CIOs up and down the country would have you believe nothing is certain in this world except death, taxes, and digital transformation. And yet, findings from the European Commission’s second State of the Digital Decade report suggest the EU is falling short of digital transformation targets. It begs the question – why such misalignment between strategy and execution?
In 2023, European companies fell short of the 75% target for adopting AI, cloud, and big data. By 2030, only 64% of the population is expected to use the cloud, 50% of big data and 17% of AI. In response, the EU is looking to incentivise enterprises to adopt these technologies at a faster rate and increase private investment in organisations — both of which are crucial for competitiveness in innovation, efficiency, and growth.
Perhaps alarmingly, failure to meet lofty digital transformation goals is not happening for the sake of trying within organisations, either. In fact, global market spending for digital transformation technology and services will reach $3.9 trillion dollars by 2027, suggesting a lack of investment is far from the problem. But, despite such commitment, 70% of digital transformation projects fail to meet objectives. These statistics demonstrate a recognition of the need for consistent innovation but an inability to execute plans effectively.
Organisations that fail to enact a digital transformation project often pass it off as an IT-only task that can be accomplished in a few quarters. This couldn’t be further from reality. Successful digital transformation is an ongoing process that relies on the right people with the right skills, the right platforms and, most importantly, the right change management strategy.
A tactical approach to change
Digital transformation projects frequently fail due to a lack of change management strategy. When implementing digital transformation, organisations require a structured approach specifically designed to help employees understand and embrace business changes.
According to recent research, organisations that use a change management strategy are six times more likely to achieve their goals. Unfortunately, many projects begin on the wrong foot, either lacking a strategy altogether or treating digital transformation as an IT-only task.
Successful digital transformations require forming cross-functional teams that address problems holistically and consider the connection between people, portfolios, processes, and platforms. A comprehensive approach by cross-functional teams helps prevent costly investments in disparate technologies. This ensures projects align with broader organisational objectives, significantly improving the likelihood of success.
By fostering a culture of collaboration and strategic alignment, organisations can effectively navigate the complexities of digital transformation and achieve lasting, meaningful change. However, no matter how good a strategy is, it alone will not provide the desired results. Organisations also require excellent technology to help them cross the finish line. Enter low-code.
The multi-faceted benefits of low-code
Low-code platforms significantly streamline digital transformation efforts. They not only speed up the development process of crucial final applications for staff but also ensure they are reliable and consistent. According to research by 451, low-code platforms can reduce app development time by 90%, enhancing digital transformation.
Because of low-code’s emphasis on visual modelling, the development process is rapid. Rather than manually coding each step, organisational teams can define application logic and workflows by visually designing process and application models. This graphical format facilitates the conceptualisation of complex processes and the rapid iteration of design decisions. As a result, the digital transformation time cycle is significantly reduced, allowing teams to respond to changing business requirements more quickly.
Low-code platforms also allow for the modernisation of legacy systems, the creation of new core applications, and incremental updates. They enable building modern apps on top of existing systems, facilitating smoother transitions and reducing the need for replacements. Ultimately, low-code platforms make digital transformation more accessible and manageable by providing a flexible and efficient way to enhance operational processes and user experiences.
However, until the entirety of your organisations’ workforce has the necessary skills to see it through, digital transformation will be stalled.
Upskilling staff
As organisations navigate the AI era, their dedication to increasing productivity and improving the developer experience is a source of comfort, particularly regarding digital transformations.
Integrating AI with an enterprise-grade low-code platform could prove to be transformative for IT organisations and teams. This technique not only makes digital transformation smarter and faster, but it also highlights the need for teamwork which a change management strategy will support. It enables teams to focus on issue-solving with readily available tools rather than continuously training in new technologies.
According to PwC, the number of jobs listed requiring AI capabilities is rising 3.5 times faster than other vacancies. While this is positive, leaders must consider how AI may help to close the skills gap for digital transformation. Organisations that engage in AI upskilling can stay competitive, adapt to changing market needs, and fully enjoy the advantages of their digital transformation programmes, promoting a culture of continuous learning and progress.
Don’t be left behind
Digital transformation is both inevitable and crucial for modern organisations. Even so, success in this area requires more than just blindly purchasing the latest technologies on the market. Integrating AI with low-code platforms and training the workforce are both vital, too. But organisations mustn’t forget that a comprehensive change management strategy, combined with cross-functional collaboration and the right platforms, significantly boosts the chances of achieving your organisation’s transformation goals. By embracing low-code solutions and investing in AI upskilling, organisations can navigate the complexities of digital transformation and drive meaningful, sustainable change.
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