Digital Transformation

  • By Sylvia Kabeira
  • Jul 21, 2022

If you are reading this, and you are in business, you probably have adopted digital aoutomation in your business in one way or the other or are thinking of doing so. You are in the right track.

Acceleratedby the pandemic, the digital future is coming at us faster than ever before,
and maybe faster than we can imagine.

For majority, technology has been a lifeline and has changed the way we work, learn, shop, interact
with others and entertain ourselves. Despite the promise of digital transformation, it can alsodrive unequal outcomes in education, opportunities, and access to health care and financial services due to difference in economic classes and accessibility to digital devices. Automation has also rendered many jobless with digital automation platforms taking over manual labor. However, when well applied in business models, DT has proven to be a of good impact for business.

Organizationst hat want to start their digital transformation journey should have a solid
understanding of Digital Transformation concepts and approaches. It will help make a positive impact on business performance.

What is Digital Transformation?

In layman'sterms, digital transformation (DT or DX) means using technology to optimize the ways of doing business to drive growth in new and existing markets

With the digitization of society, the business world now feels the increasing importance
of digital transformation. As an entrepreneur, you may take on digital transformation for several reasons.

What are Some of the Benefits of Digital Transformation on Business Models ?

1. High-Quality User Experience

High-value companies know that they are not just delivering products, they are delivering
experiences. Digital transformation enables beautiful, effortless experiences that hinge on automation, AI, and self-service tools. Prove that you've mastered the digital era by providing customers with a frictionless user experience.

2. Enhanced data collection

Most businesses are collecting mountains of customer data, but the real benefit is
optimizing this data for analysis that can drive the business forward. Digital transformation creates a system for gathering the right data and incorporating it fully for business intelligence at a higher level.

3. Improved Customer Experience

Digital transformationhas not only unlocked efficiencies for teams, but also delivered more seamless, intuitive experiences for customers. This spans from email communications to
user portals, digital products, and even the cadence by which companies reach out to new prospects.

4. Increase in Profitability

Almost everycompany dream of growth and increased profitability or they wouldnΓÇÖt be in
business. A digital strategy can provide a roadmap to dealing with uncertainty, the speed of change, changing customer expectations and leveraging the right technologies to increase profitability. About 43% of companies that are considered of high digital maturity report much higher net profit margins than the industry averages.

Developing adigital transformation strategy can pave the way for these desirable benefits;
it just requires a vision for change and factoring in the right ingredients of digital transformation success.

5. Greater Collaboration Across Departments

DT offers anexcellent opportunity for unity throughout the organization. Departments can
now collaborate easily on projects though digital platforms and online co-working.

ΓÇ£When digital transformation is done right, itΓÇÖs like a caterpillar turning into a butterfly, but when done wrong, all you have is a really fast caterpillar.ΓÇ¥
ΓÇö George Westerman, MIT Sloan Initiative on the Digital Economy

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