The widespread availability of digital technology has been generally seen as a positive, but surprisingly is creating a production gap. The production gap is attributed to a phenomenon known as the digital divide. Companies with more resources are using their financial position to get significantly ahead of smaller companies using digital resources. However, a strong digital strategy can put a company in position to succeed no matter how big or small.
Companies with an effective digital strategy are able to innovate and transform operations and strategy to reach the pinnacle of their respective industries. Some industries are more willing and able to adopt new technologies sooner than others. Industries and companies that adopt the latest digital technologies benefit, while the others fall further behind into the digital divide.
Today, companies are using an abundance of digital strategies to their advantage. A digital workforce includes direct engagement with suppliers and customers through online platforms, resulting in greater efficiency and higher profit margins. Because digital adoption allows products and services to be delivered quickly and at a lower cost, companies adopting digital have the ability to sell more products and services, ultimately increasing their profit margin. Companies that are able to invest in their digital workforce can allocate resources to technology that are much better equipped to handling high volume as opposed to a traditional human workforce that would command a higher salary with lower output.
This influx of digital technology has also changed the landscape for marketing and development strategy. As digital innovation becomes more and more enterprise-focused, Big Data is giving businesses the information they need to target the right demographics, leading to lower customer acquisition costs. Digital information is also transforming development, allowing teams an unprecedented number ways to collaborate and innovate.
In today’s technology-driven era, companies that can adopt a strong digital strategy stand to grow substantially. Technology allows for greater efficiency, higher profit margins, and increased communication with suppliers and customers. Despite the many benefits, companies that do not adopt a digital strategy are going to struggle to keep up and fall even further behind. A strong digital strategy is one of the most resourceful ways to get ahead. Companies that adopt digital strategies and use them effectively across platforms and channels are setting themselves up for success–and a winning digital strategy, for any company, large or small–is one that will prevent the digital divide from growing wider.