As they become more senior, executives often have less contact with those at the front lines of their organizations and, as a consequence, their customers. Leaders need to be aware of these blind spots and empower their employees—including those closest to the customer experience—to take ownership of customers’ problems and innovate on their behalf.As leaders develop and iterate their strategy for where they are going and how they will get there, they need to surround themselves with people who have their fingers on the pulse of the organization.

Design for inclusive and agile problem-solving

Today, digital transformation requires upskilling all employees so they can harness digital tools and data. However, executives must first understand the different generations in the workforce:<ul><li>digital natives, who grew up with digital tools;</li><li>digital immigrants, who are open to learning and changing; and</li><li>digital refugees, who avoid digital tools they view as unsettling and scary.</li></ul>All employees need a "basic understanding and comfort" of working with data—its potential and limitations.

Build a data-informed culture by upskilling talent

Digital transformation can be bewildering and exhausting for leaders and employees alike. Emerging digital technologies are disrupting everything from supply chains and manufacturing to selling and distribution, as companies battle to create differentiated end-to-end customer experiences in an unforgiving dynamic economy. As one executive put it, in a hyperconnected world, competitors can "pop up from anywhere and everywhere."With rising expectations of customers and other stakeholders, no company can afford to stand still.

Recognize the emotional side of digital transformation

Companies shouldn’t aspire to create a data-driven culture, but rather a data-informed one. Data shouldn't be touted as a replacement for expertise or experience. Instead, it should enable employees to question the organization’s status quo, using insights from data rather than hindsight or past experience.It’s important to remember that data, like all information, is power, and not everyone will embrace this transition readily.

Manage the power dynamics that come with data

Vision and strategy matter, but without a sense of shared purpose, employees aren’t willing to do the hard work required to build a digitally mature organization. Employees not only want to know where they are going but also why they are going there. Too often, leaders only communicate how digital transformation will improve the company’s performance. Instead, they must develop a narrative—a human-centric story—for how digital transformation will improve the lives or livelihoods of their customers and other stakeholders.

Align around a customer-centric narrative

Is your company reaping the rewards of digital transformation yet? Linda Hill and colleagues offer seven guiding principles for transformations at any stage—nascent, progressing, or stalled.

Align around a customer-centric narrative

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4. Strategy

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