Strategy

Digitised is not disrupted: the trap of software that only moved paper onto a screen

Moving a process from paper to software is progress, but the process stays the same. The organisations pulling ahead are redesigning the work itself.

There is a comfortable story about technology in organisations. First there was paper. Then there was software. Now we are “digital”. The story ends there, with a tick in a box.

It is a good story for the first two chapters. It is a poor guide to the third.

Three words that get used as one

People use digitisation, digitalisation and transformation interchangeably. They are different, and the difference is the point.

Writers on African digital transformation draw the line this way. Digitisation turns paper into pixels: the invoice becomes a PDF. Digitalisation uses digital tools to improve an existing process: the PDF goes into a workflow, and the approval is routed by software. Transformation changes the process, the business model and the culture; moving servers to the cloud does not do that on its own.

Most organisations that say they have “gone digital” have done the first, and some the second. Very few have done the third.

What “digitised” often means in practice

Take one invoice. On paper, it arrives, is stamped, retyped into a ledger, checked by a second person, signed, filed and chased. Seven handoffs.

Digitise it, and it arrives by email, is scanned, retyped into a form, checked in the system and approved in a workflow. Four handoffs. That is a real improvement, and it is worth having.

But look at what stayed the same:

  • A person still reads it.
  • A person still retypes it.
  • A person still chases it.

The work moved onto a screen. It did not go away.

Why this matters now

For decades, that was the best available option. Software could store, route and display. It could not read a messy document, understand what a message meant or notice that something looked wrong. So the people stayed in the middle of every process, as the reading, matching and judging layer.

That has changed. Reading, matching and flagging are now things software can do well enough to be useful in daily work, and cheaply enough to be worth it for an organisation without a data science team. Which means the layer that people occupied for the last twenty years is the layer being replaced.

This is why the category of “just-digitised” tools is exposed. A form that exists mainly so someone can retype a document into it has a limited future when the document can be read directly. A report that someone builds by hand every month has a limited future when the numbers can refresh themselves. An inbox that a team triages manually has a limited future when the first sort can be done before a person opens it.

What the third wave looks like

Back to the invoice. In the third version:

  1. It arrives anywhere: email, a chat message, a portal.
  2. It is read and matched automatically to the purchase order.
  3. It is checked against the contract and the rules.
  4. Straightforward ones move on.
  5. A person reviews the unusual ones and decides.

One human handoff, and it is the one that benefits from a human. The rest is no longer anyone’s job.

Notice what has not happened. Nobody has been removed from the decision. The person who used to retype now reviews exceptions. The work moved up, not out.

What this means if you are earlier in the journey

If you are still on paper, the useful news is that you do not have to retrace everyone else’s steps. Mobile money showed this: many people reached digital payments without ever using a bank branch. The same shortcut exists for the back office. You can skip some of the intermediate stages, and go from notebook to a system that reads and checks, rather than from notebook to spreadsheet to form to workflow to, eventually, something better.

If you have just digitised, you have not wasted anything. The data you now hold in a system is exactly what makes the next step possible. The question to ask is: where in our process is a person still doing the reading, the retyping or the chasing? Each of those is a candidate.

What to do on Monday

  • Pick one process you have already digitised.
  • Count the places where a person reads, retypes or chases.
  • Ask which of those a colleague would be glad never to do again.

That list is your starting point. Not a technology decision, a work decision. We help teams find and rank it in a readiness sprint, and the catalogue of solutions shows what is already built for the common cases.

Sources

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