DDIAM

Digital Transformation - The Strategic Imperative

Transformations are hard, and digital ones are harder.
A recent etventure study from 2018 reveals the understanding of digital transformation in German companies…
Digitization of the existing business model
55%
Development of new business model
28%
Standardization and optimization of IT
12%
Training and digital training of employees
5%
…and shows where companies realized concrete value through digitization initiatives.
Use of new technologies / market trends
72%
Building digital competencies
70%
Development of new digital business models
45%
Development of innovations
33%
Sales increase
29%
Increased efficiency / cost reduction
70%
Access to new customer groups
49%
Optimization of the customer experience
44%
Expansion into new markets
32%
Six typical obstacles in digitizing business functions and ways to overcome
  • Conduct integrative discussions to establish a joint digital vision
  • Identify linkages in strategy discussions and link specific elements to broader strategy
  • Identify management sponsor and give initiative owners clear responsibility and authority
  • Establish or redefine employee incentives that are aligned with the digital agenda
  • Work in cross functional teams integrating business as well as customer view on digital initiative
  • Set up a dedicated capability build up program and invest in top talent recruitment

DDIAM has developed Guiding Principles for Digital Transformation Initiatives

Defining the Initiative Value

  • Secure senior management commitment
  • Set clear, ambitious targets
  • Secure investment

Launch and Acceleration

  • Start with lighthouse projects
  • Appoint a high-caliber launch team
  • Organize to promote new, agile ways of working
  • Nurture a digital culture

Scaling Up the Digital Initiative

  • Sequence initiatives for quick returns
  • Build capabilities
  • Adopt a new operating model