Are businesses still struggling with digital transformation?
Digital transformation is a critical process for businesses of all sizes, but unfortunately, many organizations are still struggling to fully implement it. There are many reasons for this, ranging from lack of resources to the inability to make changes that impact the bottom line. Whatever the reason, it’s clear that many businesses still have a lot of work to do in order to become truly digital organizations.
Statistics about businesses still struggling with digital transformation
According to a survey conducted by Workday, a provider of business management software, 58% of corporate leaders believe that the rapid speed of digital transformation that began with the epidemic is beginning to slow down or that it will eventually do so. Many are therefore reducing their hopes for what it might bring.
Within three years, only 13% of businesses now predicted that 75% or more of their revenues will come from digital transactions, down from 36% in 2020. Additionally, companies have become more cautious while implementing new technologies, as evidenced by the drop from 77% in 2020 to 53% in 2021 in the percentage of enterprises reporting that they have a “fail fast” experimental approach.
According to the report, firms are currently seeking a steady yet sustainable rate of development. Only 42% of enterprise IT leaders believe they can implement cloud technologies without being constrained by legacy systems, and 50% find it difficult to keep up with improvements to legacy technology. A majority (59%) claimed that changing an automated business procedure can take weeks or months.
Why do certain businesses find digital transformation so difficult?
Wrong leadership mindset and alignment
Leadership teams frequently are either conscious of or unaware of their own issues. Unaware leaders frequently have the belief that digital transformation is an impossibility and generally follow the philosophy of “if it ain’t busted, don’t repair it.”
Although they don’t yet have a clear image and a roadmap, team leaders who are aware of their organization’s issues believe in DX and are making small moves to use technology to solve urgent and significant problems.
Poor business-led technology roadmap
Building a successful business roadmap is necessary once a company’s leadership perspective has been adjusted and they have a better knowledge of the advantages of digitalization.
They can advance on their DX journey at a quick pace while paying less by having a personalized DX approach that suits the clients.
Shortage of talents to drive digitalization effort
Strong key talents are needed to drive this transformation process in addition to having the appropriate leadership mindset and a solid roadmap. In order to prioritize and sponsor initiatives along the DX journey, a business leader who is tech savvy and has a thorough awareness of the company’s entire strategy and plan is required. Additionally, this position will include making sure that implementations are motivated by value.
It is a frequent misconception that DX is accomplished when a company improves its technology. However, digital transformation is about organizational agility rather than software or technology.
Employees are not penalized in an agile environment for “failing fast and learning,” boldness is promoted over caution, and there is more action and less preparation.
Lack of communication
The success of your company’s digital adoption is determined by whether the implementations have enhanced the company’s performance.
To obtain a solid sense of this, two-way communication between engineers and end-users is essential so that feedback is regularly transmitted, resulting in higher adoption rates.
Although it can be a challenge to make the switch to digital, businesses that are successful in making the transformation see great returns. If you’re still struggling with where to begin or how to make the digital transformation, don’t worry – our team is here to help. Contact us today and let us show you how we can help your business thrive in the digital age.