Many organizations are actively going through digital transformation, irrespective of the actual industry, irrespective of the organizational structure. Digital transformation presents a wide variety of lucrative incentives such as better sales models and higher customer satisfaction.
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There are certain differences between the transformation of a sector from another. Every organization is different – the organizational structure, processes, and culture vary even between organizations belonging to the same industry. The pace at which the organizations transform would, thus, vary as well. We are going to look at these top 5 industries that have been the talk of the town for the last few years. The following are the industries that have ruled the world of digital transformation.
Healthcare is one of those sectors that started late but eventually joined the digital transformation journey. A survey run by Mackinsey reveals that the pharma and the healthcare sector overall are much behind at this digital transformation game compared to the others. Only a meager 10% of the entire healthcare sector base their decision on the basis of proper understanding. The rest of the industry, on the contrary, is far ahead of this industry with an average of 22%.
The entry of personalized medicine proved to be a turning factor. According to the Deloitte annual outlook, the global healthcare industry has benefitted from the integration of various disruptive technology, and personalized medicine. It’s expected to rise at a rate of 5.4% annually. Medical analytics is a booming sector that aims to extract apparently hidden information from the past and present medical history.
Internet of Things (IoT) is yet another sector that made tremendous use of digital transformation. Digital transformation has brought about a revolution in quality control and logistics of medical goods including sensitive drugs. Integrated temperature sensors, for example, can monitor the temperature of the sensitive drugs at the time of transportation.
The finance sector, or the BFSI sector specifically, has taken a keen interest in the digital transformation. The banking and non-banking institutions, fintech, and insurance companies have used it to minimize human intervention and provide hassle-free and faster service. Keeping in mind the immense potential of this sector, many evaluate it to grow into a $150+ billion industry worldwide by 2025.
Digital transformation has brought a multi-dimensional change in the financial sector. From the smart ATMs to the lifelike chatbots – you can see the signature of digital transformation everywhere.
Moreover, most of the financial corporations nowadays provide instant, paperless transactions to ease out the whole procedure. Banks are well on their way to integrating the latest technological gems like blockchain and biometric features. Introducing and strengthening features like a one-time password (OTP) helps minimize fraudulent transactions.
Automation and digital transformation are changing the way trading used to be conducted. Intelligent systems have proved to be efficient as well as capable of turning in profit consistently in the trading game.
Logistics and transportation is the backbone of many industries. Transforming many aspects of logistics has helped organizations improve their efficiency. Revamping the logistics and the supply chain management goes a long way in boosting the overall performance and minimizing the latency.
Reduction in the fleet downtime and realtime issue resolution are two of the most prominent positives of embracing digital tools. Predicting consumer behavior is another very crucial aspect of the overall success of this sector. IoT-powered and AI-led tools such as machine learning, blockchain, Big Data analysis, cloud computing, etc. are the workhorse behind the success of this sector.
As digitization lends a helping hand to this industry, many forecasts that it is going to grow at a compound rate of 3.48% annually. It is no wonder that this booming sector is expected to become a $12,000+ billion industry globally by the end of 2022.
The technology field as a whole is deeply intertwined with the digital transformation. The previous report from Mackinsey suggests that if digital quotient of the organizations is considered to be a measure of digital maturity, most of the digital leaders would be at least 2-3x more prone to accepting newer technology compared to the public sector or pharma corporations. Improving the user experience has been one of the key aims of these organizations as >20% admits to striving for better communication and experience.
The telecommunication industry is an example of how transformation pays out. The number of smartphone users has skyrocketed as the number of users has become almost 6x since the start of this decade. There are multiple aspects of this ever-evolving industry – digitization of the order management, successful implementation of the business automation, and simplified IT interfaces are some of them.
Google’s mobile-first initiative is also part of this transformation. To take into account the vast majority of their consumers who search the web from mobile devices, Google decided to prefer the content of the mobile websites over the web version for indexing. The final goal is simple – transform the service to make it more customer-centric.
Considering the fact that the hotel business alone is a $600 billion industry worldwide and it had a stable growth rate of 6% till 2018, we understand why it has been an active sector for the last few years. Millions and millions of tourists visit hotels around the year, and this data is being used by the hospitality giants.
The big dogs have been utilizing and leveraging this data to get major insights into consumer behavior. Tools like Big data analysis and machine learning helps get a better understanding of the consumer base and provide highly personalized service. Many hospitality providers are providing high-tech features like biometric-based room access, mobile-based check-in, and automated kiosks which used to be pipe dreams a few years ago. In order to higher the retention rate and improve the customer experience, companies are steadily investing in upgrading their digital infrastructure.
Many other industries are underway the digital journey which has not been mentioned here. Media and entertainment, information technology, automotive, and energy and electricity are some of those still immerging fields.