What Is Digital Transformation, And Why Does It Matter?

There is a lot of talk about 'Digital Transformation' right now, but what does it actually mean for your business? This article gives a breakdown of Digital Transformation and some reasons why it's important.

What is digital transformation?

Digital transformation is a process that, starting with the organization and moving outward, enables organizations to create transformative outcomes by leveraging digital technologies.

Organizations can achieve digital transformation  through four main steps:

1. Understanding the current state of your organization and its digital capabilities.

2. Developing an action plan for implementing digital technologies in order to improve performance and outcomes.

3. Put in place the necessary organizational structures, processes, and tools to support the implementation of the action plan.

4. Monitoring and ongoing evaluation of progress to ensure that the digital transformation initiatives are achieving their desired results.

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Why do organizations need to transform?

Digital transformation is the process of transforming an organization from a traditional one that uses paper-based processes and communication to one that is digital-enabled. 

1. Increased Efficiency: Digital transformation can increase an organization’s efficiency by decreasing the time it takes to complete tasks and by increasing the accuracy of information. 

2. Improved Customer Interactions: When an organization becomes digital-enabled, it can improve customer interactions by allowing customers to interact with the company in more efficient ways.

3. Rapid Response To Changes In The Market: By becoming digitally enabled, an organization can respond more rapidly to changes in the market.