There are a lot of questions around what digital transformation is. One of the main misconceptions is that digital transformation means digitalising all your work, eliminating human interaction and removing physical copies. However, this is incorrect.
Digital transformation is the process of using digital technologies to create new and to modify existing processes. This is to achieve the end goal of improving your business and how you operate for yourselves and your customers, whilst still meeting market requirements. Undergoing digital transformation is important to all companies no matter the size. According to Forbes, at the end of 2019 ‘70% of companies either have a digital transformation strategy in place or are working on one’.
There are many reasons as to why digital transformation is imperative to your businesses success as we move more into the digital age. Technology is disrupting all industries and has driven a shift to merge technology with strategy.
“Uber, the world’s largest taxi company, owns no vehicles. Facebook, the world’s most popular media owner, creates no content. Alibaba, the most valuable retailer, has no inventory. And Airbnb, the world’s largest accommodation provider, owns no real estate. Something interesting is happening.”https://techcrunch.com/2015/03/03/in-the-age-of-disintermediation-the-battle-is-all-for-the-customer-interface/
As technology continues to advance year on year, ‘27% of senior executives rate digital transformation as now being a ‘matter of survival’’ as found by DMI. To keep up with the changes within technology, businesses need to increase the speed their company adepts to. This means that the need to undergo digital transformation is becoming more vital for businesses to continue to survive and succeed.
Why does digital transformation matter?
There are many reasons as to why it is more common to see businesses now undergoing the process of digital transformation. Often businesses are not undergoing the transformation by choice; they are forced to change because they are failing to innovate and evolve. They cannot keep up with competition, society and technology advancements. Digital technologies are dramatically changing the way businesses work, and this space is accelerating faster than businesses can keep up with.
Even if you believe your business does not require this change, there are many reasons as to why you should consider it anyway. The main reasons for this are because your competitors are doing it and customers are relying on it.
What to consider when undergoing the transformation
The primary focus when undergoing your digital transformation should be, what does your business want to achieve for customers? Then you should work from there to formulate your desired outcomes and create a plan on how to start the process in digitally transforming your business. Without a vision and a strategy with well defined outcomes, digital transformation projects can easily become a grave stone in the companys failed projects graveyard.
Digital transformation will be different for every company depending on the company size, what the company does and what it aims to achieve. For example, if you’re a company that sells products, digital transformation could be introducing new products, increasing customer satisfaction in the after-sales services, or if you are a corporate service-based business, it could be streamlining internal processes that will free up your employees’ time.
In order to ensure your business is successful in its digital transformation, you need to have a full understanding of the company; the entire business output, each of your employees’ day to day tasks and processes that are used to complete them. This will enable you to streamline in the correct places and see where the digitalisation will benefit each area of your business. You also need to make sure the technology you incorporate is user-friendly, which will safeguard business processes and enable your employees to follow this process and changes smoothly.
If you have any questions about digital transformation or how it can benefit your business, or if you are looking for assistance, feel free to contact us directly and we can help you.