Why Digital Transformation Begins and Ends at The Customer
Digital transformation is a process that uses digital technologies to create new or modify existing business processes, cultures, experiences, and customer experiences to meet changing business and market requirements. This reflection on business in the digital age is a digital transformation.
The digital transformation is changing the way we do business and, in some cases, creating entirely new classes of businesses. Thanks to the digital transformation, companies are taking a step back and re-evaluating everything they do, from internal systems to interactions with customers online and in person. They ask themselves big questions like “Can we change our processes in a way that allows for better decision-making, game-changing efficiencies, or a better customer experience with more customization?”
Why are companies undergoing a digital transformation?
As digital technologies advance and play an increasingly important role in our daily lives, companies need to keep up with the times. From a broad perspective, it’s simple: Keep up or fall behind. However, understanding what digital transformation means to your business requires a little more research.
Today’s customers are connected and strengthened by the digital age. They are connected 24/7 and increasingly want and expect the same continuous access to the companies they trade with. The key drivers of this change in consumer behavior? Mobile devices and social media.
According to the Harvard Business Review, more specifically, 73% of customers prefer to trade with brands that suit their shopping experience. Digital transformation is the transformation of a company. It is a transformation that is driven by a fundamental desire to improve work for everyone, from employees to customers.
What are the factors of digitization and digital transformation?
The basis for any change in business starts with customers. Customer happiness is the way you win in business.
The expectations of modern customers are driven primarily by digital technologies and digital innovations. An always-connected customer always sees new possibilities. When they see new things elsewhere, they want them from you too. And if you can’t offer it to them, they’ll find someone else who can. A digitally connected world makes it easier for customers to compare stores and move from one brand to another, often with minimal effort.
Digital innovation is shaping business in all sectors
Digital transformation has an impact on every industry. Whether your business generates revenue through client services, digital media, or physical goods, technological innovation can change your manufacturing, distribution, and customer service.
Depending on your business, your customer may be a consumer or an intercompany (B2B) client. We will expand our perspective to include your employees. Employees’ expectations are based on their own consumer experience, especially with regard to digital innovations in the workplace.
How to digitally transform a business
Digital transformation is a complete transformation of a company. If you are serious about transforming your business, it is important to keep this in mind. It’s not just about updating IT systems and applications. It is a cultural shift and a reassessment of all the processes and ways of doing things in your company.
Signals of the need for digital transformation
Signs that your business needs a digital transformation may appear in different parts of your organization. They must not shout “It’s time to go digital!” Or “Why aren’t you on Instagram?” Instead, they may present a diverse set of business problems.
If one or more of the following items in our checklist is true, it may be time to think seriously about developing a digital transformation strategy:
- You are not receiving the recommendations you received previously. More and more referrals are now being shared online via social media, apps, email, and messaging. If your business doesn’t have a strong and easy-to-share digital presence, you may miss out on recommendations.
- Repetitive trading methods are no longer present as they once were. Non-returning customers are not necessarily a sign that your products and services are disregarded. The cause of the non-return may be the promotion of competition, insufficient follow-up communication on your part, or a number of other reasons. A digital transformation of your communication strategy could explain why this is so.
- Verified promotions no longer generate leads. Why are your promotions no longer effective? Do you measure their influence? It is difficult to determine the impact of campaigns and even the best digital strategies from last year may no longer be effective. If your promotions don’t bring potential customers, maybe it’s time for a new bottom-up approach to marketing.
- There are a growing number of complaints about the lack of cooperation and information sharing, teams working in the forces, etc. The idea that sales and marketing simply do not work together is long and out of date. Collaboration is an operational word in today’s progressive business cultures, and the key is to get your data out of power and in front of everyone who needs it. At the heart of any digitization is a plan for making business data accessible and useful across departments.
- Your technology systems seem outdated – employees demand features they are used to from consumer applications. Excel is a great tool, but you shouldn’t use it for everything. Modern business applications that serve specific needs, integrate with each other in data sharing, and offer a user-friendly environment for desktops and mobile devices are a must today. If your current technology doesn’t offer employees most, if not all, of the above, it’s time for them to look at a technology platform that can.
The digital transformation strategy is a company’s transformation strategy.
Remember that just as digital transformations primarily affect business and digital commerce, problems with your business data can be a signal for you to take a closer look at how your company does business in general.
If you see red flags and realize that your business data is not centralized, accessible, and does not work for you, what next? It is time to create a digital transformation strategy.
You don’t have to create a digital transformation plan yourself
Partnering with external experts to develop your digital transformation strategy is one option – bringing something you don’t have to the table – experience and expertise in many different clients – and can provide value and best practice. Your short-term investments in their time are designed to help your business reap greater benefits in the long run.
Turning to the right partner and discussing your transformation strategy will allow you to create a better plan than you can while being able to focus on your core business. It will also help you avoid some mistakes.
Collaborate on technology decisions and investments in leading the digital transformation in your organization
If you are leading the digital transformation in your organization, keep this rule in mind when considering decisions and investments: Work together. If you have 10 employees, all 10 are affected by the change, so you must get them.
Don’t make decisions in a vacuum. Get everyone involved in time and ask for ideas. Not only will you get a better commitment, but you will also get a better result.
Avoid technological error
Technological integration is key. One of the biggest and easiest mistakes companies make is investing in many different technologies that don’t integrate. Unfortunately, if your platforms and applications don’t work together, it’s hard to connect partial information.
Build bridges to connect your data, employees, and customers
You don’t have to scrap everything at the beginning of the digital transformation and start over. In fact, the most effective solution is to bypass data sources and draw all information into central space – and not a complete start again.
The second part of the process is to unify your data in order to create a unified view of the customer. Once you build bridges between fragmented information, you’ll be able to uncover useful insights into customer behavior and maximize the potential of new technologies such as AI. What is at stake in digital transformations is to look at your business again with new knowledge and tools.
Roman Kučák, Partner