The digital transformation of business – being driven by Industry 4.0 technologies such as artificial intelligence ( AI ) and machine learning – is , by its very nature , a complex affair .
Technically complex , yes , but also complex in terms of what such vast programmes of change demand of people , particularly regarding old skills they no longer need and new skills they must acquire .
Digital transformation is sometimes seen as a panacea to every contemporary corporate challenge , which , of course , it is not . Many managers across the supply chain – in manufacturing , logistics and procurement – have a first- or second-hand war story to tell of at least one tech project that has failed .
“ Most digital implementations have a success rate of about 30-40 %, in terms of adoption ,” says David Loseby , the noted procurement advisor who also boasts a doctorate in behavioural science .
Loseby says the failure rate is so eyewateringly high because of a “ mindset failure ” on the part of organisations . “ Digital transformations are not technology-change projects ,” he says . “ They are people-change projects . If you don ' t involve the people that are going to be impacted , and suddenly impose it upon them , guess what ? You get lots of rejection .”
For Loseby , re-skilling employees and clearly demarcating their changing roles
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