As the rapidly accelerating digitalisation of virtually all aspects of society proceeds, most companies have initiated a digital change project of some sort or another. Yet, research shows that only about one in five industrial companies achieves results from these initiatives that exceed their expectations. Why is that, and what can you do to succeed?
The pace and scale of changes currently occurring in most industries are unparalleled. Never before has the very fabric of the business environment been in such a flux. The driving force behind this transfiguration of how we buy and sell goods and services is the rapidly accelerating onlinification and digitalisation of virtually all aspects of society.
This change impacts all businesses in all industries and dramatically alters the ability to scale businesses while simultaneously lowering marginal costs and compressing prices. Meanwhile, incumbents face increasing competition from disruptive newcomers and new business models from old adversaries alike.
Consequently, the fundamental business dynamics are shifting from competing on cost and efficiency to competing on the ability to deliver a particular product or service that aligns with the digital era (remember the last time you rented a DVD, used a travel agent, or bought an MP3 player?).
The consequence of this development is that just defending market share is no longer an option. Most incumbents’ business models are under threat, and failure to act swiftly will most likely render slow moving companies obsolete and replaced by more agile and digitally attuned competitors.
To complicate things further, most companies have to change their core way of doing business while at the same time inventing new business models and fighting off new competitive threats. And they have to do it fast.
Unsurprisingly, most companies have attempted some form of digital transformation or adaptation at this point. However, most have found that the return on digital investment has failed to materialise. According to a recent Accenture survey; 'only 22% of industrial companies achieved a return on their digital investment that exceeded their expectations'. What should you do to make sure you succeed with digital transformation within your organisation?
There are four main areas that many companies fail to tackle when attempting digital change projects.
Download the PDF below to learn more about the main obstacles to digital transformation and how to overcome them.
Want to know more? Through our digitalisation guide: what, why, when and how to use it you'll find much more to read!