Digital Transformation is being spoken about all the time, we are hearing so many people talk about it and everyone has different frequently asked questions. Many industries and businesses have alternate views on what it is, for example a manufacturing firm will be considering connecting their machines, stock and ordering control systems, but an online store will be looking to maximise the information coming from the customer service modules, using their data to market different offers to their existing customer base and planning their marketing spend to focus on increasing that customer base.
The following are the most frequently asked questions that are applicable across the board and might help you understand when you should be getting in touch with Goldstar for some business specific advice and guidance.
What is Digital Transformation?
It refers to organisational change efforts that aim to, improve a business’ operational technology, tools and data. It looks to enhance their employee’s digital expertise and induct new cultural approach to enable the company to adopt new, modern business ideas. Read more in our introduction to Digital Transformation.
Why does Digital Transformation matter?
Digital transformation helps businesses stay competitive in a digitised global economy. Unsurprisingly, it is driven by technological progress allowing businesses to evolve, embracing innovative solutions that are appropriate for the business, whilst disconnecting outdated ideas and processes.
Which industries are undergoing Digital Transformation?
Digital transformation is changing every industry, from retail to marketing to healthcare, the scale of that impact depends on factors such as;
- How reliant an industry is on technology.
- What type of technology that industry uses – i.e. hardware or software.
- The advancements of technology in general, and that for that industry specifically.
Regardless of the scale of any impact on your industry, every company is transforming to some degree.
When should a company transform?
The industry or marketplace, budget constraints and a company’s long-term strategy will all have an impact, even Government regulation also comes into play. However, as a general rule, the sooner the better, companies should stay ahead of this curve, rather than try to catch up. Understand what factors might impact your digital launch here.
What do Digital Transformation processes look like?
Any digital transformation project involves a number of steps;
- The digital adoption of new technology, tools, software and platforms to maintain or gain competitive advantage.
- IT modernisation from infrastructure to hardware to software.
- Implementation of digital-first business strategies.
- Refocusing efforts on the customer experience.
These can be categorised into four areas, Technology, Data, Process and Culture. For more insite visit our blog on these four elements and their importance for any successful transition.
What are the benefits of Digital Transformation?
Your business will benefit from a competitive advantage in the marketplace, improved technology capabilities and technical capacities. Your business models will be more cost effective and processes streamlined, data will drive business growth and responsiveness. You can more easily adapt to environmental and economical change through a more agile corporate culture and operational behaviour, and many many more benefits the further you take your transformation.
What are the drawbacks of Digital Transformation?
It’s not always easy – culture and process change require planning, effort and support and there maybe cultural resistance especially if the change is not expected and mitigated. Outcomes are not always predictable or even guaranteed – the extent of transformation can be astounding, and your business, culture and process might not be ready for it. Don’t forget Digital Transformation is a long-term investment, both financially, culturally and in resources.
Who can help with Digital Transformation?
We can! This complex process requires knowledge and expertise in IT, change management, digital adoption, HR, process management, and more… everything Goldstar has experience with. Internally a digital transformation project should involve executives, IT, staff, change management and all affected by the process in short everyone in the business and outside experts are required for successful deployment.
Where can I find more information?
Why not check out our other blogs around Digital Transformation and follow us on LinkedIn where we keep you up-to-date with all our updates and other content. Additionally, follow groups like Forbes or Harvard Business Review and major research firms like Gartner or McKinsey to see a broader picture of the scene – also keep an eye on publications in your own market they will show the signs of industry-wide transformation or legislative changes requiring some form of Digital Transformation.