HOW WILL YOUR BUSINESS BE AFFECTED BY THE DIGITAL ECONOMY?
Is your organization ready?
The digital economy has fundamentally transformed the way businesses operate and compete. A key change brought about by this shift is the need for digital literacy. Businesses must now be well-versed in technologies such as cloud computing, data analytics, and social media to stay relevant. Companies that fail to adapt risk falling behind their more digitally-savvy competitors.
The digital economy has also revolutionized the concept of the marketplace. E-commerce platforms enable businesses to reach customers globally, eliminating the geographical limitations of traditional brick-and-mortar stores. However, this broader reach also brings with it increased competition, as businesses are no longer only competing with local or regional entities, but potentially with companies from all around the globe.
In the digital economy, data is a crucial asset. Businesses that can effectively harness their data to gain insights about their customers, operations, and market trends can make informed decisions that drive growth and profitability. However, with the increased importance of data comes the necessity to protect it, leading to the need for robust cybersecurity measures.
The digital economy has also led to the rise of new business models. For instance, the sharing economy, powered by digital platforms, has disrupted traditional industries such as hospitality (Airbnb) and transportation (Uber). Companies must be flexible and innovative to adapt to these new business models.
Ultimately, the digital economy presents both opportunities and challenges to businesses. It requires them to be digitally literate, data-savvy, globally competitive, innovative, and secure. Businesses that can adapt to these demands stand to thrive in the digital age.
These are the key questions to ask your organization when designing your data strategy for the digital economy
Data as Balance Sheet Asset
- Is Data Quality a top-level corporate focus?
- Have we prioritized and valued our data assets?
- Do we trust the reliability of our data?
- Do we have a common understanding of our critical data?
- Do we have a method to manage the data lifecycle?
- Are we developing our skills with advanced analytics?
Data Monetized - New Revenue Streams
- Are we investing in advanced analytics, i.e. the science of data?
- Are we building the organizational capability to learn and innovate?
- Are we leveraging our data assets to generate revenue?