The next couple of years will see extensive Digital Transformation and regeneration of many, if not most, businesses and organisations.
It’s not a bold or groundbreaking prediction, I mean, it’s happening already! Game changing technologies are revolutionising business operations and outcomes the so-called Industrial Revolution 4.0 is well underway, Accenture are even talking of an advanced group, The Reinventorsm who, they say are embracing “Total Enterprise Reinvention” – a “deliberate strategy centred on a strong digital core.”
Digital transformation, regeneration, reinvention – there’s quite the frisson of excitement where it’s happening … but I do foresee a problem that few are talking about …
… the digital elephant in the room is …
… where are all the IT Project Managers coming from to manage all these HUGE IT projects?
DIGITAL TRANSFORMATION EXPLAINED
Because in essence, that’s what Digital Transformation (DT) is! A huge, complex, and exhilarating-to-deliver IT Project!
DT pretty much does what it says on the tin. In a nutshell, it is the shifting of business processes and thinking to benefit from the very latest IT capabilities and incorporating them across all parts of the enterprise.
The aims of Digital Transformation can include: the improving of customer experience; creation of new and optimising of existing revenue streams; streamlining of processes; greater cost-effectiveness and returns on investment. DT can often lead to a wholesale regeneration of the business culture and a rebirth of the business!
Deloitte Digital identified four primary business-related elements of DT that drill a little deeper and help contextualise the commercial value: Transformation of business models and products; Optimisation of organisation management processes; Creating a digital work environment; Customer involvement in various communication channels. If that feels like a bit of word salad, how about some examples of DT journeys undertaken by household names:
DIGITAL TRANSFORMATION EXAMPLES
LEGO: When I was a kid, LEGO was just about building stuff from blocks well, that and teaching parents the folly of walking around barefoot. Now, it’s famous for a range of movies (“Everything is Awesome” should by now be on auto play in your head), and games and mobile apps that allow a coming together of digital and physical worlds. Furthermore, LEGO is exploring 3D printing, allowing you to create your own products and its LEGO Boost app is helping a generation of kids learn coding! Worth remembering that, in 2003, LEGO was on the verge of shutting its little plastic doors for good, before its digital renaissance it was on the brink of bankruptcy, but thanks to its digital transformation, just 21 years later, Brand Finance Global includes LEGO in its list of the 500 most valuable brands. Go LEGO!
Starbucks has been using the AI application Deep Brew to choose optimum locations for new premises. Analysing data (like population, levels of income, traffic, nearby competitors, etc) to create revenue forecasts, profit projection, and a whole range of other economic performance data.
Porsche Consulting Innovation Labs employs technology and software experts using big data, machine learning, blockchain, and the internet of things (IoT) to develop practical solutions and drive (pardon the pun) innovation and operational agility.
IKEA is a great example of how a “traditional company” can be a digital transformation pioneer. From an “omnichannel shopping experience” which has bolstered its e-commerce position, to augmented reality that helps customers to choose the right furniture, they even help you find someone to assemble your furniture through their acquisition of TaskRabbit, a hiring platform. IKEA also acquired 3D and visual AI technology firm Geomagical Labs, customers will be able to upload photos of rooms that will be automatically rendered in 3D, allowing you to take out existing furniture and paste in prospective IKEA purchases!
DIGITAL TRANSFORMATION IS NOT JUST DIGITISATION
Digital Transformation or digital regeneration shouldn’t really be confused with digitisation programmes, a PM friend is working on an upgrade of their legacy IT systems right now and the CEO keeps calling this their Digital Transformation programme, the IT Project team have learned to humour him and smile. True Digital Transformation, as a process, should impact almost every area of the business.
As a metaphor, if digitisation were changing a plug on a kettle, Digital Transformation would be rewiring your whole house. Now, we were struggling to find the talent when we were just changing plugs, so you can imagine the challenges that lie ahead as we tackle wholesale rewiring!
Another friend’s business just started a consultation period on what they’re rather grandly calling “GLOBAL ENTERPRISE REGENERATION” (which sounds a bit like a Star Trek / Doctor Who crossover), basically the mission is to identify how to further “strengthen its digital trunk”, “optimise operations” and “stimulate new business growth”.
THE IT TALENT GAP – A DIGITAL TRANSFORMATION THREAT
Right now, they are assessing their post pandemic digital shift, when a switch to a “digital modus operandi” was forced upon the business, they are looking at what worked (as they acted reactively) and what would they have done differently (given the time and space to act more proactively). I’m told this has been a revealing bit of soul searching with insights, lessons and reflections that will allow them to navigate the next 12 months, during which time legacy operational thinking will undergo a digital regeneration. Everything will be re-evaluated, from top to bottom, department by department, “a root and branch digital re-invention of the whole business”.
Sounds exciting! my friend is buzzing, as he says, “it’s something for our IT Project team to really get their teeth into!”
The question is – are there enough teeth or are they biting off more than they can chew?
So far, SWOT analysis of the covid-forced digital shift and future plans reveal a recurring threat – talent shortages.
Project Managers are in demand, just when we need them most.
BRIDGING THE TALENT GAP
According to the latest PMI Talent Gap report, to fill all of the “project management oriented positions” anticipated by 2030 – a mind boggling 2.3 million people will be needed each year. An acceleration of Digital Transformation projects can only increase any shortfalls that already exist. The PMI is already saying to remain competitive “companies will need to focus on hiring problem solvers and relationship builders who can help them drive change and deliver strategic value.” That’s easier said than done and things are only going to get more competitive as more and more companies begin their digital transformation.
You can’t ignore the need for Digital Transformation though. Imagine if, back in 2003, LEGO had delayed! Everything would NOT have been awesome!
Stoneseed’s PMaaS – Project Management as a Service provides a solution to IT Project talent gaps by giving you access to project professionals, resources and tools. From IT Technical Advisory, Business Analysis Services and PMO Services through to Programme & Project Delivery – it’s a true end to end service at a flexible and predictable cost.
GIVING DIGITAL TRANSFORMATION FLEXIBILITY AND CONTROL
Stoneseed’s innovative on-demand resource model allows you to dial up and down IT project resources in sync with your delivery needs. With some reasonable planning, Project Management as a Service (PMaaS) provides access to a wide range of project skills, available against your demand schedule, be it a single Project Manager, Business Analyst, Technical Advisory or PMO expert for a few days or a week or two, right through to a large team of fully utilised project professionals from the start of your project to transition into service. Turn it on, turn it off, turn it up or turn it down – you have total flexibility and control.
Stoneseed’s PMaaS commercial model is also straightforward. We work with you to forecast the project resources required and then provide an easy-to-comprehend rate card. Resources are defined by type and skill set and are called off against your demand schedule – you can flex them up and down throughout the period and you are simply billed for the resources used at the end of each month.
PMaaS enables you to align resources as and when you need them, on a cost effective, full- or part-time basis.
Stoneseed’s team are experienced across multiple technology solutions, sectors and industries, and we work on all types of projects and programmes such as Business Change, Transformation, Infrastructure, Digital and IT Project Delivery.
Incidentally, all Stoneseed’s PMaaS services are available onsite or remote, actually, we are experts in Remote Project Delivery so even geography doesn’t have to get in the way of your Digital Transformation ambitions.
Download the PMaaS brochure and or call 01623 723910 to find out more below.
PMI (2021). Talent Gap: Ten-Year Employment Trends, Costs, and Global Implications – https://www.pmi.org/learning/careers/talent-gap-2021