Digital transformation explained in 50 words

Digital transformation is fundamentally changing the way we conduct business and digital projects. Every aspect of strategy and operations is affected by the increasing digitization, every field is impacted, and no analog stone are left unturned.

But what hides behind all the gimmicks and buzzwords? What is the essential nature, what are the cold facts about digital transformation? What do you actually need to know about the concept to make the best possible advice to your organization or clients?

Digital transformation in 50 words

Digital transformation is an umbrella term for the effects of rapid innovation in digital technology on core business functions and processes, enabling new methods and more efficiency in solving traditional tasks and delivering customer value—while simultaneously rendering traditional operations and communication obsolete in terms of competitiveness on the market.

What to do next

Digital transformation is essentially a colloquial term describing the fact that your industry and business are undergoing a technologically driven change in the way of solving tasks. Also, the concept says you must adapt and make smart use of new digital technology in order to stay up to date and not be surpassed by your competition.

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So what should you do next?

1. You should educate yourself on the current status of digital transformation. Get to know the top priorities of leaders, what main barriers there are against digital transformation, what sectors and geographies are most likely to implement technological change first, and what specific trends dominate the scene.

2. You should also start preparing for digital transformation by assessing how you can introduce process automation. Involve the leadership in your organization, identify non-essential functions, and start small to test the most optimal solutions.

3. You should then implement your changes by establishing a digital transformation task force and introducing modern, organization-wide principles to lay the ground for the actual changes.

In other words:

1. Acquire knowledge
2. Plan
3. Start doing!

Being prepared for the future requires your organization investing in an agile and flexible innovation platform, so it can fulfill all the most important requirements of years to come. Be sure to choose wisely and for the long-term.

First published 3 July 2019, updated 10 November 2022.