DIGITAL TRANSFORMATION – WHAT IS THE FIRST STEP TO TAKE?

“Digital transformation or death” – a slogan that appears frequently in Vietnam

“90% of CEOs believe the digital economy will impact their industry, but less than 15% are implementing a digital strategy” – MIT Sloan and Capgemini

“It’s no longer about big beating small, it’s about fast beating slow.” – Eric Pearson, CIO, International Hotel Group (IHG)

 

“The next five years will be more disruptive than the last 15. This is NOT business as usual. A lot of the technology that was introduced three years ago no longer works.” – Saul Berman, IBM

“The most important part of digitalization is changing the way we think.” – Simeon Preston, Bupa

Nowadays, we are being urged to digital transformation (hereinafter abbreviated as digital transformation) – Digital Transformation, more precisely, the desire for digital transformation comes from the remarkable development of technology and is also the general development trend of the digital economy. The desire to elevate businesses to a new level: flexible, creative and strongly competitive based on digital tools.

To carry out digital transformation, businesses need to build a specific and effective digital transformation strategy. To create a digital transformation strategy, technology is required as a tool to create transformation in business. It requires the patent industry to continuously create new values ​​for products to satisfy customers. It requires a management consultancy to help build a more efficient business… It requires the change of all departments and divisions in the business to transform.

However, there is always one person missing… You! You need to change. Technology will not change a business, it is you who leverages technology to create advantage and differentiation. Management consultants will not improve your business. You are the one who translates their advice into action. Innovators are only the ones who demonstrate the differences you create. So, the starting point to create a successful digital transformation strategy is to transform yourself first.

It would be unfair and a bit self-righteous to assume that what has made you successful is all that is needed to continue. Creating a digital transformation strategy is completely different from creating a regular business strategy. Business ambition is not upgrading digital operations. It is just starting the transformation!

Before diving into digital transformation strategy, let’s find out exactly what a digital enterprise is and what digital business is!

What is Digital Business?

Being an organization that is smart, adaptable and innovative to compete in the digital economy. Digital businesses reinvent rather than upgrade or improve anything that already exists. They look at the world through a virtual reality lens, see new possibilities and opportunities and prepare to execute them without causing any loss to anyone.

A digital enterprise will create new business models that not only connect people to businesses, but also connect people and businesses to what drives revenue and efficiency. It will help reduce the barriers that currently exist between industries while creating new business opportunities and value chains that traditional business models cannot provide.

When we look at digital businesses, we see many “glittering” and fancy things and are tempted to think that these are the secrets to their success.

But it’s the opposite. If you look beyond the shiny things you see, what will you discover? It will be a solution to a problem you didn’t even know existed. It will be the result of making some amazing changes to what already exists.

The reason Amazon is successful: they create solutions to give customers great shopping experiences at extremely attractive (sometimes unbelievable) prices. Tesla brings solutions in clean energy, car manufacturing and distribution that make them the most valuable car company in the world in 2020…

Digital entrepreneurs are not more imaginative or creative than anyone else. They are just good at solving business problems and coming up with the right strategies. They take the time to really understand their customers and work hard to provide solutions to their problems.

These businesses have leaders who have accepted the responsibility of leading the transformation. Not the technologists, not the consultants, but the leaders themselves who will make the transition from business leadership to digital leadership.

At this point, you probably have realized the first and most important factor to carry out digital transformation for your business, right? That is the human factor in the organization, all people in your business must transform themselves and participate in the transformation, and there needs to be a leader to lead this transformation. Next is the courage to implement the organization’s digital transformation strategy… to succeed.

To successfully implement a digital transformation strategy, start with yourself and with all the people in your organization!

Now let’s see how to build a good digital transformation strategy! Please continue reading: “Building a Digital Transformation Strategy for Businesses”.