Friday, March 15, 2019

Three Aspects of Digital Multiplicity

 The broader you can oversee, the deeper you can perceive the holistic digital impact, the further you can reach the digital vision and the pinnacle of digital transformation.

The digital transformation is now spreading rapidly to enable organizations of all shapes and sizes to reinvent themselves. Consider the digital organization as the self-organized but interlaced environments, there are many emergent digital characteristics. It is a self-adaptive and self-renewing system which is able to reconfigure its own structure and change its own behavior during the execution of its adaptation to environmental changes. There are multidimensional management discipline, multi-layer business relationships, and multigenerational and multicultural workforces in making digital business both dynamic and complex. Here are thee aspects of digital multiplicity.

Viable business models: The digital convergence of devices and services are creating new business models and revenue source as forward-thinking organizations across the vertical sectors claim they are in the information management business or running technology companies. Business models describe how the pieces of a business fit together to develop a profitable offering and delivering them to their target customers. Thus, it reflects management hypothesis about what customers want, how they want it, and how an enterprise can organize itself to best meet those needs, and make a profit. The emerging digital trends bring significant opportunities for business to pursue growth through the methodical examination of alternative business models. Tuning business model is all about foreseeing and applying emerging trends, that’s where you win the competitive advantage. A business model is therefore related to a business strategy in time. There are viable business models in digital organizations, it is a living breathing thing. Business model re-invention needs to be based on the company’s core capabilities, explore the new customer need, systematically generate the list of potential business model options, and then narrow choices to provide new value-added products or service to either current or prospective customers, in order to maximize the business value creation.

Multiplied innovation: Digital transformation brings both unprecedented opportunities and risks to the businesses today. Digital innovation has a broader spectrum with hybrid nature including incremental innovation, evolutionary innovation, and radical innovation. Besides business breakthrough opportunities; at the intermediate or micro level, for either organization or individual, how do you get motivated to be innovative on daily basis via solving real-world problems large or small, in a creative way? Due to the fact that innovating in today’s digital world has become increasingly challenging in nature. Often, organizations can no longer rely on a single individual or team to drive innovation. Thus, it’s important to set guidelines and manage a balanced and multiplied innovation portfolio for optimizing resource and improving risk intelligence. Innovation Management System includes policies, structure, and program that innovation managers can use to drive innovation. Remove any of the three, you're liable to fail. The organizations with healthy innovation appetites and taking systematic approaches are able to improve the innovation success rate and reach the next level of business maturity.

Multifaceted digital fit: The term 'fit' can be interpreted with a degree of variability. There are many business factors that influence and have an impact on digital fitness such as organizational structure, process, people, culture, technology, competition, market segmentation, rules, responsibility, performance measurement, etc, and these elements are interrelated. There are both hard fit and soft fit. Either at the individual or organizational level, digital fit starts at mind fit. The right mindset is an utmost quality for being the right fit because the power of the mind is the force to change and then, following with attitude fit and behavior fit. Digital fit means growth mindsets, learning agility, innovativeness, changeability, value-adding or behavioral norms. From a talent management perspective, build a solid digital talent portfolio for the long-term business perspective, not just make a compromise for the short term skill shortage. Business leaders play a crucial role in building heterogeneous teams to keep ideas flow and ensure the culture fit. They should also keep tuning organizational competencies by doing consolidation, integration, modernization, automation, innovation, optimization and managing digital transformation in a systematic way. Digital fitting organizations can accelerate their speed seamlessly to the frequent digital disruptions, designed for better performance toward the long-term digital transformation.

A digital transformation is an overarching approach that has to dig underneath the surface of businesses and take a holistic approach to integrate all important elements for improving the long-term organizational competency. It is critical to gain an in-depth understanding of digital multiplicity. The broader you can oversee, the deeper you can perceive the holistic digital impact, the further you can reach the digital vision and the pinnacle of digital transformation.


Post a Comment