Four Traits that Separate the Digital Leaders from the Laggards in Power and Utilities

Even before the pandemic upended business as usual, utilities and power companies were poised for a decade of unprecedented turbulence as climate change, the transition to cleaner and renewable energy sources, a generational shift in the workforce, and new operational technology were combining to require new ways of working. This change is only set to deepen and enhance the operating models of those companies best poised to take advantage.  

These changes require a shift in mindset. As young executives enter the workforce, some are driving new, more agile operating models. Other leaders are having trouble pivoting from the new way of thinking: no longer a cautious utility but something more agile.  

In September 2021, Oil and Gas IQ brought together utility industry leaders from across North America and Europe to discuss key opportunities in digital transformation. Our full report, Five Key Digital Transformation Trends and Challenges in 2021 for Power and Utilities, offers insight into what’s ahead for the industry and how to get ahead of the transformation curve.  

So, what separates successful digital leaders from the laggards?  Here are four traits that our executive roundtable identified as critical to digital transformation leadership:  

#1: Curiosity:  

Utilities are, by nature, conservative industries that are highly regulated. As digital transformation increases the rate of change, leaders must be willing to explore “what’s possible” rather than locking into what the organization has done before and pointing out all the reasons a new approach won’t work. “That’s not the way we do things around here” or “the regulator won’t like that” is not the mentality that leads to a cutting edge approach. Project sponsors need to be open minded about the new ways the company can operate.  

#2: Listening and observing: 

Frontline employees and field workers are ultimately the people who will be using technology and they need to be actively engaged during the change process. Transformation should be something done “with” employees rather than done “to” them. 

#3: Starting with the “why”:  

Any business change program must be driven by a strong business case and understanding of the proposed value it will bring. Companies that don’t have a roadmap for how technology supports business strategy risk chasing the latest fad without realizing the benefits.  

#4: Strong process discipline: 

Transformation is difficult, especially in a complex industry with field workers and different work sites. A strong understanding of operational processes is critical to being able to drive change across an entire organization. You have to understand how the business currently works in order to understand how you’re changing it. That allows you to help staff pivot to the new way of working.  

Download the full report here: Five Key Digital Transformation Trends and Challenges in 2021 for Power and Utilities  

What do you think? What else does it take to become a digital leader in power and utilities?