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Digital transformation and the fear factor

June 30th, 2023 by DIGITAL2GO in Digitization

Digital 2 Go
5 Minutes read

Scepticism and change are a really successful pairing. After all, they always show up together and can only be pulled apart with a lot of effort. If this scepticism towards new things has been transformed into understanding, however, the result is often an agility that not only admits innovation but drives it forward enthusiastically. Digital transformation needs this enthusiasm but not to the extent of missing its target.

The aim of digitalisation and the question “Who rules over whom?”

The kind of digital transformation that we are currently experiencing as part of the Fourth Industrial Revolution is posing huge challenges to our society and businesses. Many things are needing to be fundamentally re-envisioned; existing wisdom is having to be questioned; and completely new things are emerging. This is giving the process of change a degree of dynamism that is pushing even the pioneers and drivers of these processes up against their limits. The speed and complexity of the digital transformation with all its consequences are both extremely high. Yet it is precisely here where it is useful to bear in mind what digitalisation essentially means: “Saying goodbye to repetitive tasks to gain time for more meaningful things,” as said Mario Fraiß, external digital consultant, in his keynote address at this year’s ILS in Leoben. In a business context, of course, digitalisation means greater efficiency. But it also means human beings are in control of the technical processes, not the other way round. Since some processes and organisational structures are changing completely or even coming apart and being reassembled in the course of digitalisation, there are a lot of fears, inhibitions and reservations.

Fundamental changes and fundamental reservations

A survey run by the Friedrich-Ebert-Stiftung in Germany on the issue of digitalisation could be summarised as follows: “I think the new technology is probably good, but it’s not for me.” This is because, although 68% of respondents recognised the benefit brought by the past ten years of technological advancements, 62% thought that the onward march of digitalisation was not focused on the needs of human beings. This is a fertile breeding ground for all kinds of different fears to spring up as soon as the wave of digitalisation hits the company where you happen to work. Whether it’s a family firm, a small business or a global corporation, fears and reservations amongst staff are the biggest inhibitors to any kind of innovation. And, the bigger and more radical the new thing is, the bigger and more diverse their fears will be. The best remedy for fear is still “doing”.

Doing, not fretting

“A survey of 160 companies showed us that staff are much more accepting of digital technologies when you send them on training. We use Voladigital to create specific training courses that let participants employ digital technologies by themselves and then feel the effect [higher productivity, quality, etc.] straight away.”  Maria Hulla is head of the Industrial Management working group at Graz University of Technology and is familiar with the concerns and reservations felt by employees at all levels of the company hierarchy.

Academies and thought incubators such as those that Graz University of Technology offers in the form of Voladigital and the LEAD Factory can help provide a “safe” environment for learning to handle digital transformation. Their curriculum has a highly practical bent and includes lean management, digital learning by doing, agile production and gamification all the way through to energy efficiency and conserving resources. Students learn that, rather than being an end in itself, digital transformation is designed to help make business processes more efficient and take over “dumb”, repetitive tasks to assist people and make life easier for them. Besides manual tasks, this also involves decision-making processes. Data-driven decision-making, or DDDM, is likewise a product of digitalisation. “Augmented intelligence, or AI for short, means artificial intelligence and human judgment working together to solve problems in decision-making,” says Mario Fraiß, explaining this area of human-machine collaboration. “Rather than making its own decisions, the artificial intelligence plays a supporting role here.” Speed and complexity are thus reduced and cushioned by “machines” without trampling all over human beings – instead, they are supported, which is the aim of digital transformation. And that too can be learnt. The sooner the better.

Don’t jump the gun – but don’t wait too long either

Although allaying fears and reservations will go a long way towards making any digitalisation project a success, everything hinges on having the right sense of proportion for the right strategy. At Graz University of Technology, people can get help with identifying a process for finding the “right” technologies for their companies and for implementing and actively embracing these technologies while taking their people and organisational structure into consideration. Digitalisation has massive potential for making industrial production around the world more efficient, more sustainable and more intelligent. A beneficial relationship between humans and machines that takes responsibility for all resources is a stated aim of sustainable digitalisation. The sooner we begin to look closely at our company, our organisational structure, our workforce and thus ourselves, the more time we will have to find the right path and learn the right approach. Because there can be no more progress without digitalisation. We would be happy to provide you with comprehensive support as you embark and continue on the path to digital transformation. The first simple step is to arrange a consultation: https://digital-2-go.com/kontakt.

Sustainable digitalisation, step by step https://digital-2-go.com/.

 

Supported by the learning factories at Graz University of Technology:

Voladigital https://www.tugraz.at/en/institutes/iim/research/research-projects/voladigital

LEAD Factory https://www.tugraz.at/en/institutes/iim/facilities/lead-factory

Maria Hulla is head of the Industrial Management working group at Graz University of Technology/Institute of Industrial Management and Innovation Research.

Mario Fraiß studied information management at FH JOANNEUM University of Applied Sciences. He works as an external digital consultant supporting companies and management boards.