March 29, 2024

Roadblocks hindering Digital Transformation

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Digital transformation is the word that is keeping the world abuzz and on its feet in the 21st century. Almost all the core sectors and organizations are making claims for the digital transformation, yet most have struggled to keep up the promise that fakes beyond the so-called patchy initiatives as well as accelerating the real organization-wide digital change.

In general, Digital transformation means integrating the USP of digital technology into the core area of business that also paves the way for smooth functioning of all areas of business. Thus, in general, globally, it is reshaping economies, and according to an IDC report, the digital transformation spending in the Middle East, Turkey, & Africa is expected to reach $40 billion within 2022.

As per the report released by IMD World Digital Competitiveness Centre, UAE spearheads digital transformation wave across the region, both in public as well private sector. It promotes innovation and drives the public sector’s adoption of digital to the next level, as it is ranked amongst the top 20 in the digital competitiveness index.

This further indicates the UAE’s herculean efforts to prepare for the future and encourage organizations to do the same. Despite all these positive aspects, customers aren’t fully aware, and they continue to raise concerns about their digital transformation, or lack thereof.

The Customers generally are caught unaware of how and when to start their organizational digital transformational journey? And are most intuitive about the digital transformation level reached by their competitors or other industry players. Typical in business mentality.

There is a lot of hype associated around the global success players ahead in this curve, but in general, very little is known how hard organizational transformation actually is and how long it takes for it.

During the time of an organizational change, there are always roadblocks, but, great and happiest news is that these roadblocks can easily be overcome with the time and as well a right partner.

Roadblocks that hinder digital transformation are classified into three phases.

Lack of Agility: – Lack of agility required to move and acquire digital transformation journey and over-relying on resource-intensive legacy systems by large legacy organizations often tend to waste valuable resources over high maintenance costs. This issue is mostly found in large, long-lasting companies, burdened by their past and legacy.

Solution: – Solution is very minimal cost and simplistic. Well, in this case, the focus must be given on identifying perfect technology mix that can be upgraded with a right partner who can support in building an agile, secure, but most significantly a scalable digital infrastructure instead of focussing on technological advancement that is not in the picture.

Thus, it will prepare slow, yet sure changes that will help legacy business sustaining its continued legacy for the future.

Identify customer base who have an inability to utilize data optimally: – This is an era which is managed by data, and it has emerged as currency. If it’s not optimally used, it means a sheer waste of the potentiality and the valuable resources. 

Solution: – The action plan is to chalk and implement the right program that could transform their data into actionable insights and business value, ensuring that it can be utilized to impact their core foundation of business.

Organization’s Own outdated Manual Business Process: This is the reality as even in the 21st-century technological era, most large and well-established companies are found guilty of operating the same lacklustre outdated manual business processes instead of utilizing advanced technical resources.

It is also projected that this traditional approach by most organizations is due to the fact that the in-house workforce and organization in itself fear that disruptive technologies are projected into negative character as they might damage human potentiality and in fact lay them resurgent.

Solution: – Identify and analyse a current business process, bridge gaps and optimizing and automating available technological resources, which also reduces the overall operational costs, as well as, having a better customer-centric process and a move towards a more digitalized automated business model for the organization as a whole.

According to Miguel Khouri – General Manager Abu Dhabi and Yemen, GBM, “He told the customer that a digital transformation is no longer an option, it has become a necessity and more as an investment for organization’s better future. He also adds that although the introduction and adoption of new technology can take time, organizations must navigate in for a business environment amidst the fourth industrial revolution.

Lastly, he emphasizes on the importance of the right partner, with whom this transformation phase can be an exciting journey compared to a mammoth project.

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