What is business digital transformation?
(Baonghean.vn) - Digital transformation brings about major changes, disrupting entire industries, while at the same time, creating disruptive innovation that helps some businesses grow and develop at record levels. Many large, long-standing corporations struggle while new, small, and more flexible businesses apply new business models.
What is destructive creativity?
The spiral of innovation continues to create new discoveries and crush old ones in its path. The advent of the automobile industry led to the demise of the world once dominated by horse-drawn carriages. The advent of the personal computer was the death knell for the bulky, giant, and clunky computers. The emergence of the digital camera brought the film camera, which had reigned supreme for much of the 20th century, into the annals of human history. The invention of new music technology, centered on the phone and the iPod, sent the giant Sony Walkman and CD technology into oblivion. These are destructive innovations.
Is ERP implementation digital transformation?
ERP is the computerization of business operations with the aim of making business operations smooth and rhythmic.
Digital transformation focuses on overall innovation, enhancing adaptability, focusing more on collecting, processing, integrating data, useful knowledge for all levels of decision-making, based on data. Digital transformation can be imagined as a central nervous system, helping businesses become intelligent, creative, adapt quickly and effectively to changes.
It can be said that digital transformation is a higher level of development. Large enterprises, especially in developed countries, have long deployed ERP, now digital transformation will focus more on data integration and business analysis. Most Vietnamese enterprises do not have ERP, so the digital transformation process includes process automation using ERP.
It should be noted that digital transformation involves changing business models and processes, so ERP application should not be carried out mechanically. Many ERP solutions that were very complete and expensive in the past may not be suitable in the digital future. With the advantage of being a latecomer, Vietnamese enterprises can move straight to smarter ERP solutions that are better integrated with the digital transformation process or are born to serve the digital transformation process.
How do small and medium enterprises transform digitally? Digital transformation of small and medium enterprises
Digital transformation brings new business opportunities. Every citizen can become a business, selling products and services on digital platforms and e-commerce platforms.
From August 2020 to June 30, 2021, the Ministry of Information and Communications has piloted digital transformation in Yen Hoa commune, Yen Mo district, Ninh Binh province. One of the important focuses is to develop the rural digital economy, supporting farmers to bring the local specialty of braised loach with cartilage to e-commerce platforms. Business efficiency has been significantly improved.
Before digital transformation, products were monotonous without packaging, boxes, and products were not eye-catching in form. Since implementing digital transformation, in 10 months (from September 2020 to June 30, 2021), the number of products sold was 4,204, an increase of 4.5 times; it is estimated that the income for workers of the Cooperative increased from 1.5 million VND/person/month to 4.5 million VND/person/month, 3 times higher than before. Products are designed with eye-catching packaging, not only meeting the needs of use, but also becoming gifts, bringing new experiences to people across the country. Similarly, small and medium enterprises can take advantage of digital platforms to carry out digital transformation, changing their business models in a more effective direction.