Digital technologies can bring significant new value, but organizations will only unlock that potential if they have the right digital culture ingrained and in place. Currently, that is not happening. Employees are being sidelined and disenfranchised in the culture change journey, and the gap between leadership and employee perceptions is stark. There are three key aspects to ensuring the success of your company undergoing digital transformation. These are: leadership and talent, culture and change management.

1. www.humanikaconsulting.com
www.hipotest.com

3. Seta A. Wicaksana
0811 19 53 43
wicaksana@humanikaconsulting.com
• Managing Director of Humanika Amanah Indonesia –
Humanika Consulting
• Managing Director of Humanika Bisnis Digital – hipotest.com
• Wakil Ketua Asosiasi Psikologi Forensik Indonesia wilayah DKI
• Business Psychologist
• Certified of Human Resources as a Business Partner
• Certified of Risk Professional
• Certified of HR Audit
• Certified of I/O Psychologist
• Dosen Tetap Fakultas Psikologi Universitas Pancasila
• Pembina Yayasan Humanika Edukasi Indonesia
• Penulis Buku : “SOBAT WAY: Mengubah Potensi menjadi
kompetensi” Elexmedia Gramedia 2016, Industri dan
Organisasi: Pendekatan Integratif menghadapi perubahan,
DD Publishing, 2020
• Organizational Development Expertise
• Sedang mengikuti tugas belajar Doktoral (S3) di Fakultas Ilmu
Ekonomi dan Bisnis Universitas Pancasila Bidang MSDM
• Fakultas Psikologi S1 dan S2 Universitas Indonesia
• sekolah ikatan dinas Akademi Sandi Negara

4. Introduction

6. Background
• it’s a pre-requisite that is beyond the grasp of many companies as they
look to drive innovation and change through smart technologies and
data.
• For most, cultural issues continue to block digital transformation and it’s
a problem that’s worsening. In 2011, a majority of respondents (55%)
said that culture was the number one hurdle to digital transformation
but in next research, this figure has actually risen to 62%

7. Why Is Embracing A Digital
Culture So Important?
There are several reasons why a digital culture should matter to
your organization to support digital transformation. It impacts
corporate culture just as much as business models, but why?
• Breaks hierarchy and speeds up work – it’s crucial to let
employees make their own judgements and breaking down
the hierarchies empowers people to make quicker decisions.
• Encourages innovation – digital culture enables organizations
to foster a workplace that motivates employees to try new
things whilst enhancing the learning of your workforce.
• Attracts new age talent and retains current workforce –
Millennials and GenZs no longer want to work in a 9-5
environment. They want to be part of a digital culture that
allows a collaborative and autonomous workplace. It also
increases employee engagement, permitting them to bring
their voice of opinions and create an impact.
https://gdsgroup.com/insights/technology/what-is-digital-
culture/#:~:text=A%20digital%20culture%20is%20a,think%20and%20communicate%
20within%20society.

8. It’s been reported
that 1/3 of key
decision makers
state that culture is
the most significant
barrier to digital
effectiveness
followed by a lack of
understanding
digital trends.
culture is the
most significant
barrier to digital
effectiveness

9. culture is the
most significant
barrier to digital
effectiveness
• Culture and behaviour are
seen as greater potential
barriers than knowledge and
understanding, talent,
structures,funding and even
technology infrastructure.
• Selecting adjectives to
describe the key
characteristics of digital
culture is arguably the easy
part but since culture and
behaviour so fundamentally
inform, shape, and influence
working practices, strategies,
orientation, actions, values,
it’s worth touching on some of
these attributes to better
explain what I mean.

