Digital transformation occurs when digital technology is used to change business operations, customer interactions, and the way business agents create value. As a part of this process, businesses shift from traditional modes of operation to a modern and technology-focused organization. However, achieving the goals of digital transformation requires a flexible IT architecture that can support a wide variety of new technologies.
Digital transformation is now imperative for businesses of all sizes to keep up with changes in customer behavior and technological advancements. Digitally focused companies are disrupting industries. Innovative tools are now required to deliver an excellent digital experience to customers and employees.
While many companies target digital transformation, they end up with a series of digital upgrades. These upgrades use technology to increase the efficiency of the current business model or processes. However, reaching today's customers might require something more including an IT architecture to support the overhaul of business operations and customer interactions.
Legacy IT architecture can make digital transformation hard, if not impossible. It is imperative that the department protect the integrity and security of systems with sensitive data. However, IT should create separate networks to provide nimble customer-facing capabilities.
When systems are structured in this way, new apps and databases can be easily added without compromising underlying systems that run the rest of the business. This tiered system supports agile development and prototyping and creates a “fail faster” mindset.
Simultaneously, digital leaders must put in place the analytics and intelligence needed to compile (near) real-time insights about customer needs and behavior. Personalized messages and offers are created based on the data garnered.
Cyclical development is required to meet the evolving needs of these customers. As such, processes and capabilities are always in flux to enable business agents and products to respond to customer input. Supporting this process across multiple platforms and touchpoints at scale requires extensive automation.
To learn more about digital transformation, check out Your Digital Transformation Roadmap.