How I Achieved Maximum Success with Consultants

Digital transformation is a term often used today but not always understood. First, let’s define transformation.

Transformation is a total scale change to a business’ foundational components, from its operating model all the way to its infrastructure – what, how and to whom they sell. A transformation programme affects each function of a business, from purchasing to technology to sales and marketing.

Businesses typically build and establish new products and services, tap new markets, sell to or go into mergers with competitors, or exchange components from their value chain to be more competitive, but these things are not automatically transformative.

Businesses don’t choose to transform as the move is costly and risky. When they have failed to evolve, that is when they must transform.

A business that evolves with its market, keeping products and proposition up to date, attracting new customers and increasing the value of existing ones, it need not transform.

A business may undergo tremendous changes and dramatic restructures, but it can only be called a transformation when such changes are clearly seen from the outside and were brought about by external factors.

Core Drivers of Transformation

Transformation has three key drivers: evolving consumer demand, evolving technology and evolving competition. Of course, these factors form an ecosystem, and changes in a market happen when they converge.

When any of these coincide such that the operating model of a business does not serve its customers anymore, the business has arrived at a tipping point. Here’s what- evolving businesses have no tipping points because problems are spotted ended before they have a chance to grow.

Evolving businesses are always focused on their customers’s changing needs and ready to adapt. Businesses that detect tipping points too late must transform. Now we define digital.

Generally speaking, it is any technology that interconnects people and machines through information. Hence, “digital transformation” is a noticeable wholesale restructure intended to avoid a tipping point triggered by digital technologies and downstream market impact.

Different Organizations and their Roles in Digital Transformation

Global consultancies typically handle transformation programmes for large businesses. To transform a large organization, a huge amount of time, resources and cross-functional business skills will be required, and they are typically provided only by global consultancies.

Creative agencies, on the other hand, help businesses steer clear of the need for digital transformation. They specialize in bringing a business close to consumers, understanding new markets and technologies, and predicting movements in the market.

To do all these, they work together with their clients. They create prototypes of new products and services, and trial products and experiences so they can paint a clearer picture of the future and be ready for it, not just to participate but also to lead.
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