Digitalization indicates using digital technologies to further improve a company’s business processes, products and services. While there are many positive aspects to digitization, it also poses digitalization of a business a number of difficulties.
Advantages of digitization
Digitization may improve a company’s internal functions by eliminating manual tasks and reducing costs through automation. In addition , it can help a company gain new customers or develop its existing customer base.
Disadvantages of digitization
A key disadvantage of digitization is the fact that digital information may be easily transformed and removed. This can lead to errors and misunderstandings.
In addition , a company may become overly reliant on technology. This can result in a diminished human skills and decelerate production.
The emergence on the digital economy has led to an elementary shift in the way businesses produce and market their products and products and services. In contrast to traditional industries, which will rely on expense and labor resources for many and companies, a digital economy operates with performance.
Hence, it is vital to have a distinct vision by what the digitalization of a company will require and put into action it intentionally.
The significance of digitalization on a firm’s value creation, proposition and capture were investigated in two different industries, the media and automotive industry, using qualitative empirical info collected by 12 vital informants. A conceptual environment depending on dynamic functions was used to frame the scientific study (see Figure 1).
