Attributions of failure in digital transformation
Two-thirds of companies across the globe realize that by 2020, digitizing their businesses could be an important means for survival and factor to business leadership. Multinational companies such as GE and Ford, have spent over 1.3 Billion USD to create changes. However, on average, 70% of their budget, around 9 Billion USD has failed to deliver results and this is mainly attributed to communication failures at the organizational level.
The more technology and smartphones become integrated as an essential part of customer lives, the more crucial it is for business to blend digital into their products or services. Knowing the importance of these changes success rates of implementing these changes still merely lies at 26%.
People try to identify causes of this low success implementation rate. Hypothesizing factors such as employees, corporate culture, and management as some possible causes. However, the main cause of failure, could be simple than it seems, but rather due to simple deficiencies in communication.
Sometimes problems have to be reframed to identify the real insights. More likely, it is not people who are making things difficult, but instead it is the lack of understanding and communication.
Date : 17/02/2020