Correctly thought of as the third stage of embracing digital technologies (digital competence, digital literacy, digital transformation), digital transformation signifies the masterful utilization of cloud, mobile, social and big data technologies across all areas of business.
At bottom, digital transformation is about capitalizing on the relationship between technology and customer behavior, and leveraging disruptive technologies to close the gap between businesses and their customers.
According to IDC, 64% of enterprises worldwide are exploring and implementing digital transformation.
What digital transformation is not
Digital transformation is undeniably complex and often misunderstood. To help you gain an accurate understanding of what digital transformation is, we’ve put together a list of what digital transformation is not:
- Digital transformation is not new – technologies that drive digital transformation have evolved over the past decade, but the maturity of these technologies, the blistering rate of their adoption, and the promise of innovation they hold marks a new era in enterprise technology -- one that will continue on for the foreseeable future, creating disruption and opportunity in equal measure.
- It’s not a single, disruptive technology – it’s a confluence of advances in several, interconnected, disruptive technologies, including cloud, mobile, social and big data analytics.
- It’s not a new marketing approach to attract customers – it’s a new customer-centric approach to conducting business.
- It’s not a single, killer app – it’s a platform for creating a continual stream of killer apps.
- It’s not a ‘big-bang’ endeavor – it’s an ongoing, iterative, adaptive journey.
- It’s not simply digitizing old business processes – it’s adapting these processes to take advantage of disruptive technologies, and creating entirely new processes based on insight disruptive technologies yield.
- It’s not a technical fix – it’s a cultural transformation.
- It’s not just gaining insight – It’s rapidly operationalizing data-driven insight to drive innovation, revenue and customer immersion.
SAP leads in disruptive technology solutions
Over the past four years, SAP customers have seen innovation coming from SAP at a faster clip than ever before. SAP has worked intensely on its breakthrough HANA in-memory database, porting all of the company’s solutions, including its cloud offering, to HANA and, in the process, ushering in a new era of simplified architecture and anytime, anywhere, anyone analytics for big data.
In conjunction with this, since 2010, SAP has spent more than $14 billion on acquisitions — Sybase, Syclo, SuccessFactors, Ariba, hybris, among others -- to bolster its mobile and cloud-computing offerings.
Collectively, these developments afford businesses an unprecedented opportunity to embrace digital transformation.
Contact NTT DATA today for help with implementing or advancing your digital transformation strategy.