Posted in Consulting, Digital Transformation
May 30, 2024
Discovery & Strategy
The Critical Role of Planning in Digital Transformation
Why Thorough Preparation is Essential for Manufacturers and B2B Businesses
Greg Foster discusses the value of taking your time when planning a digital transformation or web development project for B2B Manufacturers.
Digital transformation for a B2B Manufacturer is the use of digital tools, like ecommerce platforms, to enhance business processes and customer interactions while driving innovation. It touches every aspect of operations, aiming to improve efficiency to help organizations scale and grow. However, digital transformation projects are large, and insufficient planning often leads to unsatisfactory outcomes for many anticipated projects. In this article, Greg shows how not taking the time to plan every aspect of a development project can have unintended consequences. He highlights how Acro Commerce’s Discovery & Strategy planning process helps uncover everything you need for digital transformation success.
I recently had the privilege of presenting at the B2B Online event in Chicago, where I shared insights on the importance of planning in digital transformation. You can download my slide deck from that presentation here.
As Director of Sales at Acro Commerce, I frequently observe how essential thorough planning is for successful digital projects, regardless of their scale.
The Power of Planning
Effective planning is the cornerstone of any successful digital transformation. It's not an added cost but a strategic investment leading to long-term savings and success. Proper planning helps identify potential challenges, aligns stakeholders, and ensures that the project meets both current and future business needs.
Understanding the Audience
Our clients often face significant challenges in their digital journeys. For example:
- Streamlining sales processes—Automating order entry and inventory management can drastically reduce manual errors and improve efficiency.
- Adapting to changing market conditions—It is critical to be agile enough to respond quickly to market trends, such as introducing new product lines. According to Gartner, 60% of mainstream companies will list becoming a composable business as a strategic objective, helping them outpace their competitors by 80% in the speed of implementing new features.[1]
- Frustrations with outdated technologies—Legacy systems can hinder growth, making it difficult to scale operations or integrate with modern tools.
- Feeling trapped by proprietary systems—These systems can limit flexibility and stifle innovation, preventing businesses from leveraging new technologies.
The Impact of These Struggles
The consequences of not addressing these challenges can be severe:
- Costly IT overhead—Maintaining outdated systems and dealing with inefficiencies can lead to high operational costs.
- Limited ability to explore new sales channels—Expanding into new markets or channels becomes difficult without the right infrastructure. According to Gartner, 91% of businesses are engaged in some form of digital initiative, and 87% of senior business leaders say digitalization is a priority.[2]
- Wasted effort on processes that could be automated—Manual processes are time-consuming and prone to errors, leading to wasted resources.
A Story of Transformation - The Bicycle Manufacturer
To illustrate the importance of planning, I’d like to share a story about one of our clients, a bicycle manufacturer who identified an emerging trend in kick scooters. They quickly adapted by manufacturing scooters and realized the potential of selling directly to customers through an online platform. They engaged Acro Commerce to help them build an ecommerce experience, opening up a D2C channel and eventually branching out to brick-and-mortar storefronts.
While the overall journey was successful, it highlighted the importance of stakeholder interviews during the Discovery & Strategy phase.
A year into their ecommerce journey, we visited their primary warehouse and spoke with their CFO, who unexpectedly expressed dissatisfaction with the new system. Despite positive feedback from other stakeholders, we discovered that her pain point was the reporting process, which involved manual effort and was becoming unmanageable as the business scaled.
We significantly improved her workflow by conducting a dedicated project to address her reporting requirements. This experience underscored the importance of involving all key stakeholders from the start to identify and address potential issues early on.
Planning for Success
To avoid such pitfalls and ensure a successful digital transformation, we emphasize a structured planning process:
- Stakeholder interviews and securing buy-in—Engaging all key stakeholders early on helps identify their needs and expectations, ensuring that the project addresses all critical aspects of the business.
- Comprehensive Discovery & Strategy phase—This phase involves gathering key insights, analyzing data, and developing a roadmap that guides the successful execution of digital projects.
- Selecting the right technology stack—It is crucial to choose technologies that align with business objectives, existing infrastructure, and customer needs.
Embracing Digital Initiatives
The statistics are clear: digital transformation is a top priority for most businesses. According to Gartner, 91% of businesses are engaged in some form of digital initiative, and 87% of senior business leaders say digitalization is a priority.[2] This underscores the need for thorough planning to ensure the success of these initiatives.
Continuing the Conversation
I hope this article has highlighted the critical role of planning in digital transformation. By investing time and effort into thorough planning, businesses can mitigate risks, streamline operations, and achieve their long-term goals.
Reach out using the form below, and let’s talk about planning your company’s digital transformation.