5 Advantages of Digital Transformation
Businesses have been aided by technologies that helped them deliver better, faster, and cheaper products and services. Digital transformation refers to the leveraging of modern, cloud-based technologies to transform a company’s work and IT environments for the betterment of that business. Numerous technological advancements have played crucial roles in transforming businesses over time. COVID-19 Moves the IT Industry into A New Era. Here are 5 advantages and benefits of digital business transformation:
1. Optimizing data for analysis to make better decision
The benefit of collecting data is optimizing it for analysis to drive the business forward. The technology available to handle the big data for analysis in real time.The different functional units within an organization can translate raw data into insights. You can have a better understanding on your customer and their needs and create a business strategy that is even more customer-centric. Data is knowledge, and knowledge leads to better decisions.
Companies in the top third of their industry in the use of data-driven decision making were, on average, 5% more productive and 6% more profitable than their competitors.
2. Improved productivity and efficiency
Dealing with physical documents slows down your team, since your employee has to physically access the records storage. If it has been misfiled or lost by human error, you can imagine how much it takes to look for a record.
You could cut down the record retrieval process time by having digital solutions for your company. Everything is stored in an easy-to-find place. Accessing each file is instantaneous. You can free up your employees to do more important things.
Having the right tech. tools that work together can streamline workflow and improve productivity. By automating many manual tasks and integrating data throughout the organization, it empowers team members to work more efficiently.
3. Better Operating Model
A lot of companies with new lines of business open up through the integration of digital strategy. Take brick and mortar businesses, for example. Adding a reliable ERP system that tracks inventory and sales opens the door to better and more reliable eCommerce channels, aiding in the growth and optimization of your company’s reach. Learn more ERP trends for 2021
4. Increased profits
Gartner reports that more than 66% of companies say they are competing mostly on customer experience. Accenture reports that even a single point increase in customer experience (CX) scores can results in millions of dollars in annual growth. Companies that undergo digital transformation improve efficiency and profitability. Consider these results reported by the SAP Center for Business Insights and Oxford Economics:
- 80% of organizations that have completed digital transformation report increased profits.
- 85% say they have increased their market share.
- On average, leaders expect 23% higher revenue growth than competitors.
5. Architect of social distancing
The global health emergency has also made structural changes to cities to make them more functional for eradicating the virus.
According to the Guardian post, touchless technology could come to play a major role since 80% of infectious diseases could be transmitted by touching polluted surfaces. Research carried out by the Electronic Transactions Association shows that, as of April, 27% of small businesses surveyed have seen an increase in payments made using smartphones or contactless cards and, in addition, according to Statista, it is estimated that around 11 million US households will have scanned a QR code in 2020.
Digital transformation has become a buzzword for organizations these days. The world has gone digital. Are your businesses ready to revel in the era of digitization? MAY Planning has strong experience on integration of digital technology into all areas of a business. We will be pleased to provide consulting service for your company in Hong Kong or overseas, please feel free to contact us anytime.