There is only one type of transformation
Digital Transformation is touted as the solution to a burning platform – but what does Digital Transformation really mean in terms of delivery and outputs?
Is there such a thing as Digital Transformation…really?
You have a kick 'A' digital strategy, you are noted as being a digital leader, you have a budget, a digital hub, some awesome tech being installed…but are you really happy with the results so far…?
Digital Transformation is touted as the solution to a burning platform – that of the maturity of technology against the painful inability of businesses able to keep up with, and take advantage of, a constantly changing customer expectation and need.
But what does Digital Transformation really mean in terms of delivery and outputs? It’s safe to say that for the most part, Digital Transformation has the output of new, or updated technology within an organisation - ranging from a complete technology redesign, a move from legacy to cloud, or a specific new technology implementation (CRM maybe), all the way through to perhaps giving mobile devices to the workforce. Each one of these examples can and does get described as Digital Transformation – but is it just really transformation? In terms of delivery there is process redesign that is often included, some skills training that is sometimes included, a communication campaign perhaps developed and of course a change programme that is hopefully implemented.
Digital Transformation can be whatever you want it to be, from building a website to complete business wide transformation that takes an inside out approach. People will tell you that you are right, people will tell you that you are wrong, but who cares - the point is; that whatever kind of transformation is being delivered our customers still feel unfulfilled during and after - engagement levels are usually lower than anticipated, change continues to be a really hard slog, and projects and programmes continue to fail. So why?
Because we got it all wrong! When digital started it's rise to fame it was seen to be all about technology modernisation and process change. And thus, we’ve built up the global market (according to IDC digital transformation (DX) technologies will grow to more than $2.1 trillion in 2019) that is dedicated essentially to these two areas; technology and process, with one glaringly obvious omission – the people. Yeah a few skills here and there and a change management programme to support your shiny new tech or uber redesigned process, is definitely in scope – but why still, is there that niggling feeling of something else being missing, a feeling deep in your gut just keeps saying we're doing this the wrong way?
People? Mindset? Culture? – isn’t that about being human beings with emotions, feelings, ideas? Yes, but that’s not got anything to do with the serious world of business right?
Wrong.
Our direction as a company over the last 4 years has led us to understand that we are not in the business of digital transformation, we are indeed in the business of we have defined as People Centred Transformation.
Realising that what people think, how people behave and the skills and competencies they possess - seen as a collective whole - is far more important to the success of any transformation programme – digital or otherwise. It has been a journey we've taken by breaking down our customer transformation programmes into those that have achieved outcomes versus those that have just outputted some numbers or delivered an on time - on budget programme. What we found, time and time again, is that any focus on people as thinking, feeling and reacting human beings somehow gets lost in a shroud of mystery and beliefs that such things belong in the world of 60's psychedelic liberation not in the world of process driven business and the world of transformation. So we've been on a mission; trying to get leaders, technologists, marketers, transformation experts and change managers to get more in tune with their human side and start focusing on change by names not by numbers.
We believe that People Centred Transformation is the only transformation that is needed, and we're proving it over and over with a growing list of customers who are making transformation about re-humanising business not de-humanising business. (I suspect that this is perhaps one of the success factors of Amazon and Tesla as they increasingly stand alone in terms of growth, progress and success on the global business stage). Transformation must remain being people centred from start to finish and not start with a people focus then revert to a set of processes or a technology project because that's all we know.
If we understand what people think, how they behave and the skills they possess we can add context and relevance to why our business is in the situation it is in (culturally and financially). why our shiny new technology doesn’t have much engagement or workforce buy-in, and why our amazing new product doesn't seem to be resonating with customers.
People Centred Transformation can be defined by two simple design principles:
That all people be considered equal. To be customer centric you must first be audience focussed - and treat everyone equal for the part they should play towards success. The worker, the customer, the supplier, the partner, the leader and of course increasingly the crowd.
That transformation prioritises human mindset and behaviours. Skills training and job titles just don't cut the mustard anymore; we follow a simple three step journey that always considers behaviour and mindset before maybe putting someone in a room and giving them agile training: that three step journey is what we refer to as THINK, BEHAVE, ACT.
