{"id":9567,"date":"2021-08-30T07:16:16","date_gmt":"2021-08-30T12:16:16","guid":{"rendered":"https:\/\/flevy.com\/blog\/?p=9567"},"modified":"2021-11-24T10:50:51","modified_gmt":"2021-11-24T15:50:51","slug":"sustainable-digital-transformation","status":"publish","type":"post","link":"https:\/\/flevy.com\/blog\/sustainable-digital-transformation\/","title":{"rendered":"Sustainable Digital Transformation"},"content":{"rendered":"<p>Accelerated pace of technological disruption has forced organizations to change.\u00a0 It has triggered leaders to think of the ways they must adopt to survive in these challenging times.<\/p>\n<p>Organizations are confronting this scenario by embracing digital technologies.\u00a0 Traditionally, the focus of the organizations in these Transformation initiatives has remained on speed of change.\u00a0 To get the most out of their initiatives, they are making drastic changes, to include:<\/p>\n<ul>\n<li>Creating Agile Teams<\/li>\n<li>Introducing Mobile Apps<\/li>\n<li>Building Big Data and Analytics capabilities<\/li>\n<li>Experimenting with creative Digital Business Models.<\/li>\n<\/ul>\n<p><a href=\"https:\/\/flevy.com\/digital-transformation\">Digital Transformation<\/a> programs are launched with huge fanfare, see success early on, but fail to keep the momentum going. \u00a0The issues that plague the sustainability of these initiatives are typically:<\/p>\n<ul>\n<li>Aging Technology Infrastructure<\/li>\n<li>Incompatible Operating Models<\/li>\n<li>Archaic ways of doing business<\/li>\n<li>Change-agnostic culture.<\/li>\n<\/ul>\n<p>Drivers of change for the Digital Leadership have changed significantly over the years. \u00a0There is an increased focus on building scale when executing Digital Transformation. \u00a0Leaders have realized that quick <a href=\"https:\/\/flevy.com\/browse\/flevypro\/strategic-decision-making-4011\">Decision Making<\/a> is not the only element required for successful Transformation.\u00a0 To achieve its full potential, they need to create differentiated offerings and scale the most viable initiatives across the organization to <a href=\"https:\/\/flevy.com\/browse\/stream\/value-creation\">create value<\/a>.<\/p>\n<p>Traditional organizations have started following the footsteps of digital disrupters like Amazon and Tesla.\u00a0 They are implementing new digital services and adjusting their operations. \u00a0However, typical hurdles\u2014e.g., old enterprise systems, bureaucratic red tape, delayed decision making, and segregation between IT and business units\u2014make them slip back into the outdated ways of doing things.<\/p>\n<p><a href=\"https:\/\/flevy.com\/browse\/flevypro\/sustainable-digital-transformation-5834\">Sustainable Digital Transformation<\/a> involves building not only the technology infrastructure but also revisiting the operating model.\u00a0 Successful Digital Transformations essentially involve embracing 4 key strategies to enable an ecosystem that encourages change to stick as well as scale:<\/p>\n<ol>\n<li><strong>Create a strong Digital Foundation<\/strong><\/li>\n<li><strong>Integrate and consolidate the Digital Ecosystem<\/strong><\/li>\n<li><strong>Front-end to back-end approach<\/strong><\/li>\n<li><strong>Create a new <a href=\"https:\/\/flevy.com\/browse\/flevypro\/business-model-innovation-bmi-2912\">Business Model<\/a><\/strong><\/li>\n<\/ol>\n<p><a href=\"https:\/\/flevy.com\/browse\/flevypro\/sustainable-digital-transformation-5834\"><img decoding=\"async\" class=\"aligncenter size-full wp-image-9596\" src=\"https:\/\/flevy.com\/blog\/wp-content\/uploads\/2021\/08\/Sustainable-Digital-Transformation-4-Approaches.png\" alt=\"\" width=\"1002\" height=\"752\" srcset=\"https:\/\/flevy.com\/blog\/wp-content\/uploads\/2021\/08\/Sustainable-Digital-Transformation-4-Approaches.png 1002w, https:\/\/flevy.com\/blog\/wp-content\/uploads\/2021\/08\/Sustainable-Digital-Transformation-4-Approaches-300x225.png 300w, https:\/\/flevy.com\/blog\/wp-content\/uploads\/2021\/08\/Sustainable-Digital-Transformation-4-Approaches-768x576.png 768w\" sizes=\"(max-width: 1002px) 100vw, 1002px\" \/><\/a><\/p>\n<p>Let\u2019s delve deeper into these strategies.