The DX Journey in the Enterprise and its Leadership
transformation . Others use it more broadly to refer to a mix digitization , digitalization , or digital transformation . These three terms overlap of course , but they are not identical .
• Digitization consists of converting analog 5 data into digital form in order to ease the consumption of this data within processes and improve operation ,
• Digitalization uses the above and consists of optimizing and in certain cases reengineering these processes and integrating them , producing process efficiencies ,
• Digital transformation builds on the above even further in order to create new models for business , operation and service , uncovering new revenue opportunities .
Figure 2-1 also indicates that the impact of digitization and digitalization is most often internal to the organization , example cost reduction , better process efficiencies , faster execution , etc . Occasionally , the impact may be customer facing with external impact , example improving customer experience . On the other hand , the impact of digital transformation tends to be more external and market facing , example create new market opportunities , generate new revenues , leapfrog the competition , etc . This affects the enterprise value propositions and efficiency .
Based on the above , it is clear that organizations contemplating starting strategic DX initiatives should first establish clarity about the outcomes they seek , and the nature of the transformation ( s ) needed to achieve them . They should also implement process-centric tactical transformation projects and use the knowledge and insight they gain from these projects to refine and further develop their enterprise-scale transformation strategies .
DX at the enterprise level ( the focus of this article ) starts with a business strategy and gradually evolves into a journey that takes the organization from the fundamental challenges and threats to the better and transformative outcomes , to the actual transformation of the organization and its business model and value proposition .
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Information in non-digital form , example paper-based information ( documents , drawings , etc .) 22
November 2021