Increasing business efficiency through the digital transformation: data are a fundamental component of the process aimed at enhancing business, they are not enough, though. A  lot depends on the attitude and aptitude to change of those people who are supposed to lead a company into the future, rather than on technology.

A research conducted by Oracle in partnership with the Otto Beisheim School of Management has analyzed such issue, focusing on the importance of the approach to the digital transformation. In simple words: technology is a powerful and fast car but if we are afraid or unable to drive it, or if we don’t trust it, it will never take us anywhere.  That is to say, without culture, competence and practice, there is no gain!

After interviewing 850 HR Managers and 5.600 employees working for companies scattered in 23 countries, such research has identified the ingredients of the recipe for a correct and efficient digital transformation. The use of big data, machine learning and the whole ecosystem of technologies needed for carrying out such transformation given for granted, what is missing  is a series of seven elements concerning the human mind and  people’s mindset, especially the one of those managers who will be responsible for guiding the transition. First of all flexibility, intended as the fact of being open to rapid change in favor of one’s company and its customers. And also data-driven decision making processes, an entrepreneurial culture, a shared vision of the digital world, critical thinking ( and self-critical thinking ), a learning-oriented approach and open and collaborative communication processes (Adopting the right technologies is just the first step of a path aimed at increasing efficiency).

With reference to data, the research has shown that only 10% of HR managers think the companies they work for have the right approach to their use and integration.  On the contrary, 44% think they are either neglected or badly dealt with.
In addition to this, there is the fear that has always characterized the man-machine relationship: one interviewee out of four is afraid of losing their job due to technology, whereas 30% think their employers are not doing much to attract talented and skilled staff.  

It is probably worth repeating it: business efficiency is the target. And according to such research, 42% of companies which have achieved such target have recorded a significant improvement of performance (Digital transformation: the seven golden rules for business efficiency ).

Being flexible means being lean and competitive thanks to new, winning solutions to be offered to the market, and prepare employees by training them on the use of new technologies while, at the same time, hiring people with specific digital know-how.

The stake is high, even vital. And in the future it may make the difference between closing down or surviving. Also, the reward for such efforts is precious: increasing business efficiency of two thirds. It is worth trying, then.

What is the status of your company digital transformation? Do you think data are used correctly and that it is managed properly? Tweet @agostinellialdo.

To find out more about the digital world, you may read my latest book entitled: “People Are Media” 

If you liked this post, you may also like “Digital transformation: beyond data, the customer experience”