What is digital maturity of an organization?

Digital transformation requires organizations to rethink their strategy, processes, and systems to create new business models and operational strategies. This can involve redesigning customer experiences, automating processes, digitizing products and services, creating new data-driven insights, and utilizing digital tools to create a competitive edge. It also involves developing new capabilities, such as the ability to quickly develop, deploy, and scale digital solutions. Digital transformation can help organizations become more agile, responsive to customer needs, and better positioned to capitalize on digital trends and opportunities.

Companies of all sizes have challenges with digital transformation. Some common themes amongst companies of all sizes include skills issues like lack of expertise, financial challenges like limited budgets, organizational issues, which may include things like employee push back and lack of a clear digital strategy.

Digital Maturity is the ability of an organization to respond and take advantage of technological developments. It is best measured by answering the right questions about the company or business’s market, goals and its internal operations.

7-Point Template

Here is a 7-point template developed by Deloitte that help companies move to higher levels of digital maturity.

1. Infrastructure - Ability to flex capacity according to business demand while balancing security and privacy.
2. Data - Embedding data into products, services, and operations to increase efficiency, revenue growth, and customer engagement .
3. Talent Networks - Flexible, contingent talent models to rapidly access in-demand skill sets based on business need.
4. Ecosystem - Engaging with external business partners to increase the organization's ability to improve, innovate, and grow.
5. Workflow - Intelligent processes to consistently produce positive outcomes and free up resources for higher value actions.
6. Customer - Delivering a seamless customer experience that is shared.
7. Business Model - Expanding business models and revenue streams by adapting to changing market conditions.

Top Three Practices

Deloitte has suggested best practices for each of these areas. Below are six areas with digital maturity best practices.

Infrastructure

• Automate cloud cost management and optimization.
• Leverage platform-as-a-service (PaaS) or managed service provider ( MSP ) models.
• Automate provisioning and operators of cloud infrastructure.

Data

• Embed data driven insights into tools employees use every day.
• Democratize access to data insights through self service portals.
• Offer products/services to clients powered by data collected.

Talent Networks

• Hire freelancers/independent workers to extend the core employee workforce.
• Hire workers who are paid by the task (or micro-task ).
• Engage crowd workers who compete to participate in projects.

Ecosystem

• Sell solutions together in the market.
• Concise intellectual property and/or solutions .
• Ensure interoperability with some competitors’ digital solutions.

Workflow

• Establish an automation “center of excellence”.
• Automate business decision making (e.g. resource allocation , dynamic pricing).
• Automate routine customer and/or employee interaction with chatbots/conversational Al.

Customer

• Provide multi/omni-channel touch points.
• Capture and incorporate the voice of the customer into decision making.
• Maintain a single 360-degree view of the customer.

In all seven areas, technology is key. The adoption of technologies plays an important role across digital transformations. Recent studies report that worldwide spending on just technologies and services that enable digital transformation is forecast to reach $2.3 trillion in 2023. On average, organizations are using at least four of the 11 technologies mentioned here. With traditional web tools leading the way, followed closely by cloud-based services. But one thing we know about technology, it changes rapidly. With the advent of 5G and wireless gigabit speeds, we can expect more use of mobile Internet technologies and IoT.

Reference

Deloitte Insights, 2018.“Pivoting To Digital Maturity”.

Source

Article : Coursera

Photo : Wall Street Journal