The Importance of Digital Transformation for Companies

Technological developments force companies to continue to adapt, one of which is through digital transformation. Digital transformation is part of the process of business transformation.

Digital transformation is able to improve the performance of companies and individuals by changing the way business is done, both medium and large scale businesses. Work efficiency is a high price to optimize revenue.

Digital transformation has brought positive impacts to various aspects of life. Through digital transformation.

Companies get a new perspective on managing the company, optimizing company operations, and changing business models to be more efficient. So digital transformation is business transformation in the modern era.

Seeing digitalization that has occurred in all aspects, it is time for companies to join the digital transformation process. In United States itself, many companies have followed the digital transformation process.

Coupled with the Covid-19 pandemic that has hit the whole world, many people have turned to using telecommunication devices to carry out various activities without being hampered by distance.

To find out more clearly about how important digital transformation is for business, see the explanation below.

Reasons for the Importance of Digital Transformation in Companies

Here are some reasons why digital transformation is so important for business continuity:

Able to Adapt to Changes in Consumer Behavior

Advances in technology and digital transformation have brought changes to consumer behavior. The most fundamental change is that consumers' interest in shopping directly by visiting stores has decreased.

Currently, most consumers are more likely to make online transactions because it is more practical and efficient.

Only with a smartphone connected to an internet connection, consumers can buy their various needs. No need to worry about traffic jams, bad weather or long waits in line.

In order for the business to continue to run smoothly, business people certainly have to carry out digital transformation to be able to adapt to these changes. For example, by creating an online store and optimizing product or service marketing with digital marketing. 

Currently, there are many business people who create websites or take advantage of marketplaces such as Amazon, Ebay and Alibaba to open marketplace online stores.

Increasing Consumer Satisfaction

Digital transformation makes it easier for consumers to obtain information related to products or services offered without time and place limitations.

Services can also be carried out more optimally, both in the process of purchasing transactions, shipping, or complaints about problems that may occur and how to overcome them. So that with digital transformation it is able to increase satisfaction for consumers.

More Time and Cost Savings

In applying digital technology for business, companies will get many benefits in terms of time efficiency and cost savings.

For example, if you have a business with branches spread across several cities, sending documents between branches is no longer a problem. Data or documents can be easily shared via Google Drive.

The application of digital technology can also make it possible for small businesses to reach a broad target market.

If previously marketing was only done by paying for advertisements on television or print media, now marketing can be done online.

For example, by creating a website, small businesses also have the opportunity to market their products or services throughout USA.

Effective and Efficient Efforts

After the digital transformation, all systems will be computerized and integrated. Service to consumers and marketing can run more optimally.

The possibility of human error can also be minimized. This is an effective and efficient effort. Not only time and cost, but also effort.

Reducing the Risk of Internal Fraud

IT development and all computerized and integrated systems are a form of digital transformation. This can reduce the risk of fraud occurring within the company.

Because every time there is data, information and reports will be recorded in a database and there is a security system that makes access to important data only limited to people who have authority.

Increasing Competitiveness and Profit Value

It is undeniable that with current technological developments, there are more challenges that must be faced in running a business.

One of them is the intense competition between businesses. The pace of business in this digital era is dynamic and very fast.

In order not to lose in the competition between businesses or at least to be able to survive in the market, as a businessman, they must increase their competitiveness by carrying out digital transformation. Thus profits can increase.

When Is The Right Time For Business Digital Transformation

In this case, the right time to start a business digital transformation is now. Here are the reasons why you should start now:

1. Currently a lot of technology at affordable prices

2. Technological developments increasingly pamper users with an easy-to-use experience

3. Now is the era of speed, if it's slow it's too late!

4. Reducing the risk of business fraud

The success of digital transformation lies in digital technology itself, namely how to integrate Big Data, Mobility, IoT and Cloud-Native Technologies into a service that changes business processes as well as ways of working.

To implement this, it requires complex infrastructure, if done with a conventional model, it requires a very large cost.

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