Several C-level executives have embraced digital transformation as a strategy to remain ahead of the competition as the global business landscape transforms and flexibility becomes critical for success. While investing in technology, procedures, and infrastructure is critical to this change, it is also critical to remember that people are the foundation of successful digital transformation programmes.
Almost 23 years ago, at the outset of my career, I came to a vital insight while working on a core system implementation project for a big telecommunications customer. We got the project off to a solid start by mapping the current process landscape and scoping the transfer to the new system. The old environment, like that of many other firms, was comprised of manual, human-led processes and a jumble of systems; nonetheless, my team’s major focus was on comprehending the complicated process landscape, technological infrastructure, and business needs. We began monitoring and measuring the business’s success after implementing the new procedures and core system.
To the astonishment of both the project team and the customers, the system’s implementation resulted in longer hours and more intensive labour for the firm, rather than the predicted improvement in efficiency and productivity advantages. The system delivered on its promises of an integrated solution, faster workflow, an uniform view of data, and management reporting. Manual operations were replaced with digital, efficient workflows; nonetheless, the number of hours required in the organisation to perform the processes grew considerably.
We discovered the problem after a laborious diagnosis: humans! Client teams that were intended to implement the new solution were not included in the transition and were sceptical that it would deliver what they needed. As a consequence, they continued to use the previous environment and manual procedures in the background, reserving time at the end of the day to enter the necessary data into the new system. This resulted in a shadow organisation, which increased the amount of time and effort necessary.
My team had prepared for success in every aspect of the project but had overlooked the most critical ingredient that might make or break the final implementation—the human factor. The project was completed effectively after we handled buy-in and personnel conversion to the new system. Yet this was a life-changing experience for me.
An organisation, like the human body, may be compared to a living entity that operates to exist within its environment. Organizations, like the human body, have an immune system that evolves spontaneously through systems, processes, and attitudes.
An organization’s immune system, like the human body, can become overactive. Regardless matter whether it is a threat, disruption, or inventive opportunity, the organization’s immune system will go into overdrive to fight and disarm any new element or change that challenges the status quo. When this occurs, there is a substantial risk of losing out on fresh market prospects that might alter the business. This is known as the “amygdala response,” which Salim Ismail refers to in his book Exponential Organizations. In an organization, people are at the heart of the amygdala response, including board members and management teams responsible for driving change; employees who adopt, embrace and advocate for change; customers who are responsible for triggering change; and external stakeholders such as partners and suppliers who are responsible for supporting the implementation of change.
According to my experience, knowing and interacting with the ecosystem of people involved in the journey is the key secret to effectively executing a sustainable digital business transformation. This served as the impetus for my new book, The Human Aspect of Digital Business Transformation, which is a collection of practical solutions that I have applied for a variety of firms. I wanted to design a cross-industry playbook that business executives could use as a roadmap to manage and drive their firms’ digital transformation journeys.
The role of technology in digital transformation is frequently misunderstood. Although technology has the potential to provide exponential opportunities in today’s digital economy, it is the transformation phase—the journey an organisation takes with its ecosystem of people—that lays the groundwork for these chances to accelerate.
In the context of digital business transformation, where projects may be complicated and have a substantial influence on the business, buy-in is critical for ensuring long-term sustainable success. There are a few creative approaches that can effectively garner people’s support and inspire them to change their views and habits. To begin, trust and empathy are fundamental components that establish the foundations for buy-in and effective cooperation, and they are key to digital transformation plans. The leadership team’s role transforms from directive to one that supports a secure, open, and trustworthy atmosphere.
Focusing on creating value is another important aspect of engaging the human factor for change.
I believe it is human nature to look for something good for ourselves in every situation, whether it is something intellectual or emotional. As a transformation strategist, I practice empathic listening to understand the goals, struggles, fears and hopes of key stakeholders.
This aids in the development of a value proposition for digital transformation that explains how the shift impacts people and the benefits they may receive from it. Provide concise key messages that define the goal, purpose, and direction of the digital business transformation plan, ensuring that key stakeholders inside and outside the company understand and retain it. The conversation should be genuine and personal, with the goal of connecting on both an intellectual and emotional level.
To guarantee the success of the digital business transformation journey, companies must be deliberate in their attempts to interact with people. While investing in technology is important, successful projects recognise that people are the key drivers of long-term success.
Source: Kamales Lardi
Source: Forbes Business Council