Following the People Centred Transformation approach will support and nurture the right behaviours and mindset (across worker, leader, customer, partner, supplier and crowd) to give you lasting success, it will give you everything you need to move your business forward whether it’s a speedboat or a Titanic – it will shift, I promise you.
So, do we ditch the process re-engineering, change management, technology transformation efforts and expertise – of course not. People Centred Transformation is your mandated parallel to anything that involves change or transformation. However, if you want to start what you think is a digital transformation don’t. Build a people centred transformation programme and do it right.
Back in 2014 we talked about the importance of people, culture and connectedness when making organisations adaptive and transformative. Our message is still the same and even stronger today than ever before: people must be at the centre of all change and transformation, as human beings and individuals not as guinea pig groupings or numbers on a process map - this is the gift that technology has provided us, the ability to serve the individual by name, not by number.
For just as we noted back then, even Andy Warhol said that it’s not time that changes things - it's people.
Welcome to the world of People Centred Transformation!
2016 - Sweet Sixteen! The year of serious transformation?
I couldn't start the year without adding some personal thoughts on the road ahead - having read so many already via social and the web. So, short, sharp and sweet - here we go!
I couldn't start the year without adding some personal thoughts on the road ahead - having read so many already via social and the web. So, short, sharp and sweet - here we go!
Working in the world of digital, leadership and transformation, I think it's clear that 2016 needs to be the year where we say No! to discussions that take us away from action, like 'What does digital mean' etc...and start to really focus on doing. Strategising from a place where you've tested something or had a go is a far easier position to start from.
2016 should also be the year where we accept digital leadership as a profile and not as a simple job title to be handed out without much thought or consideration. If you want to be a digital leader consider your capability and competency across a robust 360 profile, not just based on your job title or business area expertise. Are you a change agent? Can you face and manage challenges? Do you truly inspire? Are you adaptive, open? Being a CIO or CMO isn't a default passage into digital leadership.
Understanding the need for competency and capability around driving change is as important, maybe more so, than technology. More and more we are hearing that digital transformation is about dealing with change first and technology second. Let's get a bit more supportive and focussed on readiness for change, fostering an openness for doing new things or things different across our people: Leadership, workforce, partners, customers, community - the whole lot!
Sadly, as many authors, analysts and research papers have recognised, most projects fail in expectation in some way, shape or form. It's been sited on numerous occasions by some of the world's most reputable professional services organisations and research houses that this is due largely to a lack of skill. So, there you go! That's something you can tackle immediately in 2016. Accept that skills no longer work by generic title. I for one remember when I was choosing my specialist subjects in school as a teenager. I had to choose between Maths, Geography, Music, Physics, English...you get the picture? That was fine, it's all we needed. My 14 year old nephew can choose micro specific topic areas based on his interests and strengths today...and that's exactly how you should see business. It's not that you need a marketing manager so much as you need more and more specialist skills to deal with specialist areas to serve a superior customer experience. And by all accounts this idea will continue to diversify for a few years to come. So let's plan for it, let's consider what this means in context of our own business ecosystem.
Security. I am far from an expert in this area - be it cyber, compliance, data protection etc. But I have recognised one thing and hope that in 2016 this area gains the appropriate airtime; security is not all about control and restriction. It's about enablement and it's about understanding that as individuals we all have a responsibility in this area, whether we are an employee, a customer or a member of the community. It's not just up to someone else anymore, it's up to you as well as the business, the brand, the service, the government. We should all try to become more personally accountable in this area. I for one have ear marked this as a personal focus area in 2016.
Finally, (there is so much more, but we're in an attention deficit world so these are just a few of my thoughts to share) it would be remiss of me to publish this blog without mention of leadership. This has to be the elephant in the room that needs tackling in 2016. Leaders and Leadership Teams everywhere please start listening and looking - the world has changed and if you are going to win, you need to change too! So what if a 20 year old graduate suggests a new way of communicating with the workforce? So what if the role of a leader is more about participation than ever before - I believe you wouldn't want to be a leader in the 21st Century without a thirst for continuous improvement and participation at all levels without too much ego or hierarchy getting in the way.
