Articles

eBook on Digital Transformation Services

by Ashley Jan IoT | DevOps | Product Marketer
Today, traditional businesses are getting prepared for disruption from digital natives. According to IDC, global spending on digital transformation will be $2 trillion by 2022. As digital and physical worlds are merging at an alarming and accelerated pace, businesses need to start thinking about how to maximize the opportunities by leveraging new age digital technologies.

Introduction

Today, traditional businesses are getting prepared for disruption from digital natives. According to IDC, global spending on digital transformation will be $2 trillion by 2022. As digital and physical worlds are merging at an alarming and accelerated pace, businesses need to start thinking about how to maximize the opportunities by leveraging new age digital technologies.

Digital Transformation is setting new standards for business growth. It is not just about incorporating newer technologies into business; it’s a digital disruption, which requires restructuring everything in the business process. As the numbers of connected devices from smartphones to cars to home automation to industrial automation to smart cities and its connection to humans are increasing, organizations that deliver digitally transformed products or services are gaining a competitive advantage over others in the market.

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As per IDC, 32% of new technology investments will be driven by digital transformation, and by 2020, 60% of all enterprises will be in the stage of implementing a digital transformation strategy

By adopting smart technologies and transforming the legacy business processes, businesses will become more capable in improving customer experience, earn more trust and, as a result, increase their profit.

So what is a digital transformation? ― It is about rethinking the products and processes, digitalizing systems, and delivering highly connected and contextual experiences for the end consumers. It’s more about discovering ways by which companies can provide better digital customer experience.

Emerging technologies such as IoT, Artificial Intelligence, Virtual Reality, Augmented Reality, Big Data, Cloud Computing, and Machine Learning are predominantly changing the way businesses operate.

It’s natural to go gung-ho for advanced digital technologies, but it is equally essential to know about the digital transformation prerequisites, key drivers, complex challenges, strategies, roadmap, framework, principles, success steps, investments, ROI and benefits.

Know our Digital Transformation Services

Why Digital Transformation is essential for your organization?

Digital innovation brings technological disruptions that lead to a complete transformation. Digital transformation is essential because it provides a valuable opportunity for business operations to move from legacy manual processes to digitally automated process, enabling leaders to focus on broader business opportunities. The business that has incorporated digital technology have often experienced the following:

  • Significant increase in sales, and hence more revenue generation
  • Significant customer acquisition, retention, and satisfaction
  • Product and process improvement
  • Employee satisfaction
  • Increase design and engineering productivity
  • Improved product quality

Businesses, of all sorts, are creating cleaver, compelling, and disruptive ways to utilize technology for customer delight. Netflix is an excellent example of digital transformation. Netflix started as a mail-order DVD distributor and disrupted the video rental market. Later, it came up with wide-scale video streaming services. Today, Netflix has taken over traditional television cable service provider and by offering on-demand content like movies, series, and videos at very competitive prices. Netflix effectively leveraged the technologies to get insights into customer preferences and provided the on-demand content to the end-user.

Know How Avionics Engineering evolve in digital space

Key Stats

  • The worldwide spending on digital technologies will be almost $2 trillion in 2022. (Source-IDC).
  • The connected cars market is expected to reach $225.158 million by 2025, registering a CAGR of 17.1% from 2018 to 2025 (Sources: Allied Market Research)
  • The highly digitized semiconductor industry is expected to spend around $120 billion by 2022.

(Sources: Strategy& Innovation database, 2017 Global R&D funding, Expert interviews, Strategy& analysis).

Key Drivers for Digital Transformation

The rapidly changing consumer preferences, technology, and competition gives rise to the enormous market for digital transformation. Consider an example of Uber which has completely dominated the transportation sector, forcing other taxi service providers to discover ways to incorporate similar online app-based ride experience, ride-sharing, car on rent or other on-demand services into their business. The factor behind this transformation push is technological innovation from digital-native companies like Uber.

The following are drivers of digital transformation.

1. Increasing expectation for personalized experiences

With the evolution of smart technologies, customer preferences have been evolving continuously. Today, customers are preferring product and services that are available 24/7 and that can be access from anywhere. With advent of digital technologies businesses are fulfilling the customer expectations by building smarter products that can be customized further based on specific requirements.

2. Introduction of disruptive technologies

The pace of innovation is accelerating with disruptive technologies. Internet of Things, Artificial Intelligence, Machine Learning, and Big data analytics are driving the market today. All these digital technologies are forcing businesses to change across every sector in the economy.

3. Rise in competition for digital technologies

Today, every other organization is bringing digital change in their business process as the competition level for adopting digital technologies and providing customized solutions are increasing rapidly. As per Research & Market, the global digital transformation market is expected to grow from US$ 445.4 billion in 2017 to US$ 2,279.4 billion by 2025 at a CAGR of 24.3% between 2018 and 2025.

Digital Transformation Challenges

Change comes with its own set of challenges. Digital transformation is painful when not understood properly. It becomes a complex problem when the leadership team doesn’t know what change it will bring or if the goals aren’t clearly defined.

