With the introduction of the COVID-19 pandemic, there is a growth in the pace of digital transformation in 2021. However, due to the increasing challenges companies have no other option but to adopt the changing business climate. Various driving factors are influencing this like remote work and contactless interactions etc.
IT’s role becomes more critical with the increasing dependency on digital platforms. Now the organizations are under pressure to digitize their services quickly. With the central focus on AI here are some of the driving forces of digital transformation.
The Rise in Customer’s Demands and Expectations
In 2021, the customers are more empowered and tech savvy. So, they expect a personalized cloud migration experience across all channels. Nowadays, customers only prefer a business with brands that can personalize their shopping experience.
According to Deloitte, 75% of customers are expecting consistent interactions across all media. Whereas ninety-two percent are into live chat services, making it the support channel for high customer satisfaction.
You can definitely target Uber, Netflix, and Amazon for this increasing demand of consumers. The moment consumers expose themselves to a better digital experience, their expectations rise. To avoid becoming the “Digital Prey,” digital transformations have to be on companies’ priority list.
Digital World Of “Fast Beating The Slow”
Speed is the priority of all organizations today. The most difficult challenge is 2021 and in fact during the pandemic was the velocity of change. The digital transformations are occurring nonlinearly, and if you are late, the world has already changed.
There is high pressure on the IT leaders to integrate and deliver on digital initiatives. There is a need for every company to enable innovations that are beyond the four walls of IT. The pandemic pushed all digital transformation and automation programs by many years.
Focus On Customer Insight
The businesses need to have a strong command over customer insights. Profitable and successful businesses understand their customers and spend a lot of time and energy to develop that intuition.
This insight will involve understanding the customer base overall, knowing the needs of individual segments, focusing on each customer for personalized experience. In 2021 the main focus will revolve around achieving this level of insight.
The Fastest Emerging Priority is AI
You can’t deny that in 2021 the fastest growing and emerging priority is AI (Artificial Intelligence). Nowadays, there is high demand for conversational AIs like Alexa and Siri. The worst part is that the practical definition of AI is unclear to many growing businesses.
The AI system mainly comprises of five key components:
- The first one is Sensing that receives inputs like text, voice, image, video and data trigger from the system.
- The other one is Comprehensions that focuses on what the data actually means.
- The analysis is another component that leverages algorithms and data sets to get an informational response or take action.
- Guidance is when the system checks with the humans if the answer is right or if an action requires confirmation.
- Lastly, it is communicating the answer to the user which is called Action.
AI interfaces will help in natural language inputs and outputs, make the decisions on the user’s behalf plus check for errors.
Re-Invention In Major Portions Of Business
Adapting to digital transformations will require major re-inventions in core technology systems, operating processes, and business models. It will solely depend on the firms how they use this shift to deliver value and generate revenue.
Even though we are already into the wave of change for digital transformation in 2021, it will escalate much more in the coming years. The digital transformation will push the stakes to grow faster, and there will be a boost in the speed of change.