Intro to Digital Business Flashcards
What is a digital business?
Digital biz is the end goal, & digital transformation is the process that companies undergo in order to get there.
Extra: Digital businesses use tech to create new value in biz models, customer experience & the internal capabilities that support its core operations.
Include both digital-only brands & traditional players that are transforming their biz w digital tech
What is digital first strategy? How many has adopted it?
- applying new tech to radically change process, customer experience & value
- 91% of organisations have adopted / have plans to adopt it
Extra: - 61% forced by global pandemic to begin a digital-first strategy
What are key drivers to digital business initiative & sucess metrics?
Key Driver:
1. ↑ employee productivity
2. Enabled biz resilience / agility
3. Better customer experience thru digital tech
Success metrics:
- ↑ employee productivity thru process efficiencies / automation
- ↑ in profitability
- excellent customer service as measured by customer service scores
HSBC Mobile Banking transformation
From a van that carried cash to the New Territories in 1950s to a mobile banking app.
Function:
- access & manage your local & intl HSBC acc
- perform PayNow / FAST transfers almost instantly
- Pay your telecommunication bills, utility bills etc
- Get real-time foreign exchange quotes before you make a transfer
SeafoodXchange - SG’s first B2B eMarketplace for Seafood Traders
- purpose
Simplified the wholesale seafood trading process by allowing traders to buy & sell their frozen, fresh & chilled seafood pdts worldwide.
Platform connects seafood traders to other service providers - customs, traders, logistics providers & financial institutions -> facilitate seamless & simplified trading exp.
What is digital transformation?
- process of rethinking one’s biz model / biz process in light of the availability & affordability of digital technology.
- requires coordination across the entire organization since it applies new tech to fundamentally change the way biz is done
- driver: chance to ↑ competitive advantages by ↑ customer experience
Stages of digital transformation (5)
Digitization (analog / physical -> digital) :
1. Ditigize information
2. Organize information
Digitalization (use digital tech & info to transform indv institutional op) :
3. Automate processes
4. Streamline processes
Digital transformation (series of deep & coordinated culture, workforces & tech shifts -> enable new educational & operating models & transform an institution’s op, strategic directions & value proposition) :
5. Transform the institution
Identify Digitization vs Digitalization vs Digital Transformation
1. Scanning a photograph to create a digital file
2. Analyze data from internet-connected devices to drive revenue growth
3. Change a paper checklist into an App checklist
4. Convert attendance taking process into a smartcard tapping process
5. Transform payment processes so that data can be collected real-time & analyzed
- Digitization
- Digitalization
- Digitization
- Digitalization
- Digital Transformation
Difference b/w digitalization & digital transformation
Digitalization:
- Focus on processes
- Capabilities: IT management
- Scope: One / few departments
- Engagement: Colleagues as customers. No external partnership
- Outputs: Services & soln
- Outcomes: Efficiency & productivity
Digital transformation:
- Focus on biz models
- Capabilities: Digital leadership
- Scope: Entire organizatoin
- Engagement: Colleagues as partners. External partnership
- Outputs:Digital innovation / biz reimagined
- Outcomes: New biz value
What is transformed?
- Pdts & services
- Processes
- People (Customers / Employees)
What are the requirements of digital transformation? (brief)
- Digital leadership
- People & culture (Innovation, Exploit digital opp, Ability unlearn > ability to learn)
- Tech (Modern soln - cloud, Infrastructure within the org)
What are the key values for a digital culture?
- Impact - Change the world radically thru constant innovation
- Speed - Move fast & iterate rather than waiting to have all the ans before acting
- Openness - Engage broadly w diverse sources of info & insight. Share advice & info openly rather than keeping knowledge to oneself
- Autonomy - Allow people high levels of discretion to do what needs to be done rather than relying on formally structured coordination & policies
Tools that can be used for digital transformation
- agile methodology
- design thinking process (rapid prototyping)
Ecosystems involved
- Regulators / govt
- Infrastructure
- Supporting industries
- Software giants
- Mindsets
Describe the requirements in Digital Biz Transformation (5)
- Gather relevant info - Audit infrsturucte, process & systems; Study workflow & conduct surveys & interviews
- Identify drivers for change (prblm areas) - e.g. streamline processes for efficiency
- Determine their requirements - align IT w biz (critical, realistic & affordable)
- Consider available resources - Money, time staff training, change mgnt maintenance
- Review & prioritize results
