Business Digital Transformation

What is digitalization and why is it necessary

Digital transformation is the integration of modern technologies into the company’s business processes. Through their implementation, employee productivity increases, the company gains a reputation for being progressive, and customer satisfaction levels increase. This includes not only the installation of software, but also a change in approaches to enterprise management.

Every day the demand for digital technologies in business is increasing. Customers expect to receive quality service, where all their requests will be taken into account. Instead of spending money on maintaining outdated technologies, it is much more efficient to invest in hardware and software that allows you to meet market requirements, expand your customer pool and increase company revenue.

Definition and Causes of Digital Disruption

Digital transformation has evolved from the digital disruption, the revolutionary transformation of industrial relations driven by the emergence of new business models. The process is accompanied by enormous changes in the market and in the demands of consumers.

Reasons for undermining:

  • Technological innovations that are successfully adopted by competitors and consumers.
  • Breakthrough inventions (from smartphones to social networks and high-tech products).
  • Consumer behavior is a request for an immediate response.
  • Changes in the surrounding world (economy, ecology, legislative projects).
  • COVID-19 is one of the factors due to which digitalization has become more active and accelerated.
  • The causes of digital disruption help to understand that digitalization is not just a given of fashion, but a real engine of progress necessary to modernize business processes and maintain a leading position in the market.

Benefits of Digital Transformation

What does digitalization bring to modern business? Consider the main advantages, which are much more in practice:

  • Making decisions based on reliable data and the ability to actively respond to the requests of potential customers, develop the service in the right direction and personalize the company’s offer.
  • Increased productivity – allows employees to perform tasks more efficiently and automate many processes.
  • Digital collaboration is the effective interaction of departments within the company, remote work.
  • Engagement of consumers – the process of interaction with customers is simplified, it becomes easier to improve the brand image and achieve high results.
  • Information Security.
  • Strengthening partnerships – using digital transformation, you can simplify the process of interaction with contractors, consultants and suppliers.
  • On-Demand Service Evolution – Allows you to improve the quality of service through enhanced networking capabilities.
  • To a certain extent, digitalization has already touched every business sector, and the benefits of this approach are obvious. Companies aimed at success and continuous development are ready to accept the challenges of the modern economy and use new technologies, as this is one of the conditions for market leaders.

Digital transformation technologies

Consider the main technologies on the basis of which digital transformation is implemented:

  • BPMS is a business process management system. It helps to build interaction within the company, solves automation problems, helps to evaluate the quality of the changes made. In fact, it is a non-stop business improvement tool.
  • Artificial intelligence is a set of technologies through which machines reproduce the creative and thought processes inherent in humans. The use of AI allows you to take performance to a new level and reduce transaction costs.
  • Machine learning is the ability of machines to analyze, distinguish, and independently draw conclusions after processing a large amount of information. It is the second most important component in the field of digital business, it allows you to speed up the decision-making process.
  • Big data processing or Big Data is the main driver of all digital technology. The right direction of work and the ability of the company to adapt to changing customer demands depend on how well the collection and analysis of information data is debugged.
    Cloud Computing – Move your data work to the cloud to speed up your workflow.
  • Blockchain is a distributed registry for creating a decentralized data storage network that will not be controlled by third parties.
    Virtual and augmented reality – these technologies are successfully used not only in the gaming industry, but also in business.
  • Internet of Things IoT / Industrial Internet of Things is a connecting element between a person and the world of devices.
    Edge computing is a technology for processing and analytics near networks and their generation. Especially successfully used for the development of IoT technologies.