Digital transformation involves more than just upgrading an existing technology because it changes how businesses run and deliver value. According to MIT Sloan Management Review, digital transformation could be described as the integration of digital technologies within diverse organizations’ operations, which in turn influences modifications of the organizations’ business models and the approaches used in the delivery of consumable value. Digital transformation is the utilization of digital technology in every aspect of an organization’s processes, creating a new mode of operation and of delivering business value proposition to customers. Read on to find out how digital transformation presents hidden upsides to provide serious value for your business.
Increased Operational Efficiency
The greatest benefit of digital transformation is increased operational efficiency. Through process reengineering and workflow redesign, companies will be able to keep a close eye on the running of businesses. Under this factor of efficiency, there will be the automation of tasks that tend to be repetitive. Based on a report by McKinsey, 72% of employees believe that automation can help to improve productivity. Automation facilitates the activities that once took hours to complete, therefore leaving little time for employees to concentrate on other strategic duties. Support and assistance of managed IT services can go a long way toward facilitating this transformation. Such services offer the necessary experience and resources for automation implementation, utilizing modern tech tools to ensure that business processes are optimized for the best results.
Data-driven Decision Making
In this regard, one more advantage of the digitalization process is helpful in the sphere of analytics. Businesses can now make far better decisions, those that are instrumental in growth and profitability given the fact that real-time analytics is now available. In fact, Forrester’s research shows that for a company making data-driven decisions, the likelihood of having 8.5 times return on investment year-over-year is extremely high. Real-time data empowers businesses to instantly react to market dynamics new business opportunities, and optimize inside operations based on actionable insights.
Improved Employee Satisfaction
Digital transformation, in turn, also leads to better employee satisfaction. Better tools and resources like up-to-date hardware and software can massively improve productivity and, thus, job satisfaction. According to Deloitte, 60% of surveyed employees responded that digital tools improved productivity and engagement during work. Besides, oftentimes, it enables flexible work arrangements by placing employees in remote work or giving them more control over their working schedule. This flexibility can lead to a better work-life balance and higher employee morale.
Competitive Advantage
Digital transformation has the potential to create a number of important competitive advantages for businesses. With new innovative solutions, companies will stand out among their peers in the marketplace. According to an Accenture report, digitally mature companies are 26% more profitable compared to their peers. Furthermore, digital transformation helps businesses adapt to market changes much faster. In this fast-moving environment at present, where many companies are operating under dynamic conditions, it becomes very challenging for any particular business to maintain its competitiveness if it is slow to move around or respond to new trends and demands.
The Sum-ups
Indeed, going a step further and embracing digital transformation can help you reveal hidden advantages. As such, advancements in technology and overhauls bring visionary business potential. It can significantly change your business by introducing a superior level of operations, data-informed pragmatism, and improved employee satisfaction. In this case, it leads to a better customer experience and competitive edge.
