In the digital age, the value and complexity of data in business transformation are often overlooked, resulting in delays and missed opportunities. Historically, data challenges have been relegated to IT departments, but this perspective is shifting. For a transformation to succeed, businesses must treat data as a central, strategic asset—this means getting it right from the start with expert guidance. It means putting Data First.
Businesses are eager to expedite transformation timelines, but putting Data First remains paramount. Leaders must prioritize data preparation before launching any transformation initiatives; otherwise, they risk project failure. Adopting a "transformation factory" approach can standardize and enhance the transformation process, making future endeavors more manageable and successful.
A transformation factory is a systematic approach that ensures data readiness. It is characterized by its measurable, repeatable, and predictable nature—akin to a well-oiled machine in a factory setting. This methodology not only prepares data but also streamlines the entire transformation process.
Organizations pursue transformation for various reasons—whether to streamline operations, introduce new digital customer experiences, or modernize technology to outpace competitors. However, the success of these initiatives heavily depends on the quality of underlying data. Challenges such as disparate legacy systems, data silos, and mixed deployment environments complicate these efforts. Findings from an HFS Research study, in collaboration with Syniti, highlight a critical gap: while 85% of organizations acknowledge the foundational role of data, only a third are satisfied with their data quality and realize more than 40% of their organizational data is unusable.
The transformation factory model offers a structured and scalable framework for handling large volumes of data across systems. This approach is not just about maintaining consistency; it’s about embedding speed and efficiency into the DNA of every business transformation. For instance, Syniti assisted a global leader in tires and sustainable mobility in consolidating its ERP systems into a unified SAP S/4HANA environment, significantly streamlining their digital transformation.
You can use these 4 holistic elements to accelerate your large-scale rollout, but keep in mind that all components will need adjusting based on your organization:
The transformation factory approach is most beneficial for organizations undergoing continuous transformation activities, like mergers, acquisitions, and divestitures. It demands executive endorsement and a culture receptive to change. While customization may be necessary to accommodate regional and operational differences, the overarching goal is standardization and quality.
The transformation factory model offers a structured path to success for companies engaged in repetitive transformation activities. It standardizes procedures to tackle common challenges effectively. Before implementing this model, compare it with existing processes and tailor it to your business's specific needs.
Adopting a transformation factory approach and placing data at the forefront of digital transformation strategies can significantly enhance the effectiveness and outcomes of your data initiatives. As businesses continue to evolve, the transformation factory not only supports current needs but also sets the stage for future success, ensuring that data remains a pivotal element in the journey towards digital excellence.