Digital Transformation Step by Step
As described in an earlier blog post, the seven action fields of digital transformation provide the topics, frameworks and tools for your organization to engage with the emerging strategy components to succeed in the digital age. Two tried and tested practical methods (the workshop canvas and extended ACT canvas) will guide you on your way to develop a digital transformation strategy and subsequent digital roadmap. Depending on time and scale, you can choose one of the two methods – or combine both. The goal of digital transformation is to shape an organization to achieve and maintain a competitive edge in the digital age.
These five steps will enable your organization to develop your digital strategy/roadmap:
Step 1: Digital maturity
The maturity analysis is used to determine the digital maturity of the organization in order to define the most important topics for the transformation project immediately and engages all stakeholders (e.g. all managers and all employees). You can, for example, conduct a digital maturity analysis at www.digital-strategy-check.com. It allows an initial discussion and the determination of priorities.
Step 2: Digital opportunities (workshop canvas)
In a second step, the seven action fields of digital transformation are discussed, and the first project opportunities are outlined. This is where the workshop canvas is used, which offers practical assistance for the design and implementation of ideation workshops.
Step 3: Strategy development (extended ACT canvas)
The third step includes a more formal engagement with the most important strategic themes of digital transformation. As a guide and as a checklist with the most important strategic topics, the ACT method (analyze, create, transform) provides a structured workshop flow with three workshops and the practice-validated 24 topics/questions for strategy development in the digital age. Small businesses often skip this step as the workshop canvas (as utilized in step 2) is often sufficient to identify digital initiatives and projects.
Step 4: Digital roadmap
The fourth step is to describe the digital vision and the unique value proposition. The resulting digital roadmap from steps 2 and 3 includes, in the traditional sense, the description of strategic (digital) initiatives and projects. It is a good idea to define a feasible project scope to work with external partners and, where appropriate, to identify quick wins.
Step 5: Digital strategy/roadmap implementation
In the fifth step, the digital roadmap is successfully and sustainably implemented. For this purpose, the organization uses project management to plan and achieve all initiatives, change management to actively communicate and guide the measures, and digital leadership to strengthen both the leadership and corporate culture of the organization.
It is wise to appoint a project manager (or Chief Digital Officer (CDO)) for your digital strategy development at an early stage. In small businesses, a motivated team member with organizational skills and the ability to inspire employees to take on a project is ideal for this role.
In the next blog post, we will discuss step 1 of the transformation method, the establishment of the current digital maturity.
Strategy questions for the digital age
- How will you plan/structure your long-term digital transformation?
- What frameworks and tools will support the successful planning and implementation?
- Who will lead digital transformation in your organization (e.g., a CDO)?