Let’s play a quick word association game. I say ‘digital transformation,’ and you think… technology, right? AI, machine learning, automation, all the buzzwords. It’s natural; we’ve been conditioned to think this way. But let me tell you something: Digital transformation is not actually about the technology. It’s about rethinking the way a business operates and delivers value. Yet so many companies are missing this point, and it’s costing them more than they realize.

Picture this: A company invests millions in cutting-edge technology. They bring in the latest AI, they move their entire infrastructure to the cloud, they even automate all their customer service. But after the dust settles, their processes are just as messy, their employees are frustrated, and, worst of all, their customers aren’t any happier. Sound familiar? The big question is—why? They followed the playbook, right?

Here’s the problem. Companies think they’re on the digital transformation train, but really, they’re just on a tech shopping spree. The truth is, if you’re only focused on the technology, you’re going to hit a wall. Digital transformation isn’t just about buying new toys; it’s about fundamentally changing your approach. And that, my friends, is where so many initiatives go wrong.

Let me break it down. When companies invest in tech without changing the way they work, they’re like a chef who buys all the best ingredients but has no recipe. They’ve got the tools, but not the plan. And they wonder why the dish doesn’t taste right!

The focus has to be on people and processes just as much as—if not more than—the technology. Because technology alone doesn’t fix broken processes. In fact, it tends to magnify them. If you’re inefficient without automation, you’re just going to be inefficient faster with it.

And it’s not just about inefficiency. There’s also the human element. I’ve seen it time and time again: New systems come in, and employees are lost or even resistant to change. You know, that feeling of ‘Oh, great, another tool to learn’? When people aren’t brought along in the journey, they can feel like they’re being left behind. And as that gap widens, so do the problems.

So, what’s the real solution? It’s simple. We need to start with strategy and people first, and let the technology follow. Think about it this way: Technology should be there to serve your vision, not create it. And to get there, we need to do three things.

First, align the technology with your goals. Ask yourself, ‘What are we trying to achieve?’—not just, ‘What’s the coolest tool out there?’ Because when we’re clear about the goal, the right technology naturally reveals itself.

Second, invest in change management. And by that, I mean preparing, equipping, and supporting your people through the change. They need to understand not just how to use the new tools, but why they’re important. If people feel involved and empowered, they’re far more likely to embrace the journey.

And finally, streamline your processes before you introduce new tech. Because, let’s face it, technology just speeds up what’s already there. If your processes are outdated, tech will only help you make outdated decisions faster. So, get those foundations right first.

Let me share a quick story. I worked with a company that wanted to automate their customer service. They spent hundreds of thousands on the technology. But they hadn’t fixed their internal processes or involved their teams in the change. So, they ended up with automated customer service that answered questions customers didn’t even have! They’d skipped the essential steps—strategy, people, process—and gone straight to technology. It’s a bit like building the second floor of a house before you’ve poured the foundation.

Digital transformation is about creating an ecosystem where people, process, and technology work in harmony. It’s about making sure that every step forward is intentional, that it brings your teams and customers along, and that it builds real value for your business. It’s not about adding complexity but creating simplicity, where each piece of the puzzle fits together to support your vision.

So, next time you’re tempted by that shiny new tech, take a step back. Ask yourself, ‘How will this help us solve a real problem for our customers? How will it support our people?’ Remember, transformation isn’t a one-time event—it’s a continuous journey. And it starts with a strong foundation, clear goals, and a commitment to bringing people along for the ride.