Common myths about digital transformation of organisation


HR Katha breaks a few myths associated with digitisation.

Digitisation is the latest fad in the business world. Not only is it highly overused but also used without context. Most people believe that digitisation will competently transform their business. Yes, it may do so but not the way one would expect it to. People associate quite heavy words with digitisation—amazing, fabulous, terrific, incredible, and the most commonly used term is revolutionary. HR Katha identifies a few myths associated with digitisation.

Myth #1: Every company should digitally transform
No! Every company or every function within it doesn’t need to be digitally transformed. For any initiative undertaken by a business, the final outcome should be governed by market share, revenue, and profit. Therefore, unless an organisation makes a convincing business case of the digital transformation, the entire effort goes futile. So, do not opt for digital transformation, just for the sake of it.

There will be a time when an organisation will experience a decline in the efficiency of its rules, processes, models and systems. That’s the right time for a digitisation drive.

Myth #2: Digital transformation is all about disruptive technologies
Digital transformation is about the operational and strategic technologies used in day-to-day activities, for instance, networking and database management, ERP (enterprise resource planning) or CRM (customer relationship management software). The impact is maximum when digital transformation is applied to technologies that are widespread.

Myth #3: Digital transformation results in complete transformation, overnight
Absolutely wrong! Yes, digital transformation has transformed businesses, but certainly not overnight. Take the banking industry, for instance, where transactions have moved from a paper-based system to a nearly ubiquitous digital experience, where transactions happen through smartphones. A revolutionary change, indeed! But mind it, this did not happen overnight. And not just digitisation, there were several other factors that played a role in transforming business. In the case of the banking industry, the transformation happened via multiple incremental steps over nearly two decades.


Read this to know why digital transformation can’t succeed without people and HR.


Myth #4: Big profitable companies are most likely to get digitally transformed

True, but not completely. In fact, companies which are struggling are much more motivated to transform themselves, simply because they need to change something to survive. Studies suggest that most human beings are resistant to digital change in their place of work, as it displaces them from the comfort zone they have been used to. But they become receptive to this change when they learn that it is crucial for their very existence. Any kind of change is expensive, time-consuming, inexact, and painful, and when one is undergoing such ordeals, it’d better yield results.
Successful and profitable companies, on the other hand, are more cautious and are wary of any change or disrupt the tried and tested methods unless they are compelled to do so.

Myth #5: Digital transformation is all about improving IT
IT is only the delivery agent, but the change happens starting from leadership to grassroot level. Only then does the entire exercise become successful. In the digital age, strategy creates competitive advantage; people and a culture of innovation sustain it, and technology and communications are the means by which it is delivered.

With these common myths around digital transformation, organisations can at times stray away from their real purpose behind taking up the transformational journey. Hence, a careful analysis of existing processes and the challenges therein is the right way to begin. It is important that an organisation analyses and identifies its problem areas, carefully defining the need for digitisation and then seek the right technologies and expert help to embark its digital transformation journey.


  1. Appreciate this article as a lot of people think digitization will disrupt everything; it helps disruption but all digitization is not disruptive.

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