Which is not only relevant for the company’s digital structures, but also for its product and service portfolio.

Heide Abelli, senior vice president, content product management, Skillsoft, is of the view that digital transformation enables an organisation to compete in the ever-changing digital economy, more effectively. Today, individuals, irrespective of the industry, are using advances, such as sophisticated data analytics, the Internet of Things, social media, smart embedded devices and a combination of new technologies and traditional technologies to change customer relationships, internal processes, business models and value propositions.

“This means that in a smart interconnected world, technical functions and traditional business functions need to join forces in new ways and organisations need to adopt new modes of operating,” she says. She further shares that companies that embrace digital transformation enjoy 16 per cent higher revenues, generate 26 per cent more profit and have 12 per cent greater market valuations. Still, however, less than half (46 per cent) of the companies are investing in skills to prepare the organisation for digital transformation.

“Clearly, L&D departments and HR functions have a lot of work ahead to ready their organisations for all the implications of digital transformation,” Abelli asserts.

Hence, it’s advisable to evaluate the business on digital preparedness and then take the plunge. A systematic self-assessment is a must. It establishes a long-term foundation for making investment decisions, and helps functions collaborate better, which is not only relevant for the company’s digital structures, but also for its product and service portfolio.