Deciphering Digitization Strategy: Expanding Horizons Beyond Tech

Prasad Kulkarni
7 min readDec 28, 2023

Once upon a time, a small-town bookshop owner decided to embrace digital change. With a tap of a button, she shifted from paper records to a digital system. Suddenly, her store leaped forward: customers ordered books online, deliveries zoomed in, and inventory management became a breeze. The tiny shop on an unknown island suddenly transformed into a tech-savvy hub, attracting new faces from miles away, all thanks to embracing digital tools!

Sounds about every digital transformation story you have read? It’s just about “embracing the technology”, right? :) Hundreds of failed businesses will counter you stating if only things were that simple!

Looking back:

Studies show that approximately 70% of digital transformation initiatives fall short of their intended goals, leading to suboptimal results or outright failure. Nearly 60% of companies face challenges in user adoption of new technologies, leading to a significant gap between technological investment and actual implementation.

So what is digital transformation if not for technology? Well, its is more about reshaping of processes and mindsets. Embracing change goes beyond technology alone — it is about people, adaptable strategies and a culture open to innovation. The true essence lies in leveraging technology as a catalyst for human-centric progress, not as the sole solution. Being “Digital First” means leveraging technology to access the customer data and decide the next steps, execute quick and small iterations, fail fast thereby developing new offerings and more importantly, a innovation-accepting sustainable culture.

Thought Process:

Embarking on a digital transformation journey within an organization requires a multidirectional approach that spans from sustainment to expansion and then to transformation. It is critical to establish a strong foundation by sustaining existing operations through process optimizations and technological enhancements. Upgrading legacy systems, streamlining workflows, and ensuring operational stability. Expanding digital capabilities also points at scaling up innovations across various departments, inculcating a culture of experimentation and agility and investing in new technologies. This phase focuses on incremental improvements and broader adoption of digital tools to enhance efficiency and performance across the organization.

However, true transformation arises from disruptive innovation and a fundamental shift in organizational mindset. To achieve this, is is important to foster an environment that encourages risk-taking, creativity and values continuous learning. This transformative phase involves reimagining business models, embracing emerging technologies, and fundamentally altering the way the organization operates. It necessitates a holistic approach, aligning technology with strategic business goals, investing in talent development, and creating an ecosystem that thrives on adaptability and innovation.

Sustainable digital transformation relies on striking a balance between sustaining current operations, expanding digital capabilities, and driving transformative changes to meet evolving market needs.

Digital evolution within an organization is a continuous journey of adaptation, innovation, and strategic alignment in response to the ever-changing technological landscape. It is about goals alignment, organization impact and change, cultural and mindset shift, focus on customer needs and resource enhancement. It’s a dynamic process that necessitates a blend of vision, agility, and investment in both technology and human capital, ensuring that the organization stays agile, relevant, and responsive to the demands of a digitally-driven world.

Path To Be Adopted

  1. Understand and Appreciate Legacy:

Leveraging internal staff for digital transformation holds immense strategic value beyond the involvement of external consultants. The team within the organization possesses an deep understanding of the company culture, existing processes and customer needs. This ideally forms the foundation for successful transformation initiatives. Their insights into day-to-day operations, challenges and customer interactions provide a precise perspective which external consultants may lack. Also involving internal staff fosters a sense of ownership and commitment to the transformation journey. This brings in a collective vision and purpose within the organization.

In addition, the internal workforce has untapped potential and a deep institutional knowledge which if when harnessed effectively, can drive innovation and creativity in digital initiatives. Empowering employees through training programs and upskilling initiatives equips them with the necessary digital skills to champion transformation from within. Their active involvement not only accelerates the pace of change but also cultivates a culture of continuous learning and adaptability, ensuring the sustainability of digital advancements beyond the consultancy phase. The combination of internal expertise and external viewpoint creates a synergy that transforms the organization irrespective of the technology stack.

2. Having Clarity of Goals and Vision:

Defining a clear strategy before embarking on digital transformation is pivotal as it will impact the success of failure of the entire journey. Clear direction, goals, scope and aligning the transformation initiatives with the broader organizational objectives is crucial. Strategy formulation involves assessing the current state, identifying pain points, understanding market trends, and envisioning the desired future state, providing a roadmap that guides decision-making throughout the transformation process.

Without a well-defined strategy, the risk of misdirected digital endeavors increases thereby potentially leading to wasted resources, disjointed efforts and a lack of measurable outcomes.

With a clear vision, organization resources also become aware of the expectations and contribute in bringing in sense of ownership and commitment to the transformation journey.

3. Focus on Customer Experience:

The fundamental reason for any digital transformation journey is to improve customer experience. Understanding customer needs is the critical. In the digital landscape, where consumer behavior and expectations evolve rapidly, having deep insights into customer preferences, pain points, and behavior patterns is crucial. Carrying out customer research and leveraging qualitative insights will assist in forming strategic decisions throughout the transformation process. Organization gains a precise understanding of their audience, enabling the development of tailored digital solutions that directly address their needs. These insights serve as the compass guiding the creation and optimization of products, services, and digital touchpoints, ensuring they resonate with and add value to the customer experience.

Customer Experience Leaders outperformed the broader market, generating a total return that was 108 points higher than the S&P 500 Index. They generated a total cumulative return that was 3.4 times greater than that of the Customer Experience Laggards.

Organizations that prioritize customer experience in their digital transformation strategies not only retain and delight existing customers but also attract new customers thereby increasing loyalty and bringing in long-term relationships.

4. Measure and Improve

Key Performance Indicators (KPIs) and metrics play a pivotal role in tracking the progress and success of digital transformation initiatives. These indicators span from customer experience, operational efficiency, technological advancements to and most importantly, revenue generation. Metrics like customer satisfaction scores, Net Promoter Score (NPS), process cycle times, automation rates, and cost savings, adoption and impact of digital transformation on increased sales from digital channels or improved conversion rates.

Thoughtfully selecting the KPIs ensures that every action aligns with the organization’s objectives, guiding progress in the right direction. It also avoids rework. Equally crucial is deploying fitting tools for data measurement and analysis, validating the adequacy of the initial plan and prompting strategic adjustments if necessary.

5. Having the right mindset in the team:

Establishing the right hustle culture within an organization undergoing digital transformation is crucial for inculcating agility and adaptability. Similar to what is described as a “startup culture”, this environment encourages a mindset centered on rapid iteration, risk-taking and continuous learning. Embracing a startup mentality encourages employees to experiment and challenge conventional norms. This brings about proactive change and a culture of proactive problem-solving. It encourages an atmosphere of fail-fast and welcomes innovation as an integral part of their roles.

“We can not solve our problems with the same level of thinking that created them”

Albert Einstein

However in all of this, it’s essential to alleviate employees’ fears of being replaced by technology. Clear communication and reassurance about the role of technology as an enabler, not a replacement, are critical.


Understanding that technology is just one perspective of a multidirectional strategy. What underlines is the need for strategic alignment, customer-centricity and a relentless pursuit of innovation. By embracing this comprehensive approach, businesses can truly leverage digital transformation to not just survive but excel in today’s times where rapid technological advancements and evolving consumer expectations are a norm.

In conclusion, while technology serves as a enabler and is critical in transforming any business, the heart of successful digital transformation lies in its holistic approach. Reshaping organizational culture, inculcating an environment that embraces change, and empowering the workforce with the skills and mindset necessary to navigate the digital landscape is the differentiating factor. Just like life where there are no shortcuts to success, leveraging technology will assist in digital transformation but is in no way a one-stop-solution!