Balancing Innovation & Strategy in Digital Transformation

Norma Dove-Edwin is a commercially led technology executive with two decades of experience in the field of digital data and technology (Now, AI). Being a seasoned business leader, she focuses on business strategy and alignment; digital transformation: vision, strategy and frontline operationalisation; product model and agile ways of working; enterprise data management, analytics and AI.

In a recent conversation with the Global Woman Leader Team, Norma talks about digital transformation and digital innovation with regards to global firms. She also speaks about human-centered design, customer-centric technology solutions with a focus on Artificial Intelligence (AI), emphasising on performance management.

Read the article to know more.

How do you differentiate digital transformation from digital innovation? How do you ensure these efforts align with business objectives and the evolving needs of customers & employees?

Digital transformation varies depending on context, starting points, and desired outcomes. For me, it involves moving an organization from A to B—whether through changes in operating models, processes, or new business lines—while simplifying, increasing productivity, modernizing, and adopting new technologies. The ultimate goal is to serve end users, including customers, partners, stakeholders, and colleagues, by changing how a business operates and is underpinned by technology.

When it comes to digital innovation, I see it in two ways. First, as a horizon-scanning approach, where a team explores new or existing technologies with the end user in mind, aiming to drive continuous improvement. Second, as an ongoing process of day-to-day enhancements, ensuring the organization consistently improves on its previous best. Both approaches are essential for driving meaningful innovation.

How do you encourage your global team to make data-driven decisions while keeping leadership human-centered? Can you share a story where finding this balance had a significant impact?

The Innovation Lab model focuses on exploring frontiers and demonstrating the value of new technologies through a minimal viable product. A key aspect of this approach is alignment—ensuring that initiatives align with the organization's purpose, vision, and strategic goals. It's critical that digital technologies, especially AI, are directed toward achieving desired outcomes. Addressing the challenge of data and AI requires a data-driven approach across global teams, rooted in a human-centered design. It begins with understanding the outcomes and needs of the end users. What are they trying to achieve? What challenges or unanswered questions do they face? Their needs must guide strategy and performance considerations.

To maintain a human-centered approach, focus on end users—customers, partners, colleagues, stakeholders, or regulators—and what they are trying to achieve. Prioritize their needs over wants or desires. For example, end users may need AI-driven tools like automation, robotics, simulations, or digital twins to accomplish daily operations effectively. Once those needs are met, continuous improvements can address their wants, enhancing their experience. Finally, innovations can fulfil their desires, delivering an exceptional experience. The best outcomes arise when solutions are co-created and co-designed with end users, particularly in AI. Their voice must be an integral part of the process.

Traditional ROI metrics don’t always capture the full picture, especially in digital transformation. How do you go beyond the numbers to measure success?

This ties back to the initial question about customer-centric technology solutions, whether AI, robotics, analytics, digital twins, or user interfaces. If you understand the purpose and goals, you can measure headline objectives, such as reducing time to market, improving customer experience, onboarding more customers, or enhancing employee wellbeing. Metrics extend beyond revenue and EBITDA to include qualitative factors like internal surveys on wellbeing, productivity, and efficiency, as well as customer experience surveys.

In any transformation or operation, mapping the value chain and customer journey is crucial. By substituting "customer" with "colleague" or any end user, you can measure the entire process: the emotional side of the customer experience, the usage of digital tools, and the outcomes. These outcomes might include improved satisfaction, higher revenues, quicker time to market, or faster adoption of innovations.

Performance management is key—set clear criteria and use data to evaluate if your tactics are effective. Finally, avoid implementing technology for its own sake. Technology is a powerful value creator, so it’s essential to define the value you aim to achieve before pursuing any technological solution or upgrade.

How do you balance pushing for digital innovation with ensuring strong risk management frameworks in large, complex organizations with strict regulatory standards?

It’s important to have a strong partnership with the regulator, meeting regularly to understand their needs, goals, and perspectives. Innovation plays a key role, and by addressing key questions, focusing on needs, and leveraging tools like innovation labs and Horizon Scanning, you can explore new technologies and practices from other industries to push boundaries.

A strong relationship with the regulator, general counsel, and risk management team helps strike a balance between innovation and compliance. In some companies I’ve worked with, we’ve influenced regulations through innovation, always prioritizing safety. Safety should be central—whether for employees, customers, or the products themselves. Demonstrating how innovation improves safety can support pushing boundaries while aligning with regulatory expectations. Lastly, companies must assess their own risk appetite and thoroughly understand the potential downsides of innovations, along with strategies to mitigate negative impacts.

Many organizations struggle to align digital initiatives with core business goals as priorities shift. How do you ensure this alignment stays on track? When priorities evolve, how do you recalibrate strategies while maintaining momentum in transformation efforts?

Alignment is one of the most important aspects of success. It begins at the top—with the CEO, executive team, and board. I believe in having three or four headline goals for the entire organization, ensuring these are communicated clearly and adopted across teams. Alignment with technology, digital, and data is critical. This requires a well-defined digital strategy—whether focused on digital, AI, data, or technology—that is integrated into the core group strategy. It should not exist as a standalone element but must directly support and align with company goals. A clear North Star is essential, defining how technology can create or protect value while underpinning the core business objectives.

Operationalizing this alignment involves adopting a product-based or agile model. All work should serve the product, which represents outcomes tied to core business objectives. This approach shifts focus from isolated, short-term projects to outcomes directly linked to business goals. Co-designing and co-creating with end users ensures the value delivered aligns with those goals.

Quarterly planning sessions, or business reviews, are crucial for maintaining alignment. These cross-functional meetings involve end users, sponsors, and technology teams to evaluate priorities and ensure they remain aligned with strategic objectives.

Two key elements are essential: A strategy North Star—a digital or technology strategy rooted in core business objectives; A value-driven operational model that maintains a golden thread connecting all work to business goals.

Finally, prioritization is critical. Companies often spread themselves thin across hundreds of projects that fail to shift the dial or align with strategic goals. Success comes from focusing on the top priorities and transforming the mindset and ways of working to ensure all efforts drive tangible value.

How is digital transformation evolving from discrete projects to a continuous process? What steps should industry leaders take to organize teams and allocate resources to support this shift?

This ties into the questions and responses regarding working, thinking, and operational models described above. Transformation depends on where you start, and all transformations have a catalyst. Initially, the curve is steep, requiring continuous marginal improvements in an agile manner, involving significant efforts. An analogy is a plane taking off: the transformation begins with high momentum, like a plane accelerating down the runway before a steep climb. This initial phase drives momentum. Once companies "level off," they transition into continuous improvement, which is vital. Transformations should not have a defined start and end but should integrate into daily operations, becoming routine rather than discrete projects.

To sustain momentum and stay ahead or in line with the technology curve, companies must embrace continuous transformation. The approach depends on the industry—some aim to lead on the bleeding edge, while others benefit from being fast followers. Leaders should structure teams around products and outcomes, working cross-functionally. Teams should include representatives from digital, IT, product owners, customer experience, finance, risk management, and infrastructure—ensuring equal voices and breaking silos. This team mindset focuses on delivering value, aligning efforts directly with business objectives and strategic outcomes.