Business environments are experiencing rapid changes as a result of digital technology. Organizations across all industries need to adopt and adapt to digital to compete and succeed. However, many businesses struggle to navigate their way through digital transformation to connect with customers and influence online. In an era where digital disruptors are grabbing at the heels of many industries, success will be reserved for businesses that make sure their staff has the necessary digital skills to future-proof their staff.
Unfortunately, many businesses fall behind. Research indicates that only 30 percent of companies successfully navigate digital transformation. The challenge will only get harder as digital technologies evolve and consumers will abandon brands that don’t operate online, whether for customer service or e-commerce.
“The global digital transformation market is expected to grow from $469.8 billion in 2020 to $1,009.8 billion by 2025 at a CAGR of 16.5% during this period”.
“According to Gartner, 91% of businesses are engaged in some form of digital initiative, and 87% of senior business leaders say digitalization is a priority”.
This is evident and supported by the digital transformation statistics that show how businesses have been able to retain or even raise their value through digitization. In order to help you grasp how integral digital transformation is for businesses worldwide, we’ve compiled a list of benefits of digital transformation to help you get there faster:
1) Empowers the Workforce:
Innovations and technological advances also enable employees to perform their jobs more efficiently and effectively. The ability to work with streamlined processes enables them to achieve their goals more quickly. The implementation of digital transformation exposes professionals to the most up-to-date technologies, such as artificial intelligence, RPA, data analytics; cloud computing, and machine learning. Aside from the advanced skills they learn, they can also enhance their personal development.
2) Enhanced resource management:
Digital transformation provides businesses with a suite of tools to manage information and resources. Instead of dispersed software and databases, it consolidates company resources. By integrating applications, databases, and software, digital transformation can create a central repository for business intelligence.
3) Enhanced Data Collection:
In most organizations, mountains of data are accumulated about their consumers. However, analyzing those data is the key to success. With digital transformation, you can acquire relevant data and integrate it properly for better business insight. The strategy establishes a method for various organizational functional units to transform raw data into insight across multiple touch points and thereby create a unified picture of the customer journey, operations, production, finance, and business opportunities.
4) Evolving Customer Expectations:
Every business is trying hard to meet customer expectations as they grow. Therefore, companies must take extra steps to ensure that their customers stay with them. Adapting to customer expectations will only be possible if the company digitally transforms itself.
5) Better decisions, faster:
Embedding data and analytics in the center of a digital transformation strategy may allow companies to harness the value of big data. As a result of the Internet of Things, businesses are now able to access more data than ever before (IoT). With the correct combination of analytical tools, this data can be transformed into valuable business insights that help you make better, faster decisions. The more deeply analytics are embedded in company operations, the more integrated and impactful they are.
6) Long-Term Returns:
While digital transformation might require money, training of employees, and revamping existing organizational procedures, the returns will be substantial once all of that is done. Recent studies indicate that worldwide spending on technology that enables digital transformation will reach almost $2 trillion by 2022. Companies that digitize improve their efficiency and profitability. For example:
- Over 80% of organizations that have completed digital transformation report higher profits.
- More than 85% say their market share has increased
7) Increased agility:
Embracing digital transformation makes organizations more agile. Through digital transformation, businesses are able to improve speed-to-market and increase agility. The result is faster innovation, adaptation as well as a path to continuous improvement.
8) Reducing Time to Market:
Companies that undergo a digital transformation could reduce the time it takes to get their products or services to market. Previously companies had difficulty deploying new solutions due to cumbersome, manual, and inefficient back-end processes, as well as technology infrastructure gaps.
Utilizing a digital transformation, however, can deliver the continuous incremental value of capabilities faster. In addition, it could optimize time and costs by getting customers to use their solution more quickly and efficiently.
9) Re-inventing Culture in a Positive Way:
Businesses investing in digital transformation are committing to a major, impactful initiative that can positively impact their customers and employees. Teams can collaborate more effectively by advocating for new technologies and strategies, and creating a digital culture where everyone is on board with the transformation plan.
Digital transformation is no longer a distant horizon. As you can see, it offers a host of benefits for companies. To build a successful business model, businesses should move away from traditional models and establish a strong relationship with new technologies to ensure your business has the know-how and skills to connect, engage, and influence in the digital space.
Are you looking to transform your digital landscape? ZX Digital, one of the top digital transformation companies in Canada, optimizes processes, provides seamless user experiences, and creates an ecosystem of continuous innovation to help you become an intelligent enterprise.