Here’s what Formula One racing can teach you about Digital Transformation

Here’s
what Formula One racing can teach you about Digital Transformation

Soon, the
streets of Singapore will serve as a circuit for another exciting Formula One
race. Just like in Formula One racing, where drivers race to the finish line
and compete for pole position, digital transformation is being adopted by
businesses so they can ensure their organisation achieve a strong market
position above its closest competitors.

With the
expansion of digital lifestyles, the world is generating more data than ever.
This brings new challenges and tremendous opportunities for businesses to
store, manage, protect and leverage their data. For businesses, this
unprecedented rush of data is a double-edged sword. On one hand, data-related
issues can cause inefficiencies that may see the business lagging behind
competitors, or damage through data loss and breaches. On the other, data can
become a strategic asset and bring huge benefits to companies, if managed well.

According
to IDC, 60 percent of Asia Pacific’s top 1,000 enterprises will have digital
transformation (DX) at the centre of their corporate strategy by the end of
2017. In fact, two-thirds of Asia-based CIOs will initiate a data and
governance transformation to turn information into a competitive business
differentiator.[1]

As big data
becomes more mainstream, business and technology leaders are shifting their
focus away from hype to finding value. Gartner’s survey found that more than 80
percent of its respondents weren’t sure whether the ROI of their data expenses
would be positive or negative, making it difficult to even ascertain the value
of big data projects.[2]

So, in
today’s hyper-digital era where digital transformation is set to disrupt every
industry, how can companies ensure that they emerge champions in the digital
revolution? How can businesses efficiently extract value from data, without
increasing cost and complexity? Taking some cues from the F1, here’re some tips
for businesses embarking on their digital transformation journey.

Playing
the data game requires team spirit

F1 is not a
solo sport. Behind the driver, there are many others responsible for managing
the commercial and technical aspects of, not just the races, but the business.
It was revealed that in 2013, the Red Bull Racing team had as many as 525
people working behind the scenes.

Likewise,
playing the data game also requires team effort. For the majority of
businesses, true transformation begins when an organisation comes together to
understand data and how it can make each employee’s job easier and better. Only
when data becomes part of the DNA of an organisation can the full potential of
it be realised. 

According
to IDC, 40 percent of companies across Asia Pacific are still managing
backup, recovery, data protection and analytics strategies at a departmental
level[3].
Businesses need to move from a siloed app data management
approach to an integrated one. There’s no better time than now to get all
players in the business – human resources, operations, and finance, among
others – in on the game plan. 

Is
your team speaking the same language?

Pit stops
happen quickly. Pit crews with different complementary skills come together and
work collaboratively to clean, fix and change gears in a matter of seconds. Now
– imagine if they don’t speak the same language and aren’t attuned to what the
other is doing. That would make each pit stop a disastrous one for the entire
team.

Effective
communication between your IT team and the rest of the business is key. A
common vocabulary and equipping teams with the necessary data skills is
essential to fostering a data-driven culture.

Management
should do its part by insisting on data-based reports from all departments,
instead of accepting bare opinions or gut-feels. It is only by connecting all
key processes – problem definition, solution approach and design, and
action/change management with insights from data – that organisations can fully
leverage massive amounts of data as a strategic asset to improve existing
models.

Build
your winning team

As the
workload for in-house data management teams increases, companies may look at IT
Outsourcing (ITO) as a viable way to achieve better economic outcomes. Research
and Markets forecasts that the ITO market in Asia Pacific will grow at a CAGR
of 5.8 percent between 2016 and 2020.[4] ITO services help organisations save
cost and reduce efficiencies by facilitating access to the right IT expertise,
world-class best practices and innovative technologies, while allowing these
businesses to focus on their core competencies. Institutions can enjoy the
convenience of adopting a single data management platform, which provides an
overview of all data analytics results, thus facilitating the decision-making
process.

Data, no
doubt, lies at the core of any digital transformation. CEOs must believe in the
data strategies that they have invested in, and engage themselves in the
technical, organisational and human aspects of digital reforms.

The pace of
digital transformation shows no signs of slowing. Yet, many companies are still
struggling to optimise their data investments and adjust to the speed of the
information explosion. Given the stunning capabilities that the right data
management solutions can deliver, CEOs must make sure their organisations are
not left behind. The good news is that they don’t have to do this alone. With
the right data management partner, the race for competitive advantage is still
up for grabs.