Digitalization Vs Digitization
Digitalization or digital transformation is not just another buzzword. Digitalization is often misinterpreted and misapplied as digitization. These 2 terms are highly specialized and fundamentally different, however they are often indistinguishably used, broadly defined and inconsistently applied. Many business leaders also mistakenly believe that digitizing processes will result in digitalization or digital transformation. Mixing these 2 terms is not only false but detrimental when it comes to planning the company strategy and direction towards a proper digital transformation of the company.
What is Digitalization?
From an academic perspective, Brennen and Kriess define digitalization through digital communication and digital media’s impact on contemporary social life. Digitalization is “the use of digital technologies to evolve a company’s business model and provide new revenue and value-producing opportunities. It the process of moving to a digital business.
A good example is cab-hailing solutions like Uber/Grab by successfully integrating existing booking systems with mobile apps resulting in enhanced client's convenience and accessibility, automation and potential scalability.
Digital transformation aims to bring inclusive growth for the company. It helps businesses to improve customer services and maintain compliance with the prevalent laws. As users today live in the digital age, the ultimate goal of digitalization is to transform our daily lives by bringing in more comfort and convenience.
Digitization and Digitalization: What is the Difference?
Fundamentally, digitalization cannot occur without digitization. The process of digitization is the conversion of analog to digital, whereas digitalization is the use of digital technologies and digitized data to impact how work gets done, transform how customers and companies engage and interact.
Digitization refers to the internal optimization of processes (e.g., work automation, paper minimization) and results in cost reductions. Conversely, digitalization is a strategy or process that goes beyond the implementation of technology to imply a deeper, core change to the entire business model and the evolution of work.
How can ERP help with digital transformation?
Digital transformation is often associated with highly innovative technologies like predictive analytics, AI, and robotic process automation (RPA). Traditional business applications like Enterprise Resource Planning (ERP) systems do not often inspire quite the same level of enthusiasm.
Yet, although ERP is not new or disruptive, the technology is advancing from being just a back-office solution to the forefront of business digitization. While its core focus is still to help organizations digitize traditional business-management processes, ERP today also provides a flexible foundation upon which businesses can integrate more cutting-edge technologies. As such, a well-configured ERP solution can help business strategically advance their digital adoption and drive transformation.
Future-proof your business with ERP
Implementing an ERP solution is a transformative opportunity. Part of the implementation process involves examining all of the processes within your business during your business requirement studies. This step allows your business to reflect and to simplify your inventory management and find new ways to streamline sales, purchasing, finance and accounting. But these are not the only ways that ERP can help you meet your digital transformation goals.
The following opportunities to future-proof your business is also yours for the taking when you adopt an ERP strategy:
Align ERP with your digital strategy. An ERP implementation should be tailored and customized towards your business’s goals and strategy. Take this opportunity to relook into your business strategies and make new goals and how can this be achieved with this new implementation.
Integrate your business. Establishing “single version of truth” in your business is necessary to help you make the right decisions at the right time. Know the correct amount of inventory your business has in stock, or total revenue coming in through sales. This allows your business to accurately forecast plans and expenditure. Choose a reliable ERP solution that is able to integrate with a variety of solutions to give you this “single version of truth” or better yet have all these modules under a single platform lessening conflict sometimes that occur during integration between softwares.
Maximize your data. Data is the lifeblood of businesses today. A successful ERP implementation provides a centralized information database and “single version of truth”. This allows you implement business intelligence tools and dashboards to get a bird’s eye view of your business to fully utilize your data accurately to identify trends, business performance or even potential issues early.
Future proofing. Put strategies in place for scaling in the future whether locally or overseas. With the right ERP in place, you should be able to grow your business easily and that solution should be able to handle a variety of growth from staff, operations increment in complexities, multi country and currency and many more.
Improve performance. Imagine what you could do with more time? Now imagine what your business could achieve if each member of your team had more time? ERP can help you find this extra time, as one of its big values is driving efficiencies through automation.
Improve client-centric processes. One of the greatest potentials of the digitalization process is the ability to change your customer behaviors and experience. A successful digital transformation will have the ability for you to understand your client’s profile better by uniting otherwise silo client’s data from multiple systems such as CRM, E-Commerce & Social Media. By understanding your client’s profile better, your business can leverage on such data to enhance backend process such as inventory management, pricing, fulfillment, post sales support and more to increase stickiness and spending of your clients.
How Remicle Fits in Your Business Digitalization Strategy?
Fully Customizable Solution. Remicle pride ourselves being able to fully customize our solutions to meet any business requirements whether big or small.
End-to-End Solution. Remicle ERP extends more than a normal ERP. Add-on modules from CRM, HR, Manufacturing, Asset Management and many more. Having integrated modules in a single platform allows your business to pass by seamless thus allowing you to have "single version of truth" & real-time data at your fingertips.
Integration Ready. Have specialised software that you want to use or wanting to maintain existing hardware? No problem, Remicle is API-ready and is able to integrate with other softwares/hardwares if the other party are able to.
Business Intelligence Built-In. Enjoy our extensive BI tool to maximise all the data captured within our ERP and see customized dashboards and reports in real-time.
Advanced Technological Possibilities. Scale your business further with integration with our IoT devices, mobile apps or robotics in the future. Remicle is able to integrate and capture these data giving you a 360 degrees view of your business.
Scalability. Remicle is currently implemented across 8 countries and more coming up. Bring your business overseas with our multi company consolidation and currency modules, comply to local tax regulations and re-design your processes to make way for business growth.
Omnichannel Client Engagement. Understand your client’s profile better by implementing add-on modules such as CRM, E-Commerce & Social Media integration. Understand your client’s profile better and leverage on additional data and our business intelligence tool to further enhance backend process such as inventory management, pricing, fulfillment, post sales support and more to increase stickiness and spending of your clients.
Digitalize Your Business With Remicle Today!
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