How Digital Transformation Can Generate Competitive Advantage

Digital transformation is now an essential factor that supports and increases the competitiveness of your business. Its importance was first felt during the pandemic and experts say that it will be a decisive factor for companies in the post-pandemic era. Digital transformation is just not limited to industry, be it construction, real estate, retail, tourism, etc. as a business you must adapt to the new norms and the customers whose needs have also changed. Technology will help businesses stay competitive and fulfill the current demands.

Now let us take a closer look at how digital transformation can generate a competitive advantage.

Competitive Advantage

There are companies that provide digital transformation services which make the implementation of digital transformation easy and enable a business to improve its processes, have streamlined operations, and can give a good customer experience.

There are various benefits to digital transformation. Some of them are mentioned below.

• Digital transformation will help businesses by reducing the cost by automating certain activities and can enhance the flow of information in the organization.

• Assist in effective customer support in building stronger bonds between the customer and the brand.

• Improve product quality and increase a business’s production capacity.

• Retaining and attracting new talents to your company by providing enhanced technology experience.

Businesses which are digitally transformed are more likely to have experienced high sales growth over the years especially in times of the pandemic. The organizations which use digital transformation services are proactive regarding the technology implementation is most like to have a vital competitive advantage and will eventually benefit from it.

Digital Transformation

Digital Transformation or Industry 4.0 is the implementation of new technologies to increase and streamline communication between all the various aspects of an organization (such as individuals, products, machines, suppliers, distributors, etc.)

It is the optimization of any organization’s processes and services enabling it to reach a certain level of competitiveness, through acquisition, evaluation, processing, and interpretation of data.

Advantages of Digital Transformation

Here are some of the ways how digital transformation can help various industries.

Retail

By becoming digitally transformed retail companies can improve their customer’s experience in many ways. Customers can view the inventory status, personalize products, track delivery time, etc.

For example, a retailer who sells clothes could offer his customers the platform to put their pictures, so that they can virtually try out the clothes for fits, size, and color that they want to buy. Then the process of transaction and shipping can be automated. Giving a supreme shopping experience.

Tourism

Travelling is nowadays convenient till the time flights do not get canceled. Imagine your flights got canceled due to some natural calamity. Artificial Intelligence solutions can automatically identify all the passengers who are affected and reschedule their flights and even change their hotel reservations.

Manufacturing

Manufacturing is a place where digital transformation services are used the most and has proved to be vital. By installing sensors, the manufacturing unit can collect real-time data and can proactively monitor production. By installing cameras units can check the quality of the product and automate the rejection process.

Agri-food

Many farming activities can be automated and the data collected can be used to reduce the production cost that they incur. For example, there are applications that can be used to monitor the health and growth of livestock. These solutions can automatically control their diets.

Conclusion

If you are looking to implement digital transformation in your company, you must take it slow. There are various factors that you need to account for. Changes are difficult to adapt to especially for your employees. Keep in mind the following.

• Be specific about your needs, highlight the process that needs improvement and think about how to stay competitive.

• Your objectives should be clear and be strategically formed

• Do a complete organizational technology audit.