Also, many organizations are not ready for this new reality. The legacy business models, outdated technologies, operations, resources, and skills don’t allow much scope for any new transformations.

1. Workforce Empowerment Challenges

How often you bring change to your organization? The resistance to a change can often derail the company from the current market trend. At times employees are so entrenched in the traditional processes of daily duties that they deny any changes that will take away their comfort zone.

The reason behind this could be due to the challenges it poses to their job and fear of failures. To deal with this, organizations should have an effective digital learning model in place to enhance their capabilities in implementing, adapting, and evolving with digital technologies. It is essential to empower the workforce with digital resources to carry out a successful product transformation.

2. Technology Integration Challenges

During digital transformation, you’re bringing in new digital technology to a legacy setup, and replacing outdated and non-performing processes. You’re utilizing the existing system to integrate with digital technology for bringing digital transformation. The technology integration for new process causes delays as employees face further technical training and getting accustomed to the new management techniques. Another challenge here is the cost and technical expertise required for integrating the legacy technology with the new one.

3. The Data Challenges

The data are the fuel for digital transformation. There are several challenges associated with data handling during the implementation, from data capture to storage to analysis. Organizations are finding many difficulties as they try to learn how to gain valuable insights and competitive advantages from it. The need is to gather critical data, store for a long time and use process it to produce results.

Digital Transformation Roadmap

The digital transformation strategy should clearly define and talk about the business process change, cultural change, technology change, and legacy product or service change. During updating the existing systems or adopting cutting edge technologies, enough attention must be given to the changes that will impact the business culture and the business processes.

Some of the critical steps to take for a successful digital transformation initiative:

  1. Keep digital transformation on top priority while crafting the business strategy
  2. Collect and utilize data and analytics to make business decisions
  3. Adopt a company-wide approach towards successful digital transformation
  4. Maintain the combination of both people and technology to smoothen the digital transformation process
  5. Monitor and control the process as and when required

For becoming successful in digital transformation, companies need to not only invest in technologies but also rethink on creating new business models, invest in digital talents, develop digital measurement matrices, and integrate automation into the workforce.

Create a Digital Business Models-. Create a lean strategic approach that helps to plan operations and support function activities. Always focus on getting relevant data and make business decisions based on data analytics. Partner with digitally capable firms and invest in emerging technologies such as IoT, ML/AI or Cloud.

Invest in Digital Talent and Skills- Is your team digitally sound? Assess the digital capabilities of the team and based on results, create a digital talent pool roadmap. Drive an organization-wide digital talent campaign and improve the skills of the workforce.

Understand and leverage data– Do not underestimate the power of data. Data are critical element for business decisions. Perform analytics on customer data, operational data, performance data, technical data, and non-technical data. Take decisions for the future, based on data analysis and business forecasting.

Automate workforce– Know the importance of automation in work culture. Automate the business process for efficient and accurate work. Automation helps in cost reduction, increasing productivity, efficiency, and performance of the team.

Digital Maturity Plan

What is digital maturity? ―Digital maturity is the ability of a company to respond appropriately to the emerging digital competitive environment. In digital journey, business assess their current capabilities that exist within an organization and help them to be clear where these need to transform or improve. In order to bring the digital change into your organization, follow the 3D approach of digital transformation.

3D Approach to Digital Transformation

1. Define

  • Articulate data and define a sound strategy for transforming legacy product or service.
  • Define what digital transformation means to your organization from top management to new associates.
  • Set objectives and align them with the ultimate vision of the organization.
  • Conduct product assessment and cost-benefit analysis.
  • Set priorities and implement the change.

2. Develop

  • Identify critical checkpoints/milestones regularly.
  • Create change and implementation plan with definite timelines.
  • Develop the risk appetite and note success factors.
  • Identify roadblocks and how to overcome these challenges.
  • Make digital IoT platforms to get digital insights with Machine learning and Artificial Intelligence.
  • Identify opportunities and find out ways to convert them into the business.
  • Invest in people skills, tools, and systems.
  • Initially, maintain digital stream separate from mainstream operations.

3. Deliver

  • Perform testing of transforming services or products.
  • Once transformed, the technology is ready to scale for intelligent automation, OT-IT operation, and process automation.
  • Monitor and control the business parameters.
  • Scale the transformation to other legacy products.
  • Make the process and product improvements based on the results.

Digital Transformation Framework

The framework consists of people & skills, internal operation, and technology infrastructure.

tain the combination of both people and technology to smoothen the digital transformation process

read the full bloghere — https://www.einfochips.com/blog/a-blueprint-on-digital-transformation-services/


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About Ashley Jan Innovator   IoT | DevOps | Product Marketer

24 connections, 0 recommendations, 75 honor points.
Joined APSense since, July 26th, 2019, From Texas, United States.

Created on Nov 22nd 2019 02:22. Viewed 646 times.

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