The eruption of new technologies in the business world is leading to a strategic shift towards digital transformation .
Some companies are forced to transform processes that have become obsolete and adapt them to new technologies to continue growing their business, but there are also those who want to be at the forefront of digitization, automating their processes to minimize costs and maximize business efficiency.
In any case, the transformation of the company towards digitization is a challenge for companies that want to keep pace with technological developments.
Digital transformation in business
In the business world, we could define digital transformation as the implementation of new technologies into business processes and strategies .
The new context presented by digitalization leads to a constant evolution towards a change of mindset in the way people and companies approach their professional relationships.
Why is digital transformation important for businesses?
The ultimate objective of companies is to improve their profitability and, in this sense, new technologies offer the possibility of optimizing processes in order to increase profits.
Digital transformation involves investing resources (not just financial) precisely for this, to automate processes, minimize costs and maximize efficiency.
Also Read: Digital Transformation, Sales And People
Benefits of digital transformation
The digital transformation of business models offers the possibility of benefiting from some of its advantages, for example:
- Improve communication with the partner or customer, making it faster and smoother, adapting to each type of customer and their needs.
- Improve internal communication by implementing systems to facilitate the exchange of information.
- Decentralize work and encourage team mobility, promoting work-life balance for employees.
- Ensure better control and monitoring of administrative management tasks.
- Automate repetitive processes to optimize resources.
Digital transformation around the world
On March 9, 2021, the European Commission presented its vision called Digital Decade for Europe’s digital transformation until 2030.
One of the four cornerstones of this EU vision is the digital transformation of European businesses , with a target of 75% of EU businesses using cloud, AI and big data.
The European Commission offers a digital compass , as a guide, containing four key points:
- Digitally literate citizens and highly skilled digital professionals.
- Digital business transformation.
- Digitization of public services.
On September 20, 2020, Australia launched a Digital Business Plan to drive economic recovery.
Treasurer Josh Frydenberg said the business plan “aims to leverage the digital transformation of Australian businesses to drive productivity and income growth and create jobs”.
The Latin American Economic Outlook 2020 report discussed the role of digital transformation as a tool to foster the development of countries in Latin America and the Caribbean.
Most countries in Latin America and the Caribbean have launched digital agendas with different characteristics, proposing cross-cutting programs to achieve the goals with policies that promote the digitalization of the economy and society.
One example is the Enterprise Digital Transformation Centers (Centros de Transformación Digital Empresarial, CTDE) in Colombia, which aim to support small and medium-sized enterprises in their digital transformation process.
In South America, Brazil is another country at the forefront of digitization. One example is its Gov.Br portal, which unifies government websites and has over 97 million registered users.
Its advances in Digital Transformation are based on public policies such as the Digital Government Strategy 2020-2022 , the National Cybersecurity Law or the Digital Government Law Nº 14.129 approved in March 2021.
The progress of digital transformation in companies
The Covid’19 health crisis has accelerated the digitization process in most countries around the world.
Both public and private entities have been immersed in an evolution towards digital transformation , seen as an inevitable process of adapting to new technologies.
Governments are devising strategies to help companies successfully implement the various digitization mechanisms, but it is up to companies to act and implement the actions that will bring them closer to an effective and efficient digital transformation