In today's fast-paced business world, digital transformation is often hailed as the key to staying competitive and relevant. Leaders have embraced digital thinking, understanding the need for innovation, agility, and customer-centric approaches. However, despite thorough planning and strategic visions, many digital transformation initiatives fail. The reason? A mismatch between digital thinking and analog doing.
Analog thinking is like doing things the old-fashioned way, such as writing letters by hand or storing recipes on paper. It involves manual processes and physical tasks. Digital thinking uses modern technology to make tasks easier and faster, like sending text messages or saving recipes on a computer. This way, you can access your recipes from anywhere, share them easily with friends, and never worry about losing them. It allows for quicker, more convenient ways to do things, often using smartphones or the internet.
In short, analog is manual and physical, while digital is tech-based, more convenient and efficient.
Some Horror Stories
Recently, I saw an OD practitioner almost beg a unit head of a medium-sized government entity to use phone-based invoice scanning instead of pasting them on paper for filing. However, four other departments above the unit also photocopy the same invoice for their files, and three units below maintain the same photocopied files. This analog approach leads to: (a) waste of paper, (b) waste of physical space and (c) wasting expensive administrative talent on pasting and filing works. The digital doing alternative is simple. Scan invoices using phones, assign one reference number per invoice, and file it in the cloud (with 3 redundant layers!). This method is quick and efficient.
In another instance, a non-profit promoting digital entrepreneurship for people with disabilities wanted to print a 120-page, photos and graphics-intensive manual for their beneficiaries. The leader insisted on printing (typically as a donor output indicator with a pre-planned printing budget), instead of hosting the PDF version on their website for free with 24/7 access. Despite arguments for sustainability, climate change and cost effectiveness, analog-doing prevailed over digital thinking.
A government ambulance brought the dying sister of an OD practitioner to the emergency room of a private hospital. A hospital doctor (a digital thinker) recommended admission, and she was sent to the admission unit. The staff there (an analog doer) asked for the next of kin. Our practitioner rushed to the hospital and found her sister still in the ambulance with the attendants who waited for her for some hours. The admission staff presented her with a long list of costs: daily ICU incubation, ICU bed, ICU monitoring, lab tests, medicines, attending physician fees, caretaker fees, and more. She needed her approval before the admission. No mention of what the hospital could or could not do for her sister. Eventually, her sister died peacefully in the same ambulance while being transferred to a government clinic.
Why Digital Transformation Initiatives Fail
1. Overplanning and Underexecution: Organizations often spend extensive time planning their digital transformation but fail to execute effectively. They get stuck in analysis paralysis, delaying implementation.
2. Legacy Systems and Processes: Many organizations attempt to overlay digital strategies onto outdated systems and processes. This approach fails to harness the full potential of new technologies.
3. Resistance to Change: Employees and even some leaders might resist the changes digital transformation brings. This resistance can stem from fear of the unknown, lack of skills, or comfort with the status quo.
4. Lack of Agile Implementation: Traditional project management techniques don't align well with the iterative nature of digital projects. Without an agile approach, digital initiatives can quickly become outdated or misaligned with market needs.
5. Insufficient Skill Development: Digital transformation requires new skills and mindsets. Organizations often overlook the necessity of upskilling their workforce, leading to poor implementation and adoption of new technologies.
Successful Digital Implementation
1. Agile Methodologies: Implementing digital initiatives with agile methodologies allows for iterative development, continuous feedback, and quick adjustments. This approach keeps projects aligned with business goals and customer needs.
2. Cross-Functional Teams: Create teams that bring together diverse skill sets, including IT, marketing, operations, and customer service. This diversity ensures that digital initiatives are holistic and integrated across the organization.
3. Customer-Centric Focus: Prioritize the customer experience in every digital initiative. Use customer feedback and data analytics to guide development and ensure that new technologies meet real customer needs.
4. Scalable Technology: Invest in scalable and flexible technologies that can grow and adapt with your business. Cloud-based solutions, for instance, provide the agility needed for continuous digital innovation.
5. Continuous Learning and Development: Foster a culture of continuous learning. Encourage employees to develop digital skills and stay updated with the latest technological trends. Offer training programs and resources to support this growth.
What OD Practitioners can DO?
While digital thinking sets the vision for transformation, it is the shift from analog doing to digital doing that determines success. By adopting agile methodologies, fostering a digital culture, and upskilling the workforce, organizations can bridge the gap between planning and doing. OD practitioners play a crucial role in this journey, guiding their organizations towards effective digital doing and achieving long-term digital transformation success.
1. Promote a Digital Culture: Cultivate a culture that values innovation, agility, and continuous improvement. Encourage experimentation and view failures as learning opportunities rather than setbacks.
2. Champion Change Management: Develop and implement robust change management strategies. Communicate the benefits of digital transformation clearly and involve employees in the process to reduce resistance and increase buy-in.
3. Up-skill the Workforce: Invest in training and development programs to equip employees with the necessary digital skills. Provide access to online courses, workshops, and certifications that align with your digital goals.
Indeed, the digital thinking must be in-sync with digital acting mindsets!
World renowned Physicist, Michio Kaku explains Digital Age in an Analog World.
NOTES:
1. ODLab24 will happen on July 4 to 5 in the Sugarland Hotel, Bacolod City. Save the date. Watch for more announcements in this space.
(b) Ed Canela’s Courses
1. Building an AI-Enabled Organization in the Private Sector, Civil Service Commission (CSC) Institute, Leadership Series, 21 June 2024.
2. AI, DFIs, Climate Change & You for Association of Development Finance Institutions for Asia and the Pacific (ADFIAP), July 23 to 26,2022 Makati (by Invites Only).
3. 5th Data Analytics for MSMEs. 3 Saturdays (July, 2024) In-Person hands-on at the University of the Philippines Institute for Small Scale Industries (UPISSI) REGISTER NOW. REACH US AT: University of the Philippines Institute for Small-Scale Industries Room 401, Fourth Floor, E. Virata Hall, E. Jacinto Street, UP Campus, Diliman Quezon City, Philippines 1101 Trunk Line: 8981-8500 loc. 4054 or connect to our Facebook site.
4.SAIDI Webinars: (a) AI for HROD Professionals August 1, 2, and 5 from 9:30 am~4:00 pm for HR/OD Professionals, Trainers, Consultants, Senior Managers, and PhD candidates; (b) 2ndAI for Academics, Sept 5, 6 and 9 from 9:30 am~4:00 pm for Academics, Principals, Teachers, Education Advocates, and CHED/DepED specialists and staff. Contact SAIDI for Early Bird and discounts. E-mail or call: Cynthia Cruz at cecruz@saidi.edu.ph or 8-5545373.