A business strategy focuses on the operation of the existing business. A digital transformation strategy is a plan of action to reposition a business in the digital economy by changing how it competes, innovates and delivers its products and services.
Many in both private and public sector conflate ‘digitisation’ with ‘transformation’. Digitisation is a required first step in order that basic systems and processes are computerised. This is considered a basic, essential exercise in operational efficiency. It is not, however, transformational. It does not reposition a business in the digital economy by way of new business models, products and services.
- A banking mobile app is not transformational, it’s a customer expectation.
- Getting an invoice online is not transformational. It’s a minimum customer expectation.
- Having application forms online is a customer expectation.
Upgrading these functions may appear in a digital strategy or even a business strategy but they are not considered as ‘transformational’ features in a digital transformation strategy as they represent normal running objectives of the intuition.