Mindset Over Technology: The Key to Digital Transformation

Mindset Over Technology: The Key to Digital Transformation

Does your team roll their eyes at the idea of digital transformation? Well, the good news is you’re not alone.

Studies have shown that 26% of companies are struggling with their digital transformation due to resistance to change from within. And according to McKinsey, cultural issues like this are the most significant roadblocks to meeting your company’s digital goals.

Luckily, there is a way to overcome this — rather than focusing on the technology at hand, you need to shift your focus to promoting a new mindset throughout the team. 

Let us start by breaking down the mindset barriers into two simple categories:

1. Risk aversion — the mindset of avoiding loss rather than increasing gains

Risk aversion is dangerous to your plans to grow digitally. As a company who has not yet undergone any formal digital transformation, your team will be hesitant to embrace change because they don’t see the value. They are stuck in the idea of “this is how things have always been done,” and are afraid to risk any new strategy that could potentially fail. 

A great way to reverse your team’s mindset and promote risk taking is to reinforce the idea that it is okay to fail. The team should be encouraged to come up with new tech ideas and test them out. If they fail, it should be taken as a growth experience and not a punishment. You can even go as far as rewarding attempts at innovation, whether successful or not. Again, this will continue to reinforce the mindset and build a stronger culture of digital innovation throughout. 

2. Siloed mindsets — the disconnect across different departments in the company

When it comes to siloed mindsets, teams work within their designated department and rarely, if ever, interact with other departments or share information. When certain departments operate on their own agenda and are reluctant to work in cross-functional teams to reach a higher goal, digital transformation suffers. Teams like this will lose sight of the larger organizational vision, and any sort of innovation is bound to fail.

Breaking down the silos falls into the hands of your management team. They need to understand and get on board with the company’s overall vision and communicate it to their teams. Another useful strategy is to build cross-functional teams. As projects come up, assemble a team from multiple departments and get them communicating and working together. Digital transformation requires a full, company-wide collaboration in order for a smooth and profitable transition. 

Conclusion

Employee mindset is such an important key to digital transformation. If you can manage to break down the risk aversion and siloed culture in your company, then you are well on your way to success for years to come. 

Find more useful digital transformation advice from the A4 Systems blog and start your company’s transformation today: https://A4.Systems/news/