Businesses today don't have a choice: They need digital transformation. Read on to see how business process management (BPM) enables that process.
Digital transformation: A new force to reckon with
Digital transformation (DX) is one buzzword that gets thrown around a lot when we talk about the future of businesses. Contrary to what many people think, digital transformation is not digitization of analog data, nor is it another term for digital disruption. Digital transformation is an operational nirvana that takes place when an organization integrates digital technology to make fundamental changes to its process and capabilities and, eventually, to enhance the value of its products or services for a greater customer experience.
Digital transformation needs digitization as part of its process, but it doesn't stop there. For example, upgrading your company website to be more user-friendly, animated or interactive is pushing the digital capabilities of your business, but that doesn't symbolize digital transformation in its entirety. You can't just buy an application and transform your workplace into a digital platform.
Driving innovation with digital transformation
Digital transformation is a large-scale change that's happening in the global landscape just as the dust from digital disruption is settling. An organization needs monumental change in its culture for its leadership and teams to think differently, increase their digital experience at all levels, innovate more frequently, and increase their risk-taking abilities. In an age of transform-or-perish business mandates, many factors propel the momentum of digital transformation.
Companies that have survived the digital disruption are a testimony to the change in customer expectations of products and services. Today's marketplace is extremely volatile for businesses that can't offer an edge in their value chain and make their products or services more convenient for customers. Think of how Netflix outclassed Blockbuster chains or how Uber overtook the transportation business from taxis. Digitally enlightened companies are redefining the ways of doing business and winning over customers' hearts with the convenience their services offer.
Environmental factors like competition, customers and industry regulations also push businesses to prepare for the upcoming challenges. Internal organizational factors such as the employees, leadership and business partners play an equally important part in changing the ways a business operates.
A digitally morphed business will have the courage to replace a long-standing business practice with a new automated one, even if the process is not yet fully defined. When the transformation matures, the business adds new capabilities to its operational functions that are driven by increased operational insights, enhanced products and greater customer trust.
Align the BPM vector to achieve digital transformation
Business process management (BPM) solutions have evolved from a nice-to-have addition to an organization to must-have armor in its arsenal. The BPM approach to workflow is one of the key enablers for implementing digital transformation in any organization. BPM takes into account the five pillars of a successful digital transformation:
Integration of digital technology
Leadership and culture
While they may vary depending on a company's unique situation, these factors are more or less common to all organizations in implementing digital transformation. Of these, BPM offers process agility and automation as part of its solution, which are some of the basic requirements for businesses to internalize the digital transformation process.
BPM also enhances the symbiotic relationship between people, processes and platforms. Organizations use BPM to achieve agility, collaboration and innovation – the very goals at the heart of digital transformation. These are important enablers to realize digital transformation, and BPM holds a very important place within an organization's context to help deliver the change.
Start your digital transformation journey
Digital transformation radically changes the way an organization thinks, makes its products, markets its services, buys and sells goods, and communicates with its customers. Businesses that want to stay abreast of tomorrow's market rush have to rapidly increase their digital pace today. They should adopt agile principles and implement them across all aspects of their operations to increase overall excellence.
For every business that wishes to compete in the future market, digital transformation is not a choice, but an indispensable survival skill. It's a great time for businesses to formulate a strategy to enable digital transformation in sync with BPM initiatives. Once you are ready with a plan, you can start implementing the transformation in lockstep with your existing processes.