Digital Transformation for Beginners
Digital Transformation may sound a bit tedious, but it is actually very beneficial to service or business owners. Digital transformation is the practice of implementing digital technology to transform services or a business. This can be done by replacing non-digital processes with digital processes for updating the technology used. Digital transformation can be easy when you take it step by step. Here is how beginners of digital transformation can utilize this practice:
Why You Need to Digitally Transform
A definition from The Agile Elephant states that, “Digital transformation involves a change in leadership, different thinking, the encouragement of innovation and new business models, incorporating digitization of assets and an increased use of technology to improve the experience of your organization’s employees, customers, suppliers, partners, and stakeholders.”
That being said, updating or implementing new technology within your business can improve experiences all the way around—for everyone. This includes: customer service, data tracking, and your business model. At this point in our digital age, if your business does not modify its digital system, it will be left behind. Everything in our world is progressing and it is important for businesses to stay on track.
The Three Pillars
Technology and the practices that come with it are always evolving. Even the three pillars of digital transformation progress and change along with our digital society. Currently, the three pillars for digital transformation are customer experience, business models, and operational processes. There are a few ways to implement the three pillars into digital transformation:
Being ‘on demand’ and available for your customers is key. Whether you are using a company’s app, visiting a website, or making an automated phone call, the customer interaction is what drives a business to success. The experience of the customer needs to be top notch and seamless, otherwise you could lose the loyalty of your customers. Some examples of how to enhance your customer service digitally is by: creating an easy to navigate website, setting up E-news letters, and being accessible to your customers digitally.
A Business Model is defined by the characteristics of value proposition and how it is delivered to the target customers with innovation. A business model helps owners of services or businesses earn money and maximize shareholder value. Business models are essential because they help your company plan and figure out the mission. What is your goal? Who do you want your target audience to be? How will you deliver your service to the customer? Some examples of a business model can include: expansion into new industries and leveraging your assets as a business.
With operational process, we are mainly looking at data, information, and what you do with it. There are many data processing systems and analytics databases that allow you to review your data and make sense of it. This can be: real time processing, online processing, or batch processing. When you have good quality data, you can then use it to make decisions and either progress or change things about your business, such as your website, servers, and the way you interact with customers!
Putting It Together
The primary function of digital transformation is to make sure your business is up to date online. If it is not, it could become outdated and difficult to make use of data and connect with your customers. If you remember the three pillars and why you are upgrading your technology, you will never fall behind in the digital age!