Digital Capability is all about implementing software! Really?


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?

Digital Capability is all about implementing software

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!