How to achieve success and common errors we should all avoid
In a modern world that is burgeoning with myriad technologies and AI-powered solutions, digital transformation is no longer optional, it is a necessity for businesses looking to remain competitive, provide first class services and maximise profitability. However, while many companies recognise the importance of digital change, successfully embedding it often proves far from straightforward. According to research from McKinsey, around 70% of digital transformation initiatives fail, often due to cultural resistance, poor planning or misaligned objectives across the team or organisation. This is something that will not feel like a big surprise to many, we have all seen it plenty of times before.
I want to discuss some of the key factors that I believe contribute to successfully embedding digital change, whilst also exploring common pitfalls we see being made that can wrestle failure from the jaws of a successful product deployment.
How to achieve success
- Strong Leadership and Clear Vision. Digital transformation is about people, not just technology. A study from MIT in America found that companies with strong digital leadership are 1.5x more likely to achieve successful transformation. Before embarking on an ambitious digital transformation programme, leaders need to be clear on their role.
- Articulating a clear and compelling vision – Employees need to understand why change is happening. If a decision is solely made in the boardroom with no communication or consultation with those at the coal face, the project will start on the back foot from the off. Outlining a clear vision helps team members know their role, how they contribute and how the change will help them perform their roles more effectively.
- Lead by example – One of the biggest drivers for ensuring products embed is leadership showing their belief in the system and engaging with its implementation. On the other hand, if leaders do not engage, the change is almost doomed to fail as it is deemed a low priority. Change is hard work, Leaders need to show everyone it is important.
- Empower managers – Frontline managers play a crucial role in driving adoption. It is their teams that use the systems and who will eventually reap the benefits. However, their teams are also the ones who have to handle the change, deal with the bugs and adapt to a whole new way of working. By being positive, organised and relentless, managers can play a fundamental role in the success of a digital transformation.
- Employee Engagement. Linked to the first bullet point under leadership, engagement of employees is absolutely crucial for success. However, this is not easy. Studies have shown that only 34% of employees feel prepared for digital changes in their workplace, and I would suggest this number is likely to be higher in utilities. However, during the deployment of products, we can combat this by ensuring we bring teams along the journey with us and create long lasting change.
- Invest in training – Across any team there will be a varying degree of digital competency. Identifying those who need the most support and upskilling them in the use of the product helps to reduce fear and increases confidence not just of the individual, but of the whole team. To do this we must ensure that training meets individual needs, whatever type of learner they are, and take pride in ensuring our training and support meets the needs of all.
- Encourage feedback loops – We won’t get everything right all the time. We don’t have all the ideas and all the answers. We absolutely must always ensure those taking on the change feel heard in the transition process. This means finding innovative ways to get feedback from everyone, whether it is an anonymous mailbox, coffee time catch up or formal feedback sessions, the more channels that are open, the more we can show we are listening, and the faster action can be taken.
- Celebrate quick wins – I am a strong believer in the power of positivity and that celebrating early successes builds momentum and buy-in. Getting out of the inevitable bottom of the change curve can seem insurmountable at times but building momentum by shouting about any and all wins has always proven to be the best way to create belief and help embed lasting change.
- Agile Implementation and Iterative Improvement. Digital transformation is never a one-time thing, it is an ongoing process. Companies that adopt agile methodologies see higher success rates because they can adapt more quickly. That doesn’t mean to say we should aways tackle the nearest priority and disregard the strategic direction, but remaining agile to changes means we can deliver value more rapidly.
- Start small and scale fast – When developing bespoke solutions, piloting core functionality early on means we can find the end-solution more rapidly. Explore the product and process with a small group first and then expand to wider deployment. This hugely speeds up feedback loops and enables a faster learning cycle during the development phase.
- Make data-driven decisions – We collect huge amounts of data across all of our products. This data is hugely valuable in ensuring we make objective decisions on the products’ efficacy and whether it is embedded. One of the first pieces of any project is defining leading indicators, KPIs and success measures, so don’t ignore them. Often we have found that these will tell you if there is a problem first, allowing you to act early to continue to enable change.
- Foster cross-functional collaboration – Silos kill innovation. At Skewb we are passionate about collaborating and this is a huge enabler to ensuring we create the best solutions possible and embed real change. At Skewb we are lucky to be surrounded by true experts and using them is a differentiator in ensuring we exceed in our delivery, always.
So, what are the pitfalls?
Despite best intentions, many digital initiatives fail. And to be honest, there are too many common pitfalls to mention, so let’s go for three.
- Lack of Clear Objectives and Alignment – Back to that theme again. Many companies rush into digital projects without a defined strategy. A Boston Consulting Group (BCG) study found that nearly three quarters of digital transformations fall short due to unclear goals and conflicting priorities. To offset this, we should always be clear on what success looks like. What are the measures that mean we have achieved what we wanted to, and what should our clients continue to measure to identify when something might be going wrong, whilst ensuring they know what to do to make it right again.
- Ignoring the People and Organisational Culture – Technology alone won’t drive change, culture does. We have to ensure that the product and how we deploy aligns with our clients’ cultural fabric for both them and their customers and communities. Without this, those using the tools will not believe they can benefit their working lives, and the change will never take hold. It is also incumbent upon us to bring our own positive change culture to our clients. There are always some doubters, but through positive mindsets and proactive, organised plans we can make Believers out of anyone.
- Poor Change Management and User Adoption – Even the best technology fails if people don’t use it. The Harvard Business Review states that $900 billion is wasted annually on failed IT projects, often due to poor change management and adoption. Our team is a huge advocate of using Super Users / Change Champions to drive adoption and I have spoken in the past about creating Believers. I still think that making sure users understand and want to use the tool is the best way to ensure change is delivered. We can see that in the adoption rates and need to ensure we act upon what the data is telling us quickly. Still, I think there is more we can do to innovate and encourage adoption. For example, learning from Skewb Climate we could see improved collaboration and increased effectiveness in the future by gamifying performance monitoring to make usage more fun and foster a competitive, positive culture. I’d happily discuss that with anyone over a coffee to help develop the idea…
Digital transformation is something we pride ourselves on in Skewb, not just through the use of our own products but helping our clients deploy and embed other products from across the industry also. We all need to be able to deliver digital change and ensure it embeds as technology becomes increasingly prevalent in our ways of working in the future. Hopefully the suggestions in this article show how we can deliver that change, and importantly ensure that it sticks, providing maximum value to our clients long after the project close out report has been written.
By Jack England
Jack England is Director of Product Deployment and Change at Skewb. To speak with him about this topic in more detail, you can connect with him on LinkedIn.