Let's Talk

How to identify and prioritise the right use cases for digitisation

McKinsey, BCG, KPMG, and Bain indicate digitisation project failure rates between 70% and 95%. Many of these projects were doomed from the outset due to the prioritisation of the wrong use cases.

Conversations with clients often start with: “We know we need to digitise. We have too many manual processes, but where do we start?” 

At PhoenixDX, we have applied our extensive experience working with customers over the years to help businesses answer this crucial question. We have created a 6-step framework that assists clients in identifying and prioritising the best use cases for digitisation. By taking a structured approach, you can avoid the common pitfalls that derail so many transformation projects.

Let’s take a look at the 6 steps to follow. 

Step 1: Understand your organisational strategy and the role digital technologies play

Before we can assess the value and benefits associated with different digitisation use cases, it is essential to take a step back and look at the big picture. It’s important to understand your organisational strategy and the role that digital technologies can play. For example, a bank or a superannuation organisation will place a high emphasis on educating customers on topics like cybersecurity and financial planning. Therefore, regular communication is very important to reinforce these messages. However, a logistics-style organisation like Australia Post will place a higher emphasis on transactional data visibility. Conversations around digitisation should start with gaining an understanding of your organisation’s key strategies and how you intend to differentiate yourself in the marketplace.

Step 2: Create a capability map and list the tasks performed in each function

Next, to help identify potential candidates for digitisation, identify the functions your organisation performs and the capabilities it needs to fulfil its goals successfully. As you can see in the Human Resources example below, heatmaps can be used in this exercise to highlight characteristics such as the degree of existing digitisation, the maturity of the capability, or the strategic importance of that capability. The key tasks performed during staff recruitment include creating the position description, advertising the position, assessing candidates, and conducting interviews to make job offers.

High-level capability map

Capabilities

Supporting capabilities

Tasks performed within each capability

For example ‘Staff Recruitment’ includes:

  • Create position description
  • Advertise role
  • Assess applications
  • Interview candidates
  • Make offers

It’s important to note that while organisations may differ in how they operate, the capabilities they perform are typically common for businesses within their particular industry. As a tip, consider leveraging reference models to help identify the capabilities you need. The following organisations provide standard reference models for various sectors:

  • Government: AGA and TOGAF GRM
  • Education: CAUDIT or HolonIQ
  • Banking: BIAN
  • Healthcare: TOGAF or Iris
  • Telecoms: NGOSS or eTOM
  • Technology: ITIL or IT4IT
  • Finance and Accounting: CPA
  • Various: APQC

These models are mostly open and accessible, making it sensible to build upon what’s already been done to save time. The tasks within each capability can then be identified.

Step 3: Gather data on the current cost of each task

Once you have your list of capabilities and tasks within them, the next step is to quantify and assess the value of each. This involves gathering data on the current cost of performing each task. While cost assessments are ideally done with numerical data, it is possible to do a comparative evaluation. Let’s examine both options.

When data is available, you can list the volume of each task per month, the time they take, the exception rates and the hourly cost. From this data, you can extrapolate the FTE count and the total cost per year for each task. Continuing with our Human Resources example, a cost analysis for Staff Recruitment using data might look like this:

If you don’t have the numerical data readily available, you can still identify the best candidates for digitisation by conducting a basic comparative analysis. This information should include the volume, time taken per task, degree of data handling, roles and teams involved, degree of repetition/variability/standardisation, and any workflows required. By assigning values to each task, you can use the totals to pinpoint the ones worth digitalising. Again, using our Human Resources example, a cost analysis for Staff Recruitment using assigned values might look like this:

Another simple way to identify tasks for digitisation is to put together a Venn Diagram, as illustrated below. To identify AI-related use cases, list tasks where AI is relatively strong, such as the ability to produce content quickly, image recognition, and related functions. Next, identify tasks where humans are relatively strong, such as reasoning and trust. Finally, record instances of process bottlenecks. The sweet spot for AI use cases is where all three of those elements apply.

