With the right technology for digital transformation, you can successfully upgrade processes across your organization and continue to compete in the future.
But how do you know which technologies to use when managing a digital transformation? Tying your business to the wrong software or hardware can be an expensive error and leave operations as inefficient as they were before digitalization.
As experts in legacy integrations, OpenLegacy understands the nuances of different digital transformations. In this article, we explore how to find the right tools to support your digital transformation.
Digital transformation technology defined
Most companies are familiar with the idea of digital transformation. Even if you aren’t currently upgrading your legacy systems, you’re probably starting to think about how to integrate modern digital tech into your business.
Digital transformation technology refers to any hardware, software, or other systems that you use to change your operations and processes as you leave your legacy systems behind.
These can range from cloud computing software to Internet of Things (IoT) devices.
Supporting your digital transformation model with the right technology
The technology you use will drive your digital transformation process; ultimately, the increased efficiencies it will bring are the reason for transforming business operations.
However, any successful transformation needs a clear digital transformation model. You must make sure your enterprise is prepared for digitalization. Overhauling the ways employees have worked for years can be difficult, and you should identify any potential “pain points” at the beginning.
Your model should include a team that can lead the digital transformation process. As well as having the necessary technical skills, it is important that they also have certain soft skills, such as strong communication and high levels of creativity. This will help your IT team to overcome problems imaginatively and solve issues in a way that’s accessible to members of your organization who aren’t IT experts.
A good digital transformation model will include a clear set of goals and objectives, as well as a clearly communicated plan for how you’ll achieve these targets. This helps ensure every member of your enterprise is on board with the digitalization.
Finding the right tech doesn’t in itself mean that you’ll have a successful digital transformation. Instead, you should think about technology as just one part of your wider process model. Nevertheless, it’s crucial to support your model with effective tech and the right tools.
Key types of digital technology to drive your transformation
A truly successful digital transformation will renew your entire operation, so it’s not surprising if the amount of tech that you might want to implement in your business could feel overwhelming. This is why at OpenLegacy we support an incremental approach to achieve results quickly and with greatly reduced risks.
However, there are some types of digital technology that have recently been at the center of driving improved productivity and accelerating business growth across the business world.
These are the key types of technology that you may want to include in your digital transformation.
Cloud computing
Cloud computing is an umbrella term for a wide range of technologies that aren’t reliant on traditional infrastructure solutions, such as in-house servers. It’s likely you’re already familiar with some cloud services - one example is Google Drive. Using cloud computing can improve productivity and security across your business operations.
There are three main ways that businesses use cloud computing.
1. Infrastructure as a service (IaaS) provides your company with access to servers and cloud storage, removing the need for your company to store data on physical infrastructure. This means you don’t have to worry about high infrastructure costs as you scale up.
2. Platform as a service (PaaS) is mainly used by programmers. It allows for the development of apps and websites that are hosted on a cloud server.
3. Similarly, software as a service (SaaS) provides access to applications without having to download software. An example of this is Google Sheets. SaaS lets your employees access their work from anywhere, which boosts productivity.
A hybrid cloud approach provides you with access to these services and their benefits without needing to completely abandon your legacy systems.
As cloud computing becomes more ubiquitous across the business world, placing it at the heart of your digital transformation plan will ensure that your company has sufficient scalability and flexibility for the digital age.
Internet of Things (IoT)
Think about how many devices you own in your personal life that are connected to the internet and share data. This is the Internet of Things (IoT).
Your business IoT can include your whole system of devices and machines, allowing them to be connected and work together by transferring data. This can improve cost-efficiency by automating certain processes, which would otherwise require time-consuming operation by employees.
You might want to integrate the IoT into your consumer-facing operations too. This can help you collect data about customer habits, providing key information on how to optimize your approach.
Regardless of how you use this technology, making sure most of your devices are part of the IoT is a great way to increase efficiency and improve the quality of business operations.
Digital twin technology
If your company produces physical products, digital twin technology should be an important part of your digital transformation process.
Digital twins are virtual replicas of real-world objects. By fitting an object with sensors, you can use the digital twin to run simulations and gather data to assess the performance of the object over its lifecycle.
This can be especially useful for digital transformation in healthcare or manufacturing industries. It can also help you improve customer satisfaction when designing consumer products.
Robotics
Robots might bring sci-fi films to mind, but they’re already at the center of many innovative production lines.
