When it comes to today’s businesses, adopting new technology is essential, yet many senior executives are hesitant to begin on the road of digital transformation.
Some business executives are afraid to fully embrace digital initiatives because they are concerned about the effect on the budget, deterring staff and consumers or because they don’t feel secure enough in their digital knowledge to make the transition. These impediments are simply fallacies, and the digital transformation provides several advantages.
These myths regarding digital transformation have been dispelled to help you make a better-informed choice about what’s best for your company:
● Small businesses can’t benefit from digital transformation.
The advantages of incorporating digital technology into small firms are often unclear. A startup company might benefit from digital transformation by working hard to discover itself. According to our Innovation Survey, 13 per cent of participating organizations said that digital technology’s most significant advantage was helping them grow and retain customers.
In addition, as flexible working becomes more common, cloud-based solutions make it possible for smaller organizations to accommodate workers who may opt to clock in remotely or work outside of usual business hours.
● For IT and IT organizations, digital transformation is only relevant.
In many cases, senior managers who don’t understand the potential of digital technology are oblivious of the benefits it can bring to their business—some with a view that it only pertains to the technology and IT sectors. Still, it’s helpful in the overwhelming bulk of industries and will impact them all in time.
Consider the bands used for radiofrequency identification (RFID). There is a strong chance you haven’t heard of this technology. However, it can be utilized in hotel room keys, transportation tickets, and many payment methods.
● An organization’s digital transformation may be completed in a single step.
A worldwide lockdown had a rippling effect on business and the primary way it offered goods and services, but most firms found a way to get back on their feet. These experiences led to a dawning realization: An effective data transformation process is more than simply converting a manual to an automated workflow. It involves continuous, ongoing efforts, backed by training, and in sync with the constantly changing expectations of workers.
As a result of this awareness, businesses’ recruiting and planning processes have undergone significant modifications. According to the U.S. Bureau of Labor Statistics, employment opportunities for software developers and engineers will increase by 22 per cent by 2029, a rate much higher than the overall career growth rate of 4 per cent. Digital transformation efforts are far from complete, as shown by the fact that many firms are actively seeking to expand their workforces in anticipation of new technologies.
DevOps processes, including version control, continuous integration, automated testing, and open source technologies, will be critical to future innovations and job growth.
● In the end, digital transformation and digitization are the same things.
As a non-technical person, it’s easy to confuse terms like “digital transformation” with “digitization”, for example. Taking a process and making it simpler, quicker, or cheaper is the goal of digitization. It is re-creating the same process in a new way. Aside from new technology being implemented that may improve current assets, digital transformation creates new value for consumers.
Even if digitization may make things easier inside a corporation, digital transformation may open up new markets and produce goods that appeal to new clients.
● It’s all IT’s fault; no one else has to be concerned.
It’s a prevalent misconception that the IT department is solely responsible for the digital transformation process. Our Innovation Survey found that a lack of support from top management was the most significant impediment to digital transformation.
Having a board member on the team for digital transformation is an excellent approach, as is recruiting a dedicated team for this purpose.
● As a result of digital transformation, business metrics are not relevant.
In the past, firms rushed to develop their dotcoms since it was considered trendy. Until one day, it wasn’t there anymore. Because everyone else is doing it, or because it’s good PR, or because their kids, or the analysts, want them to, a startling number of CEOs want to go digital.
These are all the wrong reasons to switch to a digital platform. The digital transformation process must positively influence sales, profit, cost, customer engagement, retention, or repeat purchasing. Because without knowing what metrics are being changed and how much, the entire procedure is a waste of time.
● When embarking on a digital transformation journey, it is possible to go too fast.
As a result, there is a widespread belief that digital transformation is too hazardous. To avoid upsetting the apple cart or rushing into the fray, many firms chose a systematic approach to digital transformation. Cutting-edge firms like Netflix and Tesla then developed, proving to many corporations the need of embracing digital trends and methods.
With the pandemic outbreak, the cautious approach to data transformation services was shown to no longer be sufficient.
The benefit of time is not accessible in marketplaces where rivals are constantly striving to match (or better yet, predict) the next invention. For example, in the automobile business, some major corporations are currently fighting against tenacious startups like Rivian. Even though its trucks haven’t even hit the road yet, the electric vehicle and automotive technology startup just filed for an IPO and is seeking a price of up to $80 billion. Because it spotted a gap in the market and took risks to fill and disrupt it, the firm may eventually compete with Tesla.
No firm can afford to disregard the influence of new technologies on its operations anymore; no advantage can be considered secure for the foreseeable future. It’s no longer enough for businesses to accept new technology carefully or wait to see how they affect others. They must embrace change and move quickly to stay competitive.
Robots and algorithms might indeed lead to the abolition of certain occupations. A more productive approach is to look at AI and other sophisticated technology as tools that can be used with human labour instead of seeing them as direct competitors.
Humans’ inherent capacity for solving large, complicated issues may be enhanced by digital technology, which can generate new career categories. Re-engineering positions in a business, developing re-training programs and upskilling and re-energizing the current workforce are likely necessary for leaders.
To put it simply,
You’re already a part of the digital revolution. Start preparing your company using data transformation tools if you haven’t done so already since the future will be pretty different from what you’ve been used to. Be able to tell reality from fiction before jumping on the digital transformation bandwagon so you can make informed decisions. Getting rid of these five misconceptions would be beneficial.