Update Digital Transformation – Top Seven Myths and Realities You Need to Know

Digital transformation is more than the need of the hour! While mentioning this, we keep an ongoing pandemic age, intensifying competition, and rapidly changing market trends in mind. Every organization, irrespective of industry sector and business model needs to integrate digital transformation solutions into the system. 

However, still, many entrepreneurs have some wrong beliefs about digital transformation. We are going to burst them here with realities. 

Mostly digital transformation realities follow the same pattern and show common traits including focusing on the same goals and closing the gap between business operations and IT infrastructure. 

What’s more, all stakeholders should remain on the same page while implementing digital transformation solutions. Let’s take the example of digital transformation in the fintech sector to understand the trends and realities. 

The fintech sector faces many challenges in this pandemic age as the customer’s expectations keep on changing rapidly. Digital transformation solutions can assist financial institutions to meet these challenges effectively. 

These solutions are designed to enhance customer experience and increase the overall safety of online transactions. Digital transformation in the fintech sector brings many benefits to the sector while changing the processes radically. 

Top Myths about Digital Transformation Solutions

Let’s burst the most prevalent myths about digital transformation. 

Myth 1. Digital Transformation is CTO’s Responsibility

Most organizations tend to believe that the Chief Technical Officer (CTO) is in charge of an organization’s digitization process. 

CTO takes care of the entire digital transformation process and is responsible for the process. 

Reality

Though the opinion of the CTO carries a lot of weight because this person is technically sound, it is fair to mention that CTO is not the top authority to the implementation. 

Digital transformation is a cross-department process that covers every department in a company and the CTO participates in this process very actively along with other tech enthusiasts and C-suite members. 

Myth 2. Digital Transformation is Temporary

Many skeptics and naysayers are of opinion that digital transformation is just a technological bubble. It is just hype and it will not last for a long time. 

Reality

Digital transformation here to stay. As per the Spain 4.0 report given by Roland Berger, digital transformation will imply a gross increase of 120 billion Euros in the country’s economy by the year 2025. 

It means that worldwide digital transformation will have a major impact over the period and many companies will spend a lot of money for implementing it. 

Also Read- Importance of Digital Transformation Solutions for Modern Industries

Myth 3. Digital Transformation is for Large Enterprises

Digitization is not every company’s cup of tea! Only major corporations can integrate digital transformation solutions with ease. It requires money, effort, and time, and therefore, SMEs just cannot afford it. 

Reality 

Digitization has nothing to do with the company’s financial position. Digital transformation is more on a cultural shift and introducing automation in the ways of doing business. 

Both large and small-scale companies can streamline and simplify various processes with the help of digital transformation. 

Myth 4. B2C Companies Benefit More from Digitalization

Digital transformation puts customers at the core, therefore, this myth becomes highly widespread. 

For example, digital transformation in fitness brings personalized experiences to users who want to do workouts and exercises from the convenience at home. 

Because of this tendency,  many entrepreneurs tend to believe that this process is not useful for B2B businesses. 

Reality

This is not completely true as digital transformation aims at bringing transparency, optimizing processes, and increasing efficiency. 

Both these facts are useful for B2B and B2C businesses alike. Simply put, your company can leverage the benefits of digital transformation solutions irrespective of type and business model. 

Myth 5. Digital Transformation Solutions are Expensive

Companies need to keep a huge capital aside for implementing digital transformation solutions. As this is an ongoing and long-lasting process, it needs a higher expenditure. 

Also, digital transformation is a cumbersome process that may affect the company’s growth if not implemented properly. 

Reality

Digital transformation is a kind of paradigm shift from manual to digital. But, it does not mean that this shift needs a higher capital expenditure. The entire process is like an investment that yields higher returns over the period. 

As per the IDC research, 34% of small caps that have invested in digital transformation have experienced benefits immediately. 

Myth 6. Digital Transformation is a One-off Project

This is one of the most prevalent myths surrounding digital transformation. For a digital transformation process to succeed, it is necessary to get active participation from all stakeholders across the enterprise. 

Marketers and eCommerce companies can achieve the desired outcome from digital transformation by understanding what their customers need and provide them experiences that they want. For this, an organization-wide digital transformation is necessary. 

Reality

It is not necessary to transform every operation across various departments to shift to digital. Enterprises can make an effective strategy for digital transformation by studying the market trends and considering the organization’s objectives. 

It will provide stakeholders the necessary data to identify the areas where the company should spend money on transformation. It also assists them to get the best return on investments. 

Myth 7. Digital Transformation is a Separate Item for Your Business Model

Many entrepreneurs consider digital transformation as a side project for the IT department or a separate item. Some of the digital transformation solutions and subscription-based services are affordable and every size of business can utilize them without spending a small fortune. 

The cloud-based solution is also an example of such techniques. One of the examples is the telemedicine concept that can be effectively implemented by introducing digital transformation in the healthcare sector, but many healthcare service providers consider telemedicine as a separate facility. 

Reality

To transform all the key processes digitally, it is necessary to model all the necessary processes with advanced tools that bring inventive simulations. 

Digital transformation is an ongoing process and it is not advisable to use any tools separately to ensure a successful implementation. Digital transformation is also one of the most important projects of the enterprise and companies should not consider it as a separate ‘thing’. 

Concluding Lines

A thorough understanding of these myths can assist you to stay away from the hype about digital transformation. You can remain aware of how the process is working and digital transformation solutions can lead your business toward success. 

Solution Analysts is a renowned mobile app development company worldwide. Our in-house teams of experienced developers can integrate advancements of emerging technologies including AI, IoT, AR, and ML to enable our esteemed clients to leverage the benefits of digital transformation. We also assist companies to make more informed choices on what to change, prioritize and ignore while transforming business processes digitally.