The world is on the verge of becoming a “Global Village” and is intertwined with the threads of digitalization. We are surrounded by technology and it has become pervasive lately. It not only makes our lives easier and comfortable but also executes all the repetitive and monotonous tasks with effectiveness and utmost efficiency. These digital transformation trends of 2019 are not just random IT buzzwords, but they do have a great potential which can bring disruption in the current workflow mechanisms.
As per the stats, Europe is using only around 12% of its digital potential, 88% is yet to achieve, while the USA is using around 18%, 82%, again, is yet to achieve. These figures altogether are indicating the power and potential of digital transformation (DX) also how underutilized it is, in the current scenario. Although we are aware of the relevance and importance of digital transformation, the irony is only 25% of companies have plans for its final execution, around 15% are focusing on its funding, and only 10% consider themselves as fully digitalized.
Let’s move on to the Top 8 Digital Transformation Trends of 2019:
Digital Transformation though includes different technologies but the current trends are mentioned below. Along with these trends, the role of “data” in the process of digital transformation cannot be underestimated. It is part and parcel in all the trends, as it comprises a key role in facilitating those trends. Few of the technological trends in Digital transformation are as follow:
- Cloud Computing is using the internet as a platform to store, manage and process data. Cloud computing acts as a backbone to Digital Transformation. DX is impossible to achieve without cloud computing. The cloud platform is provided to companies by vendors like Amazon Web Services i.e. AWS, Microsoft Azure, Google Cloud Platform, etc. You can also consult Zymr Inc. for cloud computing solutions, it has been recognized as one of the best Cloud computing solution provider companies.Cloud mechanism helps by acting as a catalyst for innovation. It is actually an agent for digital transfor mation. Both somehow it goes hand in hand, to get the ultimate competitive advantage. Cloud computing actually promotes the environment of invention and innovation. The focus is on hybrid cloud, more than public and private because of its benefits. There is a great hype regarding cloud computing, but it is not a mature technology, it is still in the emerging phase, a lot more of its potential is yet to utilize.
- Internet of things is the network of physical devices and all other items connected with software, sensors which help in connecting, collecting and exchanging data. The connected devices can also be termed as Smart Devices. IoT has an impact on almost all the industries, but majorly on utilities, oil & gas, insurance, logistics, manufacturing, transportation, infrastructure, wholesale and the retail ones.All the devices that we use are connected in IoT. This connectivity has undoubtedly fastened the interaction between companies and clients, also purchasing and selling on the online platform has become easier, than it was ever before. There were almost 8.4 billion IoT devices in 2017, which will increase to 20.4 billion by 2020.
The role of “cloud computing” mechanism is very important here in the entire process of IoT. You can go through an entire case study on California Stealth Startup on IoT & Enterprise Cyber Security to get more insights.
- Big data is complex data sets, which are difficult to compute through traditional data processing application software. It helps the companies in making strategic decisions, by keeping overall objectives under consideration. You can make future assumptions by considering the current records and with sufficient availability of data. So, it is actually the prerequisite to the digital transformation process, as nothing can be done without data.As per Accenture, two-thirds of companies have successfully completed the implementation of big data worldwide. Around 53% of employees have accepted that their companies have implemented big data to improve “personalization”. You can read more about it on Zymr’s one of the case studies, Bluedata Enterprise Big Data Service.
- Artificial Intelligence is the knowledge portrayed by machines in dealing with problems and situations. The intelligence transferred by humans to machines to make lives easier. As per PwC, AI will add around $15.7 trillion to global GDP per annum by the year 2030. The importance of “AI First, Approach” has now been recognized to the fullest. It has now become a “Business Advantage” to companies.With the flare in Smart technology, AI has contributed in DX through Chatbots. They are computer based programs, which are the replica of a human being and they can effectively deal with customers on behalf of the company. As per Adobe, currently 15% of firms are into hardcore AI and around 31% have accepted AI as their priority for the upcoming months.
- Blockchain technology In this process, data is interconnected in the form of blocks by using the process of cryptography. It is a technology based on cryptography with the main focus on the security of data, to attain efficiency and removal of middlemen from the processes. It is majorly used in the financial services industry. Blockchain will have more value than a currency in the coming years. Get more information on Blockchain technology through Should Businesses rely on Blockchain Technology.IBM has 1,000 employees who are being occupied in blockchain-powered projects. They’ve spent around $200 million on its development. Financial and technology firms invested $1.4 billion in blockchain in 2016 which has risen to $2.1 billion in 2018.
- 5G stands for the fifth generation and it is expected to rock the world by 2019. It is related to the telecom sector and will affect the entire communication industry. This will be focusing more on achieving savings in terms of energy and cost, also it will accelerate better connectivity among different devices.The major technical benefit is downloading speed will be around 10 Gbps. 5G will give 10x throughput, 10x latency will go down, 10x connection density, 3x efficiency in spectrum, 100x better and improved traffic capacity and 100x more network efficiency.
- The e-commerce industry is booming like anything. Companies like Amazon, Flipkart, eBay etc are not focusing on apparels anymore but also on electronics, health, and sports items, groceries, pet supplies, home and furniture, vehicle parts and so on. They are now in music, movies, and videos too like Amazon prime. These companies are expanding and diversifying their transactions, so they will definitely resort to DX to achieve scalability, flexibility, and agility.Such e-commerce companies are also effectively using cloud technology in their operations like eBay and Amazon.
- ERP solutions: ERP helps in automating as well as integrating back-office work related to technology, HR and other functions. ERP acts as a driver and boosts the digital transformation process. It includes:
CRM, SRM, and SCM: Customer Relationship Management, Supplier Relationship Management, and Supply Chain Management
CRM focuses on managing records, analyzing and improving the relationship with customers. SugarCRM is the largest CRM solution, it is a platform through which you can support your goal of digital transformation. Porsche is a classic example of CRM, the company spends heavily on understanding the perceptions of Porsche drivers, to make their drive more luxurious and lavish.
SRM is managing the relationship with the suppliers. Just like CRM, it is also a platform through which digital transformation can be achieved.
SCM is related to logistics, the movement of goods or services from the point of origin till the point of consumption. It also aids in the digital transformation process. GPS tracking, RFID technology, integration of the supply chain to IoT, big data analytics have made things easier.
Last but not least, the culture of an organization, is actually the environment in which an organization breathes. Culture should not be rigid otherwise the company will not be able to adapt to the ongoing changes in the world and ultimately will lose the battle. So, it should be such where people can learn, grow and can come up with more innovative solutions.
AmerisourceBergen realized that digital transformation can only be achieved when the culture of an organization is adaptive towards the ongoing innovation and changes in the industry. All these trends are actually creating an atmosphere or surrounding, where the essence of digital transformation can be fully utilized. And, the Digital Transformation Trends of 2019 are all set to rock the world of Digital Transformation.