The Top Ten Benefits of Digital Transformation
Digital transformation improves both efficiency and profitability. According to the SAP Center for Business Insights and Oxford Economics, 80% of organizations that have completed digital transformation report increased profits.
2. Beating the competition
Unsurprisingly the motivation for most companies to “go digital” is cost-related. Moving data to a public, private, or hybrid cloud environment lowers operational costs. It also frees up hardware and software costs while freeing up team members to work on other projects. More than 85% of organisations say they have increased their market share with 23% expecting a higher revenue growth than their competitors.
3. Knowledge is power
Although most businesses collect data on customers, they don’t always make the most of it. The real benefit is optimising this data for analysis that can drive the business forward. Digital transformation creates a system for gathering the right data and incorporating it fully for business intelligence at a higher level.
4. Collected data results
The business can translate raw data into insights across various touchpoints. By doing this, it produces a single view of the customer journey, operations, production, finance, and business opportunities.
5. Greater resource management
Digital transformation consolidates information and resources into a suite of tools for business. Rather than dispersed software and databases, it brings company resources into one place. Digital transformation can integrate applications, databases, and software into a central repository for business intelligence.
6. Customer insights
By better understanding your customer and their needs, you can create a business strategy that is more customer-focussed. Using both structured data and unstructured data, such as social media metrics, can help drive business growth.
7. Better customer experience
More than two-thirds of companies say they are competing mostly on customer experience. Accenture reports that customer experience “has emerged as the key driver of sustainable business growth.” They suggest that even a single point increase in customer experience scores can results in millions in annual growth.
8. Creates a digital culture
An automated, cohesive process creates an easy way for collaboration. It also helps to move the entire organization ahead digitally. It forces the upskilling and digital learning of team members to take advantage of the benefits of digital transformation culture. This digital culture will be crucial in the future.
9. Flexibility and agility
Businesses can increase their agility with digital transformation to improve speed-to-market and adopt continuous improvement strategies. This allows for faster innovation and adaptation while providing a pathway to improvement.
10. More time and greater productivity
Having the right technical tools can streamline workflow and improve productivity right across the board. By automating many manual tasks and integrating data, staff will have more time and can work more efficiently.