Digital transformation is all the rage. Tech-driven business innovation is happening all around us. But how do game-changing technology investments get implemented in real life? Everywhere you see, businesses are reinventing themselves around new apps, new digital processes and new ways of reaching customers with 21st-century products and services.
Ways technology is transforming business
Technology shifts can radically change business principles. New technologies are being developed all the time, and the impact this has had on the world of business is immeasurable. As technology continues to move forward, it is important to understand how technology is transforming business:
The collaboration craze
For companies in a growing number of industries, it is no longer sufficient to leverage digital technologies to rationalize and optimize internal production. If the business relies on a model of consumption that is inefficient for consumers, chances are that there already exists a new sharing economy marketplace that is looking to streamline it.
Technology has flattened the marketplace
In the same way that technology has allowed for collaboration beyond geographical borders, technology has also reduced the barriers to entering markets around the world. This allows buyers and sellers from around the world to connect and do business.
Technology has made business faster
It is undeniable that technology has made business move much faster than before. Personal computers and the Internet have revolutionized the way we work. E-mail interactions have replaced memos, phone calls, and faxes. Smartphones can connect you with your entire business network while you are out of the office, allowing you to respond quickly. Workflows and automated tasking systems have cut down on organizational bureaucracy, streamlining operations.
The apps revolution
Smartphones and tablet-PC have already disrupted or is disrupting many different businesses. The potential to disrupt several other businesses is huge, so is the opportunity for incumbents to adopt the smartphones and tablet-PC before more agile start-ups disrupt their business.
Cord cutting is growing
Disruption is coming to the TV industry and there will be a new set of distributors leveraging fundamentally different cost structures to the old regime.
E-readers are starting to replace old fashioned books
Book stores are one of the business models seeing the most problems because of technology. E-readers are starting to replace old fashioned books, and it is not just the e-readers themselves, but also the app formats of them which allow people to buy and read books right from their smart phones and tablets.
The downfall of traditional bricks and mortar retail
Despite several retailers’ overall net-profit decline and the disappearance of certain stores altogether, the high street remains bustling with shoppers every weekend. However, with the influence of the internet, new technology and the rise of digital marketing, a number of retailers are struggling to keep up.
Technology has changed how we connect and sell to clients
Perhaps the most important change, technology has allowed businesses to connect and sell to clients in new ways, including e-mails, blogs, and recently and social media. These tools allow businesses to stay relevant in a customer’s mind, and they help prospective customers to find new companies to do business with.
Information is more accessible
A few years ago, companies didn’t did not care about bad publicity as much as they do today, the saying “Today’s headline is tomorrow’sfish and chip wrapper” was often thrown around. That saying is no longer true.
Cloud computing and virtualization
We are virtualizing our desktops, our servers, and our storage – which means data is stored on remote servers and accessed in a wired or wireless way.
Why businesses are pursuing digital transformation
- Social, mobile, real-time, and other disruptive technologies are aligning to necessitate bigger changes than initially anticipated.
- Digital transformation is quickly becoming a priority for many leading organizations.
- Mapping and understanding the customer experience is becoming critical in guiding transformation efforts.
- While gaining momentum, digital transformation as a formal process is still in its infancy.
- Digital transformation is driven partly by technology and also by the evolution of customer behavior.
- Three key elements that form the compound upon which digital transformation efforts are built:
- It is most effective with pointed vision and supportive leadership.
- Optimizing the digital customer experience becomes the initial objective.
- Change materializes through the formation of a digital transformation team.