Today’s evolving business landscape puts organizations under constant pressure to innovate. This has made digital transformation a top priority for businesses. For some, digital transformation efforts are yielding positive results. However, many companies are struggling to reap the benefits of digital transformation, as becoming a digital enterprise is no small undertaking. It requires comprehensive, systemic change.
True digital transformation requires a lot more than implementing a new website or mobile strategy. It entails executing across a broad programme of digital initiatives, or “digital pivots”: adopting flexible, secure IT infrastructure; mastering the use of data; cultivating and engaging with an ecosystem of technology partners; implementing intelligent, automated workflows; training programmes to focus on digital competencies and making judicious use of flexible, contingent talent models to rapidly access in-demand skills; delivering a seamless customer experience; and expanding the organizations’ array of business models and revenue streams.
The digital pivots require savvy investment in technology. But just as importantly, they require investment in people. And a broad and ambitious digital transformation programme is much more likely to be successful if guided by strong leadership from the C-suite.
One of the digital pivots listed above – implementing intelligent, automated workflows – is getting a lot of attention because of the growing power of artificial intelligence (AI) technologies. Today, a wide range of companies are experimenting with AI, and the early results are promising. In fact, 82% of early adopters report a positive return on AI investments, according to Deloitte’s2018 State of AI in the Enterprise survey.
Despite the rapid evolution of AI technologies themselves, and the positive results some early adopters have achieved, we are still in the early days of AI-supported transformation. Companies need to grapple with a range of issues to take advantage of AI, from understanding which applications can bring the greatest value to laying the technology and data foundations necessary to build AI applications, to managing the risks associated with implementing AI – ranging from new potential cyber vulnerabilities to privacy and ethics concerns. In addition to all of this, companies need to reckon with human implications of AI and automation technology.
According to Deloitte’sGlobal Human Capital Trends survey, 41% of respondents are already investing in automation extensively, across multiple functions. AI is playing a role here. AI-powered automation can eliminate the need for humans to perform routine work tasks, and can empower workers to create more value by enabling them to produce better results and focus on higher-value tasks. It is up to businesses to recognize and harness the power of humans and machines working together.
