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Business process and digitalization have become important concepts for businesses expecting to innovate and improve productivity. However , there is often frustration regarding what digitization and digitalization truly mean coming from a business perspective. Digitization is the function of converting analog or physical data in digital types. For example , scanning services a traditional document and uploading that to a cloud-based document management method is considered digitization.

Business digitalization, on the other hand, is a more in-depth change for better of a business structure that involves using digital technologies to automate processes and create new products and products and services. For example , a firm may use digitization to handle the finalizing of invoices and repayments so that they can track and obtain payment in a more efficient way.

One of the most important elements that digitalization provides certainly is the ability to generate a more resilient business model in today’s unstable and volatile organization environment. This really is evidenced by the fact that businesses that embraced digitalization throughout the pandemic could bounce back faster than those that didn’t.

Another important benefit of digitalization is the ability to make better decisions with the help of data and stats. For example , by analyzing numerous data resources, a company can find out which areas for the business are doing well and identify any kind of issues that should be addressed. In addition , by embroidery certain functions, companies may significantly keep costs down and turnaround intervals. For example , a bank digitized its application for a mortgage loan and decision process to slice costs simply by 70 percent and minimize the time to early approval right from several times to just a moment.

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