What is the difference between digitization and digital transformation?
Tuesday, 21 March 2023What is the difference between digitization and digital transformation?
Digitization and digital transformation are two terms that are used a lot today, but it can be difficult to understand the difference between them. Digitization refers to the conversion of information from analogue form to digital form, that is, the conversion of information into numbers. Whereas, digital transformation refers to the use of digital technology to change the way we work and live.
It can be said that digitization is the first step in digital transformation, and it includes the use of computers and electronic devices to store and analyze data digitally. However, digital transformation is a step beyond digitization, as it involves shifting to new ways of working that rely on data and digital communication technologies, which can lead to significant improvement in efficiency and productivity.
Digital transformation involves many fundamental factors affecting businesses, governments and individuals, including:
1- Transitioning to remote work: where workers can work from anywhere in the world using electronic devices and modern communication technologies.
2- Improving production and manufacturing processes: Digital technology can improve the quality of products and services, and improve manufacturing and production processes.
3- Improving user experience: Digital technology can improve user experience and provide better customer services.
4- Innovation and development: where digital technology can allow the development of new and innovative products and services and accelerate and facilitate creative processes.
5- Preserving cyber security: digital transformation requires providing high security protection for data and information circulated via the Internet.
It can be said that digital transformation is a process of continuity and development of digitization, and requires a change in culture, thinking and administrative processes to achieve the full benefits of this transformation.
In addition to what was mentioned previously, some other points that explain the difference between digitization and digital transformation can be mentioned, including:
1- Digitization focuses on converting documents and information from analog form to digital form, while digital transformation focuses on converting administrative, production, marketing and service operations into digital form.
2- Digitization is related to digital technologies used to convert information into digital form, while digital transformation is related to cultural, organizational, administrative, economic and social changes that occur due to the adoption of digital technology.
3- Digitization can be a limited and temporary process of converting information into digital form, while digital transformation represents a comprehensive change in processes, methods, culture and performance.
4- Digitization can facilitate management, organization, preservation, analysis and retrieval of information, while digital transformation can allow the development of new and innovative services, products and production processes and improve efficiency and productivity.
5- Digitization can be part of a digital transformation strategy, but digital transformation requires looking at operations comprehensively and developing a strategy that includes all aspects of the business.
in the end
We must understand that digitization is an essential part of digital transformation, and that digital transformation requires adopting digital culture, creative thinking, improving administrative and productivity processes, and developing services and products. By achieving this transformation, societies, businesses and governments can harness the benefits of digital technology to achieve development, growth and improve lives.
