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Why is Digital Transformation Important?

February, 2023
Why is Digital Transformation Important?

Digital transformation is the process by which companies embed technologies across their businesses to drive fundamental change for the benefits of Increased efficiency, greater business agility and, ultimately, the unlocking of new value for employees, customers and shareholders.

For most companies digital transformation requires a shift away from traditional norms

For most companies, digital transformation requires a shift away from traditional thinking and toward a more collaborative, experimental approach. These new ways of approaching work reveal new solutions which, in turn, can improve customer experience, drive employee innovation and spur company growth at the fundamental level.

A company might introduce AI or cloud computing to enhance its customer experience. Or it might redesign its supply chain to make better use of machine learning. A company can even make spot-on predictions about the products customers will want in a few months’ time, then shift production to meet demand.

For enterprises, digital transformation is in seeking constant improvement

For enterprises, that means continually seeking out ways to improve the end-user experience. This could be through offering improved on-demand training, migrating data to cloud services, leveraging artificial intelligence, and more, according to

There are four main types of digital transformation that organization should consider:

An organisation's business requirements affect which type of digital transformation strategy is most likely to succeed. There are four main types of digital transformation that organizations should consider taking advantage of in their own transformation strategy.

1. Process Transformation

This focuses on processes such as data, analytics, AI, and any process that can work towards lowering costs and driving operational efficiency in the business

2. Business Model Transformation

This is about making fundamental changes in how a business or organization runs which can include personnel, processes, and technology.

3. Domain Transformation

This area offers a great opportunity to move into a new domain or area that a business may not have explored before by acquiring new technologies

4. Cultural or Organizational Transformation

This is about redefining mindsets, processes, capabilities and skills for a digital world. It’s about driving digital transformation forward through growth initiatives that are grounded in a new culture and way of thinking.

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