Despite years of debate, figuring out what digital transformation means for established businesses remains a difficult task. With competing expectations from IT, marketing, sales, and operations, leaders in charge of a digital transformation feel tugged in many directions. Without a clear understanding, the wrong individuals are frequently put in charge, with the incorrect resources and KPIs, dooming the digital transformation effort.

The key to cutting through the confusion is to see that digital transformation is not a single thing, but a multi-faceted journey with differing goals depending on your industry and digital maturity.

Based on our collective research on companies undergoing digital transformation, we offer a simplifying framework to cut through the confusion and conflicting demands. The framework outlines the four pillars of digital transformation we see today: IT uplift, digitizing operations, digital marketing, and digital businesses. All four are part of most companies digital transformation journey. But without understanding how they are different, it’s confusing to understand what to do next or how to invest — the resources, tools, goals, C-Suite sponsors and KPIs required for success are totally different in each case. Being clear about their differing demands can help you make smart trade-offs and clear progress.

Below we outline the four pillars and how to invest properly to set yourself up for success. Which pillar is the right starting point for your company depends on your context, needs, but also your digital maturity. Typically, companies tackle the first pillars we describe near the start of their digital transformation journey, although as they mature they may continually upgrade to add additional pillars.