Digital transformation is the new heated topic in the business world. It is one thing that is necessary for every industry and all businesses and has become a desideratum for all of them. Digital innovations are inescapable, and organizations must embrace them if they want to survive in this competitive digital era. Therefore, it can be considered a makeover is given to the organization with the help of tech experts and digital tools.
According to a survey by FUJITSU Future Insights, 75% admitted that digital transformation had impacted their existing business. Also, 57% said that digital transformation had had an impact on the creation of new businesses. In addition, as much as 89% confirmed that digital transformation solutions have allowed them to contribute positively to the business and society.
Now, these figures are enough to throw light on the impact of digital transformation. But first thing first, what is digital transformation?
What is digital transformation?
Firstly, the meaning of digital transformation cannot be summed up in one definition as it varies from business to business. In simple words, digital transformation refers to using technology to create new business processes or to modify existing ones.
Digital transformation is about changing the conditions under which the organization operates, with the help of digital tools and the strategic adoption of technologies to improve the processes and productivity of your business. Consequently, the incorporation of digital technology in all the business processes results in revamped processes and a better customer experience.
A business should be capable of giving competition in this ever-changing global market. However, to stay competitive, organizations need to adapt to digital transformation rapidly. Digital transformation is not a software or a service that can be purchased and put into the business; rather, it affects everything in the business. Despite the worldwide drive, an ample number of businesses have a long trail to follow to reach the full potential of being digital.
Key points to consider when undertaking digital transformation:
1. Business goals and objectives
With the commencement of the journey, the main focus should be to align the objectives with your business goal. Therefore, it is crucial to understand what you want for your company, and accordingly, you should decide on the digital transformation strategy.
2. Perceive your current capabilities
After analyzing the need for digital transformation, the next point to consider is how your organization is currently executing various processes and what capabilities you possess.
3. Decide on the journey of digital transformation
So the next step after checking is deciding how you are going to go digital. You might need to go for internal and external transformation on a large scale, or you might need to impose a small change depending on your business.
4. Get the ball rolling
Finally, begin your journey of executing digital transformation solutions for your business. Just set your eyes on the end goal and keep the transformation journey on track.
Contribution of digital transformation in businesses’ growth
In the IDC Worldwide Semiannual Digital Transformation Guide, experts highlighted that the worldwide spending on technologies and digital transformation services would reach almost $2 trillion in 2022. The below image shows where those spends are currently going towards!
We have shed some light on the what and the how of digital transformation. In the following section, we discuss how it’s helping companies shape the future of businesses.
Key benefactions of digital innovation
1. Talent management with digital innovation
Managing talent is the prime concern of any business, and digital transformation tackles this pain point. It encompasses all areas of a business and facilitates process innovation and efficiency. Instead of dispersed software and databases, all the information and talent knowledge are consolidated into a suite of digital tools. It gives a makeover to your business process without interfering with it. For instance, data storage, communication, and analytics can become adaptable and more collaborative with this. Above all, the most important aspect is that it makes the business processes sprightly.
2. Convalescent customer experience
Customers are the life belt of any business, and they play a vital role in the success of a business. But since the customers have abundant choices, this, as a result, demands businesses to deliver innovative products/services along with intellectual interactions. To foster brand loyalty, it is crucial to delight the customer with services. Customers want their journey frictionless and personalized. To coax digitally empowered customers, businesses should deliver an overwhelming customer experience.
3. Increased efficiency and flexibility
Many times a business experiences a bottleneck situation with regards to data and information. Digital transformation takes care of it.
It facilitates information flow within the departments and eliminates redundancy of tasks hence resulting in increased efficiency. The workflow becomes more streamlined and less complex, thus can be adjusted with the changing priorities and goals of the business making it more flexible.
4. Data-driven Insights
Data is at the heart of any business. As a result, unlocking and analyzing data is the main concern of the digital innovation of a business. Businesses use data to improve customer experience by going digital. They track metrics and analyze the data to understand customer behaviour. Using data-driven insights facilitates better cognizance of customers and helps in restructuring business strategies to prepare the way for higher ROI.
To sum up the whole thing in one line, it’s high time to explore the intersection of your business with many of the benefits elevated through digital transformation. Digital transformation has become a global movement, and your business must stay tuned with it.
Get started on your digital transformation journey with the help of our professional Digital Transformation Services and Digital Tools.
Great read, can you also write about how digital transformation can go hand in hand with marketing? That would be a fantastic read as well and will help senior managers like me understand this topic a little further and start investing time into different transformation activities.
This is a great article. I think you’re right about the digital transformation being a journey, not something that can be purchased and put into the business. However, it’s exciting to see how businesses are shaping the future!
Nowadays people want to sit at their home and want to get everything available at their doorstep. Business mens also fulfill this need of customers by digitally know the requirement and delivering the right product to the customer. So converting your traditional business into an online business is very important and gets higher profit.