How to digitise your company: definition, procedure and benefits
Today, the process of digital business transformation is undoubtedly a key to success for any company.
Such innovations make it possible to remain competitive in a market where people have already fully embraced digital reality in their lifestyle and consumption habits.
That is why it is essential for business leaders to rethink both the internal organisation of their company, but also their marketing and growth development strategy, through a digitally oriented business model.
What does the digitisation process of a company consist of? And what means and resources are needed to complete this transition to the digital world?
In our article, you will find an analysis of the digital transition phenomenon and the process of corporate digitisation.
Corporate digitisation: definition
It is not easy to give a precise definition of the digitisation process of a company, as it is a broad concept that approaches the transformation of a company's structure and organisation.
Broadly speaking, we can define corporate digitisation as that process that contributes to the transformation towards a digital set-up of all business processes, from interactions to communications and beyond. Corporate functions and business models must also be revisited through the magnifying glass of new technologies and big data.
From analogue to digital
The digitisation process aims to eliminate all those business processes that rely on traditional business models, also called analogue. The end result of digitisation must be the creation of fluid work systems and processes and greater automation of activities and procedures at any level of the business organisation, i.e:
- marketing sector
- sales sector
- customer care sector
- distribution sector
- production sector
Digitisation ≠ dematerialisation
Dematerialisation refers to the process that leads to the conversion of all paper business documents into digital documents, available in different file formats. For this reason, dematerialisation is a separate and different concept from digitisation, which, on the other hand, involves a total change in the corporate working method.
We can say, however, that dematerialisation is not a separate concept from digitisation, but one of the processes that forms part of the strategies and procedures towards a digitisation of your company.
Digitisation and new work spaces
The digitisation process involves a shift from physical workplaces to a digital space: all processes take place via the network in a 100% virtual environment where the physical office has no reason to exist.
Corporate work finds new working environments: all social interactions between co-workers, customers and employees take place via video conferences, video chats and collective social networking platforms.
The 4 pillars of digital transformation
Nowadays, we are experiencing an unprecedented rise of the digital component in companies. In fact, in order to secure its place in the market, it is necessary for every company to engage in technological innovations in order to remain competitive and profitable.
If you have decided to embark on the digital transformation process, it is time to get acquainted with SMAC. Through social, mobile, analytics and the cloud, you will be able to embrace the inevitable digital transformation underway without too much difficulty.
SMAC: Social, Mobile, Analytics, Cloud. What does it mean?
SMAC is an acronym made up of 4 letters referring to 4 terms. These define the 4 technological components that translate the main market inclinations in terms of digital transformation of companies. The terms to which the letters of SMACS refer are:
- Social,
- Mobile,
- Analytics,
- Cloud.
In concrete terms, these terms correspond to the four IT investments that must be made to ensure that a company remains competitive in the market. Therefore, they are also indicators of the maturity or technological inadequacy of a business.
Through the inclusion of these parameters, the entire enterprise and its operation can be adapted to (sustainable) market trends. Both customers and users, but also the employees themselves, will benefit from the advantage!
The technologies of the digitisation process
The digital transformation of a company cannot take place without the use of hi-tech collaborative tools and platforms. But digitising a company does not mean adopting all the latest technological breakthroughs that the market offers. One must know how to choose carefully
- the technologies the company needs
- the level of digital skills of the company's employees
- the company budget made available for technology investments
For a successful digitisation process, all cloud-based software is an excellent solution for any type of business, whether for fast communication or working remotely. Google's G-suite or Onedrive are a great tool for sharing and storing files by utilising the large storage capacities of the cloud.
Software for digital communication such as Skype, Google Chat, Zoom or Teams are essential. They are simple and user-friendly communication platforms that encourage greater collaboration and mutual exchange.
To facilitate automation and simplify business dynamics, management or ERP systems are of utmost importance.
With these software, your company can easily manage, account for and keep track of all the most important activities of a business, from logistics to accounting.
Added to the above systems are all CRM and CMS platforms related to customer care management and digital content production.
As we have repeatedly said, the number of new technologies introduced is not the success factor of the digitisation process, but the way they are managed and connected in a 100% digital way .
What are the benefits of the digitisation process?
Deciding to digitise your business is not easy, but the benefits are countless. Business processes become faster and more efficient, production times are reduced exponentially and workers feel more involved in the process of producing added value through continuous updating processes.
Let's look at the benefits in detail.
Zero room for inefficiencies
Business models that are digitally oriented aim to create a more flexible and efficient management system thanks to a workflow that is partly automated.
Increasingly satisfied customers
The digitisation and automation of business processes help to improve the efficiency levels of the service offered to its customers, recording an increase in satisfaction and positive feedback. In fact, digitisation makes it possible to simultaneously manage the countless requests coming from customers: the different communication touchpoints improve the customer experience and interaction with your company.
Innovation in constant updating
A company that has decided to embark on a digitisation process has decided to embrace the development of new technologies and professions at the same time. The digital set-up allows your company to adapt more easily to changes and new innovations, while remaining competitive in the competitive market.
Decreased level of risk
A company operating in a digital environment has a decreased level of risks and errors. And when errors do occur, the processes established by digitisation enable the rapid identification of causes and solutions to problems.
More effective communication
The change brought about by the digitisation process involves communication between employees, suppliers and potential customers. The latter, from passive subjects, become active players in this communication process, working hand in hand with the technologies implemented by digitisation.
The creation of new opportunities
If your company is digitised, your business processes will be more efficient and competitive. You will have more time to devote to new projects and seize new opportunities to increase the company's profit. Decision-making actions are simplified and can be based on a system that collects data and information digitally.
What are the costs of corporate digitisation?
In the face of the countless benefits that digitisation brings, it must be taken into account that there are costs to be borne in order to complete this transition process to a digital company.
Before analysing the costs of digitisation, it must be remembered that the digitisation process for a company is not about catching up with new technologies, but choosing technologies that are in line with the needs of the company. For this reason, digitisation must be seen as a new horizon of profit and gain to make one's company innovative and competitive in an ever-changing and increasingly global market.
So what are the costs of this upgrade to digital?
Equip yourself with the right technologies
The digitisation process cannot be complete without the acquisition of new technologies and huge investments in IT systems such as management or ERP software, IoT systems, 3D printers, cloud-based platforms and ultra-fast fibre connections.
All of the above-mentioned elements are the main source of expenditure for implementing the process of corporate digitisation.
Having a competent staff
Once the company has the right technologies, it must also have employees who are able to use the tools that underpin digitised management correctly. The next step, then, is to look for people who have the skills required for a 100 per cent digital environment and who are able to exploit the potential to the full.
If the costs of hiring staff are too expensive, the alternative is to offer training courses to existing staff so that they can become familiar with the new digitisation methodologies.
In both possible scenarios, apart from the economic cost, there is also a cultural cost. In fact, the digitisation process entails a strategic and management cost, i.e. a change of course from traditional business models that leads to a digital and innovative environment. The corporate mentality is completely changed, as is the corporate organisation chart.
This change must start at the top management level in order for it to affect the entire company. There is no point in hiring highly qualified personnel if the company's top management is unable to point the way towards this digital change.
And you, do you feel ready to face this challenge?
Article translated from Italian