The Digital Business Case - Done right!
How you can successfully manage your digital transformation
Today, no one is discreet to describe the benefits and necessity of digitalization in all its epic proportions. Explaining the agile solution space from 3D printing to Augmented Reality, it is clearly understood, that "digitalization" is already more than a strategic opportunity. It’s a matter of survival!
Digital transformation challenges
As the world is changing massively, digitalization takes top positions on executive agendas, however 70% of companies do not unleash the full potential of their digital transformation and half of them even fail.
Moreover, having quantified the exponential benefits, should encourage executives to make decisive decisions on starting their digital journey sooner rather than later. By doing so they will increase their chances of successfully navigating the key challenges a digital transformation has to offer.
On average, companies with innovative business models are more than 30% more profitable in the long term.
How to manage such a radical change successfully?
Early adaptors of digital business move quickly, leaving organizations with “traditional” business models behind but also new competition is pushing into the markets. Those circumstance and market disruptions itself, forces organizations to become more agile and being able to make decisions much faster.
As more than 80% of companies are already on that journey - but from our experience less than 25% of them have a clear picture their future state - one questions seems to remain open. How to manage such a radical change successfully?
Of course, in such a radical transformation there are no extensive benchmarks available, but there are best practices already. We identified that companies which survived digitalization are followed 8 guiding principles.
Maximizing profitability in the long run with a digital business case
Understood that a strong business case is far more than combination of individual digital options, those companies create value at lower risk when they combine use cases to an integrated platform. Most effectively the change happens rather bottom-up than top-down, with empowered, agile teams. Those teams are learning from small but mature solutions, able to foster and spread quickly.
While leveraging digital technologies the working mode needs to be more synchronized in order to build a digital platform for future value creation. Ultimately business, operating and customer models will be transformed to a new digital core which will substitute the traditional business maximizing profitability in the long run.
Until 2025, the value adding logic as well as corresponding requirements on organizations and employees have changed fundamentally. Digitalization will change strategies on core business and therefore drive outsourcing activities while digital skills and learning concepts will become essential – we have to think and act completely different.
To enable a successful digital transformation you have to be quick, pragmatic and aspirational.
Stay tuned for the digital age with the Digital Factory
The Deloitte Digital Factory enables the development of new digital business models. We offer an innovative environment showing integrated solutions for your individual requirements, across all industries. Start your journey by exploring the next level of Manufacturing, Product Development, Sourcing, Planning and Product Cost Optimization. As this you can secure your company’s profitability and set a long term growth path while staying tuned for the digital age.