Digital transformation is no longer the exception to the rule in any type of business, whether small or large, born before or after the digital era.
Therefore, find out everything about the process, its benefits, how to apply it in a company, what types it is and what the benefits are.
What is digital transformation?
Digital transformation is the process of incorporating new technologies the creation of products, processes, services and user experience in a company or organization.
Furthermore, these new technologies are reshaping the economy and expanding the frontiers of the digital revolution, creating opportunities for innovation in different areas of knowledge.
More than the adoption of new technologies, the concept has to do with strategies and new ways of thinking for organizations.
In the competitive context, it has caused phenomena such as the decentralization of innovation, the creation of digital platforms and combined innovation.
Examples of digital transformation
Examples of digital transformation are the adoption of new technologies such as artificial intelligence, big data, internet of things, blockchain, metaverse and cloud computing.
Furthermore, these technologies can be applied in the most diverse areas of a company, such as sales and customer relations, marketing and human resources.
But it is the areas of operation, production and services that are priorities for this process in small companies.
Meanwhile, in medium and large companies, the concept is more important in the management system. The conclusion is from search Digital Transformation, by Insper and Robert Half.
How important is digital transformation?
The importance of digital transformation for a company and for society is to generate value for the business, which brings positive consequences for everyone.
In this sense, implementing the process in a company and in society is a matter of surviving constant changes in the organizational environment.
Another important point is the fact that the diffusion of digital technologies is transforming the essence of transactions, products and services.
Benefits of digital transformation
The benefits of investing in digital transformation are numerous and diverse in nature, but they cover different sectors and levels of an organization.
Optimization of time and resources, improvement in customer experience, increased sales and productivity, innovation, value creation and new forms of interaction are some of the benefits.
Therefore, increasingly aware of these benefits, organizations invest in digital technologies.
Investing more in technology in 2022 is a priority for 59% organizations, according to the survey Digital Leadership Report 2021, from the technology company Nash Squared.
Know your pillars
There are five pillars of digital transformation, according to Daniel Rogers, author of Digital Transformation: rethinking your business for the digital age (2017).
They are: customers, competition, data, innovation and value. Understand more about each concept:
Customers
The process changed the way companies relate to their customers, who went from being sales targets to becoming more influential than ever.
They dynamically connect and interact with a brand through digital tools, the use of which has changed the way they discover, evaluate, buy and share.
Competition
Before digital transformation, competition and partnerships were seen as opposites: very similar companies competed with each other and similar companies cooperated with each other.
But digital technologies have transformed this paradigm, in which rival companies seek to have more influence among consumers than the competition itself.
Data
Data is a vital force and strategic asset for any company, fueling analytical tools that serve as the basis for predictions, decisions and planning.
In this context, the big data has become an essential tool for organizations aligned with digital transformation and seeking, through data, to understand how they can generate value.
Innovation
Innovation means developing, testing and launching new ideas into the market. Digital transformation has enabled continuous learning and rapid experimentation.
This means that the process of developing innovative products, within this context, saves time, reduces costs and improves organizational learning.
Value
The ultimate goal is the value or value proposition that a business delivers to its customer.
If before the value proposition was immutable and defined by sectors, today it is the evolution of customer needs that determines it.
Types of digital transformation
Application and use of machine learning, artificial intelligence, big data, virtual reality, business intelligence, data-driven marketing, 5G and metaverse, are some examples.
These technologies can be applied from chatbots in customer service and marketing tools, to fraud detection and staff recruitment. .
How is it made?
Digital transformation in a company is carried out primarily by understanding its benefits on the part of executives and CEOs, who must adhere to the idea of change and innovation.
First of all, the process must be cultural: all areas and sectors must understand, absorb, breathe and practice a mindset agile and transformative.
What are the stages of digital transformation?
In any pre-digital company, it must be done in stages, but it must be guided by a strategy and not just the implementation of technologies.
Second content creator article and digital marketing expert Nancy White, there are seven fundamental steps to implementing digital transformation. Check out:
- define the value for the business of being digital, why the change;
- prepare the team for change and place them at the center of the transformation;
- start with small, measurable initiatives;
- choose the technologic solutions that will be aligned with long-term strategies;
- look for partners who complement your strengths and understand your business;
- obtain feedback, learn from experience and adjust as necessary;
- scale and transform, applying similar strategies to different areas of the business.
Innovation and digital transformation: understand the relationship
Innovation is any change to a product, service or business process that adds value to it. It could be an improvement or even the creation of something new and disruptive.
In the new era, the innovation process requires rapid experimentation and continuous learning, which is only possible when a business goes through this process.
With new technologies, it is easier and faster to test and validate innovative ideas, with lower costs and more agility than before.
Digital transformation consultant: when to hire?
A digital transformation consultant should be hired when the company needs an assertive, structured change that involves the entire team in the journey.
This professional will identify the company's needs and find ways in which technologies can improve efficiency and reduce business bottlenecks.
How to implement digital transformation in companies?
Implementing digital transformation in the company begins with diagnosing digital maturity, that is, an assessment of which technologies are used in the processes.
According to Harve -School of Innovation, The next steps are to draw up a detailed transformation plan, which can take up to 15 days.
This action plan is then put into practice, along with monitoring the implementation of the proposed actions, a process that lasts, on average, 30 days.
Digital transformation trends and challenges
The trends have been consolidated since 2020, when the Covid-19 pandemic accelerated changes, and businesses had to adapt to the process.
The report Deep Digital Business Trends 2022, from LLYC consultancy, brings the following trends: data democratization, metaverse, inclusive marketing, multi cloud and AI. .
Inconsistent leadership support and lack of qualified professionals are the main challenges of digital transformation.
The information is part of a report of digital transformation consultancy firm Wipro with 1,400 executives in 2019.
