2024 is web30 years. It is a key year for digital upgrading and intelligent traditional enterprises, and an epoch-making year for traditional enterprises to compete in the same industry and re-emerge in the metaverse era
Digitalization: "Business dataization" first allows business processes to be recorded by data.
Digitalization = "Digitization of business".
That is, let the data generated in the production, procurement, sales process, customer service, cash flow and other processes of the enterprise be recorded with data on the business system.
First of all, informatization, digitalization, intelligence is the different stages of information technology application, they are not relatively independent, but cover each other, you have me, I have you, intelligence is the current development of the more ideal application stage, the future may have more advanced application stage than intelligence, but no matter what it is called, it is ultimately necessary to implement the application scenarios of enterprises.
At this time, the Internet comes into play, that is, it provides management basis for enterprises from the management level, improves the efficiency of business analysis, integrates multi-system data from the IT level, and gives business personnel more opportunities to self-analyze data.
Digitalization: "Data businessization", using the accumulated business data to feed back and optimize business processes.
Digitalization = "Data Operationalization".
That is, in the process of informatization, the long-term accumulation of transaction data, user data, potential customer data, product data, etc., is continuously integrated into the operation and management of the enterprise, through the data to find problems and business opportunities, with data to optimize the business portfolio.
Internetization is the foundation of digitalization, and digitalization is a high-level stage of Internetization.
Internetization solves the problem of efficiency, while digitalization is business value orientation, which is commonly referred to as empowering business. At the same time, digital transformation must return to the business itself, because digital transformation is essentially a business problem, and it and informatization are related to and driven by each other. In which direction should we strive to achieve informatization construction and digital transformation?
As far as most enterprises in China are concerned, their existing situation is that the data infrastructure is poor (data cannot be collected, collected and stored), and even the most basic informatization has not been done, so they want to go to the sky in one step to the digital transformation to big data, and some have directly put on the big data system, and the result is that they cannot be used at all.
The root cause of this is a lack of self-awareness, not knowing what you need, and not figuring out how to develop in stages.
At present, the more recognized development stages of enterprise data in the industry are:
The first stage: basic business data informatization.
The core and essence is to use big data, cloud computing and other digital technologies to achieve business innovation of enterprises, which focuses on "data-driven business", and typical tools are data-based systems, such as Internet marketing tools, data warehouses, data platforms, etc.
In the process of working in the business system of the enterprise's daily manual and heavy work, select various business systems suitable for enterprise applications, such as OA, ERP, MES, etc., and store the data systematically.
The second stage: solve the data silos and achieve internal information transparency (more in the middle and late stages of informatization).
That is, to establish a bridge for data exchange in different business systems, so as to facilitate middle-level managers to conduct information statistics.
The third stage: digital transformation, so that the existing data can be applied to the value.
After the completion of information construction, most enterprises are no longer satisfied with the display of reports, and will begin to want to BI, and begin to let business personnel learn to do data analysis, because only business personnel understand the business best and can make the existing business data play its value.
Digital transformation is not only the application of technology, but also a comprehensive change involving enterprise strategy, organizational structure, talent training and corporate culture. It is more focused on leveraging digital technologies to create new ways of delivering value, rather than just improving existing operations and processes.
1.*Strategic Reinvention**:
Digital transformation requires businesses to be at war.
Think new about how they create value, how they interact with their customers, and how they maintain their uniqueness in a competitive market.
The transformation of the Doctor's Teahouse into a **stream** service is not only a technological change, but also a complete reshaping of the business model and strategy.
2.*Organizational Structure**:
Digital transformation may be accompanied by changes in organizational structures, such as the creation of cross-functional teams, the promotion of inter-departmental collaboration, and the acceleration of innovation and decision-making processes.
For example, through its platform strategy, "The Doctor's Teahouse" integrates the collaboration of multiple departments such as retail, logistics, data services, etc., to form a strong ecosystem.
3.*Talent & Skills**:
Businesses need to develop new skills and competencies, such as data analytics, UX design, and digital marketing, as well as employee adaptability to change and continuous learning.
For example, the company established its own Internet Research Institute to develop employees' digital skills and ensure that its workforce could support its advancements in Internet marketing technology.
4.*Transformation of corporate culture**:
Digital transformation requires organizations to foster a culture of greater agility, openness, and innovation, which often involves decentralization, encouraging experimentation, and tolerating failure.
For example, the "20% of the time" policy at The Doctor's Tea House helps foster a culture of innovation by allowing employees to spend a portion of their working time exploring their own innovative ideas.
