Digitization, Digitalization and Digital Transformation

by Burak Koçak
2 weeks ago
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Technological developments have a great impact on business life (digital transformation) as well as their effects and improvements on civilian life. Digital technologies now greatly reduce the work processes of the employees and remove the existing workload. While this saves companies in the short and long term, it also allows employees to use their valuable time more productively.

In this article, where we touch on the main points and differences of digital terms, we will also touch on the importance of digital transformation for companies and how VooDoo RPA supports these processes.

Digital Process Terms

Digitization Definition
Digitalization Definition
Digital Transformation Definition

Digitization

The digitization process refers to the transfer of information, physical objects or attributes that exist in analog form to digital media.

Examples:

  • Converting your data into an Excel file.
  • Converting documents held as paper into a Word or PDF document by scanning.
  • Converting your signature into an electronic format for signing documents online.

Digitalization

The concept of digitalization, on the other hand, means making effective and improving business processes by utilizing the data transferred to the digital environment or the various technologies provided by this environment.

Examples:

  • Using a cloud computing system for file sharing.
  • Creating an automated workflow.
  • Making meetings via video conferencing platforms instead of having physical meetings.

Digital Transformation

Digital transformation refers to the fact that an organization operates by integrating digital technology into every aspect of the enterprise. Businesses that adopt innovative digital technologies not only increase their service capabilities but also make a significant gain in improving customer experience.

Examples:

  • Implementation of automated customer service.
  • Transition to remote work.
  • Using AI-driven insights to increase sales efficiency.

Differences Between Processes

Although digitization and digitalization are two terms that are sometimes preferred interchangeably, these two are quite different concepts.

Digitization refers to transferring the data at hand to digital media, while the concept of digitalization includes the use of this data in business processes. Digital transformation is the last phase of this ring. It is a collective transformation realized by humans, business processes, and technology.

Importance of Digitalization and Digital Transformation for Companies

Organizations incorporate innovative digital technologies into their business processes to increase their productivity and efficiency in competitive markets, thereby increasing their profit margins. With rapidly developing technologies, the interest of organizations in digitalization and digital transformation is increasing day by day.

Experts predict that global spending on digital transformation will reach $6.8 trillion by 2023

There are many advantages that digital transformation can bring to a business. This transformation is a win-win situation, as it will not only ensure customer satisfaction but also increase the operational capabilities of your employees while serving them.

Every customer expects instant service

One of the most important advantages of digital transformation is customer satisfaction. Today, customers expect to be able to access a service anytime, anywhere, via different devices. An effective service model that responds to these needs of customers is an important element that will put you ahead of other competitive businesses.

Whether you give your customers a good experience or not creates a general perception about your brand. Therefore, adopting a customer-oriented strategy would be a wise solution.

According to a survey conducted by Harvard Business Review (HBR), 40% of respondents say customer experience is their top priority for digital transformation.

Creating an agile IT environment

Creating an agile IT environment

One of the most critical technologies to be adopted in order to create an agile Information Technologies environment is cloud technology. Cloud computing is the general name of internet-based computing services for computers and other devices that can be used at any time and provide computer resources shared among users.

With the cloud system, the capabilities of your business such as speed, dynamics, and flexibility increase. You can meet the requirements of your customers more quickly by testing new projects in this environment with more affordable costs and low risks.

You can get a 360° view of your customers by easily integrating SaaS applications such as customer databases and Big Data analytics into the cloud system. In this way, you can see how, when and why your customers do business with you, and you can provide a more advanced customer experience with the data you obtain.

6 important advantages of digitalization for your institution:

Low operational cost and high performance
Enhanced customer experience and satisfaction
Advanced communication
Increased Transparency
Faster decision making

The process of deciding on the digitization process should be carefully planned and the use of technology systems should be carefully considered. Otherwise, even if digital transformation is carried out, the desired efficiency may not be fully achieved.

Support of VooDoo RPA in the Digital Transformation of Your Business

VooDoo RPA is software with advanced capabilities that can be implemented at enterprise scales and does not require any coding knowledge. Powered by artificial intelligence, VooDoo can automate high-volume, process-driven, and repeatable tasks for businesses.

Thanks to its advanced capabilities, VooDoo can overcome operational challenges by taking over the so-called back-office work of organizations. While doing all this, it provides detailed performance reports about workflows with its capabilities. Organizations have the opportunity to use this acquired data to make their digital strategies more efficient. VooDoo makes digital transformation simpler and faster.

Taking on back-office tasks, VooDoo enables teams working in institutions to use their time more efficiently. This allows employees to devote time to higher-value activities such as customer service, sales, and marketing, which can result in increased customer experience and more customer acquisition.

Regardless of the industry, top companies are investing in innovative digital technologies to improve their operational processes and customer relationships and increase their sales and service. Therefore, VooDoo RPA can very successfully support digital transformation, as it is a technology that can make all these improvements and enhancements.

References

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24, March, et al. “What Is Digitization, Digitalization, and Digital Transformation?” ARC Advisory Group, 24 Mar. 2020, https://www.arcweb.com/blog/what-digitization-digitalization-digital-transformation.

Webtures, Kaan Gülten CEO. “Sayısallaştırma, Dijitalleşme Ve Dijital Dönüşüm ” Webtures.” Webtures A.Ş., 17 Nov. 2020, https://www.webtures.com/tr/blog/sayisallastirma-dijitallesme-ve-dijital-donusum-arasindaki-farklar-nelerdir/.

“What Is Digital Transformation?” The Enterprisers Project, https://enterprisersproject.com/what-is-digital-transformation.

“Dijital Dönüşüm.” Wikipedia, Wikimedia Foundation, 26 Oct. 2022, https://tr.wikipedia.org/wiki/Dijital_d%C3%B6n%C3%BC%C5%9F%C3%BCm.

Bogush, | Pia. “Digitalization vs Digitization – Knowing the Difference.” Businesstechweekly.com, https://www.businesstechweekly.com/operational-efficiency/digital-transformation/digitalization-vs-digitization/.

Magdy, Mohamed, and Haissam Abdul Malak. “Digitization vs Digitalization: What’s the Difference?” Information Management Simplified, 31 Oct. 2022, https://theecmconsultant.com/digitization-vs-digitalization/.

Malak, Haissam Abdul. “10 Untold Advantages of Digitalization That You Should Know!” Information Management Simplified, 24 Oct. 2022, https://theecmconsultant.com/advantages-of-digitalization.

SuperOffice. “How Digital Transformation Is Driving the Customer Experience.” How Digital Transformation Is Driving The Customer Experience, 15 Aug. 2022, https://www.superoffice.com/blog/digital-transformation/.

“Bulut Bilişim.” Wikipedia, Wikimedia Foundation, 20 Oct. 2022, https://tr.wikipedia.org/wiki/Bulut_bili%C5%9Fim.

Key Contacts Damian Heath Director dheath@deloitte.com.mt +356 23432000 . “Supporting Digital Transformation with RPA.” Deloitte Malta, 1 Feb. 2022, https://www2.deloitte.com/mt/en/pages/rpa-and-ai/articles/digital-transformation-and-robotic-process-automation.html.

Harvard Business Review – Ideas and Advice for Leaders https://hbr.org/resources/pdfs/comm/microsoft/Competingin2020.pdf.