Instead of undergoing transformation in the small-scale, businesses have undergone digital business transformation to a large and full-scale scope. Different functional aspects of the company get resultantly reformed. These facets range from organizational culture to customer experience. Hence, this shows that digital business transformation does not only refer to updating and upgrading current technologies. Rather, full-scale digital business transformation involves altering the business strategy and architecture.
This shows that digital business transformation is quite a tedious process to undergo. However, several companies worldwide are convinced that taking the step is worth it and even essential in order to move forward. For some, it may be because of cost-related concerns. However, there is more to digital business transformation than its effect on the company’s budget.
5 reasons why digital business transformation is essential this 2021
1. Digital business transformation revolutionizes Customer Experience (CX).
Digital business transformation has reformed CX, thus making it central to doing business in a digital age. Technology has transformed daily living, making several activities and transactions easier and more convenient. Because of how technology has boosted efficiency, even end users have become accustomed to the convenience that technology has brought about. Expectations of customers are, thus, quite high and it is a challenge for companies to meet these expectations.
By going through digital business transformation, companies can go beyond their limits to enhance CX and resultantly, customer satisfaction. Given how competition has been skyrocketing, the area of CX has become a battlefield where the companies that offer the best CX would champion. According to the Gartner Customer Experience in Marketing Survey (2017), more than two-thirds of marketers who are in charge of CX agree that competition between companies mostly takes place in the area of CX. Thus, companies have to level up and strategically enhance CX.
2. Digital business transformation facilitates data tracking and data-driven insights.
When it comes to making decisions, the importance of having data cannot be stressed enough. Thanks to technology, algorithms and analytics are readily available. These provided data-driven insights may enable companies to get a better idea of the customer and their concerns. Resultantly, a more customer-centric approach can be taken when devising the business strategy. This, in turn, may lead to a clearer business direction and generate optimized efforts and results.
3. Digital business transformation enables efficient resource management and consolidation.
Instead of having a dispersed and scattered system, companies can now opt to centralize their databases, software, and applications. Moreover, digital business transformation transcends various departments. This leads to a boost in efficiency and innovation across different units. It also makes it easier and more efficient to manage resources and consolidate operations and processes.
4. Digital business transformation boosts agility, innovation, and productivity.
Because of digital business transformation, companies can be more agile. An increase in agility allows companies to go through adaptation and innovation faster all while gearing towards improvement. Companies can keep on improving and developing quickly, especially when it comes to processes that are digital.
Aside from that, with the help of the suited digital tools, the workflow can be streamlined and eventually, productivity can be boosted. Tasks can be segregated into ones that can be automated and ones that have to be done manually. This filter would help teams focus on what really matters and let automation do other tasks for them.
5. Digital business transformation enhances team collaboration and nurtures digital culture.
Digital business transformation implies change that many may fear. With change comes adjustments in embracing the new and letting go of the old. This change would impact not just the business architecture but also how employees may communicate and collaborate with each other. However, with the right tools, digital business transformation can nurture digital culture.
The tools used would enable employees to exert more effort into creating and giving value. By automating some of the tasks, efficient collaboration between team members and across different departments is made possible. Moreover, these tools not only boost collaboration; they also enable the entire organization to move forward digitally. It would enable team members to engage with each other, adapt, upskill, learn more about the digital space, and make the most out of the advantages of digital business transformation. With such digital culture intact, businesses could flourish through the digital business transformation journey.
Digital business transformation used to be a far goal for several businesses across the globe. However, the realities of the year 2021 show that we are now in a digital age and that those who do not adapt get left behind.
Every company wants to survive and thrive. In this age, digital business transformation is essential in order to achieve just that. Gone is the society where technology and digitalization are not essential. Digital business transformation will only continue to evolve and accelerate even more as time passes by. Instead of going against the trend, businesses must instead capitalize on this trend and move upwards along with it.
ICTS is a Vietnam-based software development boutique that focuses on cutting-edge technologies. We help SMEs (small and medium enterprises) digitize their business and handle the digital transformation in the most professional way, at a reasonable budget.
Contact us and discover what benefits we can bring to your digital business transformation project.