Digital transformation and its impact on businesses

 How digital transformation and business success go hand-in-hand

It has become increasingly important for modern businesses to embrace digital technology. Over 5000 employees and managers were surveyed about this topic recently. The majority of respondents credited digital technologies for the survival of their companies during COVID-19. Let’s take a closer look at the pros and cons of digitalization for businesses:

Advantage one – It enhances productivity 

Cloud-based HR management software allows businesses to monitor employee attendance. Both sick days and work hours can be tracked using this technology. This means that bonuses and salaries can be calculated faster. Likewise, purchase order software like PurchaseControl helps to streamline the P2P (procure-to-pay) process. This makes it easier for businesses to manage their spending and devise cost reduction strategies. Efficient spending is vital to facilitate the growth of small businesses.

Advantage two – It reduces operating costs

It’s hard to keep up-to-date with invoices and taxes while running a business. For this reason, businesses of all sizes hire accountants. This is a fixed expense that they have to pay. Accounting software like QuickBooks reduces the money that businesses have to spend on financial tasks. Aimed at business owners with little accountancy experience, this software is user-friendly. It is completely secure and cuts down on the amount of paperwork considerably.

Disadvantages

Although digital technology eliminates human error, glitches still arise with it occasionally. Therefore, by depending on something that can malfunction, businesses risk losing control of their assets. Also, digital solutions can be targeted by online criminals, such as hackers. This can cause a number of unforeseen problems, if not properly managed.

Conclusion

The digital world is here to stay, so businesses need the right tools to prosper. Time should be allocated to introduce new technologies and resolve any technical problems that arise. Businesses that train their staff properly to work with new applications will succeed. They should also invest enough money initially to ensure a seamless transition.

Stop trying to keep up. Start getting ahead!

Stop trying to keep up. Start getting ahead!

In my blog, I explain difficult topics around M&A and current news in the economy, in an easily understandable way. If you want to be kept up to date, then sign up here and never miss my latest articles again!

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