How to Prioritize Digital Transformation Initiatives

Posted on September 13, 2018

Opportunities for digital upgrades exist throughout an organization. As a result,  businesses struggle to prioritize efforts as a part of an all-encompassing digital transformation.

Business leaders must spend time reviewing digital trends, the business areas affected by those trends, and the foundations needed to support a transition. In doing so, they are better able to define and demystify the process.

After leaders consider these elements, they begin to understand the impact and feasibility of each initiative. With this information, they see a clearer picture of how digital transformation might impact the business and how to remain competitive in the digital landscape.

Here we consider how these leaders prioritize efforts and the role the of the customer journey in determining where to start.

How do you prioritize your efforts?

A digital transformation isn’t a single effort. It is a portfolio of initiatives that create scalable change. When various business functions develop initiatives independently, there can be interesting and informative results. However, this is not an effective strategy for scaling integrated digital solutions across a business.

A small cross-functional team must drive each initiative and draw on broader support for operations and implementation. The success of the transformation ultimately depends on how management coordinates the efforts as they run in parallel.

Leaders have the opportunity to consider whether to start in a critical area where significant impacts can lead to early wins or focus on a less core area where the business can afford a higher tolerance for experimentation and failure.

First, executives map out each initiative to ensure precise alignment with the broad business strategy. Then, they prioritize the efforts, determine the dependencies between them, and coordinate resourcing and budgeting. Innovative and adaptive companies manage a portfolio of hundreds of parallel initiatives.

Do you understand the customer journey?

A customer journey is the sum of an individual’s interactions with a brand across all channels.  It is essential first to understand the existing journey and then define the desired customer experience and prioritize initiatives to create a strategy.

By viewing interactions through the lens of the customer, the digital transformation team will be able to ground the process in the practical realities of change. A company is forced to identify every technology solution, process, capability, and transition needed to deliver a great experience.

After mapping the customer journey, organizations can explore how digital solutions and processes can make each touchpoint more satisfying, efficient, and integrated with the entire customer experience. Key performance indicators, metrics, and performance incentives are then adjusted to track and reward progress throughout the customer journey.

When the customer is central to digital transformation prioritization, businesses dramatically improve the customer experience and grow the bottom line. To learn more about digital transformation, check out Your Digital Transformation Roadmap.

Download the Digital Transformation Roadmap

This entry was posted in digital transformation, customer engagement, today's customers, technology, customer experience

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