By ValueBlue
A few weeks ago, we hosted a webinar with Jason Bloomberg, President of Intellyx, and George Pang, Senior Solutions Consultant, at ValueBlue. They sat down and discussed what digital transformation looks like, the challenges transformation leaders face, and why transformation is essential to modern organizations.
Digitalization vs. Digitization: What’s the Difference?
Essentially, digitization is taking analog information and converting it into a digital format. The example Bloomberg gave was taking an old VCR and transcribing it to a DVD. Another example would be taking your paper-based document and turning it into PDFs.
Digitalization, however, has a less clear-cut definition. At its core, digitalization is about transforming processes within a business. Digitization can be a piece of digitalization but takes transforming the data a step further to transform the organization. Here, Bloomberg explains that if a factory worker uses hands-on equipment like a lathe, and switches to a tool with a digital control panel, the entire process is transformed. In the end, you’re still making the same product, but the process to do so has been digitalized.
What is Digital Transformation?
Yet, how does digitalization relate to the bigger picture of digital transformation?
Much like digitalization, the definition of digital transformation can differ from organization to organization. However, the target remains to transform the business to be more customer-centric. And yes, while technology is what enables this shift, the transformation is ultimately about the people, not the technology. However, technology is what empowers to break down siloes across an organization so all teams can align around a customer’s needs.