The Many Benefits of Digital Transformation Statistics
When it comes to digital transformation statistics, the most accurate measurement is one that is made on a year-to-year basis. A quick search online will reveal many sources for these statistics. However, it is important to note that not all data can be considered, nor should any data be used in making any determination. The purpose of this article is to provide a simple overview of some of the most common metrics used in digital transformation analysis.
Digital transformation statistics are sometimes made as part of the benchmarking process for a particular service or product. This is often done for the purpose of determining whether or not the service or product will meet or exceed the desired results during the first year. In many cases, the results will show a marked increase in productivity and efficiency over the prior year. By tracking year-over-year growth, the team is able to determine if the goals of the organization were met, or if necessary adjustments were made to better reach the desired results.
This type of analysis is not just used by smaller companies, but also by larger corporations. For example, a financial services company may find that there is stagnation in their profit margins over the past year, but by looking at overall revenue and the revenue growth over the last two years, they will find that there was a marked improvement. Digital transformation metrics can help identify the drivers of this positive growth and help the management to determine where the company should focus its attention in order to achieve more growth.
Another use for digital transformation statistics is to examine how a particular company has been performing relative to its competitors. The goal is to identify areas in which a company is lagging behind in technology and other ways in which it could improve its competitiveness. After all, customers demand a more competitive product or service from a company that offers those products and services, and those customers are willing to pay a premium for those products and services. If a company wants to remain competitive, it has to maintain a level of excellence relative to its peers. Again, this can be done by looking at overall revenue growth, but it can also be done by comparing a company’s profit margin relative to its peer group.
Digital transformation metrics can be used to evaluate the effectiveness of an organization’s internal processes. For example, if there are a lot of processes that go on in one year, but very few employees are actually using any of them, it is likely that much of the profits in that year will come from those very few activities. By tracking the efficiency of these internal activities, an organization can determine whether the number of people using each process actually makes a difference in overall profitability, or whether it is simply a waste of time and money. This can be particularly important for call centers, where the amount of time employees spend on each activity may not reflect the real productivity of those workers.
Digital metrics can also be used to track progress over time. Sometimes, a company can determine what worked the last year, what failed last year, and what the trends are for the future. This analysis can help a company make quick and effective changes, and it can also help managers anticipate what they might need to do in the future. The availability of historical data makes it easy to review and understand.
Digital transformation metrics can be collected in different forms. Some of these include: Web site measurements, survey questionnaires, and case studies. Each one provides more detailed information about the digital experience than the last one, allowing managers to understand what is happening across their entire enterprise over time.
Digital transformation statistics provide insight that can be used anywhere an organization conducts business. These reports can be used internally, to train new employees, and even provided to outside parties to help them understand and improve their operations. Because of the available metrics, managers can quickly assess their organization and determine where improvements are needed most.
Deepak Wadhwani has over 20 years experience in software/wireless technologies. He has worked with Fortune 500 companies including Intuit, ESRI, Qualcomm, Sprint, Verizon, Vodafone, Nortel, Microsoft and Oracle in over 60 countries. Deepak has worked on Internet marketing projects in San Diego, Los Angeles, Orange Country, Denver, Nashville, Kansas City, New York, San Francisco and Huntsville. Deepak has been a founder of technology Startups for one of the first Cityguides, yellow pages online and web based enterprise solutions. He is an internet marketing and technology expert & co-founder for a San Diego Internet marketing company.