What is digital transformation? Definition and advantages
“In the new world, it's not the big fish that eats the small fish, the fastest fish eats the slowest.” Klaus Schwab, engineer and founder of the World Economic Forum.
The world is changing at breakneck speed. Today, technological innovation and digital transformation have profoundly changed our society, our way of living, but also of working. Businesses are no exception to this digitalization phenomenon. To continue to develop and remain competitive, they must adapt and evolve rapidly, in particular by converting to digital technology, otherwise they risk being overtaken by their competitors.
For example, if your company does not yet have a mobile website, you are losing a large number of potential customers since today, there are more mobile users than Internet users (67% of the world population are mobile users compared to 59% of Internet users) according to the latest figures published by the We Are Social agency and Hootsuite in January 2020.
Dematerialization of documents, Internet of Things, mobility and teleworking, mobility and teleworking, electronic signature, various tools and applications, today in the all-digital age, no company, regardless of its sector of activity, can ignore digital transformation if it wants to continue to exist in a sustainable way. But above all, going digital allows businesses to be more efficient. According to the 3E Growth and Digital barometer for SMEs and ETI (medium-sized companies) conducted in 2019 by ACSEL (the association of the digital economy), 77% of the companies surveyed recognize that digital technology contributes to their growth.
Definition and challenges
Remember, not too long ago, people worked on typewriters or wrote documents by hand, on paper. The ancestors of computers, calculating machines, arrived in French companies from the 1950s. The computer revolution is then under way. Then, the Internet was developed in the 1980s, at the same time as the first mobile phones appeared.
It was from the 1990s that the Internet became public with everything we know today: email, file transfer, remote connection, etc.
Today, digital transformation is a new stage in this digital revolution. By definition, this term refers to the integration of new technologies into all of a company's activities in order to simplify the work of employees and improve its performance. This digital transformation process is changing the way businesses work and their approach to meeting consumer needs.
Attention, digital transformation goes beyond the simple fact of digitizing the services and work of employees. It allows, on the one hand, to create new work processes or to modify existing processes within an organization, and on the other hand, to modify its culture and the user experience provided to the customer in order to adapt to market changes. In short, digital transformation consists in reinventing the business world in the digital age and concerns all actors in a company's value chain: from employees to customers, including suppliers, partners and shareholders.
Why is digital transformation an important strategy for businesses? What are its goals?
To remain competitive and maintain a competitive edge in a constantly changing and growing market, a business must be able to adapt quickly, in particular by adopting new technologies. Today, the majority of companies use digital technologies to offer their employees, customers and prospects unique and engaging user experiences through various contact points (website, social networks, email, app, etc.). Businesses that do not commit to implementing an approach that is committed to digital transformation are doomed to disappear.
Digital transformation is therefore essential for a number of reasons.
1. Improving the customer experience through digital technologies
Today, consumers have never had so much choice. Thus, offering quality products or innovative services at attractive prices is no longer enough to stand out. Businesses must now promote the implementation of an adapted strategy whose objectives are to prioritize interactions with customers and offer unique and flawless experiences that encourage customers to remain loyal to the brand over the long term. Digital transformation helps you differentiate yourself through, for example, the implementation of an easy-to-use application, a fast and secure payment method for online sales, excellent customer service and/or fast delivery.
2. Enrich the experience of your employees
Digital transformation makes it possible to facilitate the work of your employees on a daily basis thanks to digital applications and powerful software. Thanks to this approach, in a few clicks, your employees should be able to communicate easily with each other, easily plan the tasks of the day or organize a meeting, have their meals delivered to the office, automate repetitive tasks, etc. Their relationship with work and their life within the company are more pleasant, which contributes to their greater motivation. They are also more available to focus on their work, become more productive, and can provide a better customer relationship experience.
3. Optimize business processes
A company that faces organizational problems in its operation will not be able to offer an exceptional experience to its employees, or to its customers. Digital transformation contributes to the streamlining of workflows, the digitalization of processes and the automation of time-consuming tasks, thus allowing the business to be more efficient. You can also rely on the Lean method to eliminate waste and be more productive.
4. Digitize products
Finally, you can use new technologies to improve a product or service. This is the case of devices connected or activated by voice thanks to artificial intelligence. Digital transformation also helps you set up a system nimble allowing you to constantly innovate and adapt to rapid changes and new consumer requirements in order to be a driver of change and digital transformation.
To conclude
If it has not already done so, it is imperative that your company undertake the implementation of a digital transformation in order to continue to be sustainable and remain competitive. Finally, remember that digital transformation impacts the functioning of the company as well as its culture and organization.
