Why is effective program design and execution important?

Digital transformation isn’t simply adoption of technology for the purpose of spot efficiency gains. It’s a foundational change, integrating digital technology into all areas of a business, fundamentally changing how businesses operate and deliver value to customers. Sometimes that involves turning business and organizational models on their head and in others, it’s more of an evolution that unlocks further value in current models through the lens of technology.

In all cases, the work required for digital transformation is a mixture of different initiatives that are all directed toward a common, shared goal. Yet surprisingly, one often overlooked discipline necessary for digital transformation success is program design and execution.

For a true digital transformation, program design is critical for assembling and aligning initiatives in a manner that harnesses their collective power but is also not restrictive to the goals and objectives of each. Good program design makes the management and governance of execution easier.

Businesses often look internally to design and lead digital transformation programs as a secondary exercise, choosing to invest in external partners to collaborate with their subject matter leaders in the individual initiatives of the program. Putting the collective muscle where it can create the most momentum isn’t wrong, it just isn’t complete. Programs that grow organically rather than being intentionally designed are most often unsuccessful in meeting expectations and take an unnecessary toll on leadership when it comes to effectively steering the business.

Businesses eventually realize that they simply do not have enough time or manpower to plan, develop and execute their program. They spend the majority of their time governing the program and not nearly enough time participating in critical conversations that actually drive the program forward. So rather than delivering value, they find themselves simply documenting and controlling the program, merely striving to keep it afloat. This can result in:

• Busted budgets: Approximately 28% of businesses that launch digital transformations go over budget (IFS, 2020)
• Missed timelines: Roughly 33% of businesses overrun their planned timeline (IFS, 2020)