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Digital Transformation

Definition - What does Digital Transformation mean?

Digital transformation is the changes associated with digital technology application and integration into all aspects of human life and society.

It is the move from the physical to digital.

Techopedia explains Digital Transformation

Digital transformation is a term most often associated in the business world where companies are striving to keep up with changing business environments brought about by customer demand and technology.

Digital tools and technology are changing how people interact, and in turn this changes how people do business.

For example, you cannot sell a car or a house over the phone; there are simply too many factors to consider that require visual evidence. But this type of transaction can be done in a digital manner through online interaction or online merchant tools.

The seller can post pictures for every aspect of the item on a website or even have a real-time video conference with the buyer in which the buyer is given a visual tour of the item.

In a more business-related aspect, digital transformation refers to how a company has or is transforming its core business processes using digital technology in order to gain competitive advantage and gain differentiation in its market segment.

It refers to the streamlining of business process through digital computer applications and hardware to achieve collaboration and interaction between its partners as well as provide greater customer value.

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