10. In Such A Competitive Market, It’s
Increasingly Important To Create
A Digital Culture In Your Business
To do this, you need to ensure your employees are informed, engaged and empowered
to help cultivate a digital mindset. But how can this be done?
• Embracing transparency – it’s important that everyone in the business is aware of
the impact that digital can have on revenue, sales and productivity.The starting
point to building a digital culture is in transparency. This can be achieved through
your social media groups, memos, monthly forums and blogs.They can offer ways
for employees to communicate with each other to facilitate transparency.
• Encouraging collaboration – When employees enjoy working together it improves
workflow. Ideas become more proactive and progress can be measured.It’s no
longer possible for teams to work in silos, but instead need to share learnings and
insights between departments. This enables a productive and effective digital
culture.It’s important that this type of collaboration is encouraged as well as outside
team building.
• Offering digital training – the most effective way to know that your employees have
all the knowledge of digital that they need and how it impacts the business.Offering
digital training is a great solution to this. Making a program that can flexible to your
busy workforce is a good idea, whether that is via various training sessions or an
online platform.
• Be comfortable with risk – due to the fast-moving pace of digital it’s key to be agile.
Risk feeds into that as leaders in organizations should cultivate a workplace where
employees are comfortable with trying new things.The key to employees
understanding risk is that there is trust between employee and employer and an
open culture that embraces innovation.
• Aspire to inspire – Digital offers a world of opportunity, but not enough companies
capitalize on them. With digital disruption here to stay, there will continue to be
new entries into the market that will challenge how things are done.By setting your
company with big ideas and aspirations, it will encourage your workforce and
inspire them to not only take risk but to see things in a new way.
https://gdsgroup.com/insights/technology/what-is-
digital-
culture/#:~:text=A%20digital%20culture%20is%20a,thin
k%20and%20communicate%20within%20society.

11. What is Digital
Culture
• Corporate culture is the result of how a
company works and operates. It is composed of
the collective experiences of employees; what
they believe in and what they value.
• Leadership, purpose, and how work can
implement a vision also play a role in describing
a corporate culture.

12. What is Digital Culture
• Digital culture refers to the knowledge,
beliefs, and practices of people interacting
on digital networks that may recreate
tangible-world cultures or create new
strains of cultural thought and practice
native to digital networks.
https://press.rebus.community/mscy/chapter/chapter-2-digital-culture/
• A digital culture is a concept that describes
how technology and the internet are
shaping the way that we interact as
humans. It's the way that we behave, think
and communicate within society.
https://gdsgroup.com/insights/technology/what-is-digital-
culture/#:~:text=A%20digital%20culture%20is%20a,think%20and%20co
mmunicate%20within%20society.
• Digital culture goes beyond the day-to-day
acts of doing digital work – it describes
something broader and subtler than that.
It involves the appreciation, the
exploration and the shared enjoyment of
the various digital tools, environments and
artefacts which inform and facilitate our
work.
https://www.targetinternet.com/what-is-digital-culture-and-why-is-it-
important/

13. What is Digital Culture
• A type of culture that separates an organization from others and
executes digital transformation. Learn more in: Understanding
Digital Congruence in Industry 4.0
• Refers to shared values and norms emanating from the utilization of
disruptive digital technologies and tools. Digital culture shapes
how the organization interacts with its internal and external
stakeholders. Learn more in: Demystifying Corporate Restructuring
Strategy Through Digital Transformation: Lessons Learned From the
Banking Sector of Zimbabwe
• It refers to the cultural influence of new media environments
and digitalization process. According to some approaches, digital
cultures have emerged with new media phenomenon. Learn more
in: Digitalization of Labor: Women Making Sales Through Instagram
and Knitting Accounts
• Society (post Internet) is connected online through mobile devices
and computer networks across time and space. Learn more in:
Information Literacy in Virtual Environments: Changing Needs of P-
12 Learners
• A term to describe the changing relationship between the ways
how culture is created and consumed and how new information
technology has an effect on this changing relationship. Learn more
in: Online Representation of Culinary Heritage in Turkey in the
Context of Cultural Policies

14. What is Digital
Culture
• 6. Briefly, it is a form of new culture that is formed with digitalization.
The digital term in digital culture is used for electronic systems that
store, process and transmit digital speech encoded in the form of
a digital sequence. Learn more in: The Digital Cultural Identity on the
Space Drawed in Virtual Games and Representatıve
• 7. Digital culture refers to not only values, agreements, thoughts in
today’s society but also how people communicate within that
society. Learn more in: The Status of Digital Culture in Public Relations
Research in Turkey: An Analysis of Published Articles in 1999-2017
• 8. The term is used to represent a clear and almost total transformation
of the world by digital technology. Has been used frequently by
movements that have championed issues ranging from practical hacker
and digital to independent music and solidarity economy. Learn more
in: A Netnographic Approach on Digital Emerging Literacies in the Digital
Inclusion Program AcessaSP - Brazil

