The overall digital transformation strategy may not be tied to a single project. Therefore companies look at the holistic view of their entire business strategy, and execute transformational projects through a multi-phased approach. In many large organizations, it takes at least a quarter for projects to be prioritized and then few other quarters for the implementation and delivery. With these longer cycles of delivery, large companies continue to stay at a disadvantage compared to smaller companies which deliver value to the customer with their much faster go to market strategy.
Digital Transformation Performance Matrix (DXPM) should include quantified data about improved ‘business process’ or enhanced ‘customer experience’. Strategists can use these quantified data points to measure the success of transformation projects, including improved speed to deliver value to the customer, along with increased revenue or reduced cost of operations.
Some large organizations have practiced the habit of maintaining the internal knowledge management documentation repositories. The selection of digitalization projects for transformation within these organizations reduces the complexity as the end to end business processes of all these projects are known.
While trying to adapt agility, the larger organizations often run into the challenges of interdependent, disconnected or unknown existing projects. Even in an agile environment, a centralized PMO within larger organizations having full visibility of entire IT projects (small or big) can effectively address the needs of multi-tiered or multi-layered business units. PMO, as a governance unit can influence the Platform decisions that can be scaled across other business units.
- 4Ps of Digital Transformation
- 1st (P): Process
- 2nd (P): Project
- 3rd (P): People
- 4th (P): Platform