Digital transformation

Digital transformation (DX) is the adoption of digital technology by a company. Common goals for its implementation are to improve efficiency, value or innovation.[1][2]

History

Digitization is the process of converting analog information into digital form using an analog-to-digital converter, such as in an image scanner or for digital audio recordings. As usage of the internet has increased since the 1990s, the usage of digitization has also increased. Digital transformation, however, is broader than just the digitization of existing processes. Digital transformation entails considering how products, processes and organisations can be changed through the use of new, digital technologies.[3][4] Digital transformation can be seen as a socio-technical programme.[5][6]

Adopting digital technology can bring benefits to a business,[7][8] however some company cultures can struggle with the changes required by digital transformation.[9]

A 2015 report stated that maturing digital companies were using cloud hosting, social media, mobile devices and data analytics, while other companies were using individual technologies for specific problems.[10] By 2017, one study found that less than 40% of industries had become digitized (although usage was high in the media, retail and technology industries).[11]

See also

References

  1. Schmarzo, Bill (31 May 2017). "What is Digital Transformation?". Retrieved 9 July 2021.
  2. Wren, Hannah (1 December 2020). "What is digital transformation? Definition, Examples, Main Areas". Retrieved 9 October 2021.
  3. Matt, Christian; Hess, Thomas; Benlian, Alexander (2015). "Digital Transformation Strategies". Business & Information Systems Engineering. 57 (5): 339–343. doi:10.1007/s12599-015-0401-5. S2CID 30892786.
  4. Hess T, Matt C, Benlian A, Wiesböck F. Options for Formulating a Digital Transformation Strategy. MIS Quarterly Executive. 2016;15(2):123-139.
  5. Hartl, Eva and Hess, Thomas, (2019). "IT PROJECTS IN DIGITAL TRANSFORMATION: A SOCIO-TECHNICAL JOURNEY TOWARDS TECHNOCHANGE". In Proceedings of the 27th European Conference on Information Systems (ECIS), Stockholm & Uppsala, Sweden, June 8-14, 2019. ISBN 978-1-7336325-0-8 Research Papers. https://aisel.aisnet.org/ecis2019_rp/162
  6. Butt, Aurangzeab; Imran, Faisal; Kantola, Jussi; Helo, Petri (2021). "Cultural Preparation for Digital Transformation of Industrial Organizations: A Multi-case Exploration of Socio-technical Systems". Advances in Physical, Social & Occupational Ergonomics. Lecture Notes in Networks and Systems. 273. pp. 457–463. doi:10.1007/978-3-030-80713-9_58. ISBN 978-3-030-80712-2. S2CID 237298363.
  7. Aleksej Heinze; Marie Griffiths; Alex Fenton; Gordon Fletcher (2018). "Knowledge exchange partnership leads to digital transformation at Hydro-X Water Treatment, Ltd". Global Business and Organizational Excellence. 37 (4): 6–13. doi:10.1002/JOE.21859. ISSN 1932-2054. Wikidata Q56622208.
  8. Westerman, George; et al. (2014). Leading Digital: Turning technology into business transformation. ISBN 9781625272478.
  9. McConnell, Jane (28 August 2015). "The Company Cultures That Help (or Hinder) Digital Transformation". Harvard Business Review. Retrieved 12 January 2017.
  10. Kane, Gerald; et al. (14 July 2015). "Strategy, not Technology, Drives Digital Transformation". Retrieved 9 October 2021.
  11. Bughin, Jacques; et al. (9 February 2017). "The case for digital reinvention". Retrieved 9 October 2021.
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