The most suitable Use Cases are usually those that automate processes that both align to the core strengths of digital platforms and alleviate the pain of process and human ‘bottlenecks’.

Step 4: Gather data on the potential benefit of digitising each task

It’s time to turn to the benefits each task brings to your organisation. This involves gathering data on factors such as risk reduction and improved compliance, improved customer experience, improved employee engagement, strategic relevance and importance, revenue impact from increasing customer volumes and reducing churn.

Such assessments are ideally done with numerical data, as shown in this benefit analysis for Staff Recruitment:

However, if data is unavailable, then comparative scores can also be informative.

Step 5: Assess the cost to digitise each task

Next, it’s important to assess and estimate the costs involved in digitising each task. These costs can depend on the complexity and volume of business rules and workflows, data migration and integration, and organisational change management. Using our Human Resources example, a cost estimate for digitising tasks within Staff Recruitment might look like this:

Step 6: Review the return on investment for digitising each task

It’s equally important to consider the return on investment (ROI) for digitising each task, to provide a picture of which might provide the best outcomes for your business. If possible, use actual costs saved, revenue impact, outlay required and the Net Present Value (NVP) to calculate your return on investment. Here’s an ROI estimate for digitising the different tasks involved in Staff Recruitment based on real data.

If numerical data is unavailable, plotting each use case on a graph illustrating the business benefits versus the costs will enable you to compare the potential of each task for digitisation.

It pays to think before you act

Digitisation can unlock enormous value – but only when it’s focused on the right use cases. By understanding your organisation’s strategy, mapping its core capabilities, evaluating current costs and potential benefits, and estimating the investment and ROI for each use case, you gain a clear, data-backed view of what to tackle first in your digitisation journey. Whether you’re aiming to boost productivity, reduce risk, or improve experience, this framework ensures your digital investments deliver meaningful, measurable results.

Help is at hand

If you’d like support applying this framework in your organisation, PhoenixDX can help – whether it’s facilitating a strategic workshop or tailoring a roadmap to your priorities.

Book a call to get started.

Let’s Talk

About the author:

Sean Chamberlin

Principal Consultant Architect, PhoenixDX
Sean has 20+ years of expertise in digital transformation, data and AI governance, and enterprise technology strategy. Before joining PhoenixDX, he worked on delivering complex transformations at Telstra, Australia Post, OXFAM, the Department of Justice and NBN.

Share on LinkedIn

Latest articles

PhoenixDX and We+ join forces to expand delivery capabilities across APAC

5 min read

Are you ready for Agentic AI?

5 min read

PhoenixDX Celebrates 9 Years of Innovation and Impact

5 min read

How AI is changing the rules of legacy modernisation + why it’s more urgent than ever

5 min read

Curious how we’re helping customers cut their software development costs?

5 min read

[e-Book] Tech Visionary Q&A: Low-code digital transformation

5 min read

Need a digital solution tailored to your needs?

Let’s Talk
Linkedin Youtube
Sydney

Level 32, 101 Miller Street

North Sydney NSW 2060

Melbourne

Work club Olderfleet
Level 35
477 Collins Street
Melbourne VIC 3000

Brisbane

Santos Place 

Level 27/32 Turbot St, 

Brisbane City QLD 4000

Manila

Philippine Stock Exchange Tower BGC, Level 24, 
Manila 1634
Metro Manila Philippines

Our Company

Our Work

Technologies

Products

Training

Blog

We acknowledge the Traditional Owners of the land where we work and live. We pay our respects to Elders past and present. We celebrate the stories culture and traditions of Aboriginal and Torres Strait Islander Elders past and present of all communities who work and live on this land.

© 2025 PhoenixDX

AN ALAN ALLMAN ASSOCIATES COMPANY

Privacy Policy

Anti-Slavery Policy

Security Policy