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Why digitalization is inevitable in business?

The importance of digital transformation in business

Digitalization is the way forward – no organization can enhance innovation and efficiency without embracing new technology. Digital transformation is intrinsic to long-term growth, viability, and success.


Data analytics provide increased insight and visibility

Enterprise transformation encompasses gathering and analyzing data from several areas of the business. By harnessing data analytics tools, decision-makers can get better insights and visibility. Several databases can be integrated by enhanced collaboration thereby resulting in cross-team workflows.


IT can be applied across different areas of the enterprise, from marketing and HR to sales and customer relationship management. Automation enhances business processes and frees up employees from routine repetitive tasks to value-generating ones. A case for innovative digital transformation in the recruitment industry is that of Glassdoor. The company gathers and analyses employee reviews thereby providing potential job seekers with valuable analysis of company culture, salaries, work-life balance, benefits, and other parameters.


The customer experience can be enhanced through enterprise transformation. Data analytics can help deliver improved and innovative customer experiences to set a company apart from the rest. The transformation also extends to better customer support and service. Customer feedback can be seamlessly collected with automated emails or digital support to facilitate product changes or other improvements. Netflix supplemented their DVD rental business by offering video-on-demand streaming services. The result is a personalized customer experience that is leading other streaming giants. The company could expand its reach significantly during the pandemic.


The marketing function can be leveraged and optimized for existing customers as well as potential customers. These factors will keep your business competitive and retain the cutting edge. Walmart also made a significant digital transformation by going online in a customer-facing manner. The company offers a website and mobile app for online purchases. Employees were encouraged to take ownership by breaking down internal silos and allowing prioritized data access. The digital transformation process helped Walmart become agile despite its size. The voluminous data was collected and analyzed for the product and marketing teams.


Impediments in implementing digital transformation

But enterprise digital transformation carries some inherent risks. How much to spend on new technologies and which technologies to choose are critical to the growth of the business. Estimating the ROI on the technology chosen and ensuring that it does not become outdated quickly involves careful calculation. Technology must also be sufficiently safeguarded from cyber threats. Employees must be onboarded with new processes and adequate training. Of course, any unpredicted market shifts can disrupt the best-laid plans.


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