Leading Digital_ Turning Technology into Business Transformation ( PDFDrive )

What Is Digital Mastery? 13
Digital Masters excel in two critical dimensions: the what of
Âtechnology (which we call digital capabilities) and the how of leading
change (which we call leadership capabilities). These are two very distinct
dimensions of digital mastery, and each plays its own role. What
you invest in matters, to a point. How you use those investments to
transform your company is a key to success. Neither dimension is
enough on its own. Each is associated with different types of financial
performance, and each provides only partial advantage. 12 Taken
together, they combine to give Digital Masters a clear advantage over
their competitors.
Digital Capabilities
Digital Masters know where and how to invest in the digital opportunity.
The size of the investment is not as important as the reason—and
the impact. Digital Masters see technology as a way to change the way
they do business—their customer engagements, internal operations,
and even business models. To these companies, new technologies such
as social media, mobility, and analytics are not goals to attain or signals
to send their customers and investors. These technologies are tools to
get closer to customers, empower their employees, and transform their
internal business processes.
But more than technology is needed. While the changes possible
through smart digital investment are impressive, they are not enough.
Companies that invest in the right areas have higher revenue for each
unit of their existing physical capacity (such as people and facilities)
than their competitors, but they are no more profitable. Gaining the
true digital advantage also requires leadership.
Leadership Capabilities
For Digital Masters, committed leadership is more than just a buzzword.
It is the lever that turns technology into transformation.
Despite the advice of many gurus to “let a thousand flowers bloom”