The Largest Barriers Preventing Digital Transformation

11th April, 2019 by

As successful organizations grow in size, teams are on the lookout for new technologies to improve business practices. Adopting a digital business strategy is a major benchmark for startups, SMEs, and large organizations.

While many believe that digital transformation is simply a buzzword, creating digital solutions to business problems is not a trend, but rather something that makes solid business sense.

However, let’s look at the numbers: while 55% of startups have adopted a digital business strategy, only 35% of traditional organizations have joined the digital ranks. Even more disheartening is that 21% of enterprises that have made digital transformation efforts believe their digital journey is complete. These statistics show that there is a major gap in ideating and implementing digital solutions.

Below we have gathered data from business management sources including Gartner and Harvard Business in an attempt to identify the largest barriers to digital strategies, solutions, and good business practices. We have broken these barriers into three categories: Personelle and Talent, Business Ecosystem, and Resources.

Transformation Barriers within Personelle and Talent

  • A gap in available talent.

If your workforce follows traditional formats (sales, marketing, customer support, etc), then you might be short on individuals with the skills necessary for a technological overhaul.

  • Talent lacks resources or support needed.

Your current workforce most likely lacks the resources, training, and support necessary to acquire the skills necessary for digital transformation.

  • Continuously changing management.

Unfinished projects are the number one hazard facing a mobile workforce. As management changes, so do preferred platforms, tools, services, etc, which can result in a hazy vision and incomplete digital efforts.

Transformation Barriers within The Business Ecosystem

  • Data silos.

No amount of digital transformation can remedy organizational data silos. Information must be available through collaboration, sharing, and teamwork throughout the organization. Poor communication remains a significant resistance, and simply finding the owner of specific data can be a hurdle.

  • Risk-averse culture.

While many are satisfied with the status quo, taking a small risk can lead to some solid growth. Changing organizational structure takes time, money, and resources that many may not feel ready to invest.

  • Lack of vision

Murky or unclear goals can result in a demotivated workforce and mediocre growth, innovation, and bottom line. Digital transformation hype alone isn’t enough to see a project through – without a clear vision technical efforts may lead to a waste of valuable resources.

  • Cybersecurity risks.

The risk of cyber threats can be enough to stop any enterprise in their tracks. Organizations need dedicated resources and personnel to be sure that security threats are kept at the forefront of any transformation or operational changes.

Transformation Barriers within Resources

  • Lack of resources necessary to move quickly.

It can be hard to understand the need for cloud storage or a complete overhaul of legacy systems, but there is most likely a strong case for future risk/reward. Businesses without the necessary resources may not see the immediacy of updating. However, the future depends on the ability to prioritize digital tools and services.

  • Legacy systems need replacing.

Migrating to newer systems can be a nightmare. However, the benefits should far outweigh the few weeks of turmoil, especially when factoring in future risk, security issues, and GDPR implications.

Combating Digital Transformation Barriers

As in most situations, the first step towards solving business problems is identifying the issue and the surrounding contributors. Once the problem areas have been determined, solutions need to be found. By being selective about which digital tools to embrace, choosing reputable digital partners, and by working closely with partners, many business bottlenecks can be mitigated.

To learn more about how 100TB can help you in your efforts towards digital transformation, please contact our expert sales team. We would love to find solutions for your toughest web hosting problems.

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