In the last two to three years, dozens of industries have begun research into the effectiveness of blockchain, and it has had the greatest impact on supply chains. Now we’re firmly entrenched in the digital age, and businesses of all sorts are creating clever, effective, and disruptive ways of leveraging technology. Comment and share: The top technologies that enabled digital transformation this decade By Jonathan Greig Jonathan Greig is a freelance journalist based in New York City. The opinions expressed on this website are those of each author, not of the author's employer or of Red Hat. It's also about enabling innovation. When people fear their value and perhaps their jobs are at risk, IT leaders will feel the pushback. While fears of automation and AI are very real, recent studies have shown that people actually like the introduction of automation and are generally happy computers or robots can handle menial tasks. For CIOs, this means rapid experimentation is no longer optional. What are the key trends in digital transformation in 2020? While there has been some backlash against social media sites since 2016, user numbers show no signs of decreasing, and the increasing popularization of smartphones will bring billions more online in the next decade. Companies must not ignore but engage these three groups – or face perilous stalls, she writes. Hinchcliffe calls seamless customer experience “the most important discriminating factor for how a business will perform.”. Completely reimagined. [Click to Tweet], [ Want to create a more agile IT organization? Every successful enterprise will one day be a digital … And spending priorities reflect this reality. TechRepublic Premium: The best IT policies, templates, and tools, for today and tomorrow. ", billions of avid users on multiple social media sites, leaders to communicate with and hear from people, give people more power over the data collected by financial institutions, use blockchain to source materials and food, Digital transformation: An IT pro's guide, What is digital transformation? That doesn’t necessarily mean tapping your service reps to run marketing campaigns, but it can mean knocking down walls between departments. These systems can even make the workplace safer for employees in some instances, while highlighting places where costs could potentially be reduced. It uses that data to inform everything from the design of its user experience to the development of first-run shows and movies at in-house studios. What’s the difference between digitization, digitalization, and digital transformation? “You could have all those things – the customer view, the products and services, data, and really cool technologies – but if leadership and culture aren’t at the heart, it fails. Privacy Statement | Terms of use | Contact. Google, Amazon, Uber, Facebook, and Twitter are some of the major tech companies that have fundamentally changed society. ). Rather than focusing on cost savings, IT has become the primary driver of business innovation. According to the May, 2020 International Data Corporation (IDC) Worldwide Digital Transformation Spending Guide, spending on the digital transformation (DX) of business practices, products, and organizations continues “at a solid pace despite the challenges presented by the COVID-19 pandemic.” IDC forecasts that global spending on DX technologies and services will grow 10.4 percent in 2020 to $1.3 trillion. This sometimes means walking away from long-standing business processes that companies were built upon in favor of relatively new practices that are still being defined. Melissa Swift, who leads Korn Ferry’s Digital Advisory for North America and Global Accounts, agrees with Swanson's take that that the word "digital" has  a problem because it means a lot of things to a lot of people. Finding and sharing information became much easier once it had been digitized, but the ways in which businesses used their new digital records largely mimicked the old analog methods. That is table stakes. Embracing this shift requires everyone in the company to rethink the role and impact of IT in their day-to-day experience. CEOs increasingly want their CIOs to help generate revenue for the organization. The old model was to wait for customers to come find you, whether in person or by calling an 800 number. First, ask if you’re taking enough risks. ], Digital transformation should begin with a problem statement, a clear opportunity, or an aspirational goal, Jay Ferro, CIO of Quikrete, recently explained. Enterprises are using AI for everything from security to human resources, allowing computers to handle tasks that have become costly or redundant. Rapid adoption of digital operating models, including integrated cross-functional teams. But the biggest shifts were around food. You need to have leaders that know what “good” looks like and who are motivated to help the organization understand why you’re doing what you’re doing.”, “This will become apparent when you hear things like, 'Hey, we’re working with your team and it feels different,' or, 'We can’t believe that IT delivered this project early and it met my business needs. It's also a cultural change that requires … Red Hat and the Red Hat logo are trademarks of Red Hat, Inc., registered in the United States and other countries. Getting Started With Digital Transformation. It transcends traditional roles like sales, marketing, and customer service. But the field is also making enterprises better in a variety of concrete ways. Ready to digitally transform your own business? "The “why” of your organization’s digital transformation might be around improving customer experience, reducing friction, increasing productivity, or elevating profitability, for example," Ferro notes. McKinsey data shows that the accelerated shift towards streaming and online fitness is likely to stay permanently, Zemmel says. This must be done while managing the inexorable daily drumbeat of operational issues, service delivery, and the distracting vagaries of the unpredictable, such as a major cyberattack or information breach.”, Improving customer experience has become a crucial goal – and thus a crucial part of digital transformation. What parts of our business strategy need to change? As the decade comes to a close, and we think back to the distant times of 2010, it becomes apparent that the 2010s were a decade of unimaginable digital transformation. ", A critical factor driving legacy upgrades, according to a recent Deloitte survey, is technological relevance, she says.

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