Any firm should prioritize digital transformation because there are so many advantages and opportunities that come with technology improvements. Consequently, it is not unexpected in the slightest that businesses actively look for digital transformation solutions that could enhance internal processes and offer them a competitive edge. We'll talk about the key digital transformation trends in this article that you should be aware of by 2024.
Challenges of Enterprise Digital Transformation
Let's look at the difficulties that companies encounter as they move toward digitization before we recruit and talk about the newest trends in digital transformation. This can help you understand why certain trends emerged and what to anticipate. What challenges then do corporations need to face?
Legacy technology: Sometimes, outdated technologies obstruct the development of society. Updating your systems and digitization your processes may prove challenging if you don't update your tech stack or focus on solutions like outdated runtime environments or coding languages. Setting up a new system, platform, or software from scratch is frequently the only option in these circumstances, and doing so is costly and time-consuming.
Fear of change and lack of digital literacy – Employee resistance to digital transformation is one of the main obstacles. They may not be amenable to changes since they are accustomed to the tech stack you are currently utilizing, even if it is good enough. In addition, even if they approach new technology with optimism, they might not have the necessary abilities to fully utilize new platforms or systems.
Lack of strategy: A digital transformation requires thorough planning in order to be completely successful. Take an IT transformation for example. While you may have an excess of technology addressing specific issues, adding more technology to the stack won't help you better your systems because you want to cover all the critical areas.
Costs: Many firms are discouraged from taking action on relevant developments by the perceived high costs associated with digital transformation. It is true that adopting new technology can occasionally be expensive. But keep in mind that there could be long-term expenses associated with using outdated techniques in this situation; tech debt in coding is an excellent example.
The Digital Transformation Trends in 2024
1. Intelligent Automation
One of the most important digital transformation trends for 2024 is advanced process automation, as the advantages of intelligent automation become increasingly apparent. Companies are more likely to invest in the Internet of Things (IoT), artificial intelligence (AI), and robotic process automation (RPA) equipment that form the foundation of these two technologies.
IoT robots are gradually moving from being things of the future to becoming things of the present, using AI to gather data for their decision-making. This is a significant issue, according to McKinsey. The Industrial Internet of Things (IIoT) is expected to have over 50 billion devices on a quarterly basis. Grand View Research projects that the IIoT industry will grow at an astounding 18.6% CAGR between years 2023 and 2030.
In addition to technology, software is another area where this trend is apparent among tasks that are already completed digitally. Nowadays, intelligent automation is used to save staff time spent on low-value tasks, get rid of human mistake, and enhance the customer experience. It is possible that this pattern will continue in 2024 and 2025.
2. Blockchain
Blockchain technology increases traceability, transparency, and trust. As a result, adopting this technology has grown in popularity as a digital transformation tactic, particularly in sectors where data security is crucial.
The development of blockchain applications and the integration of blockchain technology with other technologies are the two key business strategies that demonstrate this trend. It's sufficient to note that, despite the fact that there were only 2.7 billion dollars invested in blockchain in 2019, current projections indicate that this amount will increase to 19 billion dollars in 2024 (tech.co), proving that this is a trend you should watch closely.
3. Utilizing Generative AI
Even while artificial intelligence has already shown to be beneficial in a number of commercial domains, its full potential has not yet been fully realized. As a result, companies going through a digital transition are increasingly trying to come up with creative, novel methods to use generative AI to their advantage.
This is particularly relevant now that generative AI is widely available. Apps like ChatGPT, Dall-E2, Scribe, and Bard are revolutionizing how businesses handle customer service, sales, and marketing. This trend will likely be even more apparent in 2024 when new products start to appear and the market is completely transformed.
4. Technology of 5G
The main focus of 5G technology is speed, although not speed in the same sense. How are things going?
Although 5G offers a container rather than an entire containership of potential, the speed alone may be advantageous. Businesses may now create real-time autonomous technology thanks to its low latency; self-driving automobiles are the main example. But this isn't just limited to cars; 5G makes it possible for autonomous industrial robots, IoT devices that function almost instantly, smart offices, and cities.
5. Security of Data
Finally, data security is a major concern that comes along with all these advancements.
A increasing tech stack is a result of digital transformation for many firms. Frequently to the point where they are unable to cope. Therefore, organizations look for strategies to preserve their expanding datasets in addition to investigating new solutions.
Organizations engage in a variety of solutions as a direct result of this trend toward digital transformation, ranging from hiring larger cybersecurity teams to funding AI-based initiatives. In an effort to simplify data protection or minimize the quantity of sensitive data they gather, several of them also combine data onto a single platform. However, there is still a significant chance of leaks, therefore the trend of investing in cybersecurity is here to stay.
Conclusion
There are many obstacles in the way of digital transformation, but if you can overcome them, your company can reach entirely new heights of competitiveness. Investing in 5G, blockchain, and intelligent automation, as well as developing fresh applications for AI and safeguarding data from potential breaches, are the prevailing themes in this process. Which trends may we expect in the future? The solution to that question will come with time.
