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There is no one-size-fits-all approach to digital transformation. In our latest research of nearly 1,200 business leaders across industry sectors, we outlined four distinct patterns of digital transformation that winners follow. Any company needs to face two fundamental questions:
- What is the urgency of transformation given the disruption within the industry?
- How long would it take to digitally transform given the legacy technology and organization?
The answers to these questions determine whether a company should focus on transforming the core or launching a new digital disrupter.
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Our recent research also showed that different industry sectors focus on different applications of digital: Looking at the top five use cases across different industry sectors, we see very different priorities. And these top use cases are increasingly commonplace within each industry. If a company isn’t already building digital capabilities on one or all of these top use cases, it’s likely that their competitors are.
Competing in a digital world requires companies to understand which use cases are most important for them and differentially focus efforts there. First, they must determine which use cases will help them win in the digital future (digital strategy); second, they must define how those digital use cases drive competitive advantage across different business domains, such as marketing and sales or operations (business model); third, they must transform their capabilities to support those use cases (enablers); and finally, they must execute the use case at scale and drive adoption and results (delivery).
Four Winning Patterns of Digital Transformation
While retooling to compete in a digital world is a major challenge, there’s a lot to learn from the companies getting it right.
More Digital Transformation Insights
Digital transformation is a topic of rich and vital discussion in boardrooms and among executive teams around the world. Here are some insights on what it takes to lead and deliver a digital transformation.