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6 stages of digital transformation

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Where do you stand in your digital transformation journey?

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March 7, 2023

The hype around digital transformation has been loud. If it achieved half of what’s promised, it would be life-altering and global-shifting.

As is the case with many over-used buzzwords, it has started to lose its definition to the point that no one really knows what it means.

That leaves a lot of us craving clarity.

But one thing we do know is that customers are driving digital change, and we can’t afford to not respond.

It’s a journey we all need to take — and here’s how to measure where you are on that journey.

The stages of digital transformation

1. Business as usual

If your leaders think your legacy systems and processes are working just fine — but somewhere in your organization someone is asking the question — then you’re in the very first stage.

2. Experimental

You have one-off technology projects and some buy-in from some managers. The pockets of digital transformation are targeted in a single, specific touchpoint. But these technology projects are siloed and don’t show business-wide value or aren’t backed by enough people to expand scope.

3. Formalized

You have the support of leadership, funding has been approved, your teams are committed and your culture is embracing change. Now, experimentation from various pockets starts to come together, and new projects are intentional.

  • Most cited benefits are

    1. Improved efficiency
    2. Cost savings
    3. Revenue growth
    4. Data transparency
    5. Data integrity
    6. Better customer experience
    7. Better employee culture
    8. Increased collaboration
    9. Improved agility, innovation
    10. Improved supply chain


    Take our digital transformation quiz to see where you are on your journey.

    Woman in glasses looking at a screen

4. Strategic

You have measurable results, and your success is generating support throughout your entire business. Your projects are intentional, aligned with your business strategy and factor in multiple customer touchpoints. Individual groups have come together to collaborate and share insights — developing cross-team strategic roadmaps that plan for digital transformation ownership, work and investments.

5. Systematic

You have a dedicated digital transformation team that actively contributes to your overall strategy by sharing insights, data and customer-centric goals. The digital transformation team identifies customer journeys, and your company uses that research to alter your infrastructure, business models, processes and systems.

6. Integrated

Digital transformation stops being a buzzword and is now a part of your normal business operations. Your leaders recognize that change is constant and have adopted an agile mindset. Your transformation team is empowered to identify and pilot new technologies.

  • Billy Collins
    Billy Collins
    Senior manager
    Billy puts humans at the center of every digital experience. He brings a user-empathetic perspective to digital strategy and product ideation that uncovers hidden ROI opportunities for clients.
    Contact me

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