When you know that you need to invest in technology but are unsure how to go about it. I hope this video provides some useful insight into where to start and how to approach a technology project.
Digital transformation is a commonly used term, but what does it mean?
This is hot topic right now. There is a lot of demand to invest in digital because the consumer is demanding different ways to be able to interact with businesses. The CEO of Microsoft said recently that we saw two years of digital transformation in just two months as a result of the pandemic.
So what is Digital Transformation? In terms of dictionary definition it is something like using computer technology to change how the business operates, by replacing manual processes with automated computer driven ones or upgrading older digital solutions with newer ones.
To me, it means automation, communication and engagement. Using technology to make your business more efficient, to make it easier to communicate within and to your business and to better engage with your stakeholders.
I don’t use those terms mutually exclusively. In my experience, one leads to the other. For example automating a process to deliver more consistent communications will help you engage with your customers better. Engage more customers and you need better communications and automation within the business to manage the additional workload profitably.
Technology should be used to enhance your product and service offering. For example:
using an ecommerce channel to make your product or service available to a new demographic.
creating a customer portal that drives loyalty and repeat business
automating an application process to reduce customer wait times and increase customer satisfaction, resulting in higher levels of conversion
for some businesses it could even be a pivot to becoming a tech business or launching a tech business alongside what you do. In your day to day running of business you have identified a gap or a need for a technology that could add value to what you do, then there could be an opportunity to develop a SaaS product, software as a service, and license that to other people.
I am conscious I have mentioned customers several times, but stakeholders is a more correct term. Digital transformation is about incorporating digital technology across all areas of a business, positively impacting the experience had by employees, customers and suppliers when they engage with your business, product or service. It is as much a cultural mindset as it is a physical implementation of technology.
Communicating regularly and consistently to all stakeholders in your business is proven to boost productivity and reduce the potential for errors. Technology can help you automate those communications making it easier to embed a culture of open and transparent communications across the business
So, to summarise, I see digital transformation as adopting an approach where technology should be used wherever possible to enhance your product and service offering. Its focus - better automation, communication and engagement, to drive revenue and profitability.