Day: Wednesday, September 06, 2017

Approaching the C-Suite Regarding Digital Transformation

Posted by on September 06, 2017

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Even though digital transformation may be the next necessary step for a business, it can often be difficult to get the entire c-suite on board. It’s easy to understand why: on the surface, a digital transformation can appear to be a business disruption. It can seem both costly and unnecessary to those who aren’t aware of the technology that is now available to them… and it can be a difficult pitch to a board of investors. Nevertheless, digital transformation is absolutely critical to a thriving enterprise.

Understanding the Major Reservations Regarding Digital Transformation

Though it can seem as though the c-suite is being stubborn about transitioning to new technology, it’s understandable why a complete transformation of digital infrastructure may cause them to hesitate. There are generally a few major reservations regarding digital transformation:

  • Cost. Any investment in software is likely to be an unscheduled expense for the business. Just a decade or two ago, digital transformation could be incredibly costly, necessitating new hardware, licenses, IT training, and more. Most of the c-suite will still remember the days when a digital transformation meant dramatically revamping the entirety of the technology of an office, from telephones to personal computers.
  • Disruption. Likewise, digital transformation has historically been the source of significant disruption. Changing over both a hardware and software infrastructure leads to confusion and a loss of productivity, which can lasts anywhere from days to months. It’s the old adage: if it ain’t broke, don’t fix it. If the c-suite doesn’t see problems with current operations, they are going to be very hesitant to change anything.
  • Productivity. Employees aren’t the only ones hesitant to train in new technology. C-suite members themselves often don’t want to have to learn new technology; they may feel as though it’s going to damage their productivity and that they aren’t going to have access to the tools that they want to use.
  • Future needs. Finally, the c-suite may be hesitant to advance technology because they know that they’re going to have to advance technology again in the future; in other words, they may not want to upgrade now, because “we will just have to upgrade later.” Though there is a flaw in this logic, it can still present significant hesitation.

Of these concerns, the cost and potential disruption to the business are usually the primary concerns. Addressing these two major concerns is usually the best way to bring them on your side.

Addressing Concerns Related to Cost and Business Interruption

  • Break down the costs. New digital transformation technologies, such as cloud-based systems, are not as expensive to upgrade to as a physical infrastructure would be. When breaking down costs, additionally show the c-suite how much money this would save in the long run.
  • Focus on pain points. To show the value of a digital transformation, you should first show the problems that the business is currently facing and the areas in which technology could improve them. The c-suite needs to be shown that this upgrade is necessary and useful.
  • Demonstrate the solutions. Many of these solutions are easier and more intuitive than the c-suite could otherwise expect. Showing the c-suite the software solutions and familiarizing them will give them a better picture of the software’s benefits.
  • Create a roadmap for the future. The c-suite should be aware that many of these digital transformation solutions have their own future-proofing built-in, which means they will iteratively upgrade rather than having to engage in transformation again and again.

Getting the c-suite on board with digital transformation is simply a matter of showing and proving value. It is the c-suite’s responsibility to protect the business and its bottom line at all costs. What may seem like reluctance to evolve are simply well-intentioned reservations that need to be countered with facts, statistics, and a clear plan for change. Once these pieces fall into place, the c-suite will be able to see the true value of digital transformation.