Digital transformation: when technology alone is not enough

We live in an age where we are confronted with a generation of customers, employees and business partners who already think about work, leisure and business relationships through a "digital-first" lens. Digital transformation, accelerated by the advent of AI, has become a topic that resonates across all industries today. Every company is talking about it, many are embarking on it – and many of them are surprised after a while that the results are not what they expected. The reason is simple: technology alone will not change a company. It will only change if the organisation is able to truly adapt it – that is, adapt its thinking, processes and way of working, in other words, its overall DNA. 

Technology is not a magic wand 

Introducing a new system or tool does not mean that a company is digitising. I often encounter situations where management invests in expensive software solutions and tools for automation, data processing or the robotisation of accounting processes, for example, but after a few months they find that employees are still manually rewriting data from Excel into the system or circumventing the new technology in other ways. This is not because the tools do not work, but because the processes that were supposed to be automated remain misunderstood or unchanged. 

The basis of any technological change is therefore an understanding of the current state of affairs – what we do, why we do it, and whether it makes sense at all. Before proceeding with automation and digitisation, it is necessary to streamline and optimise processes. Even the best technology cannot turn a bad process into an efficient one, and this is a waste of time and money. 

Where to start: process, data, people 

Phase 0 of any digital transformation must be based on the business – it must clearly define the target solution, what it wants, its motivations, goals (faster, cheaper, fewer errors, user-friendliness, etc.), and it is necessary to define the metrics for the success of the digitisation initiative. Only then can IT search for and propose possible technological options and refine the target solution with the business owner. 

Successful digital transformation is based on three pillars: 

• Process: It must be clearly described, measurable and repeatable. If it is not clear who is responsible for what and what the inputs and outputs of the process are, automation will not take hold. 

• Data: High-quality data is essential. Without it, no artificial intelligence or robot can deliver meaningful results. 

• People: If employees do not see the point of change, they will circumvent it. Communication, education and involving people in the design of solutions are therefore just as important as the technology itself. 

AI and robotisation: where they make sense 

Artificial intelligence, software robotisation and other automation tools have enormous potential – but it is always necessary to consider the business case for each initiative – automating something that has no real impact or benefit is a waste of time. AI should not be just another trendy acronym in a presentation, but a tool that actually saves time, eliminates errors and safely allows employees to do work with higher added value. The massive advent of AI will also have a fundamental structural impact on the labour market and the education system itself. 

For example, in accounting, robots, AI and OCR can already be used to automatically extract and process invoices, in HR to analyse staff turnover and team performance, and in manufacturing to predict machine failures. And in management? There, AI can help improve decision-making – when it has the right data and the right questions at its disposal. And even though we are likely to see the bubble of exaggerated expectations from AI burst, its influence and impact in the medium term will be transformative for a number of industries and human activities (e.g. digital accountants, virtual bankers or even virtual teachers). 

However, digital transformation is not a one-off project, but a continuous process of improvement. Successful companies start with small steps – a pilot project to verify the benefits – and only then roll out the solution across the organisation. And as already mentioned, the key is to connect technology with business: automation should support the company's goals, not be a goal in itself.