Big data and digital transformation. How are the two connected? And why is big data an important part of digital transformation?
The Connection of Data and Digital Transformation
Digital transformation is a big help for companies. They can stay competitive in a global environment.
But, without data, you can’t expect lasting results. Why?
Data is the key to making a meaningful transformation. It also helps lessen costs. At the same time, it increases positive results.
Moreover, data lets you know about your consumers’ and employees’ behaviors. So, you can make changes that fit their needs.
Let’s dive deeper into why data is the key to a good digital transformation.
Data and Digital Transformation: Why is it the key
Data is useful for two reasons. It helps:
- Unlock channels and customers
- Runs a digital business
We’ll discuss it one by one.
Unlocks channels and customers
Your customers are your top priority for a transformation. Nowadays, they have high expectations. Especially on your products and services.
Also, they look for brands that give them exactly what they want. And their criteria includes the best:
So, if you can’t give it to them, you will likely lose them. Plus, they will go to your competitors.
How does data enter the picture?
Data gives you a chance. You can learn about your customer based on it. So, you can adjust accordingly. Also, you can fit it to their needs and wants.
For example, digital transformation helps you manage your inventory. You can do it by applying the right digital tools. How can it help your customers?
Inventory lets you know how much product is left. Also, it determines where it is stored. Lastly, you’ll know about production and delivery dates.
Thus, your customers will know what products are available. Plus, they’ll know which are available in your store or online. Finally, they will know when the product arrives.
Runs a digital business
Data also helps businesses revolutionize operations. With that, it drives change to old business models.
For example, a telecom provider in Japan built a services platform. It is highly powered by data.
So, they can reach customers with mobile ads. Also, they can access it in real-time.
Additionally, data allows companies to be flexible. They can also adapt to big projects.
Moreover, data helps employees build skills. And it is dependent on the training from companies.
Data also helps businesses solve issues. With it, they can make accurate decisions based on the data.
Furthermore, it helps companies:
- understand which solutions work
- implement budgets
- get the best resources
- enhance work processes
- improve a company’s ecosystem
Data and Digital Transformation: How to apply
Different industries need different strategies. Some just rely on how data works for others. But, you actually have to study it first.
So, identifying your goals helps you apply data in your DX project. Here are some objectives:
- Improve customer experience
- Enhance employee workflow
- Identify your customers’ needs
- Keep your customers
- Lessen costs
- Promote people-focused culture
- Develop productivity
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