What is digital transformation and how does it benefit a business?

“Information technology and business are becoming inextricably interwoven. I don’t think anybody can talk meaningfully about one without talking about the other.” Bill Gates

This quote from Bill Gates, co-founder of Microsoft, highlights the vital importance technology now has in a modern workplace. Social media, computers, audio and visual technology, energy, software, the Internet: it has all become so engrained in how businesses run and communicate with their customers.

This can be described as: digital transformation.

What is it?

Digital transformation is when digital technologies are integrated into all areas of a business. Not only does this fundamentally change the way a business operates, but also how it communicates and delivers value to customers.

However, companies may have varying goals when it comes to digital transformation. Some might aim to increase productivity among workers, or utilise digital tools to operate at optimum efficiency and improve customer service. But for every company, digital transformation has the capacity to positively influence all aspects of the business.

Relationship with customers

Firstly, when people picture how a company uses digital technologies, most may think about how a business communicates with its customers using technology.

According to a February 2022 study, there is a total of 57.6 million social media users in the UK. This has, therefore, become a huge part of digital transformation for businesses, as many technologies focus around delivering content and conveying messages on social media.

Furthermore, these messages can be reiterated using other mediums such as TV, blogs, websites, celebrity endorsements and radio. Often, it’s the convergence across these platforms with social media that has the biggest impact: particularly the use of a hashtag across a marketing campaign to build engagement.

However, all of these digital techniques can be used by companies to build a deeper relationship with customers and thus increase profitability.

Workplace operations

Secondly, digital transformation can help a company from the inside too. New technologies can be used to modernize many functions of a company, including legal processes, efficient workflows, strengthened security and data optimisation.

One significant part of this is data. It’s been predicted that 90% of companies are doing business in the cloud. This allows a company to optimise their systems and processes by backing up data and storing it in a safe and organised way. Customer data is particularly important within this – as sensitive and important information is being stored, collected, analysed and shared correctly – all GDPR compliant.

Furthermore, digitally optimised organisations are utilising stronger resource management. This means expanding their hardware to integrate different applications and software to enhance operations further. Using different, innovative technologies can expand a company’s prospects, and without them businesses are sure to be left behind.

Why is digital transformation important?

On one hand, it’s important for companies to embrace digital transformation because it offers infinite possibilities. Suddenly, industries that have been resistant to change have optimised their offering and productivity with the use of technology. For example, the food industry has seen a rise in online food delivery and home cooking packages getting more and more popular. On top of this, utilising the functions of social media allows businesses to expand – particularly for smaller businesses which need more exposure in order to grow and become more profitable.

Digital transformation is no longer just an option but should now be seen as a vital key to survival. The pandemic has shown a new urgency for businesses to embrace digital transformation because of growing technological need. This has permanently altered long-term consumer behaviour, particularly in areas such as online shopping, streaming services and cashless transactions.

Leading on from this, many people now work remotely or are learning to adapt to a hybrid-working style. This means day-to-day company function need to be technologically advanced enough to accommodate and support this cultural shift.

How we can help

Digital transformation is a huge cultural change for many businesses that demands organisations adjust, experiment and branch out from the norm. It’s important to remember that every company is on a different path towards digital transformation, with varying goals and capabilities. But for everyone – it can be quite daunting.

But there are so many positives. Improved resources, stronger data management, better customer experience, heightening collaboration, improved productivity and increased profits are just some of the ways it can further your company’s successes.

We offer tailored support with your business in mind, providing a range of specialised services from a team of highly skilled and highly reliable engineers.

Make sure your company is optimising its technological capabilities and embracing digital transformation by contacting SA1 Solutions today.

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