Tammy : Hi, Ray! Nice to be with you again today.
Ray : Hi Tammy, yes yes, always looking forward to our discussion, as we shared a lot of interesting good topics every week.
Tammy : I agree, and today we’re going to talk about digital transformation.
Ray : Cool, this is a great discussion, focusing on Digital platforms. Because our previous podcast is just by giving ideas, and today, we can focus on this topic and share it to our listeners.
Tammy : That’s right!
Ray : And knowing that this pandemic has caused us, meaning the whole word, so many negative things, the simplest example here is the lockdown, where people can not go out. So a lot of things have really changed.
Tammy : Yes, Yes! I agree with you. From real estate to restaurants. And you know what, there are a lot of restaurants here in the Philippines that were built decades ago that were forced to shut down operation, and so many people got laid off. The sad truth on what is really happening to the world right now.
Ray : Correct, but with digital transformation, this is an eye opener, and gives new hope to everyone.
What is Digital Transformation
Tammy : A new hope it is! So let’s tackle first, what is a digital transformation? And why is it important to know more about this?
Ray : Well, it can be hard to pinpoint a definition that applies to all. However, in general terms, we define digital transformation as the integration of digital technology into all areas of a business resulting in fundamental changes to how businesses operate and how they deliver value to customers.
Tammy : Actually, when we say digital, it means a lot of things to everyone, it could be going paperless; another might think of data analytics and artificial intelligence; and yet another might think of open-plan offices.
Ray : And digital transformation has taken on heightened importance in the wake of the coronavirus pandemic.
Tammy : yes! Also, digital transformation is generally viewed as an aggregation of modern tools and processes leveraged to solve business problems and satisfy customers.
Ray : To add to what you are saying, Digital transformation marks a radical rethinking of how an organization uses technology, people and processes to fundamentally change business performance,
Tammy : It might take a lot of hardwork and lessons to transform your business digitally, especially to those who have their traditional business model and weren’t able to find time to learn new technology tools.
Ray : But truth be told, as years go by, technologies are becoming so powerful that everyone should learn new technology techniques in order to survive.
Tammy : Yes, A business may take on digital transformation for several reasons. But by far, the most likely reason is that they have to: It’s a survival issue for many. Especially thinking about the situation right now.
Ray : Well, some countries are gone back to business. But yes, there are still travel restrictions, when we all know that a big percentage of tourism brings money to the countries.
Tammy : Yes, they say, tourists equals money. The more tourists the country has, the more income they receive. So since a lot of countries, like us, the Philippines are close to tourists. Then, Philippine is still in danger.
Ray : So what are the business owners or entrepreneurs should do while waiting for everything to go back? It’s transforming your business digitally. Right?
Tammy : That’s right, Ray. Like in our previous podcast, you can sell in Facebook markletplace, or use Instagram for business, or try selling in Lazada!
Ray : That would be a good idea! Let’s help them understand more about digital transformations. What are the advantages and disadvantages?
Advantages and Disadvantages
Tammy : I see more advantages rather than disadvantages here.
Ray : Me too!
Tammy : Okay, let me give an example first, here in the Philippines, real estate brokers or companies have transformed their business digitally.
Ray : Really! How?
Tammy : Like they have videos and websites where they video the house, and it will like a house tour through video. They explained everything, while going into each part of the house.
Ray : Wow, so you might also need to invest in a videographer or photographer.
Tammy : Yes, Ray! As well as editors. It’s like if you are writing or keeping your accounts on a ledger, and do all handwritten documents and want to share it with everyone, you do the xerox and faxes. It is better to convert and keep them in a cloud app, or move it to your computer files so you can easily share it with everyone.
Ray : So like we said, it’s not easy to do these things, especially if you are new to this kind of thing, but for sure it will make your work simple and easier.
Tammy : Yes! Digital transformation is the process of using digital technologies to create new business processes, and customer experiences to meet changing business and market requirements.
Ray : Well, For small businesses just getting started, there’s no need to set up your business processes and transform them later. Thinking, planning, and building digitally sets you up to be agile, flexible, and ready to grow.
Tammy : Okay, if a company doesn’t want to be left behind. Well this does not apply for all, of course. companies must look to foster a digital culture that encourages continuous learning. you need to clarify a vision, set goals to reach it, and give your whole team a purpose. Without strategy and purpose behind your digital transformation, you may have been able to keep your head above water but don’t count on it much longer.
Ray : This is essential for any business looking to grow and stay ahead of the competition in today’s market because let’s face it, your customers have higher expectations and demand a more seamless digital experience than ever before.
Tammy : So the advantages will be, it Increases transparency, easier collaboration, eliminates tasks that are unnecessary, improved customer satisfaction via improved customer service.
Ray : And I would also like to add that another advantage will be improved and efficient decision through making-real time collection, it can also increase in flexibility and scalability, enhance reliability and reduce risk.
Tammy : And now that we have lay down all the advantages from digital transformation that we think. What about the disadvantages? Are there any?
Ray : Well, of course, if there are advantages, there will be disadvantages. And I think this is a problem with all who have an eCommerce business. Examples are the data security, crimes, work overload, Digital Media manipulation, Anonymity and fake personas, plagiarism and copyrights,
Tammy : I agree with all you mentioned above, this can happen to everyone, add security to your ecommerce website is much better.
Ray : Okay, so let’s have a recap, With a mindset of continuous improvement, all of the advantages and disadvantages of a digital transformation are within reach. Just be sure to tackle the challenges as they come and do your best to prepare in advance.
Tammy : it’s important to keep your specific business and objectives in mind. What do you want to achieve through digital technology that you can’t do today? What problem areas are you looking to fix? What value do you want to provide your customers that your current processes and technology aren’t allowing? Adopting and adapting to digital is more than an afterthought in business today. To stay competitive and relevant, it’s crucial for companies to begin and progress their transition to digital technology.
Ray : That’s right Tammy, what a great discussion we have today, digital will surely transform every people’s life. Let’s adapt to the new normal. Anyway, thank you for today and I look forward to our next topic, Bye!
Tammy : Thanks Ray, bye!