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Submitted URL: https://c90dc8aab2ee480299cd2874464ac2c2.svc.dynamics.com/t/t/Ywyxd97A0TdqmeNSjUHhcuCoaoZ1xKrwIBxLtKstPY0x/SZkymbAU7EPBNPYhTXgH1ncGBsUSUAMxmnk4PchYDxMx
Effective URL: https://www.infopulse.com/blog/digital-transformation-for-sme-and-enterprises?utm_source=crm&utm_medium=email&utm_campaign...
Submission: On November 13 via manual — Scanned from NL
Effective URL: https://www.infopulse.com/blog/digital-transformation-for-sme-and-enterprises?utm_source=crm&utm_medium=email&utm_campaign...
Submission: On November 13 via manual — Scanned from NL
Form analysis 2 forms found in the DOM
Name: subscribe — POST https://www.infopulse.com/en/subscribe-form
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<div class="button button--transparent toggle-extra-controls">Choose your favorite topics</div>
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<span>Sending <em>.</em><em>.</em><em>.</em></span>
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</form>Name: contact — POST https://www.infopulse.com/en/contact-form
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WHAT DOES DIGITAL TRANSFORMATION MEAN FOR DIFFERENT COMPANIES?
Originally published: October 17, 2023 Updated: October 25, 2023 8 min. read
Innovations Digital Transformation Infra & Operations
Digital transformation has become an imperative for companies of all sizes and
across industries. According to Gartner, 87% of senior business leaders consider
digitalization a company priority, and 91% of organizations have already engaged
in some form of digital initiatives.
While digitization changes how organizations operate, the meaning of digital
transformation also evolves with time. What does digital transformation entail
today? What does it mean for businesses of different sizes?
In this article, we will analyze the purposes and scenarios of digital
transformation for small, medium-size businesses and enterprises. We will go
through the digital transformation drivers and a roadmap to harness technology
based on specific business needs.
Digital transformation is defined as a process by which companies continuously
embed technologies to drive fundamental changes in their operations, products,
and service quality. The goal of digital transformation from the business point
of view is creating value through deploying tech at scale.
DIGITAL TRANSFORMATION MODEL
Source
For most companies, digital transformation means shifting from their traditional
thinking and operation model to a more technological, innovative approach. Each
big technological leap drives such ‘rethinking’, enabling a new stage of digital
transformation.
THE EVOLUTION OF DIGITAL TRANSFORMATION
The evolution of digital transformation has unfolded across four distinct eras,
compelling companies to reshape their operations and customer service. Those
unable to adapt often risk becoming obsolete, lagging behind competitors, or
simply losing proposition. To understand better how digital transformation
evolved with time, here is a short description of its four major periods:
As of now, the digital transformation has gained its peak speed. According to a
recent survey by Deloitte, 98% of surveyed companies have started digital
transformation, and 81% are satisfied with the transformation progress.
The survey by Deloitte defines the following goals business leaders pursue
through their digital initiatives:
* Improving customer experience
* Developing or finetuning existing products
* Enhancing employee experience
* Improving operational agility
* Cost optimization
* Business model transformation
* Improving time to market.
The achievement rate for the goals above shows that modern tools and
technologies are capable of covering the current business challenges of
companies:
Source
The survey respondents included businesses with the number of employees from
<1,000 to >100,000. It points out that digital transformation is effective for
companies of all sizes.
Traditionally, this term is related to some complex modernization of big
enterprises. Yet, digital transformation applies to businesses of any scale. It
can solve specific challenges and help realize certain goals. To understand it
better, here are some real-world examples of how companies of different sizes
implemented their digital transformation solutions:
* Small business: Agillic, an integrated marketing execution company, decided
to modernize their SaaS application which would also allow automating
marketing campaign management through all digital media channels. The
solution developed by Infopulse has brought up a completely new approach to
providing the company’s services and engaging customers. It resulted in
faster time-to-market for new product releases, reduced cost of ownership,
costs for customer care, and increased cross and up-sales.
* Mid-size business: HSN, the leading healthcare institution in Iceland, was
looking for a more progressive yet cost-effective solution to automate their
numerous operations to enhance productivity and employee satisfaction.
Infopulse has developed a PoC of the RPA bot for HR reporting. Being
satisfied with the PoC, HSN proceeded with the development of a fully-fledged
RPA solution. As a result, the company automated 20+ HR and financial
processes and reduced overall annual total cost (TC) expenses by 10+ million
ISK. See the project roadmap and outcomes in the full digital transformation
case study.
* Enterprise: A leading Ukraine-based group of metals and mining companies
decided to implement a digital workplace solution for approximately 100,000
of employees across all departments. The Infopulse team developed a solution
based on the Microsoft Azure Cloud platform which transformed the disparate
systems that each group's company used into a single company-wide interface
operating in the cloud. The solution significantly accelerated our client’s
operations, enhanced the employee experience, and reduced infrastructure and
support costs. Read the full case study to explore the implementation
details.
Digital transformation for small business, medium-sized enterprises (SMEs), and
large enterprises differs in several key aspects, including their objectives,
challenges, resources, and strategies. Here's a comparison of digital
transformation for SMEs and enterprises:
DIGITAL TRANSFORMATION FOR SMES VS. ENTERPRISES
SMEs and enterprises differ in their digital transformation approaches. SMEs
prioritize cost-efficiency and compete through agility, while enterprises fight
for market dominance and embrace more complex digital strategies. The companies
choose different tools and solutions to achieve their business goals, based on
the priorities. The choice of suitable digital transformation techniques also
varies depending on the transformation drivers in every specific use case.
THE DRIVERS OF DIGITAL TRANSFORMATION
A company can evolve in numerous directions depending on what aspect should be
improved. Here are the main decision-making drivers of digital transformation:
* Scale: The increasing number of customers requires the scalability of
applications and infrastructure to maintain the business needs.
