Digital transformation has become a term that is commonly thrown around in all business industries including engineering and construction. Many people believe that adopting digital technology is the answer to all their problems. However, the truth is that digital transformation is not a one-size-fits-all solution.
In this article, we’ll debunk three common myths about digital transformation and discuss how organisations can begin their digital transformation journey.
According to a recent report by McKinsey, the construction industry lags behind other industries in terms of digital adoption. Only 16% of construction companies have a digital strategy, and just 4% have a comprehensive digital strategy. This statistic highlights the need for the construction industry to catch up with other industries when it comes to digital transformation.
Myth 1: Digital transformation is a quick fix for organisational issues.
Digital transformation is a long-term strategy for driving innovation and growth, not a quick fix for organisational issues. It requires a tailored approach that takes into account the specific needs and goals of each organisation. Organisations must prioritise a culture of innovation and change management to successfully implement digital transformation initiatives.
Myth 2: Digital transformation is easy.
Digital transformation requires a significant investment of time, resources, and money. Organisations must be willing to commit to this investment to see results. The return on investment for digital transformation can be significant, but it requires a long-term view and a willingness to invest in the future.
Myth 3: Digital transformation is all about technology.
Digital transformation is not just about technology; it’s about people and processes as well. Successful digital transformation requires a strong partnership between IT and business leaders, with clear communication and collaboration throughout the process. It also requires a focus on upskilling the workforce and creating a culture of continuous learning and improvement.
So, how do companies begin their digital transformation journey?
Step 1: Start with a clear understanding of your company’s goals and objectives, and how digital transformation can help you achieve them.
Step 2: Assess your company’s current state, including its technology infrastructure, workforce skills, and culture of innovation.
Step 3: Identify specific areas where digital transformation can have the most impact, and prioritise these areas based on their importance to your company’s goals.
In summary, digital transformation is not a one-size-fits-all solution, and it requires a tailored approach that takes into account the specific needs and goals of each organisation. It requires a significant investment of time, resources, and money, and organisations must be willing to commit to this investment to see results. Successful digital transformation requires a strong partnership between IT and business leaders, a focus on upskilling the workforce, and a culture of continuous learning and improvement.
Is your company taking on a digital transformation program? Is it helping you achieve business goals and preparing you for the future?
Shivendra helps construction and engineering companies win more projects and grow profitably. Regarded as a master of practical implementation, Shivendra has guided organizations such as Downer and Siemens as well as smaller contractors to achieve double-digit improvements to their bottom line. Underpinning his extensive industry experience are qualifications in engineering and a PhD focused on rapid cost improvement techniques. He is the author of two books, The Competitive Contractor and From Paper to Profit, the host of the Competitive Contractor podcast, and the founder of Shivendra & Co and The Constructors Network. You can find more about Shivendra & Co on www.shivendra.com.