Gearing Up For Successful Digital Transformation

Digital technology platforms have become the foundation for an increasing share of economic activity resulting in a changing business environment. Digital transformation—the reinvention of a company’s vision and strategy, organizational structure, processes, capabilities, and culture to match the evolving digital business context—is not only changing companies but also redefining markets and industries. Executives require frameworks to guide their transformations and assess their digital journeys over time. Six dimensions of digital transformation at the enterprise level emerged from our research as those that position a company for a successful competitive stance due to digital transformation. They are: a company’s strategic vision, alignment of the vision and its investments in digital transformation, the suitability of the culture for innovation, possession of sufficient intellectual property assets and know-how, strength of its digital capabilities, and its use of digital technologies. The six-dimension framework facilitates benchmarking one’s company with others—either within a sector or against companies that are in the same state of progress towards digital transformation.