The organisational keys to the digital kingdom – PWC 2015

I’ve recently been consulting for a company that is keen to develop its digital capability. This is not a topic new to me, I’ve been lucky enough to lead digital transformations before, but what is surprising is the fact that I still hear, see and experience the same key challenge.

The reoccurring, but often ignored challenge is that the focus of the organisations is always on the channels and tools, and never on the organisational change required for a business to ‘be’ digital.

The above diagram (The five behaviors that accelerate value from digital investments – PWC 2015) nicely calls out the key competencies a company needs to display in order to ‘go digital’. Specifically there are two organisational ones that I believe are fundamental. First, CEO support. Although this does not guarantee success, it does get you a seat at the table, from which you can start to influence the organisation from within. What is not called out though is the need to drive a digital DNA throughout the company, and this comes from three activities:

1. Re-structuring the organisation within the company to reflect the new way of working – customer first and digitally engaged
2. Engaging the company in the change – and that is how it will be seen by the employees…Change, and ‘market’ the successes internally
3. Ensuring some of the early key digital projects actually deliver value to the employees, i.e. initiatives focused on delivering internal productivity

The second fundamental behaviour is the outside-in approach to innovation. I see too many organisations doing the same thing and expecting a different result (see Einstein’s definition of insanity). Bringing in leadership from a different company (even the same industry) is key to accelerating the change. A perspective not constrained by seniority, familiarity, ignorance or ambivalence is absolutely critical as digital transformation requires people to take risk, be creative & innovative and challenge the status quo.

Starting with these two will significantly improve an organisations chances of achieving its digital ambitions.