It’s hard to believe that digital transformation has been around for over a decade. Ever since the internet became popular and companies began to invest in digital marketing, we’ve seen a digital transformation happen before our eyes.
Today, digital transformation has reached all corners of the business and can be found in nearly every industry. It is the new normal for success and there are many factors that contribute to digital transformation success.
Even small companies have evolved into the digital world by creating websites, using social media to promote their brand, and engaging with customers more personally than ever before.
What is Digital Transformation?
Digital transformation is the digital evolution of business models, products, services, or business processes. New digital technologies are constantly being developed. The digital transformation process includes digitising resources and data to enhance existing resources and provide new digital products.
These digital technologies will be based on cloud and mobile computing, with an increased focus on big data. With digital transformation applied to business processes, organizations can automate more tasks using digital processing methods. Advanced analytics allows companies to take advantage of this digital transformation by identifying new growth opportunities.
It’s essential that businesses stay up to date on digital transformation techniques since failure to do so will leave them behind in the digital age. Advanced analytics allows companies to take advantage of this digital transformation by identifying new growth opportunities.
Components of Digital Transformation
Data digitisation: Using digital processing methods to analyze data and identify new growth opportunities.
Process digitisation: Automating business processes using digital technologies such as cloud computing, mobile computing, and big data analytics.
Product digitalisation: Creating new products with the help of computer-aided design, digital simulation, and digital manufacturing.
The Future of Digital Transformation
In looking ahead to what digital transformation will look like in 2020, there are a few factors that we need to take into consideration.
The use of cloud computing: Cloud-based applications allow employees working from different locations or devices to access business data through a secure digital connection. This digital transformation trend will continue to grow, especially with mobile computing and cloud-based applications on smartphones.
The growth in big data: With digital technologies advancing rapidly, there is an increased focus on analysing large amounts of data for growth opportunities.
Enhanced customer experience management: Digital customers desire a personalized digital experience. They expect a seamless shopping process from beginning to end—from product selection, purchase, and delivery. For businesses to meet these customer expectations, digital transformation is needed in CRM (customer relationship management).
In addition to those three components mentioned above, other essential factors will help digital transformation continue to grow.
Mobile computing: The increased use of mobile devices, such as smartphones and tablets, is another digital trend that will need to be included in future digital transformations.
Augmented reality (AR) & virtual reality (VR): AR/VR provides a more immersive customer experience through technology like holograms, digital simulations, and digital avatars.
Technological advancements: New digital technologies will continue to develop to be integrated into existing business processes through digital transformation. There will also likely be a focus on integrating blockchain technology to build trust between customers during the digital shopping process.