* Customer experience: Meeting the expectations of customers for seamless
experiences across multiple channels and higher quality of service requires
technological upgrades.
* Security: New technologies also give rise to new data security threats, which
must be addressed with appropriate security enhancements.
* Agility: Businesses become more adaptive and flexible to respond quickly to
market changes and customer needs. It all gives a competitive advantage.
Check our case study for digital transformation in manufacturing that helped
achieve all the above benefits.
* Remediation of technical debt: Legacy software limitations and high support
expenses lead to switching to more advanced and cost-effective alternatives.
Check our CTO’s guide for modernizing legacy systems to find out more.
* Insights: Advanced data analytics and processing help make more grounded
business decisions, analyze risks accurately and make various predictions for
appropriate production and sales planning.
* Speed: Streamlining operations and decision-making helps keep up with the
growing industry demands, optimize costs, and create competitive advantage
through faster time-to-market. For instance, digital transformation in
banking helps accelerate service delivery and, therefore, win the customer
from competitors. See the solution that streamlined credit approval for a
large Nordic bank.
* Cost optimization: Automation reduces the manual effort and time required for
executing operations resulting in tangible expense reduction. Our case
of digital transformation in the automotive industry demonstrates the
implementation of a VR learning platform for assembling and fixing vehicles.
The solution helped reduce the costs of training service technicians and
decrease the carbon footprint within the client’s sustainability strategy.
* Improving the digital culture: Enhancements in customer service, security,
and operations help businesses enhance customer and employee loyalty.
Case Study
Read more
AUTOMATED CREDIT APPROVAL FOR A LARGE NORDIC BANK
The digital transformation can be driven by a combination of these factors, and
one solution can cover several challenges a company wants to address. For
example, Oracle FLEXCUBE implementation for Allianz Bank Bulgaria enhanced the
scale of operations, customer experience, agility, and speed.
Defining the core drivers for changes helps build an effective roadmap for
implementing the relevant advancements at optimum effort and budget.
DIGITAL TRANSFORMATION ROADMAP
Digital transformation implies fundamental changes for the company that
undergoes it. It often takes a lot of time and consumes significant resources.
However, you can optimize this process with a proper approach.
Analyzing your business needs towards future changes and foreseeing potential
outcomes will help focus on what needs to be done to achieve the desired goals
and most importantly, it will allow minimizing risks. Follow these steps to
design an effective digital transformation path for your company.
* Assess internal and external conditions
* Analyze external forces and trends
* Identify and prioritize customer and other stakeholder needs and goals
* Analyze digital technologies suitable for the defined goals
* Analyze current business and operating models, and cultural potential to
changes
* Develop a strategy and assess business impacts
* Define different business scenarios
* Define technologies to be used
* Develop the to-be business model
* Develop a goal/objective hierarchy
* Analyze the business impact of the planned changes
* Architect a business solution
* Visualize to-be business architecture
* Develop to-be organizational culture and people practices
* Design to-be organization structure
* Design to-be value chain and processes
* Visualize to-be IT architecture
* Pilot project
* Define a use case or more to implement a pilot
* Implement the architecture and functionalities for the chosen use cases
* Deploy the solution
* Evaluate the success of a pilot
* Document the results
* Scaling
* Define scaling objectives
* Allocate necessary resources to support the full-scale implementation
* Establish initiatives and deploy the solution
* Define and prioritize initiatives based on the objectives
* Create KPIs
* Establish a project plan
* Monitor your progress and deploy corrective measures
* Evaluate the success level
* Optimization and continious improvement
* Monitor the solution performance
* Regularly verify the solution to meet the changing business goals
* Implement the required improvements
A full understanding of all changes you plan to adopt and how they impact
different parts and processes in the company is the core of successful digital
transformation. Although this preparation phase takes time, it will
significantly optimize the time and budget for the implementation and maximize
the business benefits of digital transformation.
CONCLUSION
Digital transformation is a relatively new concept despite the extensive
reliance among companies of all sizes globally. At its core, it means embedding
new technologies to achieve specific business goals to optimize the current
operations, develop new products and opportunities for growth, and competitive
advantage on the market.
As the latest studies show, these transformations apply for any company type in
any industry. To succeed, you need a digital transformation strategy relevant to
your specific goals and enough expertise to implement the required changes
effectively.
At Infopulse, we help compromise business goals with the solutions and
technologies available today. We provide the full range of infrastructure
modernization, intelligent business, and automation services for companies
across industries.
If you are in search of the optimal digital transformation model for your
business, Infopulse experts are ready to assist in both its strategizing and
implementation.
DRIVE EFFICIENCY AND CUSTOMER SATISFACTION WITH DIGITAL TRANSFORMATION
Let’s design the digital transformation strategy that precisely fits your
business goals
Contact us
ABOUT THE AUTHOR
Dmytro Riabenko is a seasoned IT specialist with over 10 years of experience in
management and IT solution implementation. His expertise focuses on cloud-based
solutions for business and is proven by numerous successful projects delivered
for pharmaceuticals, agriculture, retail, and other industries. Dmytro’s
competence is supported by Azure Fundamentals certification from Microsoft.
View author's articles
DMYTRO RIABENKO
Head of Microsoft Practice
ABOUT THE AUTHOR
Oleksii Masharov is a highly qualified specialist in software development and
system architecture with over 20 years of experience. He primarily focuses on
Enterprise Architecture, IT audit, and Service Management with a range of
successful projects in fintech, agriculture, and energy domains. Oleksii's deep
expertise is proven by numerous certificates from Microsoft, IBM, and HP
Software.
View author's articles
OLEKSII MASHAROV
Delivery Manager, Managed Services and Solutions
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