Friday, December 6, 2019

Building High Mature Digital Business by Creating Abundant Synergy

Digital transformation represents the next stage of the organizational maturity which will improve how the enterprise works and interacts with its ecosystem.

When jumping into the “VUCA” digital new normal –volatility, uncertainty, complexity, and ambiguity, you can’t predict every turn or curve the business will face, you have to enable the desirable emergent business property and improve business responsiveness. Strategically, you need to envision the future trends and manage both the balance cycle and growth cycle effectively to create business synergy and reach the next level of organizational maturity.

Create the synergy of the digital management theories and best practice: The digital transformation often needs to make radical change to the underlying organizational structures, functions, or cultures. There is a significant discrepancy between traditional linear management discipline based on silos and “command-control” style and nonlinear digital management based on holistic understanding and inter-connectivity. When change efforts fail, businesses should take the time to analyze the process to find the point of failure to avoid it in the future.

Business leaders not only need to lead the great teams for transformation, but more crucially, they are also able to “walk the talk,” develop digital management theories and a set of principles in association with practices in a field of activities and forming its content as an intellectual digital management discipline. If the digital management theory is sound, then it can help the best and next practices of the business achieve repeatability of outcome,

The theory is designed from actual contexts, practice is governed by theory. Theory and practice are inextricably linked, all practice is rooted in the theory of some kind, The right dose of theories needs to well mix with the right sets of best and next practices to create the abundant business synergy. The strong digital leaders, culture, as well as the collaborative platforms and efforts are all success factors in effective digital management discipline.

Create synergy through learning and knowledge: With the overwhelming growth of information and knowledge, digital organizations and their people must learn through their interactions with the business environment, ride the learning curve to improve learning capacity of the business. It is important to cultivate the learning culture that has awareness and understanding of the importance of learning in order to build a high-innovative and high-mature digital organization.

A focus on learning and development reduces attrition to create synergy and has a great quantitative ROI. Knowledge Management should take a holistic approach by thinking knowledge as the business consciousness and treating knowledge as an intangible asset of the organization. The digital workforce today has to learn and relearn all the time, and then apply those lessons to succeed in new situations.

In practice, the knowledge life cycle is significantly shortened in the digital era, the culture of learning fosters openness, information sharing, critical and independent thinking. Knowledge Management needs to be well embedded in key business processes to shape a culture of learning, create business synergy and enforce workforce intelligence.

Create synergy through information technology: Organizations rely more and more on technology, Information Technology needs will only expand. Forward-thinking companies across the vertical sectors claim they are in the information technology business regardless of the sector and nature of the business. The highly effective digital organization is synergized and has a higher level of responsiveness because information can flow to the right people to allow them to make the right decisions at the right time to bring better results and improve organizational fluidity.

 Information Technology systems play a fundamental role in deploying and operating the new ecosystems, circulate information within the ecosystem seamlessly and respond to changes continuously, with the goal to shape a dynamic and ever-expanded digital ecosystem.

Digital transformation represents the next stage of the organizational maturity which will improve how the enterprise works and interacts with its ecosystem. Businesses need to fine-tune their organizational structure and system concentrated on the cultural system, moral system, social system, material system, functional system and the ecological digital ecosystem to create abundant synergy and build a high mature digital organization.