The COVID-19 pandemic has become a unique driver of change and unprecedented transformation. In particular, many companies that previously resisted the digitalization of business, accepted it as inevitable. Most of them have successfully adapted to the situation and are gradually gaining more and more market share, squeezing competitors.
The purpose of transformations
According to experts, in the next five years, the design attributes of almost every successful company will be a project approach to business and the use of data-driven solutions, machine learning and artificial intelligence, as well as modern methods of communication and continuous monitoring of staff efficiency. The capability to change quickly in the face of constant digitalization is the main competitive advantage that should be taken into account. Therefore, it is not surprising that most companies are undergoing a digital transformation of business, due to the growing popularity of new technologies and understanding of their benefits.
Many believe that the digital transformation is simply the introduction of new technologies into the company’s traditional algorithm. Using blockchain, artificial intelligence, big data, or robots or drones alone will not make your business digital. Technology is a part of the mosaic that folds into an innovative canvas. And its main, connecting element is people. Digital and big data are just tools of transformation, not an end in itself. The purpose of any transformational changes is to increase the efficiency of the company’s work: to spend less, earn more, outperform competitors and surpass the results of previous years. To achieve this, you need to rely on employee capacity development. They interact with new equipment, and with new programs, and with clients.
Algorithm for digital transformation
A one-size-fits-all approach doesn’t work here. Each company collects data differently, uses different technologies in its work and relies on certain skills of employees. But there are general recommendations that are suitable for the transformation of any business.
Building the transformation team
Usually, the transformation team must include the head of the company, the HR director and the head of the IT department or chief technical officer, as well as other representatives of top management. Together, they must carry out serious preparatory work, without which any initiatives in change management do not make sense.
Developing development strategy
The main purpose of any transformation is to increase the efficiency of the company. But everyone defines it differently, so the top management team needs to reach a consensus on further business development. Sometimes it is necessary to formulate from scratch or adjust the company’s mission, vision, strategy and values, as well as to build a new culture of employee interaction with each other and with customers, taking into account both market and internal context.
Updating model concept
When there is an awareness of what your company should be, the next step is to describe what the team should be like in that case. What knowledge and skills will employees need to work effectively with new technologies and respond to new challenges in a timely manner. Do they share the values of openness to the new, transparency of business and cross functional cooperation? And are they ready to change?
To do this, determine what competencies employees will need in order for the company to have critical opportunities for its development and corporate values that meet such principles of work.
Detecting and eliminating gaps
The next stage is the direct transformation of the business. To make the transition from the current state to the desired one, it is necessary to identify and eliminate gaps in the organizational capabilities of the company and the competencies of team members.
Digital skills are paramount in the digital transformation. Basic digital literacy includes the basics of cybersecurity and data protection, skills in working with information, statistics and analytics, as well as the ability to use modern task trackers, messengers and solutions that automate routine tasks.
To succeed in the digital world, you need to establish a process of continuous development of existing employees. This means that you need to quickly identify gaps in competencies and ‘raise’ employees to the desired level.
Implementing software solutions
Modern technologies are changing our lives and making significant adjustments to the mechanisms of work. It is critical for firms seeking to provide quality services today to take advantage of high-tech solutions by incorporating them into their day-to-day practice.
