June 25, 2024 | Blog

The radical and modern use of technology to improve one’s life or, in this case, business processes is so-called digital transformation. Capgemini, along with the Massachusetts Institute of Technology (MIT), coined the term digital transformation. It was described as “the use of technology to radically improve performance or the reach of businesses.” Today, digital transformation is redefined and used as part of business planning and a strategic way of transitioning from one new technology to another.

Digital Transformation Journey: Things You Need to Know

1. What is Digital Transformation?
2. The Ripple Effect of Digital Transformation
3. Digital Transformation in the ASEAN region
4. Let’s Start Your DX Journey with IT Group, Inc.

What is Digital Transformation?

To give it more context and visualize digital transformation from a different perspective, digital transformation, or DX and DT, is mainly a concept to capitalize on technology. Digital transformation is not a one-size-fits-all solution for every business, nor is it a technology that can solve all areas of business. But what is good about digital transformation is that humans are the key holders to harness its power. It’s a holistic approach combined with strategic planning on where your business needs the most attention and tech solutions.

Also read: How Digitalization Helps Retailers in 2024

For example, you’re a manufacturing business owner of laptops. You have different brand partners of laptops in the market, and your business is a top-notch supplier and manufacturer of hardware for laptops and/or computers. As an enterprise company— in this scenario, you aim to provide your clients with what they need, when they need it, and how much they need for the agreed period. The bottleneck comes if all other existing and new clients also demand the same requests. To ensure accuracy and prevent customer dissatisfaction, have visibility of your inventory, resources, and people. Digital transformation comes in—solutions like the #1 Cloud ERP of Oracle NetSuite, for one, offer to streamline your business operations and processes, and you’ll have a 360-degree view of your operations—to help you create a strategic, SMART, and data-driven decision whether to commit on your bulk requests.

The Ripple Effect of Digital Transformation

In essence, we see now how digital transformation works, but how exactly does it impact on a bigger scale, such as its ripple effect in the global economy? Let’s go back to 2020, when the COVID-19 global pandemic happened. Due to the pandemic, most business operations were halted, delayed, or, in the worst-case scenario, shut down for good. Some organizations managed to adapt and apply their business continuity plan. However, the uncertainty during that period made business leaders and decision-makers seek reassurance by changing their business modules and plans. Industries like Telco and BPO are among the least affected by the global crisis, and some companies have thrived and taken advantage of the opportunity to grow even better. Meanwhile, other industries such as F&B, Manufacturing, and Travel and Tourism were most affected by the pandemic, simply because it requires actual interaction with people.

Also read: Industry 4.0: The Future for Manufacturing Companies

It was a wake-up call for many organizations to be future-proof ready when calamities and global crises happened— and that’s the peak where they started to seek solutions where technology can be a tool to achieve their business goals. In the McKinsey & Company survey, they revealed that the pandemic “has pushed companies over the technology” investing and incorporating digital technologies in their businesses. “During the pandemic, consumers have moved dramatically toward online channels, and companies and industries have responded in turn. The survey results confirm the rapid shift toward interacting with customers through digital channel. They also show that rates of adoption are years ahead of where they were when previous surveys were conducted—and even more in developed Asia than in other regions,” they said.

Digital Transformation in the ASEAN region

Even ASEAN countries like the Philippines acknowledge the value of digital transformation in building growth and development. According to the World Bank, the Philippines has the potential for digital transformation, yet it needs improvement, especially in its laws, policies, and implementation.“Rapid adoption of digital technologies can help the Philippines overcome the impact of the Covid-19 pandemic, recover from the crisis, and achieve its vision of becoming a middle-class society free of poverty,” they said. Also, neighboring countries such as Indonesia are still in the process of incorporating digital transformation into their overall economic plan.

Also read: Debunking Myths and Providing Facts: Why Technology is Important in Your Business

The Asian Development Bank shared its insights, too.“Technological transformation in Indonesia should take into account the different needs and opportunities of each region to avoid exacerbating development disparities. Targeted policies are needed to prepare these areas for digitization,” they said. Malaysia, on the other hand, is thriving with its digital transformation.  “Malaysia’s digital evolution encompasses everything from robotics to artificial intelligence, the internet of things, cloud technology, blockchain and cybersecurity – but one area that Malaysia has truly excelled is in hyperscale data centers,” Thomson Reuters said. Meanwhile, Singapore is at the forefront of exploring digital transformation in its economy, being one of Asia’s Tech Hubs.

Let’s Start Your Digital Transformation Journey with IT Group, Inc.

Digital transformation transcends not only the business sector; it shapes society, from improving the educational system with new tools to prioritizing the environment through sustainability, new social and governmental policies, new skills for future and existing employees, and elevating customers’ experiences. It’s a new era of technology, changing how we do business, interact with our people, and, most of all, interact with the world.

Also read: ITG Story: Meet Our Unsung Heroes and Know Their Inspiring Stories

With over 21 years of expertise, IT Group, Inc. works and helps 200+ clients across the ASEAN region on their digital transformation journey and has a solid portfolio of 250+ successful projects. ITG is your leading technology partner for system-wide innovative solutions to accelerate your business plans and goals. We deliver seamless integrations and processes from Business Management Solutions, IT Management, Integration & Automation, and Enterprise Data Management to IT Infrastructure. We’re also an ISO 9001:2015 Certified company with regional offices in the Philippines, Indonesia, Singapore, and Malaysia.
Let’s talk about your digital transformation journey with us today.