The impact of Digital Disruption is not new for businesses but the challenge for them is to identify potential threat early and then transform the strategy accordingly. Most of them fail to do so – hence lose their potential position or cease to exist.
Accenture Strategy global research shows 82 percent of business leaders expect their organizations to be a digital business in the next three years. But, the bigger question here would be – how many of them know about their potential competition? And do they know what it requires them to do in terms of leading the upcoming business battle.
- Did hotel industry think about a challenge from a website called Airbnb? Did they consider a website as their biggest competitor that would not just challenge their traditional business but also get much higher valuation than most of them?
- Did the taxi industry care about Uber when the company first launched in 2009?
- Did the printing industry think that online publishing would shake up its business model when it first became popular?
- Did automobile industry think about Google and Tesla’s of the world? Are they even ready to compete with them?
- Did governments and banks worry about cryptocurrencies? Do they have strategy to deal with the future challenges due to Bitcoin (and others)?
Digital transformation is not a one-time process. You have to keep working on it to keep your organization at the edge of digital excellence. You have to keep evaluating your business strategy, keep looking at potential challenges from not just traditional competitors but also from disruption that your industry might face.
Few question that you need to keep asking:
- Do you know what will disrupt your industry next?
- Do you know how to tackle the potential disruption and do you have a strategy for that?
- Do you know how to ride the digital wave and take advantage of it rather than being swallowed by it?