Creating value in your business using digital technology

How can you sort through all the hype about digitisation to understand the value technology can deliver to your business? Don Mclean I Partner I PKF Digital I Sydney

We recognise that technology can be both exciting and baffling at the same time. That technology can be a major method of automation and hence productivity in the workplace. It can bring new ways of reaching customers, efficiencies to supply chains and very timely information in order to make business decisions more accurate. Of course it can be more than that too.

So if you are considering technology changes where do you start? And what do you do? And in what order? Despite

there being a vast amount of information via the internet it is confusing. And who to trust? Despite the promise of value and your gut feel that digital technology may help it’s easier to just put your head in the sand and ignore it all.

That’s where the PKF Digital team comes in.

We believe there is no point to digital transformation unless:

• It saves you money
• Reduces time
• Enhances your customers experience
• Makes your employees lives easier
• Increases productivity across your business OR
• Automates mundane tasks and provides timely information to make accurate decisions.

Using a series of diagnostic tools, interviews and workshops we can determine where you would gain the most and determine the additional monetary value any changes will make to your business. This is all within our Value Viewpoint Consulting Engagement. We evaluate your current systems, determine whether they are fit for the purposes you require, and then determine what, if any, changes or additional assistance you may need.

The purpose of the Value Viewpoint is to understand and document the value that you would gain through better use of existing or new digital technologies. Using a combination of your perspective, PKF Digital experience and diagnostic tools we can analyse and determine the most fortuitous use of technology to benefit your business.

The approach is to go through the following three steps, either in person, via video call, or using documents that may already exist.

1. Preparation
2. Participation
3. Plan

The scope can be as exhaustive as you want or can be limited to a quick engagement that gives you an idea of what to do next.

Preparation

BUSINESS STRATEGY. We start by interviewing the key people around your overall business strategy. What is the business seeking to do in the next few years and into the longer term. This may already be documented or it may be something we need to discuss. Either way the key point is that the use of

technology should support the overall business direction and we need to understand that as a first step. (Interview time of no more than 1 hour).

FINANCIAL ANALYSIS. We also need to understand the underlying performance metrics of the business at an overview level. This can be done via interviews and/or annual reports and is done to understand the size and nature of your business from a numbers perspective. It also allows us to get a feel for the underlying cost structures of the business. (Interview time of no more than 1 hour).

DIGITAL DIAGNOSTIC. Using an online questionnaire we would ask your key leadership team members to answer some questions about the current and future use of technology as well as their view on processes and gaps within the business. We use this to understand the overall view of how technology is used in the business. (Up to 1 hour).

DIGITAL MATURITY. As part of the diagnostic process we ask your stakeholders to let us know the level at which they have an understanding of technology, and their views of the whole organisations capabilities; not just from a usage perspective but also from a knowledge of what technology may be capable of. Most importantly what is their propensity to change from the status quo. (Up to 1 hour).

EXISTING TECHNOLOGY. This is usually interviews with the key people who are responsible for technology in your firm. We’d interview to get an understanding of the technology being used right now within the business and where the points of integration (if any) are between systems. (Up to 1 hour).

Participation

On-site Workshop. Using the information from the Preparation stage we would facilitate a face-to-face workshop going through the value chain process of your business. This is to gain an understanding of what you do right now, the opinion of the team about areas that need to be improved and the estimated costs or time being wasted.

Plan

PLAYBACK. Prior to completion of our analysis we would have a playback session to just make sure that what we have heard is accurate and to clear up any misunderstandings or anomalies in our research.

ANALYSIS AND FEEDBACK. We would then take some time to create a recommendation document based on the findings showing the areas that need improvement, how they would be best to be improved and the additional value-added or cost reduction that would result. This analysis would be in the form of a report and summary presentation. If you have a particular audience in mind, for instance, a board of directors we can tailor that presentation accordingly.

NEXT STEPS. At the conclusion of the Analysis and Feedback stage we would look for a consensus of the next steps. You can choose to continue with PKF Digital or progress our recommendations on your own.

The three stage process typically takes 4-6 weeks will give you the way forward with a value-enhancing plan that saves money and time.

For more information on our digital services, please contact Don McLean from your PKF Digital team.