Seven Deadly Sins of Digitalization

Apr 7, 2021 | Digital

In today’s everyday business, the word that is as prominent as ever is “Digitalization”. For a good reason! Missing this megatrend is a big threat to every company, and several businesses already paid the ultimate price for not adapting to current circumstances. A well-known example being KODAK, famous for losing a near-monopoly position during the rise of digital photography, coining the term “KODAK-effect” in the process.

In the future, there will be most likely any form of business anymore that can live without digital technologies and working methods. Hence, digitizing your business has gained enormous meaning if only to keep up with companies that were established in the digital age. It might even be the only way of avoiding the KODAK-effect.

Digitalization isn’t something you can do overnight. It takes time and effort. Before you start your process, make sure you know about the following seven deadly sins, all of which you should avoid at all costs. Let’s dive in and take a look:

Leaving people out  

If we want to start digitalizing our company, we need the management to guide and work hand in hand with all departments. 

Approval and leadership from the very top are essential since there cannot be any meaningful change within a company without the commitment of the C level. Otherwise, it is hard to work out a common vision and strategy, and the lack of motivation and involvement in non-IT departments will quickly become a problem.

The success of introducing new ways of working and modern technologies immediately hinges on the adoption and acceptance of the people using them in their daily business, which is why it is imperative to include them in the design- and decision-making process from the very beginning.

1. Low-budget

More problems could evolve from not investing enough money in the digitalization process. You might find yourself in a situation where you would think investing in something is better than nothing. Innovation is not driven by fixing short-term problems alone but consistently working towards your vision. With this in mind, you want to plan for a recurring budget sufficient to get to both the change you want to see and making it last in the long run.

2. Monolithic thinking/ One big project

Step by step is the key. Digitalization is a continuous process and will never finish truly because the subject as it is, is ever-evolving.

Keeping that in mind, the process is not something you can manage to do in one big project, where you exhaust all your financial resources and try to make everything happen at once. 

From an economic standpoint, this often is not only quite impossible but also, your chances to fail become more likely: 

Big Projects are complex and involve many administrative and communicative expenses, which holds risks as it is. So rather than betting all the resources on one giant step, take it a project for a project and invest in properly every step of the way, as said in point number 2. 

3. Isolating processes

Digitalization oftentimes is only as good as the weakest link in the process. Fully automating a process might be overkill for the moment if you print out the results and send them by mail. While not approaching digitalization as one monolithic project, you shouldn’t lose focus on the bigger picture. When initiating a project, keep the previous and following steps of your process chain in mind and analyze if your investment makes sense.

4. Focus on buzzwords

Not every software needs to be an app working on big data in the cloud. While big words like these might be nice for their marketability, they usually don’t bring inherent value to your company. When it comes to implementing the digitalization process, you should always stay focused on beneficial technologies instead of prestige.
Not every possible investment in Hard- and Software is beneficial to your company. Not every elaborate change you can make contributes to efficiency and cost reduction. Understand what different technologies mean for your company and focus on short-cuts that actually make sense. Sometimes a simpler and technologically less advanced solution might be a better fit for specific use cases.

5. Adopt unmodified processes

A lot of potential goes to waste when processes do not undergo targeted adjustments. When digitalizing, you might not need to include steps that were necessary when done manually. For example, you wouldn’t give a mailman an iPad to deliver a digital message. You would simply use the internet and send an E-Mail. The mailman is no longer needed in this equation, so you exclude the work he needs to do in the digitized version of delivering messages and, in conclusion, use resources more efficiently. Again the entire process needs to be taken into consideration to make beneficial changes.

6. Missing mindset and communication

Change management and communication aren’t the only part of the new work movement but also essential when developing your company’s digitalized future.
In times of change, people tend to fear the unknown, which can be detrimental to the adoption of anything new. In a managing position, these fears might seem irrational. Though For someone missing the big picture, changes to running systems can seem arbitrary or unnecessary. It is crucial to help employees understand why old methods might not work anymore and see the benefit advancement can bring to them personally.
Finally, it would be best if you relieved the fear of automation replacing jobs. It might be clear to you that implementing digital technologies and methods will only help employees be more efficient and less likely to make mistakes, but it might cost them their job for all they know. Communication is key.

As shown in the upper paragraphs, it is very important to develop a suiting strategy, starting with getting an overall view of the current situation, developing goals, and then planning the right measures that should be taken.

Tagueri Digital is just the partner you need to follow these steps and avoid making the mistakes mentioned above. There are various services we offer to ensure that your digital journey is most profitable, which means:

– Our philosophy is: Ideate. Implement. Test. Repeat. We want to create a concept tailored for your needs, which helps your company become its best version.

– We keep the big picture in mind and help you start your journey by taking the right steps at the right time.

– Your changes affect your customers. We keep just as much track of what is important to your clients as to your in-house needs.

– To ensure that your budget is optimally distributed, Tagueri Digital offers Digital Maturity Checks. This helps to identify your most significant issues and the most valuable investments when it comes to digitalization.

– We offer to guide you on your way to an innovative mindset, from workshops to implementing methods and providing change management.

– You will find us exploring the right strategy for you, developing the best solutions for your needs, and helping you make the transition to a digitalized, modern-day business as smooth as possible.

Start your digital journey with us and develop a version of your company that aligns with the future!

Written by:

Per Kalweit

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Written by:

Joanna Allmelig

Kontakt

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