Adoption is the key to unlocking Digital Transformation ROI

It's no secret that businesses continue to invest in technology at a rapid rate!

Adoption is the key to unlocking Digital Transformation ROI

It’s no secret that businesses continue to invest in technology at a rapid rate. In fact, according to Forbes the cloud technology market is set to grow from $67B in 2015 to $162B in 2020 attaining a compound annual growth of 19%.

With this continued investment in Digital Transformation showing no sign of stopping it’s important to look at a different figure. According to Gartner, over 75% of cloud projects fail to deliver their intended ROI.

But why?

 

We need to look no further than the various technology events being held across the world and the associated topics discussed. The recurring theme? Adoption.

Identifying and investing in technology is relatively straight forward when compared to managing the wider transformation impact across the business. This is fast becoming the Achilles heel to achieving the desired ROI from investments in Digital Transformation. Whilst businesses are able to procure best in breed technologies with speed, the benefits realisation from such investments is not a foregone conclusion.

We are seeing more businesses think a lot harder about the associated impact and subsequent loss of productivity that Digital transformation may have on their business. We are also seeing them talking more comprehensively about Adoption as a topic which certainly wasn’t the case 3-4 years ago.

If your interested in looking deeper at what specific contributing factors lead to a lack of Digital Transformation Adoption then please see the below articles.

The Digital Transformation Battleground – The digital transformation battleground
How intuitive is your cloud technology? – How intuitive is your Cloud software?

 

Ironically, we are now seeing more pressure on internal project stakeholders to demonstrate ROI and benefits realisation. The accessibility of rich data available today is one driver as it is almost presumed that such calculations should be straight forward.

One of the biggest issues that businesses face is that their original business case assumed 100% adoption.

Many business cases are compiled using vendor data and research. However, if my business case states that I will increase overall productivity by 5% across the business is that cut to 2.5% if only 50% of my colleagues adopt the change?. Also quality can play a big part, what if 50% of people engage to a high degree of quality and 50% do not, does this affect my ROI?

The answer is yes. there is an absolute connection between Digital Transformation Adoption and ROI.

As a business AppLearn have made it our mission to understand what contributes to Digital Transformation adoption. our products and services are specifically designed to help people embrace technology and change with a view to maximise ROI and benefits realisation.

Speak to us about your project and understand why most of the world’s largest businesses are using ADOPT to support their investments in Digital Transformation.

Andrew Barlow is the Director of Product Strategy at AppLearn