Brands can improve return on KPIs in digital transformations by making important enterprise metrics more visible and valuable.
When it comes to digital transformation, companies often measure the wrong KPIs, like the number of users per licence purchased, resulting in unsatisfactory results. Instead of leveraging enterprise KPIs that help assess tech infrastructure, transformational leaders plan their digital initiatives around strategic objectives to measure business value.
Enhanced digital capabilities, however, are critical in meeting strategic objectives in platform economics, as they can manage supply chain issues, enhance customer experiences, and more. KPIs are considered as reporting and accounting methods rather than strategic decision drivers and they are unvalued and neglected as analytics assets for digital transformations.
The article contends KPIs should drive digital transformations, and the leadership team must identify and convey the key indicators and digital capabilities required to execute strategic plans. Incorporating better and smarter KPIs into digital transformation can help companies improve data governance, enhance predictive analytics, and improve their decision-making. Leaders can determine which digital transformation efforts are most likely to result in higher efficiencies and better outcomes by defining, creating, and delivering transformational KPIs.
[16 minute read]