Digital Transformation comes in many forms but is focused on outcomes. Transformation can be via the addition of new technological capabilities, strategic sourcing of human capital, or process definition and establishment to support change initiatives. No matter what area is transforming, the end result should be business outcomes.
We have led transformation initiatives for all three types of programs. According to current research, almost every organization is going through a Digital Transformation. Also, the research shows most of these initiatives struggle in one of the three areas. The reason Digital Transformation is so popular right now is the needs of the business stakeholders evolve as new capabilities develop with new technology. In addition, the cost of labor is increasing more rapidly than budgets permit. Lastly, the processes must keep up with the changes in the other areas while still creating consistent, repeatable outcomes for the business stakeholders.
Yes, the solutions in Digital Transformation are complex. This is why it is difficult to get right the first time. Some of the complexities include the buy-in or adoption from all levels of the organization – especially senior leadership, reliance on external vendors and their inability to move or change as rapidly as needed, new innovations on the horizon that impact a transformation effort, and possibly the most important complexity: the inability to move and adapt by the organization culture and processes. This inability to nimbly adapt to an ever-changing world is difficult to overcome … but, we can help you be successful.
Let’s look at the three types of transformations in a little more detail:
- New technology advances occur daily and an IT organization attempts to stay current for its business customers. But, adding new technologies – or upgrading older ones – is not as simple as it might appear. Think about these variables and how having a trusted partner would help: evaluation of new capabilities, software licensing impacts, technical debt remediation, how to onboard the new and decommission the old, organizational change management, training, and including the alignment of the technology portfolio to the overall strategy. A transformation effort in this area must include the other two areas. No question.
- As human capital costs remain a topic of conversation in many board rooms, the ability to assess the balance between what is needed and who can do the work should be discussed. Many organizations have offshored or nearshored their labor and want to assess whether that was a good idea. Service Management Leadership can help you measure and assess the capabilities versus cost. This needs to be broken down by service and a fit-for-purpose approach instituted. High U.S. labor costs might still be cheaper than the other options given all the variables.
- The need for strong processes to help offer standardized outcomes in turbulent times is grossly underestimated and unappreciated. We have seen too many Digital Transformation initiatives struggle due to lack of focus on processes to create outcomes no matter the technology or personnel changes. This includes the Service Management processes and things like Run Books, architectural diagrams, and knowledge management. The processes need to be strong enough that they are both A). aligned to the organization’s strategy AND B). take a practical approach so they may be repeated by anyone sitting anywhere in the world. This is something we have done before and can do for you.
Remember Service Management Leadership as your organization embarks on its next transformation project. Whether it is just someone to bounce ideas off, strategy development, or execution, we can bring value to your transformation initiative. These conversations are most effective if coming before the decisions have been made. But, given our expertise in the area, Service Management Leadership can help you correct the trajectory of an ill-performing Digital Transformation. Contact us today for an initial consultation.