2 prerequisites for successful "digital transformation" of enterprises!

What counts as a "digital transformation" success?This is a question many people ask us.

Before we get into this question, let's understand: What is digital transformation?

The explanation of digital transformation on Encyclopedia is: a high-level transformation based on digital transformation (Digitization) and digital upgrade (Digitalization), which further touches the company's core business and aims to create a new business model.Digital transformation Digital transformation is the development of digital technologies and supporting capabilities to create a dynamic digital business model.

In order to avoid being caught in the vortex of "false space" and unable to get out, we will focus on refining this explanation:

• Based on digital transformation and digital upgrading
• Further touches the company's core business

It can be seen that the success of digital transformation of enterprises can be seen from the following two points:

1. Whether digital transformation and digital upgrade have been achieved

The performance of digital transformation and digital upgrading lies in whether the enterprise has realized the digitalization of information and process.To put it simply, information digitization means that all the information in the enterprise is stored and managed in a unified manner with computers, such as employee information, fixed asset information, planning proposals, etc. Excel and word can be used for storage and management., the basic office tools have been able to meet most of the needs.

Process digitization is simply to view and manage the work processes including business, R&D, and manufacturing in an enterprise in an online form. For example, the more common OA system can transfer the process of employee attendance assessment to online.Another example is the project process management system, which transfers the control of the project process to the online, and does not have to follow one or some people every day to verbally urge the progress. These are the manifestations of process digitization.For enterprises that need digital transformation, first realizing digital transformation and digital upgrading is the foundation.

2. Whether to further touch the core business

The sentence that further touches the core business is not a problem at first glance, but if you look closely, you will find that this sentence seems to lack the subject. What does digital transformation need to further touch the core business, managers?Staff?Or the boss?We might as well jump out of the explanation given by Baidu at the beginning of the concept article. Starting from the word digital transformation, it may not be difficult to find out that digitalization, that is, establishing an appropriate digital model from numbers and data, is the subject we are looking for.

In the process of further touching the core business, we must proceed from the actual situation to understand what the core business of the enterprise is, how digitalization will touch the core business, and what are the obstacles.Efficient way to solve the previous problem.

Take Geely Holding Group as an example.

Zhejiang Geely Holding Group is a leading domestic company integrating the design, R&D, production, sales and service of automobiles, powertrains and key components, and covers travel services, digital technology, financial services, education and other businesses.A global innovative technology conglomerate.In the process of transformation, it is troubled by the accumulation of demand (there are a large number of business needs and changes, and it is difficult for its own R&D manpower to respond quickly, resulting in the accumulation of business needs), R&D costs (the number of R&D personnel remains high, and the entire company has invested in R&D.A large number of labor costs, the company's operating costs urgently need to be structurally adjusted), data barriers (internal systems are complex and diverse, and there are large data barriers between departments, which have caused huge obstacles to the company's information management and operation.set a one-stop information platform) among the three difficulties.

For Geely, a cost-effective tool with flexibility and scalability is the focus of the transformation.After some selections, Geely Group adopted the Informat low-code platform to independently build the application creation middle stage and the system integration middle stage, and built the digitalization of core business in the management system, enabling the group to unify business, process and data.Taiwan, built the group's digital ecology, and realized digital transformation.

In this successful digital transformation of Geely Group, Geely Group solved the problem of accumulation of development management for many years, shortened the development cycle by 61% on average, and reduced manpower input by 47%.Realize the integrated construction and flexible collocation of general management of various organizations and business departments within the group, and improve work efficiency.Therefore, only when enterprises sort out the problems and solutions in the process of touching the core business can they realize digital transformation well.

For enterprises, the two points mentioned above are a progressive relationship, information digitization → process digitization → further touching the company's core business, which is the focus of enterprise digital transformation. Digital transformation is never something that can be accomplished overnight.Only when these points are completed can it be regarded as entering into digital transformation.Of course, the three steps can be done at the same time, not in sequence, but the cost is high for the enterprise, whether it is human, material, financial or time cost.