2020 was a year of trial and error for many enterprises. Almost overnight, business success (and survival) hinged on the ability to adapt to sudden changes in the market. Business continuity depended on market rapid decisions, sometimes with incomplete or missing information, and digital transformation. In particular, companies faced the need to understand and respond to new social media and the Internet of Things (IoT).

How did enterprises perform? Probably not as well as they could have. Despite having access to a growing digital marketplace, many companies were unable to take advantage of new technologies. This is due mainly to the fact that they lacked a clear picture of their current situation, their markets and opportunities. Many were not able to identify an innovative strategy. Some quietly maintained their old ways of doing things as prices collapsed.

The digital transformation, at its essence, is the need to invest in digital products and services to improve operations. Modern companies cannot afford to ignore new technologies such as data analytics, artificial intelligence (AI), robotics and IoT because it will lead to reduced profitability. At the same time, successful companies will struggle if they fail to recognize the opportunities that new technologies can provide them with competitive advantages.

The most advanced companies realize that they need to move from a traditional, insular approach to an innovative strategy and culture. This is not as easy as it sounds because there are many challenges that need to be overcome. For example, the ability to adapt to technology is sometimes the biggest challenge that a company must face. This refers not only to the ability of a company to use these technologies but also how easily they can learn to incorporate them into their current business processes and systems.

The decision-making process, particularly in small or medium enterprises, must be quick so as to ensure success. Many executives focus on one aspect of digital transformation but ignore others. For example, a company may be able to use the latest technologies for revenue generation while ignoring the opportunities that IoT and Big Data can offer them. It is also very important for an organization to have an executive who is responsible for the digital transformation. This means that a company must have a single owner of this transformation as it will make it possible to deliver results quickly.

The main goal of digital transformation is not only about innovation but also about the need to change existing business models. This is very important because physical products and services are being replaced by digital ones. The digital marketplace can be divided into four segments – consumers, employees, partners, and suppliers (see diagram). Digital products and services are reshaping industries such as finance, education, and retail.

For example, Uber and Airbnb offer a similar service but neither uses physical cars or homes. Instead, they use software to create their own platforms. The result is that traditional businesses have to redevelop their business models. Considering these trends, we can say that the digital transformation is changing industries while at the same time providing new opportunities for businesses to compete.

How Can Digital Transformation Help Businesses?

If your vision is a world where people work and live with confidence in an environment of ethical, fair and transparent behavior then you are on the right track to lead your company into a digital future. Cybercrime and data privacy have created a new “State of Mind” where data is now seen as a product – with the right data at the right time can you gain an edge in today’s competitive marketplace.

However, with all this talk about ‘digital transformation,’ you may be confused about how it will benefit your business. If your vision is a world where your customers are served by quality products and services, where you make profits and deliver value to your stakeholders then digital transformation will support you in achieving these aims.

Transform your business into a digital company with the help of a team of experts. We can help by providing you with:

We can work on identifying digital opportunities for your company and use these to create opportunities that will change the way you do business. Our expertise in transforming businesses is available for projects of any size, from small out-of-the-box solutions to complex enterprise-wide solutions.

Digital transformation is a hot-button issue for any company looking to stay relevant in today’s fast-paced environment. This article has provided a brief insight into the phenomenon. However, it is important to note that there are many more facets of digital transformation than what has been described above. This is why companies need to develop a strategy that will help them respond to the challenges of the digital era, while also taking advantage of all its opportunities.

Interested in digital transformation? IT Challenges Leaders Will Face This Year discusses potential challenges that will be faced by IT leaders and could affect the digital transformation of a business.

Digital TransformationIf you would like TSVMap to assist your business with assessing your essential systems and applying the TSVMap methodology to ERP SystemsMRP SystemsCyber SecurityIT StructureWeb ApplicationsBusiness Operations, and Automation, please contact us at 864-991-5656 or info@tsvmap.com.