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Some thoughts on the impact of digitalisation in the workplace

The difference between digitisation, digitalisation and transformation — and why the distinction determines whether roles are enriched or merely automated.

Digital business transformation2 min read

This is a big topic and there’s a lot to unpack. When digital transformations are performed successfully, the roles of those who are part of the “new normal” have significant enrichment potential in the following ways:

  • Closer client relationships. They work closer with their customers through regular challenge and opportunity identification, ideation and co-creation.
  • Work enrichment. They add value in small, dynamic cross-silo teams creating a product, service or experience. This dynamic team set-up, sometimes referred to as fluid teams, becomes the norm as part of embedding a growth mindset.
  • Re-skilling and up-skilling. The dynamic nature of working on multiple new initiatives provides up-skilling opportunities and an understanding of other roles across different fluid teams. This can be further supported by dedicated workshops and training.
  • Skill and experience retention. Replacing team members with new hires is a venture most HR departments will want to avoid due to cost, knowledge retention, and interim loss in productivity. Removing those who are classified as “resistant to change” will not guarantee that the replacements fare any better if their concerns are systemic.

A well-planned, communicated and executed digital transformation with an executive “evangelist” driving it forward has the potential to provide significant opportunities across the board.

You may have noted that I’ve been referring to digital transformation up until now. In sharp contrast, digitalisation and digitisation are not designed with embedding a new culture as part of a fluid, digital-ready organisation at their core.

Although definitions of both vary, even amongst digital experts, for simplicity let’s assume digitisation is the automating of a traditionally manual process using technology or other digital tools. The savings provided through automation rarely create any real job enrichment or help a company develop the culture needed to address an ever-changing market landscape.

Similarly, let’s assume digitalisation is commonly referred to as exploiting new opportunities to create a product — for example technology, working practices, market and socio-economic or political opportunities. Such initiatives are commonly confused with digital transformation and it’s easy to spot the difference. If your digital initiative has no supporting data strategy or cultural change, or at least due diligence to assess their maturity and future-fit, it’s probably a digitisation or digitalisation venture.

In conclusion, I would argue that the organisational impact of digital initiatives has less to do with which generation we belong to or how tech-savvy we are. The determining factors include the type of digital initiative being implemented, the supporting data strategy and culture change, our personal ability and willingness to transform from a fixed mindset to a growth mindset, and embracing opportunities to build stronger relationships with clients through better products, services and experiences.

About the author

Asif Menghrani is an Independent Board Adviser based in Basel. He works with Chairs and boards on judgement, strategic transformation and technology governance, and writes the Kinetic Board series for the Forbes Coaches Council.