9 Ways Digital Transformation Impact Organizations

There has been a total disruption in the Enterprise Service sector over the past few years. Some of the main factors driving this disruption are the change affected by rapid advancement in technology, increased proliferation of mobile based internet usage and the subsequent increase in customer expectations. These new paradigms have forced the businesses of today to look at themselves from a digital lens. Digital transformation has not just been prevalent in the private, but also the public sector. Be it the computerization of a Government Medical College, or be it adoption of a high-tech app based monitoring system for processes in Major Resource manufacturer companies, digital transformation has changed and is changing the way we do business. Soaring profit rates, increased customer satisfaction and less friction in the supply chain has been the result of the impact of digital transformation on organizations.

Digital transformation is more than merely dragging in some computing equipment, laying down some LAN cable and calling the process quits. It entails the very ground up transformation in the way businesses look at themselves and do business. It involves imbuing a sense of modernism, transparency and accountability within one's internal affairs. All redundant processes, all processes that are repetitive, cumbersome, replaceable are to be automated. Paperless discipline is to be inculcated within the organizational hierarchy so as to ensure that a secure and dependable log is maintained of every managerial decision, no matter how minute. Digital transformation means changing the mindset of the staff of the organization from analog to digital. Thus, with more dependance on software systems and all the perks and improvement it brings, the challenges being brought forth by the same are addressed and taken care of in a timely fashion.

Following are the 9 ways digital transformation impact organizations

1) It concentrates the organizational hierarchy, brings teams closer

Digital transformation involves implementing many processes that fundamentally affect the everyday organizational functioning. Small internal teams are created. Many white-board sessions are held to decide what is to be done in order to digitize the business. This automatically imbues the internal staff with a sense of purpose and provides a target to achieve exceptionalism.

2) Formulation of Key Performance Indicators (KPIs) that would accurately reflect the progress being made by the organization post Digitization

Digital transformation fundamentally is a quantitative process. Its employment by business stakeholders that have P&L responsibilities within an organization can get them a bird's eye view of what is happening in their business. They too then can participate in the process of driving change within the organization and request specialized systems that are tailor made for their needs and help them monitor key aspects of their business using KPIs (Key performance indicators).

3) Digital transformation facilitates Automation, which in turn leads to lesser amount of time and effort for the completion of the same task as compared to that performed manually.

Digital Transformation means a lot of processes will get automated, lightening the workload and reducing time spent doing monotonous, repetitive, drudgerous work. This improves employee morale significantly and causes an increase in productivity. Another result of Digital Transformation is saving time and allowing the same to be used by the business employees to concentrate on tasks that actually matter

4) Preparation of a streamlined and potent infrastructure capable of addressing any challenge.

Digital infrastructure has become indispensable in today's day and age. Before committing to provide world class services to clients, businesses need to make sure that they have the necessary infrastructure in order to service the most demanding of customers. With good equipment and good infrastructure, even the most challenging projects can be completed easily. But proper preparation is the essential key to facilitate that. Digital transformation is the catalyst needed here to provide the necessary expertise. This is the impact of Digital Transformation on organizations.

5) Digital Transformation has proved to be the most effective catalyst in order to drive up revenue in modern day organizations

Perhaps the most significant impact of digital transformation on businesses is the amount of revenue generation it facilitates. A well-prepared, fully digital business is far more capable of servicing a modern day organization. Such a business is far more prepared at tackling any problem thrown at it than a business depending upon traditional analog practices. Consequently, such businesses are far more capable of incurring a healthy paycheck in lieu of their services. Thus, more revenue is generated and causes a sense of contentment and happiness within the organizational rank-and-file.

6) Digital Transformation improves the Employee experience in the organization

Today's is the age of digital literacy. Helping employees gain digital literacy, training and engaging them around a digital transformation vision will empower the employees to rally around the effort of Digital transformation and become active participants and not just spectators in the organizational growth. Such motivated employees then themselves become drivers for change.

7) Digital Transformation makes data the center of one's decision making, skyrocketing efficiency

In many organizations, teams are fragmented and are in individual silos. The data thus generated too is very fragmented. Today's Information Age has rendered the data to be the most valuable commodity. Much can be learned from analyzing data and it can also be monetized safely if used prudently. Building centralized data infrastructures to better inform and support cross functional efforts promote collaboration and integration, and unify digital transformation around data-supported efforts. The data thus generated can be used in Data sciences, Artificial Intelligence(AI) and predictive analysis, further propelling the engine of organizational growth.

8) Digital Transformation has a huge effect on propelling customer experience.

Since Digital Transformation is so data driven, it is very easy to glean and incorporate customer feedback within the organizational machinery. Competitors' strategies, competing products become very easy to analyze and isolate in the presence of a high-functioning data machinery. Moreover, today's customers expect important information to be pushed out as quickly as possible, enabling them to make pertinent decisions. Only Digitization can facilitate that.

9) End-to-End digitization causes an irreversible paradigm shift in the organizational machinery.

The last and probably the most important impact of digital transformation on organizations is the paradigm shift that it causes. After Digitization, a new culture and a new vision follows. Tech-savvy employees get work done in half the time and cost and with a smile on their face. This paradigm shift pushes the boundaries to the very limit of what a business is actually capable of. A culture of innovation and transformation is propagated and promulgated as a result of the massive impact caused on the Business as a result of Digital Transformation.