August 6, 2016. Going by the fast recognition of internet's ubiquitous existence, many people forget that it started before late 90s, followed by the infamous dotcom bubble in 2000. Well for the sake of relevancy, our younger audience may want to look at the facts here. So fast forward a decade later, we could never lived without them. Parents learn about children behavior and parenting through blogs and websites. Teenagers listen to latest musics to Youtube, Soundcloud, and other available portals. Students get white paper materials by googling (fun fact, the word "google" itself is actually more popular than "goggles", which is a real word).
Here we are in 2017, with the lauded massive tech companies, we can really assume that the digital era is here. Since it's an "era", you can't really avoid it. We have to understand that this is the way the world works, you can't really stop, avoid, or run from an era. They will come to you. Industrial revolution has definitely teach us about this. Two centuries later, we ought to learn a thing or two from it.
What is the relevancy for us? In Indonesia, 23% of population are Gen-Z by 2020. That's 85 million people. And 4 years from now. Gen-Zs are not only tech-savvy, they are born into it. So if you Gen-Y and Gen-Z think you're savvy enough, think again. These are people who get in touch with technologies even before they are born. So the real question to business owners: are we ready?
There are 6 things that an entity absolutely need to successfully transform for the digital era:
1. Business model. E-commerce, saas, social media, marketplace, what do they all calls in similarity? Disruptions. Social media is destroying traditional ads. E-commerce and marketplace apps are destroying traditional tradings. Transforming businesses should think again about your business model canvas. Are your value propositions, infrastructure, customer, and finances in line, hard-wired to the latest tech? Information system and infrastructure need to be integrated seamlessly.
2. Digitization. Seamless harmony between cloud, mobile, social media, big data, and IoT, if you will, is a requirement to generate success during the process. Augmentation and scaling readiness is the key. Actually, the reason a lot of tech companies are winning the industry -aside from the apparent market demand- is to be scalable by design.
3. Analytics. Data is the new foundation of growth. Digital transformation's currency is data. While it has to be cross-channel, linked, coherent, the most important part for it is to be actionable, in order to achieve continuous results.
4. Growth. Growth hacking, means anything, from all that is available, should be doable as long as to achieve growth. Teams will be cross-functioned. Tools and resources should be pooled on this basic requirement of a tech company's identity. Market fit products, SEO, digital ads, customer engagement through chat and social media are the new kids on the block.
5. Communications. an Oracle's report back in 2011 shows that 89% of customers began doing business with competitors after one poor customer experience. 86% willing to pay more for better customer experience. Silver lining: Customer Focus. Base your decisions based on customer reactions, and make sure that you get that information quick enough. Deploy knowledge management to settle the tendencies of non-stop, supported cultural changes and innovation, along with fundamentally open knowledge sharing in the organization.
6. Management. Stance of management is the kick in the ass every organization needed to move forward. Needless to say, management team are not everything in an organization. But the ability to reshape the organization is a big decision, which require enterprise-wide integration, sufficient resources, and powerful, direct communication lines (no matter horizontal or vertical).