that is double that allotted for technology.
This success also entails the opening of the technological problems of the teams usually assigned to their treatment, and their integration into precise and quantifiable company objectives. It also requires the ability to identify problems and possible impacts, both on business and on technology.
Cyber security, for example, according to BCG [3], “It’s not a technology project. It is an entrepreneurial project with a strong technological component; it must be considered holistically to support profound organizational and business changes “. Another example: a McKinsey study [4] expects around 30% of the tasks of 60% of jobs to be automated in the near future.
This new approach therefore necessarily involves the support of the human factor in adapting to the new frontiers of work. Therefore, training and constant development of internal skills are essential to hope to implement sustainable growth and a lasting innovation strategy.
Author: Maria LopezBusiness consultant at Prodware
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[1] https://www.mckinsey.com/business-functions/rts/our-insights/mind-sets-matter-in-transformations-a-conversation-with-jon-garcia
[2] https://web-assets.bcg.com/f1/79/cf4f7dce459686cfee20edf3117c/mit-bcg-expanding-ai-impact-with-organizational-learning-oct-2020.pdf
[3] https://web-assets.bcg.com/f1/79/cf4f7dce459686cfee20edf3117c/mit-bcg-expanding-ai-impact-with-organizational-learning-oct-2020.pdf
[4] https://www.mckinsey.com/business-functions/rts/our-insights/mind-sets-matter-in-transformations-a-conversation-with-jon-garcia
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