How to Avoid Major Roadblocks on Digital Transformation

The pandemic amplified the demand for digital business service operations. The ability to adapt to digital transformation is something that every organization/industry must achieve to stay relevant. The perfect digital transformation strategy is needed to meet the customers’ ever-changing needs and keep up with the competitors.

Organizations and industries that wish to embrace and practice digital transformation strategies need to recognize the common roadblock and how to avoid them:

digital transformation

Focus on the Technology, Not the Customer

Technology is the major part of digital, but many companies fail to understand that this is not the main priority. The first thing that the company leader must think about is the customer. The company needs to understand the why and who will benefit from this transformation. What are the actual needs of the customer? What level of digital technology and transformation track the customer is on right now?

Many companies fail to analyze and focus more on technology. They began introducing all sorts of digital technology solutions, such as the Internet of Things (IoT) and Augmented Reality (AR), that are not aligned with the customer’s needs. Such will create a costly disconnect and no significant return.

To avoid this, the company needs to adopt technology that creates value for the customers, determined that the customers are willing to pay for this value.

Lost among the Myriad Digital Technology Application

The bombarding of new digital technology applications makes it easy for leaders to designate and integrate the different options into their daily operations, but it is also easier to lose focus given the many options. Working several random digital initiatives that are scattered through division creates weak communication links, making the business relationship more difficult to manage.

The company needs to focus on a firm digital strategy. Reconsider the mission and vision, focus on the key project, and build a strategy that moves forward. This includes figuring out the right type of digital application that compliments the company’s need and situation.

Insufficient Business Model

Digital strategy is equal to business model transformation. Numerous companies struggle to create a transformational business model that works around their digital effort. This is indeed hard work and requires deeper analyses, since digital affects many things such as go-to-market plan, the availability of expert workers, and learning how to monetize the new technology. The inability to recognize the effect of digital and prepare a sufficient business model will direct the company into the wrong direction or fall behind from the competitors.

Avoid this roadblock by aligning organizational and strategic action surrounding its digital strategy. Analyze the challenge and opportunities, and adjust the business model accordingly.

Regulatory Compliance

Digital transformation opens up streams of data that must be managed and used responsibly. The constant change of regulations regarding how data is collected, stored, managed, and used, can be tough to navigate. Failure to comply with this regulation could lead to legal consequences.

Avoid this roadblock by building an established system that supports compliance with the regulation. Set up some intelligent tools to detect compliance risks across the industries. Aside from avoiding any legal issues, the company would also be able to create a trustable and reliable system for the customers.

Suryacipta provides a suitable location, where 150 renowned global companies and approximately 50 respected Indonesian companies are already established. This location offers extensive areas for developing diverse industries. Positioned in the central area of West Java’s industrial zone, Suryacipta’s industrial park focuses on developing two industrial areas, namely Suryacipta City of Industry located in Karawang and Subang Smartpolitan located in Subang, West Java. They are well-prepared to accommodate manufacturing companies engaged in industry 4.0 worldwide.

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