15. Digital Culture As A Set of Seven Key Attributes

16. Innovation: The prevalence of behaviors that support risk taking,
disruptive thinking, and the exploration of new ideas

17. Data-driven Decision-
Making
the use of data and
analytics to make
better business
decisions

18. Collaboration
The creation of cross-functional,
inter-departmental teams to
optimize the enterprise’s skills

19. Open Culture The extent of partnerships with external networks
such as third-party vendors, startups or customers

20. Digital First Mindset
A mindset where digital solutions are the default way forward

21. Agility
and
Flexibility
The speed and dynamism of decision-making and
the ability of the organization to adapt to changing
demands and technologies

22. Customer
Centricity
The use of digital solutions to expand the customer base,
transform the customer experience and co-create new
products

23. Digital culture
and new types
of research
Understanding digital culture requires novel, innovative
forms of research, and new approaches such as the broad
field of digital humanities, digital hermeneutics, and digital
ethnography have emerged to advance our understanding
of culture shaped by digitalisation.

24. Understanding The
Digital Culture
Challenge
1. The leadership neglects, underestimates
or misunderstands the importance of
culture in their digital transformation
planning.
2. The existing culture and way of doing
things is so deeply ingrained that it
becomes very difficult to effect change.
3. Like customers, employees too are
becoming more digital. They see first-
hand whenleadership lacks digital
literacy and this can create a disconnect
that hampers the development of digital
culture
4. Most behavioral change initiatives
accomplish little because employees are
not empowered to take on new
challenges, they are not compensated
for learning new expertise, and they are
not incentivized to break new ground
and build new models.

25. “Employees will resist because
they still see the old behaviors as
critical to their success and
central to who they are while
seeing the new normsm as
risky.”
- Professor Deborah Ancona - MIT Sloan School
of Management

26. Digital Culture: The Disconnect
Between Leadership And Employees
Couldn’t be wider
Employees don’t see their organizations’ culture as “digital”

27. Percentage Of
Leadership And
Employees Who Agree
That There Is High
Prevalence Of Digital
Culture Dimensions
• Not surprisingly, the lack
of congruence between
employees and leadership
was consistently found in
all the seven dimensions
of digital culture with
pronounced gaps found in
innovation and
collaboration (see Figure
5).
• Clearly, employees do not
share their top executives’
enthusiasm for their
organizations’ digital
proficiency.

28. THREE STEPS
TO A DIGITAL
CULTURE
Articulate the change required. When companies clearly define
the behaviors that matter and their employees adhere to them,
organizations can realize a strong culture and are more likely to
reap results. Yet leaders often stumble in this effort.
https://www.futureseriesfuse.com/insights/digital-transformation

29. How to evolve
your digital
culture?
• Creating a digital culture is a mammoth
task. It’s a multi-year endeavor that
requires patience, tenacity and constant
vigilance.
• As the Chief HR Officer of a leading
global industrial company told us: “I
think given our size, complexity and work
environment, we are going to find it is
going to be above five years.” Peter
Vrijsen, Chief HR Officer of DSM, a Dutch
multinational health, nutrition and
materials company, agrees, saying “That
depends on the appetite of the
organization, but four to five years if you
really want to get things done.”
• To create a digital culture, organizations
will need to have the right blend of top-
down and bottom-up approaches that
engage,
• empower, and inspire employees to build
the culture change together. This long-
term program will need to contain a
number of key elements:

30. Take aways
• Digital technologies can bring significant new value, but
organizations will only unlock that potential if they have the right
digital culture ingrained and in place. Currently, that is not
happening.
• Employees are being sidelined and disenfranchised in the culture
change journey, and the gap between leadership and employee
perceptions is stark.
• There are three key aspects to ensuring the success of your
company undergoing digital transformation. These are: leadership
and talent, culture and change management.

31. “There are a lot
of leaders who do
a good job talking
about digital but
only few are
actually walking
the talk”
- Tom Goodwin - Head of
innovation at Zenith Media

32. Learning and
Giving for
Better
Indonesia
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