As per Gartner, 91% of businesses are currently engaged in some form of digital initiative and 87% of senior business leaders are making digitization a priority. And another 70% are either engaged in building or already have a digital transformation strategy in place. EY-Parthenon Digital Investment Index (DII) survey of C-level executives shows that they are under mounting pressure to accelerate the launch of technology-based products and services and achieve efficiencies.
Digitization of businesses called for business leaders to enhance their capabilities in artificial intelligence and other core strategies. Companies work with advanced technologies to target a greater audience and massive market share. This is where a business lead needs to power up and take on the AI leadership role with the best AI skills. From business to AI leaders, it all takes sheer skill enhancement that can pave the way ahead. It is evident how well AI is leading the global business wagon. Let us understand how it is powering and transforming business processes and the global arena.
What is a DX Strategy?
A Digital Transformation strategy is a detailed plan that builds upon digital technology to enhance a business’s physical health, such as engineering, manufacturing, and services. It targets to reduce manual labor, improve efficiency, and stay ahead of the competition. This includes incorporating digital technologies into products, customer interactions, and operational processes.
Digital Transformation Framework:
The Digital Transformation Framework is a tool that is used by consultants and business leaders to analyze a business to assist it in repositioning it in the digital economy. The clear purpose for doing this is to create a repeatable method or process when planning, guiding, and fostering a digital transformation.
5 Considerations of Business Digital Transformation:
1. Focus on non-linear value creation and differentiation
2. Attend to the skill gap immediately
3. Maintain an agile business and technology architecture
4. View data as an asset and embed cybersecurity
5. Set clear governance policies around informed decision-making
Why use Digital Transformation Framework- Key Benefits:
· Improved Operational Efficiency and Consistency
· Better Customer Experience
· Innovation and Competitive Edge
· Increased Employee Productivity and Collaboration
· Enhanced Security measures
· Coherent Business Strategies
· Better communication across departments
· Streamlined Operations and Procedures
· Increased agility
· Newer opportunities to innovate
· Limited human error
· Increased Profits
· Prompt responses to market changes
· Explore new business models
· Tap in new market opportunities
8-Step Plan to Build a Strong Digital Business Transformation:
1. DEFINE GOALS
Keeping your vision clear of the sundries and allowing massive direction to your business plan is a must. Starting informed is a foundational step in any business progression plan. Addressing the ‘How, What, Where, Why, When’ is of utmost importance while planning a business transformation strategy.
2. CURRENT BUSINESS MODEL ASSESSMENT
Sift through the current business plan and allow enough room for advancements. Identify and evaluate your strengths, weaknesses, opportunities, and threats. Doing a SWOT analysis is highly recommended to leverage your internal strengths, address weak points, and cash on the opportunities that can align.
3. IDENTIFY PRIORITY INITIATIVES
With a clear vision comes a clearer understanding of what the real priorities are for business growth. It is essential to streamline a business’s transformation efforts. It ensures a targeted and efficient approach to achieving objectives. Using data insights, involving stakeholders, focusing on customer needs, analyzing risks, and identifying quick-win projects with continuous review policy and adjustments helps you identify high-priority projects.
4. DESIGN A STRATEGY
Digital transformation strategy acts as a guide for navigating the ever-evolving business landscape. It assists in better dealing with complexities and offers enhanced flexibility. It assists in adapting to unforeseen challenges without deviating from the ultimate target.
5. ALLOCATE RESOURCES
Resources allocation is an essential process in understanding where the business transformation plan is headed. Establishing a dedicated budget for the transformation, considering potential expenses in technology adoption, training programs, and evolving management efforts is essential. It is highly advised to bear in mind the requisite skills demanded by the emerging technologies being introduced. Effective training and adequate skill development of the personnel is of utmost importance.
6. IMPLEMENT NEW PROCESSES
McKinsey reports that 70% of digital transformation initiatives fail due to employee resistance. Do not make this your fate as you pivot on the path of business transformation. Churning new processes involves more than just adopting the latest technologies. It requires a cultural shift within the organizations. Communicating the probable benefits of the changes to the employees and creating support channels is essential to keep everyone in the loop.
7. ESTABLISH REALISTIC KPIs
Establishing key performance indicators is like assigning signposts that can guide the right pathway toward a successful business transformation plan. Whether improving customer satisfaction, increasing operational efficiency, or boosting revenue; your KPI must provide a clear picture of progress.
8. TRACK, EVALUATE, AND OPTIMIZE
The multi-dimensional process of actively seeking qualitative feedback from employees, customers, and stakeholders is a must to gain a holistic view of the transformation and identify and optimize areas of improvement.
Final Word:
As the digital business community grows by leaps and bounds. Business leaders are levied with the responsibility to grow and gain more competence in the enhanced AI business landscape. This can be facilitated by top digital transformation certification programs for business leaders. these are targeted courseware that enables business leaders to enhance their AI capabilities for business manifold. Popular AI certification programs are designed to upskill the business community in a way that fosters their future growth and applies the best-suited strategies for long-term amplification. Begin informed to become an AI leader and gain greater heights in business digital transformation.