When it comes to embarking on a digital strategy, many organizations focus on external factors, such as the customer experience and new revenue streams. Internal change, however, is just as crucial for digital success, including re-skilling the workforce, changing employee behavior, updating the corporate culture and restructuring how work gets done.
In fact, traditional organizational mindsets and hierarchies tend to gum up the digital works, particularly as faster-moving and quicker-learning digital upstarts gain mind and market share. As Klaus Schwab at the World Economic Forum explains, “In the future, it will not be the big fish that eats the small fish, it will be the fast fish that eats the slow fish.”
We define digital as “innovation to connect technology, data science, devices, design and strategy to change a business process or customer experience.” But while this may come naturally to digital-native businesses, it is more difficult for long-established organizations to transform. For these companies, the need for change, the capability to change and the vision of a better future must outweigh the emotional, personal and financial cost of the change. This is where digital change management comes in.