The digital transformation used to be a trending topic that was up for consideration by businesses looking to improve but has now grown into a necessity for survival and success in the current competitive world. The following are five essential benefits of digital transformations for every MSME:
Identifying and preventing errors while enhancing accuracy
Tasks such as data collection are subject to human error as nobody is perfect. Due to frustrations, exhaustion, lack of concentration, which are part and person of any human being, some projects may be handled less efficiently at certain levels than others. However, automating such tasks can help significantly reduce human error as computers and machines are not affected by emotional or mental burdens as we are. Implementing project management tools, for example, can help assign and manage project deadlines. Digitalization also helps do away with uncertainty as machines use logical facts as compared to a human being who is affected by emotions.
Making better decisions
In the 21st century, a world where digitalization has overthrown the traditional methodologies in decision making, Data insights are an essential tool for the success of any business. Using analytic tools will help accommodate large amounts of data needed to enhance the performance of the company in such a competitive world. These tools are applied to activities such as marketing campaigns and building or improving unique business websites. The data collected allows the enterprise to understand the needs of the customer better and make the right decisions on how to approach such opportunities without going out of their budgets.
Safety and security
The safety and security of an enterprise’s data is an essential consideration that every business must incorporate. The use of robotics can assist in dangerous situations where human intervention may be deemed too risky such as during fires. Digitalization also provides a means of encrypting files on a virtual world and thus doing away the need for bulky hard copy documents that only seem to be at risk of falling into the wrong hands. Enterprises should consider a digital transformation for the safety of their data and workforce altogether.
Increase customer-centric focus
The principal purpose of digitalization is to increase an extensive range of customer experience using the various types of technology. Customers are always enchanted and fascinated by the wonders in which technology has to offer and thus are readily available to give feedback after an experience. This helps shift focus and pay more attention to what the customer wants and therefore identify the areas where an enterprise needs to improve or invest. Also, focusing more on the customer needs significantly enhances the services offered across all channels of communication.
Improved efficiency
A business that has not embraced digitalization is subject to suffer from various bottlenecks or obstacles to steady growth. These obstacles can be caused by human interventions such as manual data entry whereby the systems don’t communicate with each other and are prone to errors. Also, bottlenecks can be explained in the way a single process goes through one department and thus halts the operations of the others as they await further instructions. Digitalization does away with such limitations and significantly reduces the friction in the business and, therefore, enhancing efficiency within various departments in the organization.
For the digital transformation of every local business especially in Southeast Asia, particularly in the Philippines, there's a startup that offers free websites to local merchants to operate online. This helps lots of traditional MSMEs to improve digital literacy and get the benefits of digital transformation.