Advisory

Digital Darwinism: the Natural Selection of Businesses




Natural selection teaches us the reality that not every species will survive. Businesses also face the same reality. However, unlike a species that is unable to wrest control of its fate of existence or extinction, businesses still retain a large degree of autonomy over their future. 

Leon C. Megginson’s rephrasing of Darwin’s Origin of Species explains the survival of species best - it is not the most intellectual or the strongest of species that survives; it is that which is able to adapt and adjust best to the changing environment. The demise of industry giants, such as Blockbuster and Borders, serves as a foreshadowing of the fate of businesses that remain unwilling to adapt in a digital era. 

For organizations that recognize the need to adapt or be extinct, their reflex is often using ‘Digital Transformation’ to combat the dynamic vagaries in their business environment. While ‘Digital Transformation’ may mean something different to each organization, Altimeter Group provides a succinct definition - “the re-alignment of, or new investment in, technology and business models to more effectively engage (internal employees) and digital consumers at every touchpoint in the customer experience lifecycle.”

For most organizations, Digital Transformation only involves investing in technologies to replace legacy ones. However, mere replacement of technology is not the solution. Digital Transformation also involves process and people management, and people often represent the strongest barrier to the adoption of technology. At Alpha7, we aspire to be the leading company that drives Digital Transformation for other organizations. That is why we focus on the three key areas of People, Process, and Technology, in order to help your organization adapt to an era of Digital Darwinism. 

As communities begin to embrace the Internet of Things, technology will become a permanent and indispensable component of everyday life. In an age of VUCA (Vulnerability, Uncertainty, Complexity, and Ambiguity), Digital Transformation is now obligatory for any organization that wants to remain relevant. For every Blockbuster and Borders, there are also success stories such as General Electric and Disney - organizations that have made a decision to lead (through the usage of Code Halos), than to react, in order to maximize the scale of opportunity that the digital era affords them. 

Unlike the dinosaurs, an organization’s extinction event is determined by its set of choices. What a business does today will decide whether it lives or dies tomorrow.

 

Source:
1Solis et. al (2014). Digital Transformation. Why and How Companies are Investing in New Business Models to Lead Digital Customer Experiences. Retrieved on 8th September 2016 from:
http://altimetergroupdigitaltransformation.com/img/dt-report.pdf

 



eugene's picture
Eugene Koh
author
An ex Alpha7 intern that loved his experience so much that he is now a permanent employee. Loves Arnold's fried chicken and puns.

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