By now you would have heard a lot about digital transformation and may be wondering if it is another ‘buzz’ concept or something to take notice of.
This article explores the potential benefits a digital transformation can offer to your organisation, its employees, customers and bottom line.
How digital transformation can aid collaboration
As roles and responsibilities are expanding, and organisations require greater decision-making capabilities, collaboration amongst employees is increasingly important. In particular, access to accurate and available data allows cross-functional teams and departments to communicate better.
One major value of a transformation project is that it creates one source of truth for enterprise data. This becomes a source that different functional teams can access and translate into insights across various touchpoints. By producing a single view of operations, production, customers, and finance you facilitate better communication amongst employees. Because everyone is working from the same vantage point, team members can better align strategies to business goals, and explore new opportunities.
Digital transformations impact on customer experience
Digital transformation not only improves the lives of employees but also your customers’ experience. Today’s customer is educated, and they hold high expectations of the brands that they give their money. No matter the complexity of the task, customers expect an omnichannel experience, that is seamless and intuitive. They want access to valuable products and services and expect easy solutions to their issues – fast.
This is where a digital transformation is critical because it facilitates and supports businesses online. Furthermore, customer experience (CX) is one area that can allow your business to compete and get ahead of the competition. Gartner reports that CX drives over two-thirds of customer loyalty, outperforming brand and price combined.
This shows that investing in customer satisfaction can pay off long-term when it comes to brand loyalty and profits. If your organisation wants sustainable growth, CX is one area that can be greatly enhanced through a digital transformation.
The impact on insights
In the age of information and technology, data silos are stopping organisations from making informed, data-driven decisions. Organisations are collecting more data than ever before. However, if a strategy has not been established to manage the collection of data, it becomes a burden and meaningful insights are clouded.
This is where a digital transformation can help. It helps to create an efficient system for gathering the right data and organising it in a way that allows for business intelligence at a higher level.
With the right digital transformation strategy, you can track metrics accurately and improve data transparency. The impact on insights is that you will have optimised analysis capabilities, allowing you to propel the business forward confidently.
Increase process speed and accuracy through the reduction of manual interventions
Digital transformation has the potential to improve the speed and accuracy of business processes. Automation technology can perform redundant tasks on a timed basis and ensure their completion, quickly, efficiently and with an increased level of accuracy.
You may come up against employees who fear digitisation, however, through education and training, you can get them to embrace the change. The removal of manual tasks will provide them with more time to develop their analytical skills. They can focus their efforts on evaluating opportunities, and risks, and providing the organisation with improved insights overall.
When we work with organisations to reduce manual interventions, getting staff buy-in is one of the first areas we tackle. It’s critical that employees understand how they can contribute to value-producing opportunities once they have access to real-time, data-enabled decision making.
Improved profits and reduced costs
Does the optimisation of spend and a reduction in costs pique your interest? A digital transformation will provide you with clear visibility of business operations and will highlight any process inefficiencies.
Having access to data around process efficiencies is one of the easiest ways to identify opportunities for cost savings and spending cuts. It will help you to identify and map processes and areas of inefficiency so that you can reduce costs.
On the flip side, as we discussed earlier, digital transformation automates manual, redundant tasks. In turn, this allows you to increase productivity and increase the amount of valuable work an individual can do. Adopting ‘fit-for-purpose’ technology will help teams and departments become more agile and effective.
A digital transformation is important for any business that wants to compete post-2022. There are significant gains to be made across, employee collaboration, customer experience, insights, speed, and accuracy, as well as profits. Here at Minerva we have experience helping mid-to-large size organisations digitally transform. If you need help with a digital transformation, sign-up for our free 6-part video series on designing and deploying a digital ecosystem.