In 1965, Intel co-founder Gordon E. Moore wrote an article for Electronic Magazine that would become prophetic. In the text he pointed out that every 18 months the number of transistors on chips would increase by 100%. That means increasing processing power – it's called Moore's law. Fast forward to 2019 and we are in full Digital Transformation.
The phenomenon can be considered as one of the results of Moore's prophecy being fulfilled. Well, thanks to technological evolution, we now have resources capable of improving the most varied services. In this scenario, the tools developed for Information Technology have become a competitive advantage.
The IT infrastructure itself has been impacted by the process, incorporating from simple elements, such as social media, to Big Data and Machine Learning. And this is just the tip of the iceberg. Internet of Things (IoT) and artificial intelligence are also part of the mix. In this article, you will discover the impacts that this transformation has been bringing to companies.
Digital Transformation: the customer experience will never be the same
You've probably noticed that many companies invest in actions that involve extended reality and other interactive features. More than just a fad, these ideas are based on a solid market trend. Basically what happens is that customers don't just want to pay for services and products.
What they really consume today are experiences. This means that the way a company meets the demands of its consumer audience is changing drastically. With the growing mobility and adoption of IoT this phenomenon is only going to intensify.
To be able to adapt, companies need to know their audience in depth. And it is the digital data that allow us to understand the habits and anxieties of these individuals. Therefore, marketing and development of solutions will feed on Big Data and other sources capable of generating personalized answers.
Operational improvements and deep changes
If the customer will be served better and better in this scenario, it won't be just because of the data collected. After all, business processes will be optimized. In addition to increasing the tasks that can be automated, more technological resources will be impacting the customer's purchase journey.
With so many tools available, Digital Transformation ends up eliminating any activity that excessively consumes your employees' time. Especially repetitive and bureaucratic tasks are now under the charge of intelligent tools. Because of this, it is natural that the productivity of teams will also increase.
We must also consider that, although it requires investments, technology tends to reduce costs. Whether because of the performance gains or the waste that is eliminated. Regarding this last topic, we cannot forget that digital tools came to create a scenario without errors and reworks.
Going further: quantum computing
The impacts mentioned in the previous topics are the main ones when we touch on the subject of this article. It does not mean, of course, that they are the only possibilities. Currently, there is talk of the arrival of resources such as quantum computing on the market. At an early stage, this technology promises unique predictive analytics that will help companies make strategic decisions.
Deepening Digital Transformation: Strategies and Impacts in the Age of Artificial Intelligence
Digital transformation is not just a trend, but a necessity for companies to remain competitive in today’s market. Technological evolution, driven by artificial intelligence, cloud computing and other digital technologies, is shaping a new scenario for business and society.
Strategies for a Successful Digital Transformation
For a company’s digital transformation to be successful, it is crucial to adopt effective digital transformation strategies. Some of the key strategies include:
- Focus on the customer: Customer experience should be at the heart of all digital transformation initiatives. Companies need to understand customer expectations and leverage digital tools to deliver personalized and relevant experiences.
- Invest in artificial intelligence: Artificial intelligence is revolutionizing many industries, from digital marketing to customer service. Companies need to explore new generative AI and AI technologies to automate processes, make data-driven decisions, and create new solutions.
- Adopt cloud computing: Cloud computing offers flexibility, scalability, and security for Brazilian companies seeking to digitally transform. Migrating to the cloud allows access to advanced digital tools and the creation of a data lake to collect data and analyze data.
- Develop a culture of innovation: A culture of innovation is essential to drive the digital journey and ensure that organizations adapt to market changes. Companies need to encourage experimentation, continuous learning, and collaboration across teams.
- Use digital tools: Digital transformation in companies is guided by digital tools, such as digital marketing, social media, and digital tools that can automate the digitalization process.
- Data analysis: Data analysis is essential for correct decision-making within digital transformation.
Impacts of Digital Transformation on Society
Digital transformation is generating impacts on society in several areas, including:
- Digital economy: The digital economy is growing rapidly, driven by e-commerce, online services and new ways of working.
- Communication: Social media and mobile devices have transformed the way we communicate and interact with each other.
- Education: Digital technology is transforming the way we learn, with the emergence of online learning platforms and virtual reality.
- Healthcare: Artificial intelligence and the internet of things (IoT) are being used to improve the diagnosis, treatment and prevention of diseases.
- Sustainability: Digital technology can be used to monitor and reduce the environmental impact of human activities, contributing to sustainable development.
Challenges and Opportunities of Digital Transformation
Digital transformation presents both digital transformation challenges and new opportunities for organizations. Some of the key challenges include:
- Information Security: Data protection and cybersecurity are growing concerns in the digital age.
- Lack of digital skills: Many Brazilian companies face difficulties in finding professionals with the necessary digital skills.
- Cultural change: Organizational change and adopting a culture of innovation can be challenging for some organizations.
- Digital Maturity: The digital maturity of companies is a crucial factor for the success of digital transformation. The digital maturity index can help organizations identify opportunities for improvement.
Successful digital initiatives are those that manage to overcome the challenges and seize the new opportunities of the digital age.
The Future of Digital Transformation
Digital transformation is an ongoing and ever-evolving process. New technologies such as artificial intelligence, the Internet of Things (IoT) and quantum computing will continue to shape the future of business and society. Organizations that adapt to these changes and invest in digital innovation will be best positioned to thrive in the digital age.
Regardless of which technological resource is adopted, Digital Transformation will change current business models themselves. You can delve a little deeper into the subject by checking our article on the importance of technology for medium and large companies.