Digital Transformation – an unforeseen benefit of Covid-19

January 13, 2021

Digital Transformation – an unforeseen benefit of Covid-19 by Martin Langridge

I was amazed – although perhaps not surprised – to read the other day that the arrival of coronavirus is believed to have propelled digital transformation forward by 5 years in only a matter of weeks.

Whilst, I don’t put a huge amount of stock in those exact figures they illustrate change is accelerating fast. The beginning of the first lockdown back in March 2020 forced the hand of many businesses – enable your employees to work remotely or cease trading until the end of the pandemic. Needless to say, businesses adapted rapidly and we have all become well-versed in the nuances of video conferencing.

As we begin 2021 in another lockdown, I want to reflect on why these technologies weren’t utilised before the lockdown and why their continued use will remain important as we recover from the pandemic.

Why weren’t businesses using these technologies before?

You might ask why – as these technologies have been readily available for quite a long time – they have not been widely adopted.

In consumer technology, purchases are often driven by an emotional desire to have the latest, greatest or best iteration of a device or software. That’s why certain phone manufacturers can sell users essentially the same solution every two years or so with very limited additional functionality.

The world of business technology can be driven by emotion too but, more often than not someone is also weighing up the needs and benefits vs the cost (financial or lost hours) thus effectively slowing the pace of change. Before the pandemic, I would say that many businesses over-estimated the potential disruption of a digital transformation whilst many others underestimated the benefits.

The pandemic (or lockdown specifically) instantly changed this balance and wide-spread digital transformation has flourished. In the process, I think it demonstrates that a relatively pain-free transformation is indeed possible.

What now?

But, in my opinion, the story does not end there. Businesses should not look at this technology as a temporary fix.

Organisations were forced to implement these new systems rapidly and often to solve very specific tasks such as How do we communicate effectively and continue to operate our business processes (such as authorising purchases) now that our teams are spread across the country? Businesses are however, quickly exploring what other advantages this technology can give them. After all, that cost is now paid for so there’s an incentive to maximise the benefits.

Businesses who can eke out the most benefits from their new technologies and systems should gain a competitive advantage in their market and bounce back the strongest after the pandemic. 

I appreciate that might be considered a bold statement, but I do think there are good arguments to back this up —namely talent retention, increased data visibility and greater efficiency.

Talent Retention

Talent is hard to find and vital to keep. If your teams are struggling with poorly integrated systems or convoluted processes – they may become frustrated. Conversely, if they have the tools to work effectively away from the office – the added flexibility can be a powerful incentive for people to stay*. I appreciate that working from home isn’t suitable for every role all of the time. Sometimes, it pays to be in the same room as the rest of the team working towards a common goal.

During the relaxation of restrictions over the summer, we found that our teams were relatively eager to return to the office for at least a few days a week for a wide variety of different reasons. So I don’t think there will be a mass-exodus from workplaces after the pandemic. What matters is ensuring that staff have the flexibility to work from home in those rare instances where working from the office simply isn’t possible (for example, a family member falling ill, a boiler breaking down or more recently where they need to self-isolate).

Increased Data Visibility

Digitising processes may have been brought in to enable remote working but one of the major side effects is an increase in the amount of data available to be analysed. This data can be used to find choke points in internal processes, as well as quickly auditing approval workflows of specific documents. There is a risk however that businesses can be overwhelmed by this – a successful transformation occurs when teams identify the data important to their end goal and use that knowledge to implement more efficient processes.

Greater Efficiency

In my experience, manual processes are prone to error. How often have you mis-typed an item number, postcode or contact number only to notice too late? In the worst case, these errors can be costly, time consuming and (if handled poorly) can damage your relationship with customers and cost the business money. Mistakes like this can lead to data breaches which in the age of GDPR can be very damaging. Thankfully, digital processes provide more robust systems and better protection for data – minimising the risk of a serious breach whilst also reducing the time taken to process documents.

What do you think?

The increased use of technology in the workplace is one of the very few silver linings to come out of the pandemic. But, I’d like to hear your thoughts – what do you think?

Should we return to the old normal after the current pandemic is under control? How are you having to adjust your digital transformation strategy as a result of the continued pandemic impacts? What problems has your business encountered whilst transitioning to remote working? What steps has your business taken in response and do you think any of these will remain in your long-term strategy? 


About the Author

*Deloitte have produced a good piece of research on this subject which might be of interest if you want to find out more.

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