As well as being used in manufacturing, robotic process automation (RPA) can speed up the most repetitive and boring parts of your business operations, freeing up employees to focus on more complex work.
Robotics is an important aspect of digital transformation regardless of your industry and is something that will continue to be explored further.
Artificial intelligence and machine learning
With the rise of programs such as ChatGPT, artificial intelligence (AI) and machine learning (ML) are increasingly being considered as the future of business.
By integrating systems that simulate human intelligence into your digital transformation, you’ll be sure to future-proof your company.
AI and ML can be used to quickly analyze huge amounts of data and perform simple but time-consuming tasks. Digitization processes that involve them can boost productivity and save employees from wasting time on dull and repetitive tasks.
Augmented reality
Augmented reality (AR) refers to overlaying virtual information, such as visual models of products, onto the environment through devices like a phone camera.
You can use AR to create a more exciting customer experience and open up new possibilities for innovation in the workplace.
Real-time analytics
The most modern computing processes can provide instant insights into data. Real-time analytics can make decisions based on these insights, ensuring your choices are as well-informed as possible.
Integrating real-time analytics into your business is also the best way to strengthen your responses to market changes and evolving consumer needs.
Tips when choosing technologies for digital transformation
Now that you know the main technology trends that are commonly implemented as a part of digital transformation, you need to choose which of them to focus on.
Here are some key tips to consider for your digital transformation management.
Identify your unique value proposition
As with any business innovation, consider what your company offers that makes it unique. An enterprise that focuses on manufacturing, for instance, wouldn’t necessarily invest in a large marketing team. The same will be true for your digital transformation.
However, before identifying which processes can be used to help you better achieve the unique aspects of your business, you should also consider which functions are necessary for companies in your industry.
Finding technology that meets both these criteria will help your enterprise continue to stand out from the crowd.
Consider features and capabilities
Similarly, think about the features that are most relevant to your business operations. You shouldn’t just look for technologies that have the biggest range of features. Smaller capabilities, such as easy capability to integrate using microservices, can be a great way to digitize your company while keeping operations cost-effective.
When considering the capabilities of technologies, make sure your solutions are scalable. Think about what your needs may be in the future and ensure the features you invest in will continue to be relevant for your company.
Check integration capabilities
While the goal of a good digital transformation process could be a total overhaul of legacy systems, it’s often impractical to do this all at once. Fortunately, hybrid integration can help you slowly introduce new solutions into the workplace while minimizing disruption and downtime.
It’s crucial to check the integration capabilities of any tech you choose. Many technologies today are integrated using API, which allows a standardized system for integration across your enterprise. Always make sure you’re able to integrate new technologies before you invest.
Test the technology before committing
You wouldn’t buy a car without taking it for a test drive, so it makes sense to test out any new technologies for digital transformation before you integrate them across your enterprise. Cloud-based software services are often available to test through free trials. For more complex technologies, vendors should be able to organize a demonstration.
When testing technology, be sure to analyze ease of use as well as its effectiveness. Try to include input from employees across your organization, as this will help you make sure it’s suitable for use throughout your company.
For the most complex technologies, you might want to organize a demonstration or even conduct a small pilot project with an expert. This will allow an extensive and detailed test of its features and capabilities, so you can make an informed decision about whether to commit to investing.
Embrace the future with OpenLegacy
Digital transformation is the best way to prepare your enterprise for the future, especially if you're reliant on outdated and unresponsive legacy systems. Finding the right technology for this process is essential.
This article has explored the most important types of tech for you to consider, such as cloud computing and AI, and also provided some top tips for identifying the right technologies for your business.
OpenLegacy can help you streamline and simplify your digital services with a select suite of digital transformation technology. By connecting legacy data, processes, and applications stuck in mainframe or midrange platforms to cloud environments, you can speed up your business operations, boost productivity, and embrace the future. Contact us today to find out more.
FAQs about technology for digital transformation
Why is cloud technology key to digital transformation?
With more businesses adopting remote and hybrid working models, accessing documents and files via the cloud has become more important than ever.
As well as this, cloud platforms are the best way to ensure that companies are both scalable and flexible.
What are the three pillars of digitalization?
The three pillars of digitalization are people, processes, and technology. Only by having all three aligned will you achieve a successful digital transformation for your company.
What is a digital-first strategy in business?
A digital-first strategy is one that embeds technology into every aspect of your business.
Finding the right technology for digital transformation means you’ll be able to implement a successful digital-first strategy in your enterprise.
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