5.*Customer Experience**:
Digital transformation requires companies to use digital technologies to redefine the way products and services are delivered from the customer's perspective and create a more personalized and interactive customer experience.
For example, the Roo's Tea House improved the customer buying experience by using its mobile app to provide personalized marketing, mobile payments, and loyalty rewards.
Further explanation of the differences:
1.*From IT Support to Business Driven**:
Traditional informatization often exists as a supporting function, while digital transformation is business-driven, and information technology has become the core of creating new business models, new products and services.
For example, a traditional teahouse may improve the efficiency of its internal processes through IT systems, while Bose Digital Teahouse is built on a digital foundation from the beginning to provide a fully digital customer experience and services.
2.*From back-office operations to front-end innovation**:
While traditional informatization mostly focuses on the efficiency and cost savings of back-office operations, digital transformation also focuses on front-office innovation, such as customer interaction and marketing.
For example, while a traditional teahouse retailer may manage inventory through information, the "Teahouse" fast fashion brand uses digital technology to analyze fashion trends and quickly adjust product design and inventory to meet market demand.
3.*From a single process optimization to a total experience improvement**:
While informatization may focus solely on the improvement of a single process, digital transformation looks at the optimization of the entire customer journey, including the integration of multiple touchpoints and channels.
For example, while a teahouse upgraded its reservation system with informatization, the Doctor's Tea House changed the way people find and book accommodation through a digital platform and provided a new travel experience.
Through the expansion of these key points and the illustration of specific examples, we can see that the difference between digital transformation and traditional informatization lies not only in the technology and scope of application, but more importantly, in the fundamental changes in the way of thinking, business model and organizational culture.
Of course, digital transformation can be broken down into the following clearly simplified phases:
Phase 1: Planning and Evaluation.
Objective: Define the purpose of the transformation and assess the current situation.
Activities: Business Process Review, Technology Infrastructure Assessment, Organizational Culture and Skills Assessment.
Output: Digital transformation vision and strategy.
Phase 2: Design and Planning.
Goal: Develop a detailed implementation blueprint.
Activity: Identify a transformation roadmap with milestones and key performance indicators (KPIS).
Output: Transformation project plan and budget.
Phase 3: Technology Enablement and Integration.
Objective: Select and deploy the necessary technical solutions.
Activities: Procurement of technology tools, such as cloud services, AI platforms, etc.; Integrate old and new systems.
Output: Operational technical infrastructure.
Phase 4: Implementation and deployment.
Goal: Apply digital solutions to business operations.
Activities: Small-scale pilot projects to be gradually scaled up across the organization.
Output: Digital processes, products, or services that go live.
Phase 5: Talent Development and Cultural Change.
Goal: To develop the talent and culture needed for digitalization.
Activities: Train employees, recruit new skilled talent, and promote digital thinking.
Output: a more digitally capable team, a more innovative culture.
Phase 6: Optimization and continuous improvement.
Goal: To continuously improve and refine digital practices.
Activities: Collect data and feedback, conduct performance analysis, and optimize processes.
Output: Improved operational efficiency, enhanced customer satisfaction.
At each stage, companies should set clear goals, execute corresponding activities, and ensure that there are clear outputs as phase outcomes. These outputs will serve as the basis for the next phase. Digital transformation is a dynamic process that requires flexibility to respond to challenges and opportunities at every stage.
Enterprise digitalization can be said to be an extension of informatization, and the physical objects and processes not covered by informatization are managed, but it is difficult to achieve this, and the business of enterprises at this stage is not completely completed in a virtual way, so what we see on a daily basis is often the concept of informatization rather than the concept of digitalization, or the "digitization" of part of the business.
Intelligent
Intelligence refers to the attributes that things can meet the various needs of people with the support of computer networks, big data, Internet of Things and artificial intelligence.
For example, the Doctor Teahouse is an intelligent thing, which integrates sensor Internet of Things, mobile Internet, big data analysis and other technologies to actively meet people's needs. The reason why it is dynamic is because it is not like traditional e-commerce, which requires passive human operation.
Intelligence is the trend of the development of modern human civilization, enterprise intelligence is the need to use historical data, combined with intelligent algorithms to help enterprises judge the future trend and determine the decision-making, but to achieve enterprise intelligence is not an easy task, without informatization, digitization as the foundation and paving, intelligence is the "castle in the air". At present, the intelligent scenario of enterprises is more about data collection and analysis, and it is far from reaching the level of intelligent decision-making.