The digital space has very much developed and evolved over the last decade alone and talks of digital transformation have very much become a buzzword in the tech space. From the use of cloud-based software to apps for essentially anything you’d like, companies and research firms use digital transformation to help with their businesses in a range of ways. Digital Transformation is guided by key principles that will justify if a digital transformation initiative needs to happen or not. Digital transformation is a way that a business can update its digital systems and can sometimes be a long process as updated technology is being developed all the time.
1. Is the driver for digital transformation, business?
When it comes to actioning digital transformation, analysing business reasoning and business sponsors is important. Digital transformation must be part of a market strategy within a business plan. Digital transformation and changes often come as part of an omnichannel approach which means that systems across the business as a whole will be affected and changed. This is why business must be a key driver to actioning digital transformation as it can be lengthy to initially implement. For example, if there is a new product launch and how will the launch of this product be using digital. From manufacturing processes to the marketing itself, what does digital actually look like for a business?
2. Data is Key
Implementing digital transformation means that, as a business, users or customers of any digital space could be offering data of some kind. Whether this is from the shopping habits of customers to exploring what age range a certain product attracts, ensuring there are security systems in place will ensure that data breaches are not likely and data is secure. That will increase customer trust and is a very important principle when it comes to digital transformation. This is usually the most difficult part of a digital transformation, as data security systems are crucial to any digital transformation and. Systems themselves can be complex from a security perspective.
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3. The Power of Analytics
The choice to implement digital systems and digital transformation is often based on the analytics that can come as a result of it. The analytics can allow a business to retain strategies based on what analytics can show about a consumer. For example, if part of a digital transformation for a company is bounce rate (users leaving the site after clicking) then the types of content that are making people leave can be changed.
The power that analytics hold could very much be the deciding factor in how a company moves forwards and what more it can do to offer its customers. There may even be something that is revealed that may have otherwise not been noticed or assumed, such as a new target market.
4. Meeting Customer Expectations and Needs
One of the key benefits and principles of digital transformation is the ability to meet new customer demands and wants. Customers want more access to information than ever before and the digital experience that they encounter is something that could be the incentive or prevention of them using your business. Creating and establishing a pleasant digital experience can be an excellent way to personalise marketing and find out what parts of a digital process a customer responds well to and what products and services could potentially serve customers the best and in the best way.
5. Application Development
As part of the digital transformation process, considering the development of an app and being able to create a prototype for that is something that is often considered. From being able to offer users of the apps extra discounts or easier usability, the development of an app may very well be of use for your business or company. Alongside what an app can offer, the design, coding database and testing will be at the forefront of an app design and can be a crucial part of the digital transformation process.
6. Automating Processes
As the technology space is developing so is the demand for automation. This would make automation of certain digital processes part of digital transformation for a business. The ability to automate certain digital processes would mean that the need for IT involvement would be significantly decreased. This could range from how certain instructions are managed to updates being automated.
7. Security and Risk
Data security and encryption are an extremely primary part of digital transformation. Factoring in security and risk into every layer of coding and applications will reduce the risk of hacking and general data breaches. This is not only for the customer or consumer but also for the company security also. There is a large emphasis placed on security and the security standards and audits are considered central when it comes to managing the risk and security of any new technology exercised during digital transformation.