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The pandemic has been a real test of digital capabilities

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for many companies, and it has brought the future forward.

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As a result, digital transformations have become

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the number one strategic imperative for most organizations.

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But our research shows

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that only 30% of digital transformations succeed

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in achieving their outcomes and creating sustainable change.

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So the most important question for executive teams

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is how to assure success?

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BCG has studied over 70 digital transformations

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that we have done with our clients,

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and this proprietary, empirical data has allowed us

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to determine what drives success.

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Six factors, if properly addressed,

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can flip the odds of success from 30% to 80%.

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The first factor is having an integrated strategy,

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which brings together an overarching vision,

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strategic initiatives, and quantified business outcomes.

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The second factor is a commitment to the transformation,

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not just by top management, but also by middle management.

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Third is deploying and managing high-caliber talent,

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including digital skills,

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as well as change management skills,

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like resilience, perseverance, and influencing skills.

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The fourth is an agile governance,

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which drives agile, mission-oriented ways

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of working in the organization.

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Then there is effective monitoring of progress

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with clear metrics and clear accountability for delivery.

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And lastly, we have the deployment

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of modular, cloud-based technology and data platforms,

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specced and built in line with business needs.

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There are three observations worth noting.

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Firstly, you have the maximum chance of succeeding

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only when you address all six factors adequately.

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Secondly, these six success factors are industry agnostic

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and hold up across all the regions of the world.

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Thirdly, the success factors are not influenced

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by either the breadth

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or the scope of digital transformations.

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The six factors are the empirically derived recipe

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for success in getting your company from its current state

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to a digital end state, which we call a bionic company,

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combining human and technological capabilities

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for bionic outcomes, which are self-sustaining.

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Digital transformations are an imperative

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in our pandemic-affected, digitally-disrupted world,

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but a 30% success rate is daunting.

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BCG's proprietary research

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flips the odds of success from 30% to 80%.