Whether you are aware of the changes in technology brings or not, it indeed alters many ways of how things work; and, digitalisation is one of the outcomes of technology advancement. The word “digitalisation” refers to the process of leveraging technologies and data to enhance the business’s operation, communication, and performance. The fundamental reason for digitalisation is technology advancement. However, several other reasons encourage the implementation of digitalisation as well. We have listed down several as below:
Competition in Business
Digitalisation enhances the business’s operational processes; hence, the company gets to have a mightier competitive edge in the market. So, it creates fierce competition which will automatically eliminate those who do not digitalise.
Eco-friendly
Now many governments have been promoting the idea of “go green,” and they provide incentives or discount for companies that adopt the policy. In this narration, digitalization reduces the usage of paper as everything goes online.
Analysis Purpose
Going on cloud allows the business to gather data easily. Which means the business can use the collected data to do their analysis, and for future decision making.
Areas to Digitalise
Digitalization encompasses a wide range, hereafter only highlight few key areas that the implementation of digitalization can take place on.
Internal
Internal business processes are the core daily fundamental processes that the business runs to keep the business in operation. For instance, purchasing raw materials, managing the inventory, producing goods and services, and so on. These processes are mostly done manually with partial assistance of technology. However, now many processes can be done via technology. Herewith some areas that you can start your digitalisation with
HR Aspect
Payroll System: Payroll System allows the company to calculate employees’ salary efficiently, and once the data keys in it will follow the setting automatically; hence, the company does not need to figure it monthly by manual, or to worry about manual mistakes.
Inventory Aspect
ERP System: Electronic Resource Planning allows the business to manage its inventory, get analysis of the status of stock through previous records, and all these become data for future inventory forecasts.
Financial Aspect
Accounting and Tax: Company can enter their daily recorded figures into the software, and it will generate different kinds of reports that the company requires. After the reports are generated, the software will then calculate the tax payable amount for the company.
Operational Aspect
Production Process: Digitalisation in the production process (i.e.: 3D Printing, Industrial Robotics, and more) allows the company to fasten and standardise the production.
External
Unlike internal business processes, the external business process focuses more on the outer relationship management of the business. For instance, marketing, customer relationship management (CRM) and recruitment.
Marketing
Digitalize marketing process is the most common digitalization for businesses. Businesses design an informative website to attract customers. This not only retains old customers, but it also helps to attract new customers.
Customer Relationship Management (CRM)
Many companies start a personalized platform to manage their customers and create the customers’ relationships. The platform allows the customers to obtain information related to the company, channel to provide their feedback and build connection and interaction between the company.
Recruitment
Everything has gone online, recruitment as well. With online recruitment, the system can filter and select the candidates less biasedly, which increases the chance of company hire their desired employee. Moreover, it speeds up the entire process of recruitment.
