One of the most interesting trends of this generation is Digital Transformation. A shift in technology that has enabled businesses to use applications on the cloud to outperform their competitors.
What is it? (Short on time? Read the highlighted areas to get a quick understanding)
Digital transformation has been one of those trends that`s been high on the ‘must do’ list for many companies over the past few years and for good reason too. In fact, Gartner survey shows 42 Percent of CEOs have begun Digital business transformation.
But what does it mean?
Digital transformation is the process of changing how you run your business by welcoming new, innovative digital technology that has an impact on your stakeholders.
When considering who we need to satisfy when running a business, it’s not always the customer. Staff play an equal role in helping your business too. When considering and researching digital transformation, keep this in mind.
Consider this, by 2025 75% of the workforce will be millennials, so let’s predict three things:
The way we influence customers to buy will have drastically improved – Speed, efficiency and forever rising customer expectations will be the cause of this. Even today in 2018, expectations are at an all time high, so who knows what will be the norm in 2025.
We will probably find new ways to communicate with each other. The B2B landscape is still catching up to B2C but we will find B2B organisations adopting similar tactics we see today with consumer brands, when trying to communicate with their target market.
How we work within an organisation will have changed. Millennial leadership is likely to ditch the 9-5 framework we see today and opt for a system that compliments a healthy work life balance. Enabling flexible working is a priority for this generation to support wellbeing, mental health and job satisfaction.
You may not want to trust my genie lamp, but one thing is for sure, if these predictions come true… it’ll be thanks to a digital transformation.
A recent report from Gartner claims that Forty-seven percent of CEOs are being challenged by the board of directors to make progress in digital business, and 56 percent said that their digital improvements have already improved profits.
As more companies adopt this mindset, customers will expect all organisations to provide a similar service and thus those who fail to prepare for this will suffer the consequences and lose out to competition.
Who benefits from it?
By re-inventing your business to compete within the digital landscape, all stakeholders involved in your business should benefit from this. As the world moves towards the digital world, our daily lives are being consumed by new technology to make our lives easier so why not make our work easier?
Because we want to make things easier for ourselves, new technology within the workforce should be accepted by most. However, this is not always the case.
Many of the skills, technologies and processes companies currently have do not translate well into the digital world, so CEO’s are finding it difficult to make the switch. The time it takes to complete the transformation may seem daunting but it’s important to think of the bigger picture.
By making the switch sooner rather than later, you’ll be able to accept new technology designed to improve things like efficiency, your decision making, your internal communication and your profitability.
By not making the switch, you’ll be looking at your competition with envious eyes as they outperform you and you’ll then be playing catch up or even run the risk of losing business.
What should I consider then?
To help guide you to the digital world, we’ll cover some examples of companies who have made the switch.
Digitizing the product: The National Lottery are a great example of a company looking to shake things up by embracing everything digital. To match the expectations of their target audience, they’ve introduced a way of their customers to constantly check their results on the move across multiple channels, they’ve introduced online scratch cards and they’ve even switch from television to BBC iPlayer to broadcast the results.
According to a recent Salmon Insights survey, 90% of those they questioned claim that the main driver behind implementing an ecommerce platform was to achieve overall market growth (47%) and the second reason was due to the opportunities of growth within the online market for their products (36%). It’s no secret that ecommerce is being heavily invested, a large proportion of firms are willing to invest in new technology despite appreciating that some tools may turn into a fad. Even with this being the case, the risk opportunity of investing in ecommerce may well pay off as 87% of those questioned by Salmon Insights believe ecommerce will be the fasted-growing area in the next five years.
Using digital platforms to communicate with your customers: It’s no secret that social media has infected our daily habits, people can’t get enough of checking in with their friends sharing their lives. Therefore, if your company doesn’t take social media seriously yet, then you’re missing a trick. The internet allows us to communicate with anyone in the world, instantly. By using social media platforms, your opening up an abundance of opportunities to reach, engage and acquire new customers.
It’s not just social media that can have a profound effect on your communication. Multiple businesses now use screen sharing websites to provide visual demonstrations to customers which means you could be demonstrating your product to just about anyone in the world (Let’s hope it’s not at 3am in them morning).
Using digital platforms to communicate with your staff: As your company grows, you’ll find that communicating with all internal stakeholders is quite difficult. According to The New Yorker staff writer and author of The Tipping Point Malcolm Gladwell, the number of 150 represents the maximum number of people that we can maintain a social relationship with. Therefore, allowing your staff to communicate across departments, instantly, should be a top consideration as your company grows.
Other software solutions allow members of your team to clearly communicate their work to each other to ensure timely completion of projects. Managers can keep track of staff productivity, monitor their online activity and even go as far as using GPS tracking (Yikes).
We’ve only touched the surfaces of Digital transformation in this article and We will continue to write on specific trends within the digital world. This article aims to be a summary to help guide your thought process and if you want to read more on trends and topics then please do follow us via our social media channels or get in touch and we can have a chat!
At Thomas Cole we create bespoke software for our clients and have been doing so for the last 18 years. Bespoke software gives you the opportunity to mix and match new technology and integrate them accordingly, so if you have a need, we’ll build it for you. Fast.