- The last year 2019, digital companies were 64% has succeeded in their 2018 business goals more likely than their peers- Adobe & Econsultancy
- Over 45% of the companies reported a positive impact on their business due to digital transformation with higher net revenue growth- Deloitte
- Out of 100, 87% of senior business leaders finds digitalization the company’s top priority, however, only 40% of organizations bring digital initiatives- Gartner
- The digital transformation market has the ability to grow at a CAGR rate of 22.7% from 2019 to $3,94 billion by 2025- Research and Markets
- Around 89% of CIOs are involved in digital transformation initiatives as compared to their counterparts- IDG
- As per 39% of CIOs, digital transformation is a crucial task provided by their CEO- IDG
These are a few facts stating the importance of the impact of digital transformation and how it is going to impact us and the future as a whole.
The concept of digital transformation is a topic of discussion between economists, policymakers, industry leaders, and others about its societal impact. Also, it is a matter of concern among them by understanding if the transformation is going to affect jobs, wages, inequality, resource efficiency, health, security, and other parameters.
Here in this blog, we will be seeing what things might get impacted by the coming and acceptance of digital transformation. However, before getting started, let us first start its definition.
Table of Contents
What Is Digital Transformation?
Digital transformation is basically a way through which a business’s activities, competencies processes, models, and other parameters can take total leverage of established and emerging technologies. This further can result in the present and future shifts of processes for the business positively.
This can also be understood through-
- Almost less use of pen, paper and more use of tools and applications
- More storage space in the cloud
- It is more about connectivity, data security, getting swift and right answers, through the integration of technology systems for businesses.
The definition of digital transformation has evolved and still evolving for aligning things as per the market force and requirements for the businesses.
With it, let’s get back to how and where the impact of digital transformation can be seen.
The Impact of Digital Transformation on Future
1. Transforming Customer Experience
Users today are willing to cut the chaos and get exactly what they wish to see and get. They want instant solutions to their problems and that too in real-time and fast.
Also Read: What Are the Downside of Digitalization?
And this is what the concept of digital transformation serves. The concept is thus adopted by organizations to deliver a fast and enhanced user experience. Also, this has been seen that over 92% of leaders are developing digital transformation strategies for specifically enhancing customer experience.
2. Data-Driven Insights
The next top impact of digital transformation on today’s scenario and also on the future is its ability to track and bring metrics and then analyzing those data swiftly. Through the exact and analyzed data and metrics, businesses can optimize their strategies and processes for getting the right and expected results.
For any business, there are 2 factors that matter the most- cost & revenue. Via digital transformation strategies, an organization can make decisions along with making changes to both the factors by integrating data-based insights to the business’s processes.
Also, with these insights, a business can gain an understanding of the customers’ feedback and use those feedback for better performance and services.
With everything measured nicely, a business can definitely get the results right while gaining the expected ROI too.
3. Collab with Departments
The technology is both a fear and a plus for the organization. Fear in terms of seeing and working with the workforce and a plus, as it is going to make the business processes smooth, efficient, and effective.
However, if moved beyond both the part, digital transformation unites and gives opportunities to workforce departments too. And the unity strengthens here through effective communication.
“In today’s era of volatility, there is no other way but to re-invent. The only sustainable advantage you can have over others is agility, that’s it. Because nothing else is sustainable, everything else you create, somebody else will replicate” – Jeff Bezos, Founder, Amazon
Through the technology, the factor of age gaps and social division will get eliminated here via learning, conversating & implementing together. When the workforces from various departments will unite, there will come an effective and positive change to the company culture too resulting in a confident transition.
4. Updating Skills & Knowledge
Whenever a new technology will be introduced or enter the market, the need to learn it will also grow. Thus, be it an organization or a person, one needs to be sure of learning new technologies whenever required. The digital transformation in the form of technology can be-
- Artificial intelligence
- Internet of Things
- Augmented reality
- Virtual reality
- Cloud computing
- Machine Learning
- Data analytics/exploration
- Data mining
- Growth hacking
Businesses by using digital transformation can develop the skills of their employees for the future while making the in-house team also prepared for growth and competitive advantage.
5. Digital Culture
Through new technologies, digital transformation will make the workforce productive, engaged without disconnecting them from the core processes. In fact, digital transformation will make the workforce more advanced and quick to the processes.
Moving on, in order to sustain in the market, it is a must for the organization to apply an equal company culture that can be embraced and accepted by the workforces equally.
This is how the impact of digital transformation will be seen on businesses, which will further reflect on society by fulfilling their needs.
With the passage of time, the impact of digital transformation will be seen even more clear resulting in better services, understanding, processes, and others.
The impact of digital transformation will be seen through-
– Creating a solid workforce for the coming of the machine age
– Transitioning to a better sustainable world
– Building a sense of trust in the digital world
To get succeed by accepting digital transformation, a business has to follow-
– Aligning the culture of the company with the workforce
– Analyzing, researching, and future-proofing the business processes and the market
– Connecting the past and the future
– Building a better integrated and comprehensive system
– Looking at the principles of evaluation and updates