Digital transformation requires operating model changes

change digital employees CSC Blogs

“Cloud technology is an enabler for industry and individuals to do things that would never have been possible before.”

That statement was made in the white paper Cloud Leadership: The Definitive Guide, which offered perspectives from experts in the field, including myself, focusing on the impact of cloud adoption and associated technologies.

I agree with that pronouncement and believe that, with expert guidance, cloud technology can deliver significant value to your organization.

So, does this situation now create the enabler for digital transformation?

Digital transformation has been a hot topic for several years and is finally starting to gain momentum in the largest and most established companies, including those in the financial services sector. However, transformation can mean many things, which are not necessarily all advantageous.

Some organizations see ‘lift and shift’ to the cloud as a transformation. Though this may deliver benefits, it is hardly transformational. Superficial transformations won’t fool your customers if the substance and processes aren’t in place to back them up. Changes to operating models that will change the way staff work and interact with each other, as well as with partners and customers, are vitally important elements of any transformation. Technology may be an enabler, but it is only part of the story.

If done right, digital transformation can help your business to introduce appealing new digital services to your clients, as well as forge partnerships to open new markets. An example of digital transformation in action is the launch of the Apple card, an innovative consumer credit product created in partnership with Goldman Sachs.

For an initiative like this to succeed, it is essential to:

  • have a relentless focus on the customer (the value proposition, the experience and the digitally delivered journeys)
  • employ end-to-end execution that breaks traditional silos and allows the business, application development and cloud infrastructure people to work together in new, effective ways
  • lead from the front, building the change within your lines of business and business-aligned IT
  • involve the entire IT value chain that underpins the new services, to avoid creating pressure points that drive cost, risk and instability where new digital technology meets the core systems that run your business

As I said in the white paper, I truly believe that “it’s all very well to play with interesting technology, but to make a meaningful change you must change how people work: this means operating model transformation. Only then can you take advantage of the digital opportunity. Anything less…lipstick on the pig.”



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