While all companies need to see digital technologies become an integral part of their business, this needs to be done in an innovative and integrated manner, as opposed to simply plugging in and configuring standard solutions. While standard solutions can automate processes and save money, this is neither innovative or transformational, but rather a traditional IT initiative in digital disguise. True digital business transformation enables companies to be ground-breaking and one step ahead of potential disruption.
This is why innovation needs to be an integral component of digital business transformation, but it's one that is often missing – with leaders lulled into a false sense of digital security because “cloud or mobile initiatives are underway”.
The innovation challenge for many organisations is themselves. They have evolved into entities bogged down by their own processes, plans and corporate culture, with an organisational DNA that inhibits any hope of enjoying the fruits of innovation. A DNA, that if not re-engineered by its leaders, will cause the gradual de-generation of the entire organisation – regardless of its historic or current success.
Transforming organisational DNA is a mammoth undertaking, but while it takes place, there are pragmatic innovation programs, that if properly sponsored by leaders, can give rise to quick wins. One of these was described by Peter Diamandis just recently, and is an adaptation of the 5-5-5 Program, which MIT Fellow Michael Schrage spoke about a decade ago. Read about it here and consider whether this is a practical approach that can fill the innovation void that might exist in your organisation – even if it is bogged down with its own processes, plans and culture.
Listen to Michael Schrage talk about why companies need to embrace experimentation over analysis.