Digital transformation refers to the integration of digital technology into all areas of businesses’ functions. Continuing advances in computer technology and the widespread use of the internet have fundamentally changed how businesses operate and deliver value to customers.
It requires businesses to rethink operating models, to experiment with new technology and to constantly change in response to market conditions, customers and rivals using the digital tools that have become widely available.
Since technology plays such a critical role in a businesses ability to evolve, CIOs and the IT function will play a key role in the transformation to digital. However the process will potentially affect every aspect of a business.
It may involve a change in leadership thinking, encouraging of innovation, adopting new business models, incorporating digitization at all levels and the increased use of technology to improve the experience of employees, customers, suppliers, partners and stakeholders.