Well, there you have it. Just a few thoughts, around stuff and things we could/should be doing or focussing more on in 2016 when it comes to digital transformation. It could be a great year this Sweet Sixteen!
This post was originally published via Pulse/LinkedIn on 7th January
What Does a Digitally Mature and Adaptive Business Look Like?
Your toolkit for spotting digitally adaptive and mature businesses in vertical and horizontal markets.
Your toolkit for spotting digitally adaptive and mature businesses in vertical and horizontal markets
We are not a pedantic bunch at Adapt2Digital, but phrases like ‘how to become digital’ or ‘make your business digital’ don’t make good business sense to us. They paint an incomplete picture. Our experience shows that doing ‘digital’ is not enough. We prefer to make businesses adaptive as well as digitally mature, by building in the ability to, at least keep up with, but preferably to stay ahead, of a constantly changing digital world.
Change-friendly
What do we mean by that? Well, a successful digitally mature and adaptive business knows that it’s not about being digital but accepting that change as much as digital is the business norm. The digitally adaptive business views digital change as an opportunity and not a threat.
Engagement with stakeholders
Breaking down barriers by collaborating and communicating with the workforce, has ensured that the C-Suite and managers in a digitally adaptive and mature business spread the message that making the organisation digitally adaptive is not frightening. Instead, it has been explained as a simple and effective means of staying abreast of ever-growing digital needs of stakeholders, whether they are customer, workforce, supplier, or anyone else. Given that every generation – X, Y, Z, - and any other post-millennial group symbolised by any letter of the alphabet that one can think of – is digital to its toes, the digitally adaptive business, you will find, is recruiting the best people.
Infrastructure
The entire digitally adaptive business is geared towards digital. Silos are replaced by one, seamless digital organisation. So you won’t find, in a digitally adaptive organisation, separated, isolated and standing proudly alone sales, marketing and customer service departments. The organisation has realised the benefits of understanding all the aspects that affect acquiring, selling to, delivering and retaining customers. People continuously collaborate through technology enabled integration.
Technology-aware
We have placed this lower down in our list because, as we are constantly saying, digital is not merely about technology. Digital leaders keep tabs on technology advances but do not obsess about it. They have established working practices that mean that technology is the enabler by which they have made and continue to make their business digital.
Communication
The C-Suite in a digitally adaptive business does not forget to continue to communicate how the different parts of the digital business keep pace with the digital world and the accruing benefits. Participation is the word of the decade for leadership in a digitally mature and adaptive business.
Futurism
When looking for your digitally adaptive competitors, customers and suppliers look for a C-Suite where its members show openness to using whatever is required to keep the business digital and where they positively seek out rather than merely welcome ideas from its workforce. An obsession about the future, in terms of emerging technologies that can ensure you keep pace with changing behaviours and needs, is the menu for the day.
Fleet of foot
Long-established companies (or even ones that are a decade or so old) that are not digitally adaptive tend to lumber along. To spot the digitally-active organisation, look for one that is lean and fleet footed even where it faces competition from start-ups that don’t have the overheads that frequently encumber older businesses and organisations. This hints at the core concept of adaptiveness.
Finance
The CFO and colleagues anchor digital back to the business and prove real, tangible ROI, but acknowledge the value of outcome based reporting and customer centric focus rather than budget focus.
If any of the characteristics of a digitally-adaptive and mature business sound familiar it’s because many are the distinguishing marks of a successful business. You’re not building a digital business; you’re building a successful business that has all the necessary characteristics and qualities to survive and grow in a digital world. Successful businesses don’t do things a particular way, because they have always done them that way. They do them because they make sense in a world that is now built on digital. Now that you’re ready to join the growing number of adaptive, mature and successful businesses, sign up for our approach here.
Tweet with us on Adapt2Digital Twitter and link up with us on Adapt2Digital: Pioneers of Digitally Adaptive Business on LinkedIn.