Driving Digital Transformation: Key Takeaways

Professor Ravi Bapna and Dr. Sameer Badlani share their insights on digital transformation in business and healthcare in the latest installment of Carlson School’s Insight to Action series. Check out these highlights from their conversation:

4 Major Trends Driving Digital Revolution

1. In the digital-first world, the products and services begin as the “worst versions of themselves.” The acquisition of personalized data helps them transform into more useful and more valuable resources for the consumer.
2. Every company is a software company in a digital-first world. Software, algorithms, and digital tools have zero marginal cost to reproduce once they’ve been built and customized to run the unique business. This has helped businesses, services, and products of all types begin to unbundle.
3. Data is an asset for every company, as long as they have a plan to use it.
4. Organizations that see what’s possible with their data and would like to deliver a digital-first experience to customers, need to have an adaptive, agile culture. All types of businesses are competing with tech companies to deliver their traditional product, service, or experience in a new way.

Companies Can’t Survive Disruption Without a Digital Strategy

Companies that are experiencing disruption, aren’t able to compete by doubling down on formerly successful strategies. Without a digital hybrid model, the path forward is going to be extremely challenging. Compare Target to Sears; both companies were challenged by new growth from companies like Amazon. Target remained successful by developing new digital and hybrid shopping experiences. Sears crumbled without a meaningful strategy beyond brick and mortar.

Digital Thinking Expands Your Relationship With Customers

Digital platforms help companies of all types expand their services and relationships to customers. To that end, healthcare systems have to stop thinking of themselves as “the people who take care of you when you’re really sick.” In reality, they can work with customers to help them stay healthy their whole lives. Tech and pharmacy companies are already doing this with platform models that provide good customer experience on the front end and huge data reserves on the back end that they can then leverage into competitive advantage.

Digital Solutions Work When They Create Better Experiences for People

Personal banking is an amazing example of how digital solutions can make life easier and more pleasant for the customer. Now that many personal banking tasks can be completed online, people no longer have to wait in line and deal with paperwork, account numbers, and complicated steps. Now, when you need to go into a bank, the staff is able to offer you a nicer, more personalized visit. The people in the branch can focus on relationship building instead of transactions. Expanding this idea to healthcare and other industries is a huge challenge, but vital for the future.

Health Data Could Fuel Personal Connections

Depending on how it’s used, data from Apple Watches, FitBits, and other devices could free up time for doctors and nurses to build relationships with patients, similarly to the banking example. These devices can also help with setting up hospital-level care at home and urgent care through video visits.

Will the Digital Divide in the U.S. Help or Hurt Healthcare Divide?

Digital offers an opportunity to provide healthcare access to new people and use data to help people lead better lives. However, digital access is becoming a way that divides people further. Decisions such as the type of medical care (in-person, telephone, or online) that insurers choose to reimburse could create even deeper barriers to care and exacerbate the consequences of limited digital access. Without our efforts to increase digital access and provide multiple ways to access high-quality healthcare, this will only continue.

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