Organizational success depends on knowing how to think in a digital way. What’s up? In the technology-driven business world of today, Bhrugu Pange, Managing Director of AArete’s digital and technology practice, says that a digital-first approach is not only a competitive advantage but also a must.
Research shows that a workforce that knows how to use digital tools is more productive and efficient, and is more likely to make customers happy.
What is a Digital Mindset?
According to Paul Leonardi, a professor in the Department of Technology Management at the University of California at Santa Barbara, and Tsedal Neeley, a professor of business administration, the term “digital mindset” refers to “a set of attitudes and behaviors that enable people and organizations to see how data, algorithms, and AI open up new possibilities and to chart a path to success in a business landscape increasingly dominated by data-intensive and intelligent technologies.”
“The Digital Mindset: What It Really Takes to Thrive in the Age of Data, Algorithms, and AI” was written by the two of them (Harvard Business Review Press, 2022).
Business leaders can help their employees learn how to think digitally. Pange said that it is a crucial step in using the right productivity and communication tools to record, analyze, communicate, and learn across all work functions.
Effectively Implementing Digital Tools in the Workplace
But giving workers digital tools isn’t enough, because even great workers may not use them because they don’t want to change, Pange said.
To get past this, digital tools should make employees’ jobs easier so that they look forward to using them.
The tools need to be easy for employees to use and not get in the way of their work, so that they can’t imagine working without them.
“For instance, think about trying to drive around a new place without a GPS,” Pange said. Like GPS, digital tools should give you information you can use to improve your work.
Pange said that formal and informal training can also make people more likely to adopt. Formal training includes classes and instructions, while informal training can include tips from coworkers and loosely organized networks.
Keeping Up With Changing Needs by Working as a Team
Digital technologies are used to collect, produce, and analyze a lot of new data, which means that employees and organizations are in a constant state of change. Leonardi said, “We’re always switching from one set of business practices or models to the next.”
He also said that organizations need to get into the habit of trying new things and getting feedback on what works and what doesn’t. Leonardi and Neeley found that collaboration is a key part of having a digital mindset.
Also, the way people work together is changing. Leonardi said that for collaboration to work, everyone needs to be there for each other, even if they are working from different places and almost all of their interactions are done through digital tools.
Also, Leonardi said that in a digital workplace, robots that are powered by artificial intelligence (AI) are quickly becoming teammates and colleagues instead of just tools.
For example, both employees and business leaders need to know if they can trust a computer’s predictions and how to tell a computer system to do what they want.
Getting Information and Analyzing It to Help Make Business Decisions
Leonardi and Neeley found that computation, or working with data, is another part of having a digital mindset. It’s important to know how different technologies collect, sort, and store data so you can make good decisions and keep your predictions from being affected by bias.
Just as important, business leaders need to learn how to present data to key stakeholders in a way that makes them want to act on what they’ve learned.
Among other things, one way to plan for a digital transformation is to figure out how new tools will help the business do better.
Leonardi said that digital tools should be seen as a way to improve organizational performance and solve problems, not as an end in itself.
Leonardi said that leaders also need to make a culture that is open to change. In a digital world, companies are always switching from one set of practices or business models to the next.
This is mostly because digital technologies are collecting, making, and analyzing a lot of new data.
Businesses can no longer start big change projects and then wait for the next big thing to happen. Leonardi said, “In the digital world, you have to learn how to change all the time.”
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