Industries around the world are facing disruptive digital transformations. Emerging technologies are demanding new ways of operating as well as delivering unique, sustainable value.
In several cases, the winners and losers already are becoming evident. One such case is the global fast food giant McDonald’s, which, in 2017, implemented new technology for ordering and delivery, including a mobile order-and-pay-ahead app, in-store digital ordering kiosks and a delivery partnership with UberEats. These innovations, augmented by other digital strategic initiatives, have further cemented the fast-food titan’s market position through increased customer traffic and better earnings.
On the other hand, several once-dominant enterprises that failed to positively embrace disruptive trends – such as BlackBerry, Kodak and Myspace – have either lost a significant proportion of their market share or have been completely swept out of the way by nimbler and more agile newcomers.
The stakes of digital transformation are high. The difference between success and failure, however, often comes down to governance. Using frameworks and improvement models such as COBIT and CMMI can ensure IT investments support business objectives. Successful innovation governance requires understanding and buy-in from both the board and the C-suite. But, these business leaders cannot do it alone.
Here are 5 recommendations to help your board and C-suite improve technology governance and adapt to disruptive change:
Speak the language of business. While many companies are working hard to recruit leadership with tech expertise, boards and C-suites may not have the depth of knowledge to oversee critical technology-driven initiatives or fully assess digital opportunities and threats. Leaders also may be prone to inertia. They may not see a compelling need to change traditional ways of running the business, especially when these methods have worked well in the past. But IT leaders can influence the board and business executives by talking the language of the board and C-suite