DIGITAL TRANSFORMATION
What Is DIGITAL TRANSFORMATION
And What Does It Mean For Manufacturers?
From Industry Buzzword To Business Driver In A Decade
BY: PAUL K. FURY
ONCE CONSIDERED business jargon,
the concept of digital transformation has
shifted in importance and meaning in recent
years. In today’s business landscape, every
company wants to get closer to customers,
innovate faster and with scalability, and
become more efficient.
In fact, you may have heard of companies
touting new positions such as Chief
Innovation Officer, Chief Transformation
Officer, and Chief Digital Officer. For
example, 3D printing manufacturer EOS
appointed Güngör Kara as its Chief Digital
Officer in June 2018, and GE named its first
ever Chief Innovation Officer, Sue Siegel,
in 2017. Whether you’re a B2B or B2C;
whether you offer products, services, or
both; leading companies in every industry
have turned to the digital space to stay
relevant and to drive growth.
While you might think it’s easy for big
names in manufacturing like GE to bet big
on digital, it’s important you understand
how this trend can impact your company
and the manufacturing industry at large.
We’ve identified four key areas in which
manufacturing companies can embrace
digital transformation to streamline and
grow their business:
• Adopt digital services to support
current business strategies: Whether
supporting the back-end or front-
end operations, investing in digital
business strategies as a replacement
for traditional manual methods can
boost productivity and increase
business transparency.
• Streamline services to create new
business models: As manufacturers
adopt
more
digital
services,
companies can streamline and bundle
services. This enables them to create
new ways of doing business more
easily and effectively. It also allows
companies to offer other services
beyond the “product”—including
enhanced customer care—that can
lead to positive business growth.
6
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Prepare for a changing workforce:
Preparing for the generational
shift in the workforce is one of
the top concerns in the minds
of manufacturers. According to
industry experts like Salesforce,
businesses are beginning to see
older workers retire and millennials
take their place. Manufacturers
can now use digital services to
capture the knowledge of retiring
employees and share it with the next
generation of workers with greater
effectiveness and retention.
Create digital platforms to support
different business operations:
Manufacturers can now zero in
on various “layers” within their
business—from managing supply
chains and operations to maintaining
an up-to-date customer database—
and then develop online platforms
to share that information across
those layers. Cross-department