SEPTEMBER - 202319 Digital Transformation caught many companies off guard when COVID-19 pandemic hit hard. Before that, senior executives typically perceived it like a sort of "magical and mysterious" power that could bring enterprises into a whole new era. But with everyone at home, it then became a "must do", or in some cases, survive.However, once a specific industry term like digital transformation becomes "hyped", there will be many service providers like consulting firms or vendors trying to hook into the hype by talking about the topic from different angles. I have seen this particularly growing in the AI domain too.But let's go back to the basics: What exactly does Digital Transformation mean? To be pragmatic and clear, I have come up with the following simple definition:"Digital Transformation is the journey within an organization to transform data from business processes into a machine-readable format so it can be used in value-driven business applications or new business models."The above definition is simple, but it doesn't mean it's easy to execute. Breaking down the key elements of this definition helps unveil the implications to execute it in practice, so let's be pragmatic:DIGITAL TRANSFORMATION IT'S A JOURNEY, NOT A DESTINATION.A true transformation process is deep. It requires the utmost commitment from the top. Unvaryingly, it will face resistance to change at some point.To truly transform an organization, it is required to change deep-rooted conducts in the organization, i.e., the existing "status quo". Any transformation can't be expected without changing established habits and behaviors.To fight resistance, companies must think, put up front and communicate the purpose behind such transformation. The main questions are: Why as an organization, do we want to go through this transformation? Why does it matter?The purpose should not be vague, the clearer the purpose, the better results will be. It should not be fuzzy or unclear, because the implications to the status quo of organizations are not minor.Trying to embark in a digital transformation initiative without changing or challenging the existing status quo, it's like trying to lose weight without eating better and not committing to do any kind of exercise.PRIORITIZATION IS KEY TO SUCCESS.Because resources are limited, organizations must be clear in terms of the business processes they want to focus on.A good practice is to map the different digitalization value cases to the overall digital transformation purpose. That is, choose BY RICARDO IVISON, DIRECTOR OF INFORMATION TECHNOLOGY, AUTOZONEPRAGMATIC DIGITAL TRANSFORMATION CXOINSIGHTS Ricardo Ivison
< Page 9 | Page 11 >