Digitalization signifies using digital technologies to boost a company’s business processes, products and services. While there are many advantages to check out here digitization, additionally, it poses a number of troubles.
Advantages of digitization
Digitization can easily improve a company’s internal techniques by eliminating manual tasks and reducing costs through automation. In addition , it can help a company gain clients or increase its existing customer base.
Down sides of digitization
A key disadvantage of digitization is the fact that that digital information could be easily altered and taken out. This can lead to errors and misunderstandings.
Additionally , a company can become overly reliant on technology. This can cause a loss in human knowledge and slow production.
The emergence with the digital financial system has led to a fundamental shift in the way firms produce and market many and providers. In contrast to classic industries, which usually rely on high costs and labor resources for goods and products, an electronic digital economy operates with performance.
Hence, it is crucial to have a clear vision about what the digitalization of a organization will implicate and use it strategically.
The effects of digitalization on a firm’s value creation, proposition and capture were investigated in two unique industries, the media and automotive industry, employing qualitative empirical data collected by 12 key element informants. A conceptual placing based on dynamic features was adopted to body the empirical study (see Figure 1).