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The 12 Step Plan for Digital Transformation Speed | @ExpoDX #DX #AI #ML

The importance of operational tempo

The 12 Step Plan for Digital Transformation Speed

It took Magellan's crew three years sailing ships to circumnavigate the earth. Today, at hypersonic speeds of 7,680 MPH, it takes just over three hours to circumnavigate the earth.  Data on the Internet, however, travels at 670 million MPH, which means it only takes milliseconds to circumnavigate the earth. In this age of digital businesses and digital interactions, companies must digitally transform to work effectively in a world where mass information moves at these unimaginable speeds.

It's not just IT systems that are impacted by the volume and speed of information. The creators of business processes that were designed and developed in an analog area, simply never envisioned a business environment that would require these operational tempos. Analog business processes were designed to have humans involved. These dependencies were designed to slow down the process to ensure accuracy, compliance and accountability. Today, however, operating at the slow speeds of an analog, human dependent business process, will doom your company. Analog business processes must be quickly automated via robotic process automation using artificial intelligence and machine learning to effectively interact with impatient digital customers and B2B partners.

When analog business processes are replaced by hyper-speed digital processes, it is also the time to rethink business models. Transforming into a digital business will impact how you operate and make money. You both make money and spend money differently. Your sales, marketing, branding, delivery and customer service will all look differently. The model must change.

Most companies are dependent on an integrated ecosystem of suppliers, vendors and partners to function. If your company digitally transforms and speeds up its operational tempo - your partners must follow or the system and business model breaks down.

Increasing the operational tempo of your business as a result of digital transformation impacts the humans in your company. Roles and responsibilities change as many tasks are automated, the pace of operations dramatically increases, and the skills required change. In many cases this is the biggest challenge companies face when digitally transforming.

Leadership must also change the way they operate. Instructions sent via Magellan's ships would have taken three years to arrive and longer to be implemented. If information is received and decisions are required in real-time, then the pace of decision-making and meetings must change. Five or three year business plans, must now be re-thought continuously based on non-stop streams of incoming data.

Your organization - your team, must have a culture that supports these speeds. Your organization must understand and embrace the changes that will help it compete in a digital marketplace. The following is a list of areas where speed must be increased as a result of digital competition:

  1. IT systems, platforms, networks and APIs
  2. Business process optimization with automation and AI
  3. Business model transformation
  4. Partner ecosystems
  5. Optimizing how humans and automation work together
  6. Leadership/decision-making based on real-time analytics
  7. Organizational and cultural response to change
  8. Scaling up or down
  9. Customer alignment
  10. Digital interactions
  11. Personalization and context
  12. Predictive analytics

Without increasing the operational tempo - the speed in which an organization can adapt, companies cannot survive in the digital age. This list is not everything a company must do, but it provides a good place to start and focus. All companies involved in digital transformation today should as part of their overall digital transformation plan, understand what speeds they are at today in each of these 12 areas, and have a plan for increasing it.

Visit Kevin Benedict's website at the Center for Digital Intelligence.

More Stories By Kevin Benedict

Kevin Benedict serves as the Senior Vice President, Solutions Strategy, at Regalix, a Silicon Valley based company, focused on bringing the best strategies, digital technologies, processes and people together to deliver improved customer experiences, journeys and success through the combination of intelligent solutions, analytics, automation and services. He is a popular writer, speaker and futurist, and in the past 8 years he has taught workshops for large enterprises and government agencies in 18 different countries. He has over 32 years of experience working with strategic enterprise IT solutions and business processes, and he is also a veteran executive working with both solution and services companies. He has written dozens of technology and strategy reports, over a thousand articles, interviewed hundreds of technology experts, and produced videos on the future of digital technologies and their impact on industries.

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