Digital Transformation is a recent ‘buzz-word’ and in simple terms, it means the use of new, fast and frequently changing digital technology in all areas of a business to solve fundamental problems that has to do with the delivery of value to customers. For examples, a typical digital transformation is cloud computing as it reduces reliance on user owned hardware and increases reliance on subscription based cloud services.
In order to understand what advantages you will gain from digital transformation, it is important to figure out exactly what it is. Researchers from different organizations have defined digital transformation as the use of technology to radically improve performance or reach goals of businesses.
That being said, there are significant opportunities being created by new digital technologies, hence, organizations that don’t recognize and jump on the new trends are really missing out.
Most Common Features of the Digital Transformation that Organizations Leverage
As businesses advance in their digital transformation journey, they want to adopt a “cloud-first” strategy that considers cloud solutions before any other for new or updated applications.
Here is why, in a digital business, a lot relies on IT. Having a robust, secure and reliable platform to build transformational services upon is essential to discovering new revenues streams and better meeting the needs of customers.
For many organizations, that means moving to the cloud. Cloud infrastructure and software provides a robust and reliable platform and tools that make digital transformation and innovation possible.
- Business Model
The digital transformation helps range of organizations explore latest insights around their business model and operations. It as well provides them with insights on how to capture new growth opportunities, reduce costs, improve efficiencies, and stay ahead of consumer preferences; Execute strategic vision and dramatically improve business performance.
Data is core to transformation. Although every company faces unique challenges and opportunities, each digital transformation journey moves along a similar path – and data is at the center of it. Data provides the common source of truth to drive your digital initiatives. But in order to find truth in data, you have to master its complexities. Mastering data is considered to be at the center of digital transformation strategies. Now there are several tools to achieve this in the day to day activities of a business, these tools have become an indispensable solution that creates the necessary foundation for digital business.
- Customer Experience
It is relatively easy to see the impact of a digital transformation on business processes and operations. Processes are carried out every day, with smooth operations and relation to customers with latest digital technological tools like:
Digital transformation have a vast but positive effect upon how customers interact with your firm and how they feel about those interactions.
Top Emerging Digital Technologies Around the World
The main purpose of the digital technology is to enable individuals to work in collaboration towards the achievement of common goals and objectives, enhancement of employee productivity, satisfaction and employee retention and improvement of skills, abilities and expertise amongst the human resources.
Below are the Latest Emerging Digital Technologies Around the World Today
- Facial Recognition
This sort of technology means the ability to recognize upon sight. A facial recognition system is a technology capable of identifying or verifying a person from a digital image or a video frame. Facial recognition software has become increasingly popular in the past several years. It is used everywhere from airports, venues, shopping centers and even by law enforcement
The Internet of things (IoT) is a system of interrelated computing devices, mechanical and digital machines provided with unique identifiers (UIDs) and the ability to transfer data over a network without requiring human-to-human or human-to-computer interaction.
- Artificial Intelligence (AI)
In computer science, artificial intelligence, sometimes called machine intelligence, is intelligence demonstrated by machines, in contrast to the natural intelligence displayed by humans. It refers to the simulation of human intelligence in machines that are programmed to think like humans and mimic their actions.
- Blockchain Technology
Blockchain technology is a structure that stores transactional records or data, more organizations are exploring and implementing blockchain to solve the increased need to secure and manage transactions across the internet.
Robotics involves design, construction, operation, and use of robots. The goal of robotics is to design intelligent machines that can help and assist humans in their day-to-day lives. This can be used to make businesses faster, less expensive, and more efficient, the report found.
The Aim of Digital Transformation
This movement of digital transformation has a goal: to ensure digitized information creates methods that let organizations become more efficient. It is all about allowing companies to understand that – in order for them to become and stay relevant, and still have a business running in the years to come; they need to up their game, become faster, better, more tech-oriented, and more knowledgeable of the power of data and other transformation the digital world brings to the table.
Benefits of Digital Transformation
- Better decision-making thanks to data
- Greater agility, flexibility, and scalability
- Reliability and security
- Creating a productive digital workplace and culture
- Digitalization of Business Operations.
- Greater Resource Management.
- Employee Empowerment.
- Accelerating business processes with automation
- Improving the customer experience
- Greater Customer Insights.
- Creation of Digital Products and Services.
- Opening the Door to Globalization.
Disadvantages of Digital Transformation
- Data Security
- Complexity in operating
- Privacy Concerns
- Digital Media Manipulation
- Job Insecurity
- Plagiarism and Copyright
- Anonymity and Fake Personas
- Over-reliance on Gadgets
- Expensive to acquire and maintain
- Social Depersonalization
All being said, the advantages of the digital transformation massively outweighs the disadvantages. However, these advantages and disadvantages are outlined to help you understand the concept of digitization and to help you understand where your business activities come in as well as how to streamline you strategies for better optimization.
Looking at the various benefits, your business gains more than that which can be lost, and if preventive measure are taken against the known disadvantages, then there is none or less to loose. It is of great importance to have it at the back of your mind that; organizations that don’t recognize and jump on the new trends are already set for extinction in the nearest future.