The objective of digital transformation, or digitisation, is to grow revenue, increase profitable customer loyalty, remove internal cost, raise quality and build value to grow profitability.
Digital transformation is a never-ending expedition, not a destination. There is a perennial imperative to build and refine digital processes to improve customer, internal and supply chain journeys. McKinsey & Company, the global consulting firm, defines this as “perpetual evolution”.
Traditional companies typically have legacy computing architectures, designed for a bygone era, when there was more stability in their strategies and a slower release pattern of new products and services. Born-on-the-Web competitors can often turn on a dime to deliver key changes, which otherwise would leave traditional firms floundering.
Until very recently, mobile devices, the Internet of Things, big data and advanced analytics were not critical for effective competition. That is no longer the case.
OneNet provides consulting services to help its clients on their digitisation journey. As no single provider can address all of a firm’s requirements in this domain, OneNet is well positioned to join your team and contribute value to you, according to OneNet’s strengths.
We would welcome an opportunity to discuss your digitisation goals with you to understand how OneNet may help you.
Cloud and Integration
Cloud computing, whereby computing, storage and communications resources are made available to rent, is a prime enabler for a perpetual evolution strategy for digital transformation.
OneNet is able to provide you with digitisation strategy consulting advice, cloud computing services, “hands on” technical resources for software application integration and become a partner to you on your perpetual evolution digitisation journey.
There are many business challenges to be faced in your digitisation journey. We highlight several challenges below:
- Your legacy investments in on-premises information technology assets are likely to be an impediment to your digitisation endeavours. By contrast, cloud computing, providing almost any information technology “as a service”, delivers many advantages to you. However, moving to a cloud-based computing model is not, on its own, digital transformation. Even if all of your firm’s software applications were simply “lifted and shifted” to the cloud, there would likely be little improvement. A perpetual evolutionary approach means a continual change in business capabilities and the technologies that lie behind them. The focus is on speed and end-to-end customer, internal and supplier journeys, rather than individual product or service processes.
- Digitising your existing processes is seldom, if ever, the solution. Unless there is a focus on a redesign of the respective journeys, which often identify opportunities to unlock enormous value from simplification, benefits from digitisation will remain elusive. Reimagining your customers’ entire decision-making journey, for example, with all of the interactions a customer has when making a purchase or receiving a service from you, is difficult after spending years making incremental improvements. The key task is to really understand how your customers buy and imagine what a world-class customer journey could look like, rather than just following a tactical evolution of the current state.
- Challenges to a successful digital transformation also come from other quarters. Committed and vigilant senior leadership, with a clear and bold purpose, is critical.
- Taking a sequenced and holistic approach, adopting a lean, agile process redesign, building a culture of digital aspiration, breaking down siloed data, mind-set and behaviour, keeping focused on your customer, internal and supplier journeys and integrating digital and operational capabilities are key imperatives.
- Even when digitisation projects are well developed, their success will depend upon how your people change the way they behave. It does not matter how good the digitised solution may be, it will be useless and a poor investment if your people do not adopt it. Architects of digital transformations can learn a good deal from behavioural economics, which helps to explain why people make irrational choices, usually without being aware they are being irrational.
Risk aversion may paralyse new digitisation initiatives through an irrational fear of failure. An appetite for risk is a precondition for successful digitisation. Sunk cost bias may keep dead-end digitisation projects alive long after they should have been killed off.
- If a move to the cloud is considered to be digital transformation, your business leaders will be disappointed. Without a coherent plan to digitise your customer, supplier and internal journeys, most of the potential benefits of digital transformation will be never be achieved.
- Adoption of OneNet’s cloud computing services will provide a powerful enabler for digitisation, deliver compelling economic and security benefits, establish a platform for innovation, enhance agility and accelerate speed to market. However, it will not solve the digital transformation puzzle on its own.
As there is no single solution model for your perpetual evolution digitisation journey, an early no-commitment discussion would enable you to understand some of the technologies and services which OneNet may provide to assist you.
OneNet’s contribution to your perpetual evolution digitisation journey has many benefits, including the following:
- Speed to market is crucial for new initiatives in digitisation. With OneNet’s cloud computing services, new software applications can be deployed in minutes, rather than in weeks.
- The ease of varying computing resources, only when needed, means that digitisation projects can be accurately provisioned.
- No capital commitments are required for computing resources and computing expenditure becomes a variable cost.
- Your skilled IT staff can be redeployed on value-enhancing digitisation projects since the burden of “keeping the lights on” is removed. There is no competitive advantage to be derived from owning and running IT assets, so why do it?
- Security is paramount, particularly when new processes open up different avenues for suppliers and customers to interact. OneNet is well positioned to protect your firm’s security, as it is our core competence.
- Keeping what is useful, while integrating new processes with legacy systems, helps to prevent legacy IT from putting a brake on the pace of your digitisation journey. OneNet has extensive experience in solving the integration challenges from meshing your legacy software applications with your new digitisation software.
When we help you to define a digitisation strategy, we will be able to develop a proposal and description of how OneNet’s technical solution may assist you on your perpetual evolution digitisation journey.