The End Game of Digital Transformation

Digital transformation requires participants to have a vision for and understanding of what they are trying to achieve and why. In fact, the lack of a clear digital strategy is the second biggest mistake companies make in digital transformation, right behind moving too slowly, according to the middle managers we surveyed. Digital strategies, however, should evolve out of a documented, enterprise-focused digital transformation “doctrine.”

The purpose of a digital transformation doctrine is to create a unified understanding of why digital transformation is needed. An organization’s doctrine should influence its strategy, its operating model and the tactics it uses to compete. A simple example of a doctrine could be:

The digital transformation of our marketplace is changing the behaviors of our customers and the nature of our competition.  We must embrace and respond to these changes by creating a digitally agile business, and employing digital technologies and strategies. We will achieve transformation and information dominance by investing appropriately in an optimized information logistics system. We will restructure our organizations for business agility, speed and real-time decision-making. We will develop a culture that encourages collaboration, innovation and creativity.

The justification for the pain and stress of digital transformation is to compete at a higher level. Digitally-transformed enterprises have fully functioning “digital nervous systems” consisting of sensors, mobile devices, technology-enabled people, shared situational awareness, networked applications, automated data collection, optimized processes, advanced analytics and a centralized OILS. This system provides full visibility, in real-time, into system changes that require a response from humans and/or bots. This awareness enables leaders to make data-centric decisions and implement automated bots using AI to speed up responses to data triggers.

PG&E is a great example of a company with such a doctrine and an accompanying “digital nervous system.” PG&E supported 50 million customers with 1,500 distributed work crews managed from 67 different locations using separate software applications and databases. With this scale of customer service operations, PG&E’s pre-digital infrastructure was highly stretched and brittle. Each dispatcher’s visibility and authority was limited only to the local work crew’s schedules, which resulted in poor and inefficient resource allocation, slow responses to major events and high administrative costs. To solve these inefficiencies, PG&E redesigned its business strategy and IT infrastructure by implementing an OILS, including cybersecurity, mobile, telematics and IoT systems, and consolidating all of its dispatching and field services management into two centralized centers, which were standardized on a shared software solution for scheduling. The results: Management now has centralized control over workforce scheduling and can accurately measure work crew utilization. With these capabilities, management can move work crews between different regions for optimal efficiency; dispatch is now consolidated to two offices; and the company is standardized on one solution that can be enhanced and upgraded in a uniform and agile manner.

It's important that all participants understand not only what digital transformation is, but what it means for your business and what the endgame looks like.

Watch the 3-minute video: 

  1. The Three Tsunamis of Digital Transformation - Be Prepared!
  2. Bots, AI and the Next 40 Months
  3. You Only Have 40 Months to Digitally Transform
  4. Digital Technologies and the Greater Good
  5. Video Report: 40 Months of Hyper-Digital Transformation
  6. Report: 40 Months of Hyper-Digital Transformation
  7. Virtual Moves to Real in with Sensors and Digital Transformation
  8. Technology Must Disappear in 2017
  9. Merging Humans with AI and Machine Learning Systems
  10. In Defense of the Human Experience in a Digital World
  11. Profits that Kill in the Age of Digital Transformation
  12. Competing in Future Time and Digital Transformation
  13. Digital Hope and Redemption in the Digital Age
  14. Digital Transformation and the Role of Faster
  15. Digital Transformation and the Law of Thermodynamics
  16. Jettison the Heavy Baggage and Digitally Transform
  17. Digital Transformation - The Dark Side
  18. Business is Not as Usual in Digital Transformation
  19. 15 Rules for Winning in Digital Transformation
  20. The End Goal of Digital Transformation
  21. Digital Transformation and the Ignorance Penalty
  22. Surviving the Three Ages of Digital Transformation
  23. The Advantages of an Advantage in Digital Transformation
  24. From Digital to Hyper-Transformation
  25. Believers, Non-Believers and Digital Transformation
  26. Forces Driving the Digital Transformation Era
  27. Digital Transformation Requires Agility and Energy Measurement
  28. A Doctrine for Digital Transformation is Required
  29. Digital Transformation and Its Role in Mobility and Competition
  30. Digital Transformation - A Revolution in Precision Through IoT, Analytics and Mobility
  31. Competing in Digital Transformation and Mobility
  32. Ambiguity and Digital Transformation
  33. Digital Transformation and Mobility - Macro-Forces and Timing
  34. Mobile and IoT Technologies are Inside the Curve of Human Time