November 12

Why Is Digital Transformation Necessary?

Even before the COVID-19 pandemic turned the business world on its head, you were likely already hearing every day that you had to “adapt or die” or that transformation is “key to survival.” Many business owners have already begun to utilize technology in numerous ways, but it’s essential to consider why digital transformation is more necessary than ever.

Digital Transformation Defined

Simply put, digital transformation is how businesses embed technologies across their organization to drive fundamental change. Digital transformation leads to increased efficiency, higher employee productivity, greater business agility, and a better experience for employees and customers.

There are many paths to digital transformation, and each organization’s journey will be different. A manufacturing company might redesign its supply chain or improve its use of machine learning. Another company might introduce cloud computing to enhance customer experience. In each case, a digital transformation journey begins with a change in mindset. It’s an opportunity to reimagine a company’s operations, often from the ground up.

3 Reasons Digital Transformation Is Necessary

Change is Inevitable

Change is inevitable, and the businesses that adapt are more likely to survive and thrive. Technology considered cutting edge just a few short years ago is now obsolete. Landlines, film cameras, and DVD players are just a few that come to mind. Businesses that rely on spreadsheets for supply chain management can’t compete with ones using predictive inventory analytics and real-time logistics performance metrics.

Customers Demand It

Even before COVID-19, customer expectations were changing drastically and rapidly. Love it or hate it, Amazon dramatically changed the way people shop. With next-day delivery now a standard expectation, every business owner has had to adapt to compete. The perceived value of your product or brand diminishes when you fail to keep up with your competitors. This is true for all businesses in all industries, whether B2C or B2B.

64% of consumers and 73% of business buyers report that their standards for a good customer experience are higher than ever, according to Salesforce. Customers expect a lot from companies, and their standards are elevated as they interact with various sectors. Businesses must look beyond their industry to understand how customers will likely evaluate their products and services.

Customers increasingly base their reactions to a company on their digital experiences. Today’s consumers are more connected and empowered than ever, meaning they want control of their experience. Moving sales to eCommerce platforms and increasing app features for the order and delivery of goods is essential to attract and retain customers.

We’re Not Going Back

Some changes are here to stay. Many people will continue to work remotely. Even initially reluctant companies now see the cost savings and productivity increases that occur with the right systems and processes in place. And, of course, employees will demand it. Consumers recently forced into eCommerce now understand its convenience and benefits, further accelerating the growth of online shopping and on-demand delivery.

Data analytics are even more critical in understanding your changing customers and planning for the future. Data-enabled services will proliferate into almost all aspects of our lives, and the cloud will continue to be indispensable. These changes were already underway and would have become part of our daily life. The pandemic has accelerated the growth of digital processes, making them part of our everyday reality now rather than in 10 or 15 years.

This is just the tip of the iceberg. Industry-specific changes are occurring as well. These include automation in manufacturing, real-time supply chain awareness, and AI-focused digitization of the insurance and mortgage sectors. The new normal is digital, and businesses must be digital as well.


Technology has changed the way all organizations operate and communicate. In today’s competitive business world, digital transformation is no longer optional. Any company that intends to stay relevant and successful must embrace the process. Undertaking significant change is often stressful, especially when so much rides on its success. Setting your business up for success in the rapidly evolving digital age takes planning and expertise. Hiring an experienced digital transformation consultant to guide you through the process is recommended.

Begin Your Transformation With E3 Consulting

Working with an experienced consultant who can help you select the right tools and create a plan that meets your company’s unique needs and goals is essential. With over 35 years of experience, E3 Consulting can help your business implement digital transformation initiatives and create sustainable growth. We’ve helped Microsoft, Sony, Wastequip, Paramount Cosmetics, and more than 150 manufacturing companies achieve growth while reducing costs. We deliver solutions that increase efficiency and revenue by implementing better processes and technology. Book online or call (732) 334-3995 to schedule a consultation.


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