In all sectors and vertical levels, competitiveness depends on how well digital technology succeeds in the company.
What does digital technology mean?
Digitization is an ambiguous term. Originally, the term meant the conversion of analog data into a digital form.
In the last ten years, however, the understanding of the term digitization has changed. It is less about the technical process and more about the economic and social use of digital technology.
Typical examples of digital technology
- The automation of processes using digital technologies
- The use of digital communication devices such as smartphones
- New media based on the Internet
- Capturing and storing information in digital form instead of paper
- Communication with employees, business partners, and customers via digitized channels
- The introduction of digital currencies such as Bitcoin or NFT
- The networking of everyday objects via the Internet (Internet of Things)
- Controlling the building technology via the Internet (Smart Home)
Because digital technology has brought about such a profound upheaval in the economy, society, and science, people are now also talking about a “digital revolution”.
No company can escape this change. To remain sustainable, all market participants must digitize their business processes, infrastructure, communication technology, and administrative tools. This digital transformation is in full swing and will shape the economy in the years to come.
Digitization in the company is therefore increasingly regarded as a strategic priority and controlled at the top management level.
Optimization of processes and tasks
Operational improvements are often the focus of digitization in companies. These include:
- Cost reductions by reducing the amount of manual work involved
- Faster product development and time-to-market intervals
- Higher product quality without increasing costs
- Digitization of administrative processes in accounting or human resources management
- Increase in profitability
Create competitive advantages
Digitization in the company opens up new business areas and enables innovative digital business models. These are based on data-driven processes, digital communication channels, and software. The cloud, which offers unlimited scalability and global availability of data, also contributes to competitiveness.
Customer centricity
An important goal of digitization in the company can be customer-centricity. The more information the company has about the needs and behavior of its customers, the better it can tailor its offering and communication to the user. Thus, because of technology, Flipkart png logo business can meet its customers’ needs.
The prerequisite for this is to collect corresponding digital data that allow conclusions to be drawn about these needs. This is one of the ways to ensure fast response times because user habits can change overnight in a digital world.