The swift and massive shock of the Covid-19 pandemic and economic shutdown measures in advanced economies and some other parts of the world have plunged the global economy into a severe contraction. In such situations, businesses need to adopt a new way to survive and maintain their stable operations. This paves the way for digital transformation technologies to revolutionize the way companies do business.
This article will give you an insight into the trend and compile a list of the top 7 essential digital transformation technologies of all time.
Table of Contents
Digital transformation in a nutshell
What is digital transformation?
Technically, digital transformation is the exploitation of new digital transformation technologies ( including social media, mobile devices, analytics, or embedded devices) to make significant business impacts (such as enhanced spreads, customer experience, streamline operations or create new business models).
For example, with regards to marketing, digital transformation can generate more quality leads and help firms get closer to their customers under budget compared to the traditional analog marketing approaches.
Take a closer look at the success of Nike, one of the world’s top athletic shoes and clothing companies. Thanks to digital transformation through powerful data analytics, e-commerce strategy, and stronger digital marketing campaigns, the top-notch brand is able to better connect with its customer base. Significantly, the practice led to a remarkable increase in Nike’s stock price, from $52 to almost $88 in the first two years since the transformation began.
>>>> Read more: Digital transformation examples and the strategy to do this
What can digital transformation benefit businesses?
Enhance customer experience
In this day and age, people are increasingly obsessed with the latest technology, social media, and apps. They value time-efficient, cost-effective, and personalized solutions to their problems. That’s exactly how digital transformation technologies work. In detail, these cutting edge tools give firms insights into the growing needs of customers and provide means to analyze the data to better meet their expectations.
Therefore, any firm that truly masters the art of using digital transformation technologies can earn more authority and win the mind and heart of the customers.
Drive data-based insights
Digital transformation can also enable businesses to track metrics and analyze the data gained during digital marketing efforts. Based on that, companies can propose, optimize, and implement their strategies to target certain improvements.
Firms that successfully integrate data-based insights into their business culture can base important decisions to reduce errors during the whole process. As a result, the road to a higher ROI will become much easier.
Encourage cross-departmental collaboration
Digital transformation can encourage and facilitate collaborations among different departments of the organization. Thanks to the exploitation of digital transformation technologies, employees can easily share and exchange all kinds of information and have a better understanding of how each department works. In the later step, they can learn and support each other at the same time under strong connections.
Level up agility and encourage innovation
When it comes to the driving force of digital transformation, 68% of businesses agree on agility as of the top three considerations.
In this fierce business environment, every company must be well-prepared for changes. At this point, digital transformation creates rooms for every business to innovate to better compete against new competitors and keep up with new trends.
Update skillsets & acquire knowledge
The process of digital transformation always calls for a set of prerequisites or in other words, new essential skill sets including AI, Augmented Reality, Cloud Computing, Analytics, Machine Learning,…
By embracing and integrating digital transformation technologies, businesses can allow their staff to develop and hone skills for the future, ensuring the growth and position of the company with this in-house knowledge.
Top 7 crucial digital transformation technologies 2021 reviews
So there’s an FAQ prompting: “What are digital transformation technologies?”. Based on the definition of the larger term “digital transformation”, we can deduce that digital transformation technologies are technologies that enable enterprises to digitally transform the way people interact with each other and their surroundings for specific purposes.
Now, let’s dive into the top digital transformation technologies with our comprehensive review.
Since the ground-breaking appearance in 1973, mobile has drastically changed the world we live in, making it among the top considerations in the digital transformation technologies list of all time.
Mobile technologies are ubiquitous, from companies to every single activity in our life. For example, with the enormous capabilities of 5G tech, there is a multitude of opportunities created by mobile technologies in manufacturing, industrial sectors as well as other parts of the economy.
Furthermore, mobile technologies can also pave the way for other commonly-used digital transformation technologies. VR/AR technologies are prime examples. With the help of a smartphone, workers can view machine data points via AR or get interactive guidance from the supervisors at a distance. In addition, robotics and automation technologies can also work efficiently thanks to improved mobile connectivity.
Cloud computing is basically the delivery of on-demand computing services, which range from applications to storage and processing power over the internet and on a pay-as-you-go basis. This digital transformation technology increases flexibility and agility within a business environment and boosts the company’s scalability.
With the new advancements in Clouding technologies, challenges, and difficulties from legacy systems or security issues can be alleviated. According to a survey, there is a likelihood that manufacturers will double the use of Cloud in the next two years. Another article from the Economist also demonstrates the benefits of Cloud to businesses with the citation of 78% of interviewed manufacturers quoting that this digital transformation technology will be the major factor in the next 5 years.
IoT or Internet of Things is no longer an unfamiliar term in this day and age. Basically, it describes the network of physical objects embedded with sensors, software, and other technologies with the aim of connecting and exchanging data with other devices and systems over the internet.
Thanks to its enormous advantages, IoT is considered among the most crucial digital transformation technologies that businesses should seriously take into consideration. In particular, it brings unprecedented visibility into a firm’s products and operations. With the integration of IoT, companies can gain a better and deeper understanding of their operations, from both internal and external views.
In the meantime, the huge source of data, insights, and analytics from IoT technology also enables enterprises to achieve their key digital transformation such as efficiency, flexibility, and customer experience.
Robotics is also among the great digital transformation technologies 2020. According to research, about ¼ businesses are using smart robots in their operation. This figure is estimated to increase to ⅓ over the next 2 years, giving a promising scenario for the sector.
The use of robotics is expanded throughout the years, from repetitive tasks to more complicated ones powered by some digital transformation technologies such as IoT, AI,… In the context of a business, robotics has served a crucial role in boosting operational efficiency and supporting/ replacing humans in higher-level tasks.
AI and Machine Learning
AI or Artificial Intelligence and Machine Learning have unlocked a huge number of opportunities by boosting the exponential increase in data and data access, as well as compute power and connectivity for businesses. In this way, these digital transformation technologies open up new approaches and propose more feasible solutions for unanswered questions.
Therefore, AI and Machine Learning are considered as lucrative investments with billions of dollars from both governments and businesses over the years.
AR technology enables more seamless connections between the physical surroundings, digital, and human worlds.
“AR is IoT for people.”, said Jim Heppelmann, President and CEO of PTC. For example, with an integrated AR, employees in the manufacturing sector can easily connect to the physical surroundings and leverage all the power of data and analytics in the cloud. This enables them to have real-time information in a highly visual format to complete the given task with minimum error.
On a large scale, AR technology helps workers to improve productivity and quality. From the business perspective, it enables companies to implement a more successful knowledge transfer, training process, and enhances customer support and services.
Following the list of digital transformation technologies 2018, Digital Twin is among the list of top-notch ones in 2021. It is simply the models virtually representing the physical counterparts of products, tasks, or even processes.
Thanks to digital twins technology, businesses can have a better understanding and a clear visualization of their target subject for further analysis. Besides, any perfect digital twins can be tailored to different roles and applications just like the authentic one.
With the increasing adoption and integration of AR, IoT, and AI, digital twins are created more complicated, impactful, and powerful to meet the firm’s expectations.
In general, in this day and age, the benefits of these above digital transformation technologies can not be denied. For long term impacts, it is a wise choice for companies to integrate a suitable technology or a mixed one into their operation to succeed in doing business and outperform their competitors.
In case you have any further questions, please leave a comment below and we will get back to you with a feasible answer to your problem.