May 17, 2022

The role of leadership in industries’ Digital Transformation

By Andre Andrade

Leadership analyzing industrial production data from digital transformation

The innovation process within industry can be quite bureaucratic. Especially when it comes to large companies, implementing a new technology in the day to day of the workers represents changing the daily routine of hundreds of people, and this requires assertive and precise planning by those responsible for this change.

In a scenario empowered by Industry 4.0, the exchange of paper for digital is already proving to be more than necessary to optimize operations and processes. Moreover, in industries that already use digital as the main tool, the need to improve and optimize processes with new technologies has also become constant.

Understanding that digital transformation can be complex, and that the industrial technologies employed need to be constantly evaluated and improved, the role of industry management is a very big responsibility. Since these people are responsible for running this whole process, it is more than necessary that they have a good vision of the market, and especially of the company’s future and goals.

Therefore, if the industry always needs good planning, it is possible to understand that it needs good leadership as well. Because of this, this post will detail in more depth the role of managers in the industry’s digital transformation journey and what problems can be solved with new digital technologies and good management.

 

The role of managers in innovating and digitalizing the operation

 

To break the rigidity of a consolidated process in a large industry requires a lot of planning. Just as a new technology can transform a company’s operation in an extremely positive way, if the adaptation process is not meticulously monitored, problems can arise along the way.

Because of this, the journey to a successful digital transformation needs to be designed by those who really understand the company and its needs, in other words, the company’s leaders.

Precisely because of all the difficulties encountered in this process, the company’s managers need to constantly seek innovation and have enough influence to transform the industry’s traditional management processes.

To facilitate this process, understanding the company’s business model is fundamental to comprehend the best technology to be employed and, along with this, having a deep knowledge about the customer allows the evaluation of whether the benefits generated by the innovation are relevant all the way from the employees to the final consumer.

Finally, according to McKinsey research, although 68% of the companies surveyed claimed that implementing Industry 4.0 is a top priority for them, only 29% of them were actually in the process of implementing new technologies at scale. In other words, even though the need to invest in digital transformation is perceived, many companies are still lagging behind, and leading an industry in implementing new technologies shows the leader’s potential and prominence in the market.

 

Issues for managers to keep an eye on

 

Fostering innovation and digital transformation can be quite challenging, even more so when you don’t know exactly where to start. The challenges within the industry are numerous, and without proper planning and prioritization, the tendency for results to fall short is much higher.

Because of this, understanding some of the key issues that occur within the industry can facilitate the journey to digital transformation, and it is very important that company leaders take a close look at whether any of these issues or consequences are occurring in their company:

 

  • Lack of data centralization: difficult data analysis, with several different storage systems and poorly integrated platforms, also leading to a lot of time spent searching for information;
  • Low efficiency of operation: due to the lack of constant digital monitoring, many errors occur without having been foreseen, even generating unplanned downtime in production;
  • Unsustainable processes: the lack of proper monitoring of equipment can generate higher rates of pollutant emissions into the environment.

 

Despite being complex problems, the best of all is that the digitalization of the industrial environment provides countless possibilities for operation optimization. If you want to learn more about digital transformation strategies, download our ebook about the subject in the form below!

 

 

Conclusion

 

In other words, leading a team in an industrial environment can be quite challenging, especially during innovation processes that can drastically change the daily routine of hundreds of workers. Breaking down the barriers that hinder the digital transformation journey is usually the responsibility of the managers in charge. But to stand out in the market and bring the best possible results to the operation, this process has become more than necessary.

In addition, reinforcing and fighting for new technologies to be constantly applied represents a higher quality of work for those involved and also helps to solve several problems, such as lack of data contextualization and low efficiency of the operation.

To solve these problems, then, it is necessary that leaders have the knowledge, influence and transforming spirit to deal with all the bureaucracies and propose innovations to the workplace, using all the expertise about the company and the consumer to plan and prioritize actions assertively, generating more optimization and efficiency within the processes and operations.

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