The success of a modern business lies in enhancing its operations, churning out impactful growth strategies, foreseeing market disruptions, remaining competitive, and meeting its customers’ ever-evolving needs and expectations. Nothing surpasses the power of technology in helping organizations achieve the above goals. Digital transformation is no longer a choice, it is an inevitable fuel for growth and sustenance. With technology, businesses can respond more quickly to market changes and disruptions, enabling them to stay ahead of the curve. It is vital for organizations to gauge their strength, glean valuable data insights, make informed decisions, and open up new revenue streams.
Digital transformation is not an overnight process. This requires crucial planning, consultation, and expert execution under the partnership of skilled business-technology professionals. Improper and ad hoc implementations may result in failures and operational disruptions within the organization, which may cost a fortune. To avoid such drastic circumstances, there are several key performance indicators (KPIs) that can be used to manage and monitor any digital transformations or technology implementations and ensure an increase in ROI.
1. Implementation Time and Cost
Transforming digitally with the right technology set is critical in saving overall operational time and cost. They unify data, integrate modules, allow real-time communication, and automate processes cutting down manual labor. Hence implementation time and cost are among the key metrics to track when measuring the success of digital transformation. Organizations must ensure that the time and budget across the project roadmap always remain within the decided limits.
2. Operational Readiness
Operational readiness explains how well the business operations are aligned with the technologies before go-live. It refers to the organization’s ability to effectively utilize new technology. This includes identifying and analyzing any breakdowns or pitfalls that may reduce efficiency and tamper with the implementation process. Proper change management, testing, data migration, and support, all come under operational readiness.
3. Organizational Readiness
Organizational readiness quantifies the readiness of the organization including the people within in accepting and understanding the new technology and processes. Although the technical operations and functionalities are optimised it is critical that the users deeply understand and are well-trained in different modules before deployment to ensure seamless end-to-end workflow. Establishing a governance structure to oversee the implementation of the new technology can help ensure that decision-making is aligned with the organization’s goals and objectives.
4. Business Value and ROI
While implementing new technology, it is important to analyze the business value and ROI to ensure that the investment is justified and to track the success of the implementation. Operational risks during implementations are common and require keen attention to avoid functional disruptions like prompt transactions or shipping. Mitigating such risks through proper governance and risk management will help to achieve the business objectives and to create value for the organization.
By intently tracking and evaluating the above KPIs, organizations can ensure they are prepared for the implementation of new technology and can effectively leverage the technology to achieve their business goals and objectives. However, the most critical aspect that precedes everything else is choosing the right implementation partner and technology. Microsoft’s Dynamic 365 is an ERP solution tailored for modern-day businesses, to combat modern challenges. It is specifically built to sense and prepare for unexpected disruptions and to significantly reduce the risks involved in change management and implementation. To digitally transform with Dynamics 365 means to evolve and transform the overall performance of your organization with an eye for the future.