Evaluating a digital transformation journey is a key element which many organisations lack to put time and resource into. Digital transformation is not a tick box exercise, with a final destination. It is more of a journey and this is because business, technology and society are constantly changing and the Venture Matrix scheme will have to adapt to this changing environment. (Pace Technical, 2020)
Evaluating a digital transformation journey is a complex process and one which should a 'monitored initiative', with constant assessment (Information Week, 2019)
Three parts of the journey must always be considered and evaluated to measure progress, as part of an evaluation plan:
Where have you come from
Where are you now
Where do you want to be
(Pace Technical, 2020)
What is an evaluation plan? It's a process which will allow evaluators of a digital transformation journey to execute an evaluation efficiently and effectively. (Information Week, 2019). The plan should look to investigate key success metrics, which are traceable back to business goals, including:
Ambitions and value: Does the organisation's vision and strategy still the same meaning and relevance, as it originally had? Do they need adapting in any way to meet the needs of today's environment? (Be aware of changing these regularly, as stakeholders will lose faith in them and the leadership's approach.)
Link to existing operations: Always review your organisation needs and processes! How is the organisation's offer fairing against it's competitors? Does the organisation have more or less of a competitive advantage, in comparison to previous evaluations? Are it's value propositions still differentiated and of value to stakeholders?
Connection with human capital: Are stakeholders engaging with the digital transformation journey and the changing nature of the enterprise’s work and workforce. Are stakeholder's understanding of the organisation's foundations - it's vision, leadership and strategy still clear and concise? Ask questions on a regular basis and get feedback, positive or negative, to help inform future decisions.
Communication: This is key to whole evaluative process. A cohesive loop communication method (Kelly, 2017) should be employed with stakeholders, allowing for the flow of information and data throughout each stakeholder group. From this collated data, informed and data driven decisions can be made. It's important that a majority and not a minority of stakeholders agree with the direction of the digital transformation journey.
Drivers and Barriers: Are the drivers and barriers initially identified, still relevant and applicable. Do they still have the same level of impact on the organsiation's operations?
(Deliotte, 2018)
(Pace technical)
Deliotte (2018), For Boards: Evaluating Your Digital Transformation Strategy, Accessed at https://deloitte.wsj.com/cfo/2018/10/18/on-the-boards-agenda-evaluating-your-digital-transformation-strategy/ on 23rd September 2020
Information Week, (2019), How to Assess Digital Transformation Efforts, Accessed at https://www.informationweek.com/strategic-cio/how-to-assess-digital-transformation-efforts/a/d-id/1334693 on 24th September 2020
Kelly, S. (2017). Value-ology Aligning sales and marketing to shape and deliver profitable customer value propositions. Springer International Publishing AG.
Pace Technical, (2020), Evaluating Digital Transformation Efforts, Accessed at https://www.pacetechnical.com/evaluating-digital-transformation-efforts/ on 23rd September 2020