Concept and Significance of Digital Transformation

What is digital transformation? Concept of digital transformation

In recent years, Digital Transformation has become prevalent worldwide. However, it is challenging to find a precise and specific definition for Digital Transformation because the process varies depending on each industry. Examples of concepts related to Digital Transformation include:

  • Digital Transformation is “the use of technology to re-imagine processes for greater efficiency or effectiveness.” (According to Tech website).
  • Or “Digital Transformation is a unique way of reorganizing functions, data, and rules to create new value.” (According to Microsoft).
  • “Digital Transformation is the process of shifting from traditional business models to a digital enterprise by applying new technologies such as Cloud computing, Big Data, IoT,…” (according to a leading digital transformation company in Vietnam FSI).
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What is the definition of digital transformation?

The Importance of Digital Transformation in SMB

SMB (Server Message Block) is a network protocol used for sharing devices and files within a network. It is primarily utilized in Windows operating systems to enable different computers to access and share resources such as printers, files, and folders.

In the era of Industry 4.0, the benefits of technology for SMBs are numerous and truly essential. Many businesses have successfully implemented and experienced remarkable growth through the transformation process. Some benefits that the transformation process has brought to SMBs include:

  • Connectivity, Shorten Distances:

In medium and small enterprise communication systems, departments often operate separately and independently. Therefore, when dealing with asynchronous tasks, it significantly impacts the company’s operations.

The technology applied in the conversion process will help departments within a business operate synchronously, fostering multidirectional connectivity.

  • Enhance Business Management Efficiency:

Boosting business management is one of the crucial roles of digital transformation, enhancing the efficiency of enterprise management tasks. It enables business owners to actively monitor the entire system’s activities quickly without relying on hard copies of statistical data. This helps reduce data errors and optimize revenue.

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  • Optimize the productivity of the entire employee system:

What every business needs to do is optimize the work productivity of employees, and digital transformation is achieving that very effectively.

  • Improve Product Quality:

Thanks to the application of modern technology in the production line, businesses continue to innovate and produce high-quality products.

Additionally, managers find it easier to monitor and evaluate the quality of employees’ work, as well as the quality of products based on actual results.

  • Enhance Competitiveness:

It’s not hard to notice that currently, successful business applications in the digital platform consistently achieve higher efficiency than those not utilizing digital platforms in development and operation.

From these impacts, we can see the importance of digital transformation in businesses, which has created many useful services for the public, efficiently leveraging the society’s spare resources and helping startups generate profits within the information system.