Do you want to know how to write a digital transformation business case?
Companies today are doing their digital transformation (DX). But the failure rate is very high at 70%.
Why so? Because some fail even only at the planning stage. Failing to make the right DX business case.
So, how can you write one and ensure success?
Digital Transformation Business Case: Tips
Make a Roadmap
First on the list: make a detailed and clear roadmap before starting your DX. Companies fail to do this by making a roadmap in the middle of their DX or not making any at all.
No two DX is the same. So, you need to make one that fits your company’s needs. But, there are four key elements all DX needs to have:
- Destination. Start with where you want to go after your DX.
- How to get there. Set a timeline for the whole DX. Then, make a prototype of the final result by using data or case studies.
- Key activities. Make a detailed list of activities needed to finish the DX. Then, make a list of where to start and services you need to work with.
- Main milestones. Make a schedule. Then, breakdown the whole DX strategy into small milestones and do things step-by-step.
This is what makes your roadmap detailed. But what are its goals and objectives? You can use the SMART model to know this:
- Specific. What do you want to achieve? Why? Who’s involved?
- Measurable. How do you measure success in reaching the goal? What is the budget?
- Achievable. What do we need to reach this goal?
- Relevant. Is it the right time to set this goal? Does it match our needs? Do we have the right person to help us?
- Time-bound. When will we reach this goal? How long is should every goal take?
Define Metrics for Success
You need to measure your DX based on data. So, set metrics to make sure you make your goals a reality.
You will need to base it on what your goals are for doing a DX. For example, you can use these metrics if you aim to better customer relationships:
- User lifetime value. This is helpful if you plan to use technology to get new customers. It lets you know how much profit you get for every new customer and calculate your ROI.
- Inbound and outbound marketing performance. A lot of companies use this in digital marketing.
Another metric is for general use:
- Customer experience. This has the promoter score and customer churn rate. Also the customer satisfaction rate.
Use the Organizational Change Management Strategy
This strategy lets you know of any changes needed inside and outside your company. It also lessens the bad results in making these changes.
If a success, it can help in:
- Assigning DX activities to the right employees
- Knowing the changes needed in all departments
- Setting new policies and steps to make the DX run smooth
Also, it can guide you in writing the right business case for your DX.
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