Technology changes quickly, but organisations change much more slowly.

The biggest impediment to a company’s future success ¬†is its past success.

Luck is not a business model.

 

Definition of Digital Transformation: The use of digital technology to radically improve the performance and/or reach of a company. Digital transformation is nothing but business transformation; it involves rethinking the company’s value proposition, not just its operations.

Digitisation involves standardising business processes & is associated with cost cutting & operational excellence. It imposes discipline on business processes. The benefits of digitisation are significant: efficiency, operational excellence, predictability. For all the pain that it entails, digitisation is an essential undertaking. Without digitisation, companies cannot scale; they cannot absorb the complexity of expanded product portfolios, they cannot personalise services. Disciplined, standardised business processes, where appropriate, ensure the accuracy & security of core transactions & back-office processes. They make data accessible & reliable.

Digital is already a business imperative. Digitisation is an important enabler of digital, but all the digitisation in the world won’t, on its own, make a business a digital company. There is a big difference between digitisation & digital transformation.

Digital transformation is preceded by rethinking the business model. A business model is how you make money in the business. Creating a new business model is very hard to do, very cerebral, very creative. You’ve got to start with the customer experience & work back toward the technology, not the other way around (Steve Jobs)