How companies drive their digital transformation

The requirements in the business world are becoming increasingly complex and changing dynamically. Unpredictable crises with global repercussions and supply bottlenecks resulting in price increases are just two examples of the many challenges companies face in international competition. In addition, digitalization ensures that companies have to deal with new technologies and evaluate which of them are suitable for use in their own organization. Those who are able to adapt quickly to changes, optimize their own processes with new working methods and make them as efficient as possible, and advance digitization within the company will continue to be successful in the future.

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Digitization needs the right mindset

There is no doubt that innovative technologies are an important prerequisite for the digital transformation that is currently shaping the work environment of companies. But focusing exclusively on the technological aspect of digitization falls short of the mark. The challenges of the digital age go far beyond technology. Digitization requires a comprehensive change in the company. This also includes, for example, a changed mindset and the use of new working methods.

Without the effective combination of technology and corporate culture, the digital transformation will not succeed. Both factors must be right for the transformation to be successful. They cannot be considered in isolation from each other. Employees are required to embrace the new technological possibilities and bring a willingness to change with them. In other words: The right mindset is above all else. Those who are not ready to break up old structures and question everything, as well as change if necessary, will have a hard time making real progress.

Changed interaction between departments

The relationship between the various company departments is also undergoing change. For a long time, the IT department led the way on systems and programs. With the advent of software-as-a-service offerings, this balance of power has shifted toward the business departments. Rigid IT systems have become flexible applications that can be easily consumed. Meanwhile, the seamless integration of the numerous systems in heterogeneous IT landscapes and the provision of a uniform database throughout the company are the dominant challenges. The more complex the IT landscape, the more manual work is often required to ensure high data quality on a permanent basis.

Change remains the most constant factor

The world is changing at an increasing rate. New technologies make it possible not only to automate processes, but also to create new services and products and establish innovative business models. At the same time, new topics are constantly emerging that will have a significant impact on the future reality of companies.

Sustainability is the first to be mentioned here. Regulatory requirements such as the Supply Chain Due Diligence Act or the EU Taxonomy for Sustainable Activities oblige companies to operate sustainably and to be transparent in their reporting. The global shortage of raw materials virtually opens the door to the circular economy by itself. And in the “war for talents,” a company’s focus on sustainability can be the deciding factor in choosing a new employer.

Employees matter

Digitalization and the volatile business environment pose complex challenges for companies and place high demands on their adaptability. In order to hold one’s own in the face of global competition, it certainly also depends on the use of innovative technologies. However, understanding digital transformation as a purely technological task will not lead to success. The human component is at least as important. Employees must be willing to change and embrace new ideas, approaches and working methods. This is a crucial prerequisite for the success of change.