Digital Transformation: Where Do You Start?

by Salem Baer

96% of leading decision makers view digital transformation as important or critical to their business. Of this same group, 55% said they have one year or less before their organizations begin to financially suffer from failing to act.1

Technology has transformed the business landscape—most leaders get it. They’ve heard “innovation” equated to survival at least a hundred times, and understand just how true that is. While the terms “transformative technology” and “disruptive innovation” have become buzzwords, leaders recognize their weight and are eager to implement them into their organizations. However, a question remains: if digital can transform every part of your company, where do you start?

Before anything else, it’s essential that you identify and internalize the desired outcome of your digital transformation. What does success look like? Why is that important to your brand? Pursuing a certain strategy because it’s what your competitors are doing, or because that’s what an article told you to do, will most likely waste resources and yield insignificant results. While the scope and details of the project will be specific to your company and industry, below are three general areas to consider prioritizing within your digital strategy.

Optimize the Customer Experience

Your customer’s perspective should remain at the forefront of your strategy. The customer experience can be defined as the quality of encounters a customer experiences with a company’s products, services, and brand. The easier it is for someone to find your company, learn about your services and products, buy from you, and share their experience, the more customers, sales, and brand loyalty that means for your business. Where does friction currently exist in your customer’s journey?

Create New Market Opportunities

Strategic use of technology can remove barriers to market growth in three ways: sell more product to your current market, expand into adjacent markets, and diversify your product for a new market. Can your product be made more accessible? Can your services cater to an underserved sector of your market? Can your core business leverage its competitive advantage to create a new product?

Reduce Operational Inefficiencies

Your business’s effectiveness and productivity depend on focused leadership, motivated employees, an inspiring culture, and a strong operating system with smooth processes. While technology alone cannot cultivate certain aspects of a company’s culture, it can play an integral role in removing process bottlenecks and communication barriers.

“Digital strategy” doesn’t have to remain an elusive, intangible term. Once you’ve selected an area of focus and defined your end goal within that area, you can begin narrowing the scope of your project and break down the steps involved.

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