What’s the hardest part about digital transformation? While you might think it’s technical by nature, you’d probably be surprised to find out that it’s not. The biggest problem companies face when it comes to digital transformation is persuading their people that the behavioral and procedural changes are worth it. In fact, 58% of companies cite change resistance as a key obstacle to digital transformation.
Here are five reasons why digital transformation is primarily a people problem.
1. Digital Transformation Requires Behavioral Change
Transformational technology initiatives are about reinventing a company’s procedures using technology. These initiatives provoke enterprises to identify opportunities to streamline processes within their organizations. Once they are adequately prepared, they implement. The implementation requires radical procedural and operational change. The reason is simple. It is not enough to do the same thing you did before with new tools. It’s about fostering and embracing change when given new problems to solve, and change is excruciatingly difficult for people.
Successful projects have a very pronounced and common trait. They all have team members with the ability to accept, embrace, and invite change into their life.
2. The Importance of Buy-In to Your Digital Transformation
The second thing we see when it comes to successful digital transformation projects is an abundance of optimism surrounding the project and universal buy-in.
When multiple people arrive at the same conclusion and can see the obvious need to embrace technology to automate procedures to improve efficiency, they eagerly jump on board and contribute to driving the initiative forward. Conversely, if you have information silos within your organization paired with low morale or some other inhibitor to technological project buy-in, your team will not be excited about the project. In some cases, we have seen pushback on the implementation and even proactive efforts to tank the project.
3. Culturing Innovation
Technology really doesn’t have anything to do with corporate culture unless you foster a corporate culture about embracing technological innovation. I’m not trying to pull one on you.
Basically, to get your team excited about digital transformation you will need to allow them to enter the technology realm without knowing where they will end up. You will have to support and encourage them to challenge themselves and reward them when they do.
When colleagues start to see the benefit of exploring the topic because of their peers’ success, they begin to invest themselves in it. In some ways, people develop a sense of FOMO. Success breeds success and it develops infectious characteristics as it spreads. You’ll know when culture change happens when you see the reluctant members of your team take steps to participate.
Your team will develop cohesive ambition, a drive to succeed that supports itself with a positive feedback loop. This cohesive nature is what drives a sustainable change in culture that will determine whether digital transformations succeed or fail at your company.
4. Skillsets and Mindsets
Having a team with the right skillset is a technical aspect of digital transformation. A team with the right skills can improve the odds of success. Having a team with the right skillset but the wrong mindset is a people problem, and it could spoil your team’s potential for success.
In some cases, you’re better off having a team with the wrong skillset but the right mindset. Technical skills can be learned whereas the approach your team takes to the problem is unique to them. Look for employees with the ability to embrace change and the challenges that come with it.
You’ll know if your team has the right mindset if you can properly identify whether the fear of failure paralyzes them or oppositely energizes them. Assemble and empower the people who aren’t afraid to fail.
5. Infinite Improvement and Digital Transformation
Have you ever met someone who peaked in high school? They are not the right person to drive your transformational technology initiative. Never settle for a project contributor that has demonstrated complacency with themselves or accepted a plateau.
You need a team that understands the intertwined nature of personal growth and change. In some ways, the two are synonymous. Personal growth only occurs when a confrontation with a difficult situation yields an emergence of unexpected excellence. An awareness and understanding that the change is ultimately responsible for that growth in character is what you’re looking for. People who know how to pinpoint where growth occurs seek out opportunities to improve themselves and will lend this characteristic to your project.
When you find someone like that, you’ve left the problem part of people behind and decisively taken the first step toward the solution that will lead to your success.
People Are the Solution to Your People Problem!
These are just some of the reasons why digital transformation is a people problem. Ultimately, each initiative is unique, and each project contributor is unique. Whether you’re just building your team or in the process of implementing new technology, these techniques can help you reduce the human risks to your project. To provide a brief recap:
- Consider the diversity of team character and promote thinking differently and new behaviours.
- Rally your team around the cause and inspire them to buy into what you’re trying to do.
- Foster a culture of innovation by allowing your team to explore the benefits of technology on their own. Reward them when they step out of their comfort zone.
- Encourage people to adopt a successful mindset that supports the required change.
- Look for ways to continuously improve the project, your people, and yourself.
While the technical hurdle to digital transformation is certainly a high one, our combined experience has led us to the conclusion that digital projects succeed or fail based on the project team’s ability to anticipate, adapt to, and embrace behavioral changes within the organization.
There is no boundary to personal growth or a limit to change. That’s something as true about yourself as it is for each of your team members. Your ability to communicate will determine whether you can turn your people into solutions rather than problems. I cannot guarantee that your project will succeed if you do these things, but I can say that your odds will improve significantly.
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If you’re struggling with an implementation or a pushy implementation partner, we’d love to hear from you. Our Proven Process for Transformational Change™ is designed to help companies identify pain points in their organizations and put together a plan to address them. Don’t forget that success is closer than you think.