<\/p>\n<h2><strong>Create a Strong Digital Foundation <\/strong><\/h2>\n<p>Manufacturing and pharmaceutical industries are the major sectors that employ this strategy.\u00a0 The typical state of affairs in organizations implementing this strategy is such that they are in need of developing new digital capabilities from scratch to tackle nimble rivals who are churning out novel value propositions using digital tech. \u00a0These companies are burdened by dated tech infrastructure, sluggish decision making, and dated business models.\u00a0 The risk of disruption to these businesses is growing but it hasn\u2019t challenged them to transform drastically.<\/p>\n<p>To them, building a digital foundation warrants acquiring novel foundational capabilities. \u00a0Their approach should be to start implementing and managing small <a href=\"https:\/\/flevy.com\/browse\/stream\/change-management\">changes<\/a> one step at a time.\u00a0 For instance, building a smart technology architecture with advanced <a href=\"https:\/\/flevy.com\/browse\/flevypro\/big-data-enablement-framework-2906\">Big\u00a0Data<\/a>, <a href=\"https:\/\/flevy.com\/browse\/flevypro\/purpose-driven-analytics-3959\">Analytics<\/a>, and predictive modeling capabilities.\u00a0 This should be followed by testing prototypes of the new model to prove their worth before implementing a full-blown execution.<\/p>\n<h2><strong>Integrate and Consolidate the Digital Ecosystem<img decoding=\"async\" class=\"alignright size-medium wp-image-9597\" src=\"https:\/\/flevy.com\/blog\/wp-content\/uploads\/2021\/08\/DT1-300x225.jpg\" alt=\"\" width=\"300\" height=\"225\" srcset=\"https:\/\/flevy.com\/blog\/wp-content\/uploads\/2021\/08\/DT1-300x225.jpg 300w, https:\/\/flevy.com\/blog\/wp-content\/uploads\/2021\/08\/DT1-768x576.jpg 768w, https:\/\/flevy.com\/blog\/wp-content\/uploads\/2021\/08\/DT1-1024x768.jpg 1024w, https:\/\/flevy.com\/blog\/wp-content\/uploads\/2021\/08\/DT1.jpg 1920w\" sizes=\"(max-width: 300px) 100vw, 300px\" \/><\/strong><\/h2>\n<p>This strategy has gained traction most in organizations from the Consumer Products industry. \u00a0These organizations are typically marred by scores of fragmented IT systems running in different parts of the organization. \u00a0There is a general inability to prioritize the most viable projects and scale them.\u00a0 The need to reform and rapid deployment of Digital Infrastructure is critical for survival.<\/p>\n<p>The approach to Digital Transformation in these organization should be to establish a central management position to manage the initiative and streamline dispersed technology landscape. \u00a0This entails revising the technology infrastructure and operating model, deploying a unified IT platform for gathering and storing customer data, establishing a common data repository accessible to all units to recognize customers\u2019 needs, and creating a culture that encourages <a href=\"https:\/\/flevy.com\/browse\/stream\/innovation\">innovation<\/a>, acts on creative ideas, and refines them through experimentation and advanced tools.<\/p>\n<p>Interested in learning more about the other strategies to enable Digital Transformation?\u00a0 You can download an\u00a0<a href=\"https:\/\/flevy.com\/browse\/flevypro\/sustainable-digital-transformation-5834\">editable PowerPoint on <strong>Sustainable Digital Transformation<\/strong>\u00a0here<\/a>\u00a0on the Flevy documents marketplace.<\/p>\n<h2>Did You Find Value in This Framework?<\/h2>\n<p>You can download in-depth presentations on this and hundreds of similar business frameworks from the\u00a0<a href=\"https:\/\/flevy.com\/pro\/library\">FlevyPro Library<\/a>.\u00a0\u00a0<a href=\"https:\/\/flevy.com\/pro\">FlevyPro<\/a>\u00a0is trusted and utilized by 1000s of management consultants and corporate executives.