Digital Transformation
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The 4 Types of Digital Transformation

Often times you’ll hear big companies’ executives confidently talking about their great achievements, and how digital transformation has led to the success of their businesses. Prioritizing technology advancements in their business is what earned them great results. While others have succeeded to make use of digital transformation and experience wholesome benefits, others have completely failed. So, what makes it a failure to others yet to some it’s a powerful solution? The most important thing about digital transformation is understanding it, having proper coordination, and applying it most effectively. In this post, we’ll highlight all 4 types of digital transformation and provide you with any other relevant information. 

What is a digital transformation agency?

Digital transformation is not as easy as it may sound. It’s difficult to apply even for well-established organizations. You’ll need a reliable digital transformation agency if you want to successfully incorporate technology in your business operations.

They’ll help you to eliminate the gap left in meeting your customer’s demands and what you offer by improving your business operations, culture, and customer experience. In doing so, they’ll integrate technology within your company and make it more efficient from all angles. 

How do digital transformation agencies make your organization a better place?

  • They examine the user experience to ensure the journey is smooth for their clients
  • They increase your business agility in its operations
  • They instill the spirit of innovation to both managers and the employees in each person’s specific work position
  • They maximize transparency and communication among the workmates
  • They assist the company to acquire, record and analyze essential data that might be needed in the future to improve the business’s operations
  • They create unity in an organization and make the workmates feel skilled through the incorporation of new technology
  • They switch the business’s elements to fit the digital world

What are the 4 types of digital transformation?

1. Process transformation

Process transformation plays a big role in integrating digitalization in your organization. Data, analytics, machine learning among other technologies make use of this type of digital transformation. Changing the process is the key thing in transforming the business into a fully digitalized world. Some may even use robots’ automation to achieve their goal efficiently while others may incorporate it into the customer experience. For example, food companies like Dominos have successfully merged process transformation in the food ordering process. In doing so, the customer’s experience is improved and satisfied. 

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2. Business model transformation

While some organizations pursue digital technologies to change the process of their operations, some do it to re-invent the old business model. The process transformation focuses on limited areas of the business, but the business model transformation type aims at the fundamental structure of how to maximize performance in the industry. Transforming the business model creates new opportunities for the organization to grow, and reach its optimum level in terms of the services it’ll deliver. Such type is applied in the taxi industry when Uber was invented to make the industry much effective.

3. Domain transformation

This type of transformation creates the greatest opportunities to increase the value. It involves redefining the products and services, and establishing something awesomely different, and not offered anywhere else. They combine strong digital skills, maximize the data they have, and closely work with other well –computerized companies. For example, Amazon. It offers the largest computing services and is owned by big companies; Microsoft and IBM. It’s among the highly profitable industries, and a big threat to its competitors because the services it provides are unreachable. 

The key areas in digital transformations

Digital transformation requires effort. It needs 4 important pillars that closely work together. Here are the main drivers in achieving digital technologies in enterprises;

 Technology

Understanding how technology contributes to the transformation journey, fixing it to fit the specific needs of the business, and perfectly integrating it with the existing system is difficult. Technical debt and technological restrictions make the whole process difficult to implement. The best way to resolve it is by working with experts in the digital field to assist in making the right technological decisions. 

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Data

Digital transformation requires data and analytics with high quality. Sadly, most organization’s data do not reach the standards. This creates the need to improve their operations so that they process data appropriately. Transformation involves learning new data, using data from external sources, and using all the available information. This means having accurate data which can still serve its purpose after the transformation. 

Process

Transformation is a cycle. It needs the flexibility to adjust to the varying customer expectations, competitor’s pressure, and the new trends. It takes time to improve the existing systems and introduce new ones. The organization will need a strategic plan that’ll help the team accomplish its transformational goals. It begins from the introduction of an idea to the steps taken in the implementation, and finally the delivery to clients. 

Organizational working spirit    

Here, it’s all about leadership, teamwork, communication, and other important elements needed for good management. It’s basically the human side in integrating digital transformation. Most organizations succeed in implementing the three areas, but when it comes to the management abilities, the scale drags down. What most don’t know is that this part is equally important as the other pillars. So failure to work on it too significantly affects the capacity to have a successful digital transformation. The organization should work unitedly, with everyone committed to achieving a common goal. 

Conclusion

Digital transformation involves more than you think. Anyone who understands it won’t judge an organization that has completely failed to incorporate it. As much as it’s a complex process, it’s attainable if each participant performs the role as expected. A digital transformation agency is the right place to go if you want to introduce new technology to your business operation. These experts will stick with you from the start till the end. Understanding the transformation is a tough process too, but having a professional around will help you adapt. Hopefully, the article has been helpful to you. It’s now time to choose which digital transformation you’ll opt for.

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