December 9, 2024
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Business ally descry digitization interpretation by CEOs- Anyone looking for an answer to the question of what digitization means for founders must first determine which part of digitization is meant here. 

On the one hand, digitization can refer to the conversion of data. On the other hand, to an age in which analogue and manual working methods are being increasingly pushed aside, according to Tech pally.

This article is intended to provide information about the opportunities and risks of digitization for founders. 

How is digitization noticeable?

What are the consequences of digitization? Before discussing the advantages and disadvantages of digitization, a brief look at the effects in the private sector and in the world of work should be taken.

Both areas have a direct influence on founders: In this way, digitization can be the focus of added value for the intended target group. And make your own operational processes significantly more efficient and thus more cost-saving.

In production, digital technologies are primarily associated with increasing automation, chaktty said.

In this context, the term ‘Industry 4.0’ has become a well-known catchphrase.

In everyday life, it is so-called smart technologies that make digitization and technical progress tangible in the truest sense of the word.

In addition to the ubiquitous smartphone, solutions with a view to the smart home or future-oriented smart driving are particularly conceivable.

 In all of these fields of action, a profitable business model can be set up with high-selling innovations, according to the editor of Businesspally.

Digitization has revolutionized shopping habits

Online trade (e-commerce) has been booming for years like no other economic sector.

In times of lockdowns and access restrictions, there is still the unrestricted possibility of being available to customers on the Internet and selling products with just a few clicks, worldwide.

More and more customers are buying online, with the vast majority using the Internet anyway to make a purchase decision or to back it up with additional information.

In this respect, even a small start-up can no longer afford to forego the growth opportunities of digitization.

These must already be laid out in the business plan and used consistently in business operations. 

Outlook: What will digitization bring in the future?

As early as 2015, the Federal Employment Agency predicted in a study that 15% of jobs could be lost as a result of digitization. 

Enormous leaps in productivity can therefore be expected in the coming years.

On the other hand, many companies or employees still state that they have not yet sufficiently dealt with new digital technologies. And indeed, numerous studies show that US is at best average when it comes to digitization, according to business ally data. 

However, the corona pandemic seems to have developed into a sustainable driver for digitization, especially in SMEs, the backbone of the US economy.

According to the Digitization Index for SMEs 2020/21, medium-sized companies are accelerating the digitization of work steps and business processes.

The spread of digital technologies in the private sector is progressing in terms of energy management and entertainment, as is mobile internet use, which will set the tone in just a few years. 

Thanks to lower production costs and more efficient consideration of customer requirements, business founders with digital growth strategies have the opportunity to focus on sustainable success right from the start