SPCleantech supports companies that, under the pressure of rapidly growing competition and customer requirements, have decided to carry out a digital transformation. The main goal of digital transformation initiatives is to support business leaders and teams in streamlining operations and increasing their competitiveness. New technologies play a key role in stimulating transformation, but also in the business process, business models, organizational culture and openness to transformation.
Any transformation plan should address the following three areas:
- Business Process Transformation: Involves changing and adapting core – often long-running – processes and workflows to meet changing business goals, competition and customer requirements, often through process automation. Although the terms are often used interchangeably, digital transformation is a subset of business transformation – it builds a connected, technological framework that underpins and supports process change.
Evidence of business process transformation is seen end-to-end across business operations through improvements in workflow management. For example, by implementing a cloud-based digital supply chain management system, companies can reduce downtime, streamline production, and increase profitability.
- Business Model Transformation: Business Process Transformation focuses on workflows and business task areas, while Business Model Transformation targets the fundamental foundations of how value is delivered in a specific industry. Basically, companies are using digital transformation to change traditional business models.
In the automotive industry, digital technologies enable the centralization and automation of subscription-based business models and billing processes. Coupled with rapidly changing customer demands and general cultural change, traditional car buying is being transformed with subscription models.
- Organizational and cultural transformation: A successful digital transformation should align with the organization’s culture and values. The internal loss of faith in the corporate culture can affect the efficiency, initiative and well-being of employees. Slow or pessimistic adoption of new digital technologies can miss targets and lead to loss of competitiveness, revenue and brand value.
Organizational transformation is best achieved through collaboration and open top-down discussions – how this digital transformation will impact roles and workflow processes, and why leadership teams believe it will be worth the risk and effort in the long term.
Benefits of digital transformation
Digital transformation integrates all levels and functions in modern business. Smart technologies provide organizations with the essential tools they need to survive and thrive. Below are some of the potential impacts of the transformation:
- It provides detailed information that facilitates real-time decision making. For many companies, evaluating performance and ROI has often been a backward process. By the time data is collected, processed and manually analysed, the ship of opportunity has long since set sail. Thanks to a modern ERP system and advanced analytics, companies see data generated in real time and adapt advanced analytical algorithms to make optimal decisions at the moment.
- Increases efficiency and productivity: Devices and machines on the IoT network constantly transmit data, machine logs and performance reports. Using advanced analytics, this data can help with predictive maintenance, reduce downtime, and provide insights to enable more productive and efficient workflows.
- Better customer experience: Your customers want their needs met on their terms. Personalization, omni-channel access, personalized service plans and access to real-time data can help you meet ever-changing expectations, while increasing the number of potential opportunities and increasing their loyalty.
- Helping to stimulate innovation in the business model: there is no doubt that changing consumer and market demand is focusing more on innovation in the business model as a means of creating value. However, to change and modernize core business models and customer experiences, companies require the ability to collect and analyze real-time data and develop automated and intelligent processes to manage new business, payment and service models.Supports a robust and competitive business growth strategy: As companies digitize their operations and optimize services with connected technologies, they find new ways to connect and collaborate and enhance future business growth strategies, including:
- Development of new products and services
- Improving profitability and strengthening revenue channels
- Attracting and retaining new leads and customers
- Supports flexibility and resilience to disruption: The COIVD-19 pandemic has shed light on many weaknesses in modern processes and business models. But this is just one of many cultural, economic, political and market changes that companies have been facing more and more in recent years. Modern companies rely on digital transformation to equip them with the tools to quickly develop new products and services, as well as predictive analytics that will help them better see emerging disruptions or anticipate market changes and opportunities. They want to be able to easily grow and have a full suite of cloud-connected solutions that can drive innovation without having to go from supplier to supplier.