Has your organization embraced digital transformation?

What is the exact meaning of digital transformation?

And if you have not embraced it yet, should you?

Digital transformation is the use of digital technologies like cloud computing, big data analytics, internet of things, artificial intelligence and social media to enhance the business procedures. The need for operational efficiency, business growth and tracking of real-time business activities drive the businesses to be part of the digital transformation.

Digital transformation helps organizations in shaping the business operation towards their specific goal and helps in monitoring the progress. Digital transformation is now rapidly being adopted by all organizations. It helps in saving valuable resources like time and cost along with increasing the efficiency of the business models.

Digital Transformation market is receiving a major boost due to the advent of Internet of Things (IoT). The number of interface points has increased which has helped the market to penetrate furthermore. The increasing use of mobile devices and applications have revolutionized innumerable aspects of modern life. It has cleared the way for the digitization of various industry verticals. Social Media has also become a vital tool that is used by organizations for marketing as well as the promotion of their brand. Highly skillful tasks are being automated easily with the use of Artificial Intelligence and Machine Learning. Further, digital technology is also improving work productivity by saving time and reducing errors, thereby enhancing the work quality. Owing to all these advantages, digital solutions are increasingly being adopted by enterprises, consequently, offering many potential opportunities for the players in the digital transformation market.

Factors Driving the Growth of Digital Transformation

Here are some factors that will drive digital transformation:

  • The need for development in IT security shows how the digital transformation as well as automation will create more jobs in the future.
  • All aspects of the business have been touched by digital transformation. As a result, the organizations need to be aware that all system upgrades, connections or third-party applications must be added to the existing IT infrastructure, on the premise or in the cloud. It will increase the service delivery scale, complexity and prevent any operational risk.
  • Any lost data, corrupted files or security breaches can give great financial loss and pose a potential risk to the business. This will place a new emphasis on data protection through digital transformation in order to minimise the losses.
  • The digital economy mainly depends on the deployment of innovative services onto IT on premise or cloud-based infrastructure. This digital transformation management is planned for both businesses and IT leaders. Doing it in the wrong way will cost the organizations a huge amount of money if they face any service disruption. Businesses will recognise the worth of digital transformation in order to ensure constant service delivery.
  • Businesses are adapting and changing regularly to keep pace with the digital transformation that significantly affects the global market overview. The infrastructure, workforce and policies need to be reconsidered and attuned in order to boost profitability.

Salient Trends of the Digital Transformation Markets

  • The Asia Pacific boasts a huge potential in digital transformation markets. Due to rapid global digitization and urbanization, the industry sectors like BFSI, Retail, IT & Telecom are developing rapidly which is expected to boost the growth of the Digital Transformation market.
  • North America can be a major revenue generating region for the digital transformation market as it has acclaimed end user industries and many key players in this region.
  • Cloud computing services are slowly gaining traction. Digital transformation has incorporated the use of cloud networks for better coordination and efficiency. It is expected to increase the growth of the market.
  • Extensive innovations are expected to grow the global digital transformation market as it is highly fragmented in nature. Majority of companies are investing in it to roll out innovative products constantly in an effort to gain a majority of the market.
  • Expanding spectrum of applications is expected to significantly help in increasing the digital transformation market size. The companies are switching from physical sensors to digital transformation for enhanced performance.
  • The artificial intelligence is growing at a fast rate due to the increasing need for robotic automation and intelligent business process automation amongst all processes and operations of an organization.
  • In end-user Industries, the manufacturing and designing sectors are expected to cover up to 31.7% of the market. The organizations have inclined towards techniques like remote monitoring, automation and predictive maintenance in an effort to maximize production and efficiency.
  • In February 2019, IBM had entered in a partnership with CIL, a food and agriculture company. The services offered by IBM will help the company in their digital transformation journey by the integration of SAP Success Factors, SAP Ariba, SAP S/4HANA, and SAP Master Data Governance to the existing processes.
  • Microsoft Corporation collaborated with Telecom Egypt in February 2019 to develop its global cloud network to Egypt. Telecom Egypt gives low-latency connectivity across Egypt which empowers performance and boosts customer experiences.
  • SAP introduced the SAP Leonardo IoT in February 2019 to generate and drive digital transformation for Industry 4.0 and Industrial IoT. Additionally, now the SAP customers have a choice for connectivity as well as device management.
  • In the coming years, the digital transformation solutions sector is expected to have the largest share. With almost 61.8% of the market share, the digital transformation is replacing the physical sensors and helping the organization in reducing the operational expenses.

As per a new report of market research published by Meticulous Research, the digital transformation market has been expected to expand at a CAGR of 22.7% from the year 2019 and can reach up to $3,294 billion by 2025.
The digital transformation market has been predicted to have a value of USD 342.20 billion in the year 2019 which is expected to reach up to USD 923.80 billion by 2025, at a CAGR of 18% over the period of 2020 to 2025.

Digital transformation has helped the organizations in shaping their expanded business operations with a common goal and allowing easy monitoring of the entire progress. It is being rapidly adopted by the organizations as it aids them in saving vital resources such as time and investment expenses as well as helps in increasing the efficiency of their business models.

It has a huge impact not only on the industry structures but it also affects all levels of the organization and extends the supply chain. Business leaders are constantly challenging their organizations to make sure that this change will increase productivity gains and improve their competitive advantage while ensuring exceptional customer experience.

At Torry Harris, we offer digital transformation services specially designed for your business process.


Author's Bio: 

Torry Harris is a top digital transformation agency specialized in integrating enterprise assets to build meaningful digital ecosystems. THIS provides systems integration services to help strengthen your digital business imperatives.