Digital transformation has now become an indispensable requirement for all business due to a swift shift in consumer expectation and behavior, new economic landscape and disruptions, as well as emerging technologies. Today, every type and size of the business is under pressure to modify its strategy to survive in a dynamic market space, and massive client’s expectation.
Technology remains an inherent part of every transformation, especially this digital puzzle.
MEANING OF DIGITAL TRANSFORMATION
Digital Transformation is the evolution of organizational and business processes, competencies, and model to leverage the impact of digital technologies in a strategic way.
It is induced by analytics, social or cloud technologies that have a considerable impact on business progress and ability to sustain in the wake of future shift.
In the broad sense, it can be seen as a paradigm shift in cultural change by pushing the organization to reinvigorate, innovate, experiment, to go beyond their limit.
TRANSFORMATION OF AN ERA
There is a lot of information available on how technology is changing eminently digital markets, like advertising and mass-media. It is arduous to calibrate its scope in another realm especially in more traditional business such as manufacturing, sales or logistics.
Traditional businesses were not aware of the technology and, even if they know about technology, they still did not know to leverage the technology to bolster their business operation.
It is bestowing the consumer with a world which is agile, fast, comfortable and connected. While it is also conferring the business to receive all the critical data and information in real-time, analyze it further and manage the whole value chain and easily coordinate with the team.
Digital Transformation in business depends upon two variables.
- Calculating the revenue that contributes to every department.
- Value addition to the clients through technology.
ADVANTAGES OF DIGITAL TRANSFORMATION
- In business, the estimation of the supply chain, action, team or decision is no more intuition driven, but are achieved by real-time data archived and further organized by employees.
- There are many big brands which are leveraging these techniques and modifying the sale and purchase process. For instance, Amazon uses GPS-driven drones to deliver products to any place. They are also using real-time data updates for monitoring offline distribution.
- With the advent of digital transformation, it is easier to access, convince customers, boost relationship with them, and formulating strategies as per their steps on the purchase funnels. It improves the decision making process and supply chain.
IMPACTS OF DIGITAL TRANSFORMATION
Reducing time-to-market and time-to-decision cycle is essential for every business growth. The businesses that are investing hard in digital technologies are witnessing a tremendous improvement in their business operation, as their daily operations are more agile than before.
Digital Transformation is opening floodgates to the new entrants, which are not only disrupting the market but also threatening the old businesses. But there is a positive side of this, as these new players stimulate market atmosphere, and challenge the old players to resurrect and reinvigorate their business plain to induce growth.
Digital transformation casts a positive impact on the business, which made huge investments in digital technologies to yield a better user experience.
A business’s image largely depends on its website or social media accounts. Today, customers are more likely to contact you through a mobile application or social media accounts. So, yes, the demand for digital transformation is indeed skyrocketing.
Digital technologies like RFID, near-field communication, Bluetooth and blockchain have aided the company with traceability and accountability in the manufacturing process. It further helps in streamlining the operation while meeting the dynamic demands of costumers.
- To put it another way, customers have too many choices and too much information at their disposal to hold accountable morally questionable brands.
All these clouds, collaboration, and communication protocols are examples of a rising tide in the industry that can improve society in general. Having more communication tools and methods at use is always a good thing.
- Digital transformation has paved the way for eliminating intimidation and reporting about workplace grievance and harassment.
- It helps in optimizing the inventory, raw material and production and in designing the products, which are eco-friendly and do harm earth when recycled or discarded.
- As a collective, we are more empowered at holding global entities accountable for the carbon emission in the atmosphere, disposing plastics waste in the ocean and the antibiotics in poultry.
- Modern technologies imply better supply chain and better planet’s resource management.
It is time for businesses to pull up their socks for not only to expand the horizon of their business operations but also to constantly evolve with the latest trends to capture the global market share.
There is no denying that digital transformation is a large undertaking, but if digital technologies are executed properly, it can bequeath several benefits at many levels (Business, social and environmental).