How to mitigate three big risks of not having clear objectives in your digital plan.
When talking about industrial digitalization, one of the common mistakes is not knowing “why digitalize”. What are the real objectives behind an implementation that involves technology and people? Discover the three main risks of not having a clear objective in the strategy of digitalization of your business.
RISK #1. To become the so-called “FASHIONIST”.
To become a “Fashionist” means to be a company that tries all kinds of initiatives, but improve rather little. To actually improve we need to control and measure. That is why we need to know first what needs to be measured, what indicators we are going to be using and only then, we will be able to talk about improvement and have a well defined vision to reinvent the business.-
Get carried away by the coming trends without a clear strategy is certainly not an option if we want to ensure the profitability of our business. Without a clear objective it is difficult to know what we need to measure and the consequences could be:
- A test cycle without impact,
- Higher investment costs in new technologies,
- Waste of time,
- Loss of competitiveness compared to other companies that are already implementing new processes and new digital methodologies.
“Get carried away by the coming trends without a clear strategy is certainly not an option if we want to ensure the profitability and competitiveness of our business”.
RISK #2. Mistrustful and unfocused team
Mistrust. The use of technologies without a goal generates a negative impact that builds internal mistrust towards that technology. The problem does not fall on the implemented technology in this case a solid strategy is the key. A solution that is supposed to bring improvements, could backfire and generate frustration at all levels: on the top management team and especially on the technology users, who are precisely the gear of change.
“A solution that is supposed to bring improvements, could backfire and generate frustration at all levels”.
When this happens, there are two possible scenarios: brain drain or people settling in and becoming just “doers”, without a real focus. New skills are needed to take a firm step, that means, proactive talent instead of a conformist one. No matter how much money and resources are involved, without clarity in the “what for” and in the success we want to achieve, the commitment will be practically null.
“No matter how much money and resources are involved, without clarity in the “what for” and in the success we want to achieve, the commitment will be practically null”.
RISK #3 Loss of COMPETITIVENESS
Companies with no objectives will remain in a beginner state of digital maturity. This means, they have tried different initiatives on a regular basis but have taken a step back by stopping implementing new options, remaining in standby.
When these companies don’t take action into digitalization, in the short term, they may remain productive due to the inertia of the previous work, but sooner or later, this lack of action will generate sales and competitiveness issues and in some cases they could end up closing.
From our experience, we have seen that there is one common and consistent problem: the misuse of technology. In this new digital era, it is an appropriate time to be advised by companies that have already tested several technologies and have the experience to make them work in an optimal way.
“From our experience, we have seen that there is one common and consistent problem: the misuse of technology”.
Trust on companies that have the experience to identify in what situation a technology is appropriate and can be a lever or a blockage. Learn how to identify the core, to reinvent the traditional strategy to a more digital one, so you can have effective results and move away from test cycles that have no impact.
Whether technology A, B or C is chosen, the effects of not setting goals in the digital business plan could impact the company’s competitiveness and have negative outcomes on the team commitment. The fact of not taking advantage of the current opportunities and not reacting on time, can leave you out of the game.