Digital transformation in enterprises: what is it and how to apply?

Digital transformation in companies is more than a trend that needs to get on the radar of managers. Today, it is already a palpable reality.

A survey by the Boston Consulting Group (BCG), conducted with more than 200 companies worldwide, shows that 61% of participating organizations accelerated their digital transformation projects during 2020. 

The survey went even deeper, revealing that the vast majority of these companies (96%) intend to continue accelerating their implementation projects within the next 24 months. 

It is perceived, therefore, that the need for adaptation is latent, but how can companies begin to apply the concepts of digital transformation in their business models? 

That's what it's about – and many other subjects! – that this article speaks of. Keep track of reading to find out what digital transformation is in business and how to apply it correctly. 

What does digital transformation mean?

A digital digital transformation is, in simple terms, the restructuring of processes and paradigms for the adoption of digital culture in the most varied areas of a company. 

Contrary to what one might think, digital transformation should not be seen as a strategy only for technology-focused companies. 

Companies of all branches can benefit from digital resources in their operations to increase their productivity and competitiveness in the face of a market that only grows in competition. 

Nevertheless, the implementation of digital transformation requires two major investments: one of time, to train all employees and adapt them to new processes; and one of money, for the purchase of technologies that effectively facilitate the work. 

It is important to stress, however, that digital transformation in enterprises is not only aimed at large conglomerates. Let's stress: this is a movement that all companies can benefit from. 

What is the impact of digital transformation?

It is easy to see, in the most varied aspects of society, the impact that digital transformation has had on improving processes and making them simpler. Within the business context, this is even more obvious. 

A survey conducted by Coleman Parkes Research, a consultancy specializing in data for the B2B market, shows that digital transformation has increased new business revenue by 37%, also driving the competitive factor of companies by 69%. 

What are the benefits of digital transformation in businesses?

The benefits of digital transformation in companies are also varied. The main one is, without a doubt, the breaking of paradigms, flexibility and the establishment of a culture based on innovation.

But, of course, the advantages are not limited to these only. We've listed some of the top ones in the list below. Check:

  • Encouraging the multidisciplinarity of teams;
  • Customer experience optimization;
  • Production of number-based insights;
  • More assertiveness in decision making;
  • Strengthening the business culture;
  • Consolidation of more agile processes. 

How to apply digital transformation in your business?

No company wants to stay behind in trends, does it? Especially in trends that are related to the agility of operations and can be competitive advantages, such as digital transformation. 

Nevertheless, it is important to remember that the implementation of digital transformation in companies will vary according to the challenges facing your company. 

There are, however, three main demands that can be considered common to most companies. We explain more about the application of digital transformation in each of them in the next topics:

1- Operations

You've certainly wondered how to make your operations more agile, haven't you? Unfortunately, there is no one-time revenue, which can be followed by all companies. 

The application of agile methodologies in operations should be accompanied by a profound change of mentality and processes. Therefore, it is important to keep in mind that your employees, for example, will need training and a time to adapt to the new structure. 

2- Customer experience

The customer experience is a trend that has grown in importance in recent years. More and more companies are concerned about improving this aspect of their operations in order to achieve a more solid and loyal customer base. 

Currently, with the amount of competition that most markets face, improving the customer experience should not be seen as a luxury, but a matter of survival. 

In this sense, digital transformation can help in the following aspects:

  • Improve communication and information exchange;
  • Streamline company deliveries;
  • Make the shopping journey more streamlined;
  • Generate data and insights to optimize sales processes. 

3- Business model

Applying new technologies can completely change the way your business does business. A good example of this is Netflix. 

While this was one of the largest movie rental companies in the 1990s and mid-2000s, after a process of digital transformation, Netflix became a leader in the streaming market, a segment that did not exist but that changed the way most people consume content.  

What are the challenges for digital transformation in enterprises?

No major change can be implemented without a good deal of challenges, can't it? 

Still using data from the research promoted by BCG, it is possible to note that 70% of companies have difficulties in implementing the concepts of digital transformation in practice. 

For 23.8% of the participants of a survey promoted by SambaTech, there is a lack of qualified professionals to implement these changes. The lack of planning came as the second main reason, being mentioned by 20% of the interviewees.

Meanwhile, finally, there is a lack of investment, being pointed out by 17.1% of the participants.

Another research, conducted by McKinsey Company Brasil, corroborates this scenario. The study found that only 8% of the companies interviewed have professionals trained to drive digital transformation within the business environment. 

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More than a trend for the future, digital transformation in companies is already a reality that knocks on the door of managers around the world. 

Able to improve processes, optimize the customer experience and make operations more agile, this transformation is a welcome change for many corporations, especially considering the growing competitiveness in today's markets. 

Nevertheless, these changes present challenges, with the lack of skilled labor and low investment two of the main reasons for the delay in implementing digital transformation in the corporate context. 

We hope this article has helped you better understand what digital transformation is in companies and how it can improve your operations. To read more content like this, go to the news tab of our website! 

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