25th March 2015. It is an axiom that has often been repeated, simply because it is true: the digital transformation is here to stay, and from a business point of view it requires permeable companies that are open to the changes this new paradigm will bring.
It is worth noting that these changes are imperative and not optional, and that companies incapable of adapting to the new conditions will, at best, be sidelined in their markets.
Digital maturity of large companies in 2013 (source: MIT Sloan Management Review/Cap Gemini).
In ideas4all’s latest clients’ meeting, our CEO Ana María Llopis spoke of the ‘digirati’, those companies who have adopted digital tools (social media, analytics, mobile devices, among others) as part of their day-to-day operations, and how they have increased sales and profits, and not always by introducing improvements in their normal business procedures, but also by reinventing their own business.
The report “Embracing Digital Technology” by MIT Sloan Management Review and consultancy firm Cap Gemini points in the same direction, stating that companies who invest in technology tend to do so only in order to automate existing processes, without taking into account how such technology can open new business routes for them.
There is no doubt that digitalization involves improvements in the execution of certain tasks and the speeding up or elimination of other routine tasks, but it is also true that it is a great ally of innovation, with which it shares pros and cons.
According to the mentioned report, the CEOs of many large companies become frustrated when they see that the investment made in new technologies is not always accompanied by short-term disruptive results in their business, since they usually require a slow process of maturation where errors must be taken into account (and allowed to happen).
At the same time, however, the vast majority of these CEOs are aware of the fact that the digital transformation is unstoppable and they are critical of their companies when they detect a “lack of internal urgency” in the adoption of these practices.
They also recognize that the adoption of such practices require adaptation and the commitment of the company’s structure as a whole, leaders who outline a road map within this new environment, and employees who, through digital tools like a social network for ideas, show greater engagement, while knowing they are listened to and rewarded for their efforts and ideas.