Articles

Tipping Point

The Tipping Point for Digital Transformation in the Company – Part 1

In this article I address the issue of introducing digital technologies that are completely new to the company, or that constitute a major shift in functionality from the previous situation (disruptive or disruptive innovation).

Compared with incremental innovations, described in my previous article “People and Digital Transformation,” difficulties here are much higher.

To describe this process of change I find it very useful to start with the model of diffusion of innovations, formulated by Everett Rogers.

This model is also suitable for describing the diffusion of innovations within companies.

Tipping Point

According to this model, only a narrow 16% of the population, consisting of Pioneers and Early Adopters, are in favor of adopting the innovations.

  • Pioneers (or Innovators) are enthusiasts and in many cases true fans of innovations. They are often willing to try anything. I have met such people in companies, and they are often keen observers of technology trends as well.
  • Early adopters are open to change but they need to see the benefits. They are very down-to-earth, and that is why they are the best opinion leaders, and why they are very much listened to.

Then there is a majority, the remaining 84 percent of the population, who are not in favor of innovation, that is, they are basically conservative.

Fortunately, the majority is not a homogeneous mass but is itself made up of 3 groups.

  • Early Majority. They are generally people who are open to change in the face of evidence that change is positive and useful for them and for the company. They ride the change after listening to the testimonies of early adopters.
  • Late Majority. They are people who are hesitant and unwilling to change. They adopt change only when previous groups have done so. I have seen that they often do this for quiet living.
  • Laggards. They are people who are reluctant to change. They make extreme opposition to the point of even leaving the company. They change only when there is no other choice for them. I have seen that some of them keep regret over time for the previous situation.

Pioneer and Early Adopters groups are the ideal change agents, and it is fundamental to involve them in the early stages of a digital transformation.

First, it is necessary to identify opinion leaders or influencers who are listened to by colleagues and who belong to these two groups.

Only by talking to both operational and managerial people can these people, who are most listened to and most respected in organizations, be identified.

Much attention should also be paid to “conservative” opinion leaders who argue very well about the advantages of continuing with the existing situation.

A careful interview with these people, to probe their reactions to possible introductions of new innovations, especially if they are digital, I have experienced is very helpful.

In particular, it helps to understand possible negative aspects that enthusiasts fail to see.

Once these people from the first two groups have been identified, it is necessary to engage and test their reaction and possible willingness to get involved in experimenting with these new technologies.

Without them, change is destined for failure

But alone they are not enough!

I have personally verified this in the field and will return to the subject in my next article.

Leave a Reply

Your email address will not be published. Required fields are marked *

Other insights into Agile product development that you might be interested in

Discovery & Construction

Product Discovery Product Construction

I talk to you about innovative product development, inspired by the book “
Inspired: How to Create Tech Products Customers Love ” by Marty Kagan. There is a big difference between leading companies and others in the product creation process. The key concept is “product discovery”: exploring and testing ideas before investing heavily. This is integrated with “product delivery” or “construction.” The author of the book stresses the importance of prototypes, which in HW I prefer to call “pretotypes,” and tools such as Lean Canvas and Story Mapping. There is too much focus on Scrum, when instead it is important to create truly useful functionality. The book is recommended for those who want to truly innovate.

Read More "

The pretypes i.e., the forerunners of the product

Pretypes are quick and inexpensive demonstrators to test key ideas before creating complete prototypes. I am talking about an automated palletizing project where we made a pretotype of the most critical component, which was the tray, in just 15 days. We saved several months and significant investment. This pretotype allowed us to validate the best materials with which to build the final tray.

Read More "

What is the Agile Factory – StoryTime Interview

In this interview with Antonio Panareo of Story Time, we talked about the agile innovation factory that I established during my last corporate experience. Establishing this agile factory was a real gamble and I talk about the experience I had with my teams.

Read More "