According to the MIT Sloan Management Review, companies that have embraced digital transformation are 26% more profitable than their average industry competitors and see 12% higher market valuation.
This piece of research came out before the Covid catastrophe hit those businesses totally unprepared for the continued shift to online. It's now a given that this has become the reality for businesses needing to grow and become sustainable.
The operating model is the mindset and process used by all companies to ensure they are internally steering the company in the right financial direction.
Over the years I've seen and been involved with all kinds of 'transformation' projects with many of those including 'digital enablement' as one key part of the overall growth and transformation strategic focus - still am.
When we see recruitment adverts looking for Directors of 'growth' it seems that digital skills are still seen as something they can 'tactically' bring to the role rather than understanding that the people who should be engaged to deliver this challenge should bring a strategic mindset within a framework of proven deliverables and success.
Every company is in constant search of that 'silver Bullet' that will change the way the company can perform, operate, become more profitable and grow.
We all know there is no such thing as a silver bullet but it doesn't stop the deluded from buying into the tech vendors view of what 'Digital Transformation' should include, and of course it has to include their latest game changing technology solution.
After all isn't that what we mean by being 'digital'?.
Most companies that adopt technology tend to look at it initially from an internal cost saving perspective rather than a consumer centric mindset.
The surge to 'automate' shit because you can might save you a few quid in the short term, but what about the ROX (return on experience) in the medium to long term?
Physical retail most definitely took an internalised and incremental approach to transformation, and for many laggards they are now paying an accelerated hefty price.
For those left in the retail dust storm that's not over yet by a long way have little choice but to 'transform'.
Today's consumer isn't behaving how yesterdays consumer was that's for sure.
If I was sat as part of your leadership team I would be spending every waking hour obsessing about the opportunity we can leverage from these semi-permanent changes in behaviour.
Half the worlds population is now on social media - use that knowledge wisely and strategically and you will reap huge rewards.
Businesses that truly embrace transformation start with working back from the customer, they focus on strategy then tactics - not the other way around.
The really good ones constantly align them internally and externally to an agile operating model.
It’s interesting to see how almost all industries have adapted to the process of automation, becoming more customer centric and provide highly personalised services. Digital transformation has proven that optimization is a never ending process, resulting in a high scope for constant innovation and automation.