Is your digital transformation working? Putting the basics in place

3rd November 2017
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Digital Transformation

In the current business environment, it’s not enough to automate processes and increase efficiency. To succeed, companies need to be unique and truly differentiate themselves from the competition. Your customers are demanding a more personalised service, and their expectations about the service they receive from your business continue to rise every day. To meet rising customer expectations around their business, and stay competitive, companies need to move to a relationship/value based interactive model with their customers. This increasingly means starting with the customer impact first on any business project, initiative or budgetary spend. This is where digital strategies start and digital transformation can happen. Many businesses have started ‘digital’ programmes of work, but have not yet seen the rewards of their efforts.

At Wanstor we believe there are 4 things businesses should do before embarking on a digital transformation strategy. Under no circumstances is it good enough to dip a toe into digital transformation. Instead business leaders should either commit to a digital transformation programme of work fully or decide when they are going to commit to it. In summary – undertaking a digital transformation programme to execute a digital strategy is not an easy task and half-hearted approaches simply won’t work.

So what are the 4 things all business leaders should do if they want to successfully execute ‘digital’?

Take the time to develop a strategy

The strategy phase of the digital transformation process should help a business define and understand the problems it wants to solve and how it is going to solve them. The old way of working in business is to start with existing problems and requirements then develop a solution. This approach still has value, but only deals with problems that exist today, rather than looking at potential problems/pitfalls in the future. At Wanstor we recommend when building a digital transformation strategy, businesses should instead focus on outcomes and end goals if they are going to be successful. Ask questions such as – What does success look like? What customer experience do we want to create? What story do we want to tell to the business and customers?

Think about the key themes of your transformation and the experience you want to deliver. For example, a restaurant owner may want to personalise the dining experience further. Now the restauranteur has captured a vision of what they want to do, they now require a programme of work to help achieve the set vision. This is where digital comes into play. The restauranteur wants to create an actionable strategic vision that wraps around business objectives. To do this, they first of all need to identify gaps across people, processes, technology and offerings, and then create a roadmap to success. As well as having a clear plan, it is important that any digital initiative is completed at speed so as to stay ahead of the competition and improve the time to benefit ratio of projects which will affect the business and provide a customer with an improved experience.

Design with the customer experience in mind

Designing any solution to a problem in a digital world should always start with the customer in mind. This means thinking about how customers and staff will interact with technology to improve the dining experience for example. First of all think about focusing on the experiences you want to create for your end-users, not the requirements of the solution. Also consider how you can change the way employees engage and collaborate and the way customers interact with your business. Your goal here should be to build the right experience, and allows your staff and ultimately your customers to reach their end goals e.g. a more efficient front of house operation resulting in a better customer dining experience.

Put the right pieces in place

Having a strategy and a design is a great start to your digital transformation. But if you can’t assemble the right pieces – people, propositions, processes and technology you actually haven’t got anything apart from random parts. At this stage it’s time to start unifying the team, the processes and ultimately start shaping the experience. E.g. A restaurant wants to make online bookings easier on its website. To accomplish this, they need to connect the different points of the customer journey with the booking system. What does the customer do when they land on the restaurants website for example? How easy is it to find the booking application? How is the booking data relayed to the restaurant they want to book a table in? Do staff at the restaurant understand the booking system and the customer’s requirements when they book?

It doesn’t matter how many systems need to be involved, it should all be seamless and easy for the customer who should feel like they are accessing one single system. At Wanstor we usually find for processes like ‘restaurant booking’ most restaurant businesses already have the right pieces of technology and parts of the process, but it’s joining them together that is quite often the problem. The key to success is leveraging all disparate systems, services and existing technologies to power elements of the digital ecosystem. Quite often a simple gap analysis of where you are now vs where you want to get to, highlights areas which need to be joined up or require work for integration. By putting the disparate pieces together ‘digital’ can actually start to become a reality.

Get ready for success

The final piece of the digital transformation puzzle is getting and keeping everything running smoothly. Regardless of your deployment method, you will want to implement a plan for continuous management and support. This starts with a dedicated digital transformation team who can help implement governance and a plan to keep your ‘digital’ roadmap and architecture up-to-date at all times. For IT they should consider adding a shared support structure, along the lines of a shared services centre, with skills across a variety of disciplines, such as change management, process optimisation, and agile management, so they can build repeatable processes that are supported by a dedicated group of experts. If you don’t have these skills in-house, you should find a managed service partner who can supplement the team with these skills.

In summary at Wanstor we usually see digital transformation programmes failing or not delivering the benefits they promise as teams, people, processes and technologies are disconnected. By following the 4 steps above you should have by now, grasped that digital transformation is not just about technology but about business change. Those businesses which put together the right strategy, design, and processes in place will ultimately achieve their digital transformation goals.

At Wanstor we believe ‘digital’ can bridge many business and technology gaps. By bringing together a top-down business approach with bottom-up operational experience ‘digital transformation’ adds customer, employee, and operational value by leveraging disparate products, services, and existing technologies, to create, build, and manage digital ecosystems.

By using digital transformation programmes to innovate and improve, businesses can create a long-term competitive advantage. One that creates improved customer loyalty, more customer spend and reduced business operating costs.

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