Digital Transformation Examples: Business Use Cases | eWEEK

To fully understand digital transformation, it helps to look at examples of this emerging tech trend. The examples can inspire companies considering investing in this upward trend by offering tangible instances of the benefits of digital transformation.

Digital transformation is the process of replacing or enhancing traditional business processes with digital technologies. The goal is to improve and streamline processes at all levels. In a now common example, many doctor’s offices are paperless or moving that way. Patients fill out medical documents on a tablet and records are migrated through the system digitally, replacing the highly inefficient paper folders of yesteryear.

Even with a relatively modest example like moving from paper records to electronic ones, digital transformation can dramatically improve the way companies serve their customers. However, as you will see in the examples below, digital transformation can require a radical change in the process, which means a considerable investment of time and money in technology and personnel.

Virtually all examples of digital transformation require some form of cloud computing and often use more than one cloud service provider. Certainly most examples require machine learning, an important element of data analysis and, increasingly, support of artificial intelligence software.

It goes without saying that most companies cannot achieve this transformation on their own; They will need to partner with digital transformation companies to improve their chances of success. But because the benefits are so great, even a deep investment is often justified. In the long term, many digital transformation implementations become success stories.

Examples of digital transformation

Digital transformation in retail

In 2017, Domino’s Pizza embraced artificial intelligence and chatbot technology to create a conversational interface with Facebook Messenger. Customers with a Domino’s Pizza account can use Facebook Messenger to quickly reorder a previously ordered pizza combination or a new set of toppings.

Orders are streamlined and interactive, and since they are linked to social media (rather than requiring a separate website or phone call), the frequency of orders has increased. The chatbot uses a logical, data-driven system to offer upsells like strategic discounts and related foods. In addition, the artificial intelligence-based system saves labor costs for the pizza chain.

This example of digital transformation reflects the power of AI to drive sales. One of the main strengths of AI is human-like chat, in which an algorithm responds to customers in real time using NLP (natural language processing), even if the client is using idiosyncratic language. Additionally, AI excels at performing tedious tasks that would push the boundaries of human performance. This includes sifting through vast amounts of data to look for useful patterns and other insights – in this case, patterns in the way humans request food delivery – to ease friction in the ordering process.

Digital transformation in marketing

In 2012, toy and game maker Hasbro saw its market share drop and had an epiphany. Rather than marketing to the children, he focused on their parents, who are the ones who actually do the shopping. They started a new digital and data strategy, which took several years to reach full implementation.

The company began collecting and mining customer data to create more targeted marketing campaigns, promoting both nostalgic and new brands. He made a big push in online media, targeting websites with a large number of parents. This data-driven online approach gave Hasbro a better and more immediate response. In 2016, the company broke the $ 5 billion sales mark for the year and is on track to $ 6 billion in 2021.

One of the main tools for digital transformation in marketing is data. Extraction of electronic data collected in massive amounts in data warehouses and data lakes greatly increases the ability of sales leaders to refine campaigns. This typically involves business intelligence software, a core tool in digital transformation, that identifies targeting by demographic data.

Digital transformation in banking

Institutions across the financial sector, such as Wells Fargo and Bank of America, have automated transactions, even when this has required handling significant security and compliance issues. The fascinating aspect of this example is that, rather than a limited instance, retail banks have seen progressive adoption of digital transformation over the past three decades.

The main milestone in this process was the adoption of automated teller machines (ATMs); By enabling customers to obtain cash without human assistance, the banking industry has been a leader in the use of automation to save personnel costs. For a contrasting example, look at the grocery industry, which didn’t move much toward self-checkout (SCO) until the last few years; Globally, fewer than 200,000 units existed in 2013, a number that is projected to rise to 1.2 million units by 2025.

The banking sector is also a leader in digital transformation in its use of mobile devices. Its adoption of mobile banking uses a combination of edge computing (its network of security gateways) and IoT devices (cell phones) to bring convenience to customers. Going one step further, allowing customers to create automatic payments means that, at a very basic level, users are implementing the automation themselves. Additionally, third-party payment systems like Google Pay and Apple Pay allow consumers to pay for everyday purchases with a flick of their smartphones; this is another example of technology implementation, Near Field Communication, to allow an easier process.

Digital transformation in transportation

There’s a good reason Uber grabbed so much market share from traditional taxi companies over the past decade. Uber took a deep dive into the data-driven taxi industry and identified every pain point for customers, from locating a nearby taxi to offering non-cash payments. Using a key element of the digital transformation strategy, active listening using data, the company served customers in a way that had never been responded to before.

All of this logistical and data-centric strategy was incorporated into the smartphone app, facilitating convenient and quick customer feedback. Again, this is listening carefully to the customer.

This example of interactive listening in real time is reflected in a fundamental practice in digital transformation: using social networks to form a close bond with customers. The interactive smartphone app is one click away from the major social media platforms and, in the minds of many consumers, it is the same world. Clearly, social media has become the new customer service. LinkedIn, Twitter, and Facebook have replaced 800 lines and email for instant communication between sellers and customers, handling sales, disputes, and measuring brand sentiment.

In your “Client Connected Status” reportSalesforce found that 84% of high-performing companies manage and respond to inquiries and social issues in real time, while only 37% of low-performing companies say the same. As an added bonus, this interactive response is often accompanied by a marketing element.

Digital transformation in health

Telehealth services such as Teladoc, MeMD, MDLive, and a number of other providers allow users to receive care from healthcare professionals via webcam, reducing the need for physical infrastructure, including fewer staff hours dedicated to the waiting rooms.

One advantage of digital transformation is better customer focus, and that’s certainly true with telehealth, which enables better care for rural patients and other isolated patients. Not to mention enabling an on-demand format that is more flexible for all patients. The telehealth market is forecast to expand from $ 144 billion in 2020 to $ 636 billion in 2028.

In addition, the healthcare sector is migrating to electronic data management at all levels, from patient login on electronic devices to record keeping with blockchain and data warehouses. This helps create a centralized data repository for each patient known as an EHR, or electronic health record, which facilitates better care by combining data from disparate sources.

Data management and data mining are fast-growing trends in healthcare, easily rivaling telehealth as examples of digital transformation. Using data analysis on a large number of anonymous patient records allows for lower rates of medication problems by pointing to constant problems in many patients. The data is also used for preventive care, which involves analyzing patient data to find links between current and future medical problems, and then informing the patient well in advance.

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