Digitalisation in Business – According to a recent report released by OCED (Organisation for Economic Co-operation and Development), India is one of the leading economies contributing to the export of products and services that uses information and communication technology.
The report mentions that about 10% of increment in digital payments can impact the country’s GDP by 0.2%.
Further, a recent report published by Live Mint predicts that businesses are highly influenced by digitalisation, and about 28% of consumer goods sales will be made digitally by 2023.
Combining the above figures, the positive impact of digitalisation in the business world is evident.
Implementation of digitalisation in business
With the business world incorporating innovative ideas and digital technologies, business transactions and operations have been altered worldwide.
Digitalisation has affected enterprises in more ways than one and marked its presence through implementation across various sectors.
Now, digital business owners can find success in their endeavour by ensuring an effective and productive network.
- Digital payment – Introduction of digital payment methods like credit cards, debit cards, internet banking, UPI, mobile banking, etc. has helped gain greater efficiency in terms of payment.
- Implementation of technology in business – Implementing technology in businesses is now an integral and unavoidable part. Individuals can make use of various business management software, resource management software, client communication platforms, supply management software, etc. to make their operational process more efficient.
- Introduction of app-based businesses – Digitalisation has created avenues for app-based businesses as well. Customers now can order products or opt for services from anywhere just by browsing through an app.
However, businesses require substantial funds to integrate their business operations with such tech along with the necessary equipment. In this regard, they must know how to calculate working capital so that they can estimate if the funds available are enough to fund the technology or whether they have a deficit.
It is always advised against using funds available as the working capital for such entrepreneurial ventures. Digitizing the organisational structure of a business should be considered as an investment towards the inevitable future of business transactions.
Enterprises can consider availing a business loan in this case and arrange for the required finances. The funds so availed can be used for various business setup and expansion purposes.
Further, Non-banking financial companies like Bajaj Finserv make the loan application procedure simple for customers by providing them pre-approved offers which make the process simple and less time-consuming.
Benefits of digitalisation
- Instant communication & all-time connectivity
With digitalisation in the picture, client-customer interaction has become and quicker. Businesses now don’t have to spend long hours waiting to communicate with the client or customer. They can connect globally and interact whenever needed, and this helps improve the work efficiency.
- Transparency in process
Customers rely mostly on businesses that have an online reputation and which ensures transparent processes.
Hence, businesses investing their gross working capital in building trust and ensuring transparency to customers are more likely to sustain and increase margins in the long run.
In this context, digitalisation has presented several online platforms that help businesses reach their target audience and helps build trust.
- Proficient supply chain management
The digitalisation of supply chain management incorporates advanced robotics technology, big data analytics, logistic platforms, etc. to develop an advanced business model that helps enterprises become proficient and productive. The process and benefits of supply chain management are hence enhanced with digitalisation.
- Cloud storage and data handling
With the use of cloud-based applications in business, entrepreneurs have been able to accomplish improved productivity and cost-effective & time-saving processes.
With the presence of a central repository unit, businesses are better equipped at securely storing without undermining accessibility and usage.
Further, with enabled real-time data and analytics, businesses don’t have to spend time in the collection and standardisation of data. The advanced analytics aren’t just highly efficient but are cost-effective and time-saving for the organisation as well.
With digitalisation impacting the business market positively, entrepreneurs can reduce the overall costing of processes without undermining efficiency.
Meanwhile, they should know how to calculate working capital so that they can estimate if their business has enough funds for business operations like implementing digital technologies, incorporation of online payment methods, etc. Such advancement in technology has altered the business world widely while serving efficient customer interaction and experience.
