Reimagining Digital Darwinism can put your organization on an evolutionary path
Article｜2024-9-10
5 minute read
In 1859, Charles Darwin published his findings stating that the evolution—or extinction—of a species is determined by the process of natural selection. Just as this theory explains the driving force behind life itself, evolution is an equally important driver for the survival of businesses of all sizes and across all industries. The good news is that another one of Darwin's principles is also at work in the modern landscape of an increasingly digital world. Namely, adaptation.
Even here at Fujitsu, we had to face the reality of adapting to rapid changes if we wanted to maintain our competitive edge. As Fujitsu’s CDXO (Chief Digital Transformation Officer) and CIO (Chief Information Officer), I was responsible for leading an internal digital DX strategy that—in Darwinian terms—could be the difference between evolving and going extinct. I’d like to tell you about how this strategy started, and how it’s going.
*The affiliations and the content of this article are valid as of the date of its original publication.
Where purpose and strategy meet
The essence of digital transformation (DX) is using data and digital technologies to create new value. Each organization has to ask themselves, ‘how should we change our business model and corporate culture to make it happen?’
That’s a question I’ve been asking myself a lot in recent years and generating a meaningful answer has been a challenging task. When I think back to 2020 when I joined Fujitsu, the topic of DX was in the air. We had just announced our intention to implement a DX strategy, but it was not clear what exactly we wanted to achieve. We had to remind ourselves to always start by asking ‘why are we doing this’ and not ‘what is technologically possible.’
Needless to say, as a company with offices and employees around the world, each with their own unique needs, challenges and business priorities, finding a unifying thread that tied the DX project together wasn’t immediately obvious. The breakthrough came in May of 2020 when we announced our new corporate Purpose: “Make the world more sustainable by building trust in society through innovation.”
Once our Purpose was in place, it opened up the floodgates for all kinds of important changes. Suddenly, the vision of Fujitsu's future through DX became clear. There was now a direct link from DX to sustainable growth, but we had to adopt the mindset that ‘nothing is sacred’ when it came to setting disruptive targets to make these important changes come to fruition. The time had come to adapt and evolve.
Datum 1: DX is not the end goal
Approaching a DX project as a mission in of itself is a dead end. The first step is to determine the ideal state you wish to achieve. Only then can you begin to assess the digital tools to spur the transformation that will achieve that state.
A complete revision
Just as biological evolution is a gradual process, so too is organizational evolution. We are currently only halfway through our DX journey, but it’s easier than ever to picture the positive outcomes at the end of the road. What are they exactly? We refer to them as ‘4X,’ alluding to the transformations we’re advancing in four distinct areas:
- Customer Transformation (CX: A series of business-focused initiatives)
- Employee Transformation (EX: Measures aimed at activating Fujitsu’s people, organization, culture)
- Operational Transformation (OX, Process innovations to optimize operational efficiency)
- Management Transformation (MX, Initiative to spur excellence in leadership)
Source: Ridgelinez (modified)
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Datum 2: DX demands data
Working towards the end goal of a DX project takes an orchestrated effort across departments and regions. It also requires a periodic analysis of the progress being made. Stay the course? Pivot to another priority? Rethink the goals? Those are the questions along the way that lead to the most successful outcomes.