\u00a0 Here\u2019s what some have to say:<\/p>\n<blockquote><p>\u201cMy FlevyPro subscription provides me with the most popular frameworks and decks in demand in today\u2019s market.\u00a0 They not only augment my existing consulting and coaching offerings and delivery, but also keep me abreast of the latest trends, inspire new products and service offerings for my practice, and educate me in a fraction of the time and money of other solutions.\u00a0 I strongly recommend FlevyPro to any consultant serious about success.\u201d<\/p>\n<p>\u2013 Bill Branson, Founder at Strategic Business Architects<\/p><\/blockquote>\n<blockquote><p>\u201cAs a niche strategic consulting firm, Flevy and FlevyPro frameworks and documents are an on-going reference to help us structure our findings and recommendations to our clients as well as improve their clarity, strength, and visual power.\u00a0 For us, it is an invaluable resource to increase our impact and value.\u201d<\/p>\n<p>\u2013 David Coloma, Consulting Area Manager at Cynertia Consulting<\/p><\/blockquote>\n<blockquote><p>\u201cFlevyPro has been a brilliant resource for me, as an independent growth consultant, to access a vast knowledge bank of presentations to support my work with clients.\u00a0 In terms of RoI, the value I received from the very first presentation I downloaded paid for my subscription many times over!\u00a0 The quality of the decks available allows me to punch way above my weight \u2013 it\u2019s like having the resources of a Big 4 consultancy at your fingertips at a microscopic fraction of the overhead.\u201d<\/p>\n<p>\u2013 Roderick Cameron, Founding Partner at SGFE Ltd<\/p><\/blockquote>\n","protected":false},"excerpt":{"rendered":"<p>Accelerated pace of technological disruption has forced organizations to change.\u00a0 It has triggered leaders to think of the ways they must adopt to survive in these challenging times. Organizations are confronting this scenario by embracing digital technologies.\u00a0 Traditionally, the focus of the organizations in these Transformation initiatives has remained on speed of change.\u00a0 To get&hellip;&nbsp;<a href=\"https:\/\/flevy.com\/blog\/sustainable-digital-transformation\/\" rel=\"bookmark\"><span class=\"screen-reader-text\">Sustainable Digital Transformation<\/span><\/a><\/p>\n","protected":false},"author":110,"featured_media":9597,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"neve_meta_sidebar":"","neve_meta_container":"","neve_meta_enable_content_width":"","neve_meta_content_width":0,"neve_meta_title_alignment":"","neve_meta_author_avatar":"","neve_post_elements_order":"","neve_meta_disable_header":"","neve_meta_disable_footer":"","neve_meta_disable_title":"","footnotes":""},"categories":[84,85],"tags":[222,4,228,1342,1136,2646,917,1015,2645,2644,824],"class_list":["post-9567","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-information-technology","category-organization","tag-agile","tag-business-model","tag-change-management","tag-data-analytics","tag-decision-making","tag-digital-ecosystem","tag-digital-transformation","tag-disruption","tag-operating-model","tag-technology-architecture","tag-transformation"],"_links":{"self":[{"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/posts\/9567","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/users\/110"}],"replies":[{"embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/comments?post=9567"}],"version-history":[{"count":6,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/posts\/9567\/revisions"}],"predecessor-version":[{"id":9600,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/posts\/9567\/revisions\/9600"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/media\/9597"}],"wp:attachment":[{"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/media?parent=9567"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/categories?post=9567"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/flevy.com\/blog\/wp-json\/wp\/v2\/tags?post=9567"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}