Digital Transformation and Business Transformation are the Same
Business Transformation is the process of transforming: (1) how things are made, (2) how things are bought, (3) how things are sold and (4) how services are provided.
Digital Transformation is the process of using technology and data to do Business Transformation. In a way, Digital Transformation is a subset of Business Transformation.
Digital Transformation is only about Technology and Data
While it is true that Digital Transformation uses technology and data but they are not the only important areas for consideration. Other areas that affect Digital Transformation include people, processes, products and even services. Additionally, this notion that Digital Transformation is the responsibility of the Information Technology (IT) department is not only short-sighted but also half-hearted.
Digital Transformation is a Specific Project
Under the umbrella of Digital Transformation there can be many projects (e.g., going paperless, e-signatures, enhanced digital customer experiences etc.) but Digital Transformation in itself isn’t really a project but more like an ongoing program (or even a portfolio) that continues to look for improvements. It is also important to know who (CEO, COO, CFO, CIO etc.) is ultimately responsible for Digital Transformation and how much help are they getting from their peers.
Digital Transformation is Well Understood
If you take individuals from across the organization with varying functions, responsibilities and levels and ask them what does Digital Transformation means for them often you will get confused looks, some by the book definitions and very few (if any) examples. In order to address this, create a basic understanding of Digital Transformation specific for the organization, how Digital Transformation relates to the organization’s mission, vision and values and where Digital Transformation directly affects individuals.
Digital Transformation Does Not Affect Culture
Culture is not just one thing (only about people) but it is a collection/combination of different things/subcultures that can be observed and also measured. What this means is that Digital Transformation not only affects people’s jobs but also what elimination and/or creation of processes need to occur, why (de)selection of technologies happens, retirement and/or creation of products, measurement of IT Service and Customer Service Experiences and your organization’s data maturity for decision-making.