One of the main misconceptions is that Digital Capability is all about implementing software. Organisations think that they can invest in digital assets (software/hardware) to develop Digital Capability.
For example, suppose the organisation wants to develop a new Digital Capability to transform customer relationships. In that case, they invest in Customer Relationship Management (CRM) software.
Makes sense! Isn’t?
It is a very narrow view of the world, however!
To develop Digital Capability, you must think inclusively with a long term view.
The organisation does not develop Digital Capability by owning a piece of software. Instead, the business builds Digital Capability by:
- Optimally using the full features of software
- Adapting and changing the processes to utilise the digital assets optimally
- Ensuring the new staff (customers, suppliers – if relevant) learns and operate the software up to set standards
- Providing full user support to the end-users. If end-users have issues using the software, then the company fully supports them
- Keeping the software up to date with the latest versions
- Training end-users for the newest software features
- Establishing governance processes to ensure that end-users enter complete and correct data. As incomplete/incorrect data directly affects the quality of the reporting
- Putting in place the continuous improvement processes. It helps the organisation to keep the Digital Capability up to date
- Looking out for new opportunities to take existing Digital Capability to the next level. There is always new software/technology available in the market. Organisations take their Digital Capability to the next level by implementing the latest technology.
Summary: Digital Capability is all about implementing software!
So, developing Digital Capability is not limited to merely implementing software. You must ensure that there are procedures to support the end-users fully, train the new users, implement maintenance activities and continuous improvement procedures. Further, proactive organisations watch the latest technological product and services.
Developing Digital Capability is not a one-time investment. You must account for ongoing support, maintenance, governance, training and continuous improvement. As a result, there is a cost involved in keeping Digital Capabilities up to date. But they are worth it!