Technological innovation is creating waves of disruption everywhere, and it is especially true in the case of businesses across industries. New digital business transformation of technologies are opening up new opportunities and challenges for businesses, it has also become accessible to a broader audience. Until now, the latest technological developments were only accessible to big companies. Now, technology is within reach for companies of all sizes.
The availability makes way for an escalating digital ethos that brings excellent advantages across business operations. According to a study by Forbes, ‘55% of the start-ups have already adopted a digital business strategy compared to 38% of traditional enterprises, and start-ups increase revenue by 34% when they rely on digital-first strategy.’
This Digital Business Transformation is to improve cost-efficiency and generate revenue. And not just these, it also enhances productivity, making a distinguished mark for the business. The must-have combo of digital technology and business processes will make business improvement.
What does digital transformation mean for business?
Digital transformation is the profound revolution of business operations, proficiencies, and business models to influence the opportunities of digital technologies. It refers to the adoption of digital tools and processes to attain business goals.
The digitalization is a multifaceted and composite process. It represents a colossal cultural shift at the workplace, changing every aspect of the business. The transformation of business marks an insightful rethinking of how to implement and utilize technology and resources to alter business processes and performance.
When it comes to adapting the digital transformation, it’s appealing gripping on the ‘digital’ part, rather than the ‘transformation’ part. The convenience with the idea of just buying the right software and promptly improve productivity is tempting. But, mostly, digital transformation is also about how the team works together and other internal processes being in sync with each other and with the technology.
According to McKinsey’s Global Institute’s Industry Digitization Index, ‘the potential for digital transformation has only begun to have been tapped. Europe is operating at only 12 percent of its digital potential, with the United States only doing slightly better at 18 percent.’ Digital transformation has a holistic impact on the business.It impacts almost every aspect of the operations, including people, their skills, work capacities, and culture. Additionally, it also involves processes that include tasks, methods, approaches, and workflows.
The one thing it does not change is the core values. Instead, it is about creating a well-connected workplace culture and attaining digital transformation tools that support the strategy and goals. The outcome of having digital transformation is to define the strategic route, risk craving and budget, rate of change, agility, and technology enablement.
The Importance of Digital Transformation for Businesses
Here are some operational paybacks with the adoption of digital transformation within a business:
- Well-thought decision making– When a businessman has enough, well-organized data, the decision process leads to a higher success rate, brand fitness, and accomplishment of business goals. This makes information flow so vital for a business.
- Enhanced efficiency– Replacing the manual process with the digital technology versions, the operations become faster and smoother, making the whole business an efficient one.
- Advanced profitability– Measuring profit margins without digital transformation is not possible. In the case of increasing profits, businesses have access to more resources that further improves their efficiency and hence the productivity.
- Improved market infiltration– The enhanced efficiency and improved decision-making, and the flow of market penetration develop into being more competent—this aids businesses in developing a vast customer base, satisfaction, and profit margins.
- Superior customer experience– The fundamental need of any business is customer satisfaction and ways to improve it. To do this, entrepreneurs need to measure and comprehend metrics relevant to the concept. With an improved customer satisfaction rate, the digital transformation success rate also increases for the business.
The need to adapt Digital Transformation for Increased Business Productivity and Revenue
Here are some reasons to step into digital transformation:
- Increased profits
- Employee engagement
- Greater flexibility
Lacking proper technology in this era of digital transformation, businesses can deter their productivity and destroy their revenue generation.
A recent survey by Zensar shows that about 53% of the higher-level professionals believe that their company’s digital transformation priorities are focused on increasing their profits instead of empowering their employees. Even more, some said that allowing their employees via investment in IT would benefit their business.
This being said, it is understood that when productivity increases, earnings, and standard of living follow the course, leading to an increased demand in goods and services, which further increases the revenue generation for businesses.
More Business Opportunity with Digital Transformation
Much talked about the concept of robots taking the jobs, is now proving to be fallacious. Though digitization will impact the high and low skill jobs but create more opportunities in the future. To keep up with the trends, businesses need to increase the productivity of the current workforce and employment skills training. Transformation through upskilling and exercise is the way to go.
The arrival of disruptive technology can also assist in increasing the business’ revenue, even when people think of digital tools as money hemorrhaging rather than as an investment.
This is not based on an opinion, but according to a research study by IDG, 32% of the IT decision-makers have observed digital transformation to be impacting their revenue with a substantial 23% increase. Moreover, with a high level of digital transformation, revenue has grown 1.5 times faster than the average. This also means lower costs and higher capital productivity.
New Trend of Digital Business Transformation
But how does this happen? The digital transformation bringing in new trends gives a competitive edge to businesses. Technologies, including mobile tech, cloud computing, big data analytics, are huge contributors to the growth.
It actually seems logical with the data availability allowing in-depth analysis providing significant insights for a business to act on. Brands can determine patterns and consumer trends with the AI-powered software. It enables a well-informed decision-making process about overall business performance.
It also offers businesses the possibility of enhancing sales and new business opportunities. Which wouldn’t otherwise exist without the help of digital solutions.Conclusion
Planning a digital business transformation map must include an evaluation focused on the digital tools required to get the job done efficiently.It’s the only way a business can ensure their investment in technology to yield the highest productivity and revenues.
Businesses today have changed considerably. The focus was previously on the product. Now, in the age of digital transformation, the experience has taken center stage. Everything about business depends on the expertise its employees and customers are getting. Companies investing in their employees and knowledge within the organization are sure to deliver better experiences to customers too.
The possibilities for innovation are endless. See how we can help you transform your business digitally. Visit us at booth no I (15, 16, 25, 26) at “Bengaluru Tech Summit 2019” from 18th to 20th November 2019.
Digital Business Transformation, Business Productivity Revenues is written by emxceluser@admin for emxcelsolutions.com