For any business that wants to grow, delivering an effective digital transformation plan is key. But how can it be best achieved? In the first of a series of columns, Roy Shelton, CEO of Connectus Group, shares his thoughts on how to get the job done.
Digital transformation isn’t just important for individual businesses, it holds the key to transforming the entire economy, which why Government ministers are dedicating so much time and energy to the issue.
When it comes to projected numbers for what successful digital transformation could do for our economy the numbers are mind-blowing. Effective technology could grow the UK become by more than £413 billion between now and 2030, according to the government’s Digital Strategy 2022 report.
The research also revealed that citizens and businesses see digital technology as one of the biggest areas of growth for the country after health, with cloud computing playing an integral role in underpinning the technology stack that will enable the UK’s digital future.
More than half of UK organisations (53%) agree that digital technology has become increasingly important over the last five years. This increases to 89% when talking to companies with more than 250 employees.
Meanwhile, 40% of the least digitally intensive businesses (defined by their use digital technology, such as employees’ business internet use, number of ICT specialists, or online customer interactions) said that they did not know what difference greater use of digital technology would make to their operations.
Additionally, 48% of business leaders had not heard of cloud computing or did not know what the term meant. This was particularly true of small businesses, which were twice as likely to be unfamiliar with cloud technology compared to large enterprises (48% vs 24%).
Digital skills were seen as ‘important’ or ‘essential’ by 82% of businesses, rising to 98% for digitally intensive businesses. In fact, digital skills are increasingly more desirable than other formal qualifications: 46% of businesses consider intermediate digital skills skills, such as creating a website, as ‘important’; only 28% of businesses say the same for university degrees.
But 57% of the most digitally intensive businesses have found it difficult to find staff with good digital skills. At the same time, those businesses said that a shortage of digital skills had slowed growth (62%) and increased costs (63%).
However, most individuals have not received formal digital training and are, instead, self-taught, with 52% of respondents developing their skills through trial and error, and 44% who learnt through their own research. In addition, 32% of working respondents said they spend more than 15 minutes a day trying to understand how to do something on their computer.
It’s clear that this really matters. But how to deliver it? At Connectus we’ve utilised an AI-backed programme to create a nine-step programme of services that can be integrated into any business looking to embark on such a transformation.
But for businesses creating their own strategy three key areas should be kept in mind.
The first is planning. The true power of digital transformation lies in the advantages that it can deliver to businesses. However, to implement digital transformation correctly, it must begin by evaluating the present scenario, asking tough questions and planning the route to digital transformation accordingly.
Second is experimentation. For digital transformation to be successful, there must be constant experimentation, adaptation and navigation of challenges. Businesses shouldn’t be afraid of things going wrong. This can often signpost to new ways of working which are of benefit in the long run.
Finally, there is measurement. Tracking and measuring the success of a digital transformation initiative is vital. This isn’t merely about box-ticking. The success of digital transformation should be measured based on the objectives set at the onset.
