Digital transformation is about positioning a brand for the future — which is not always easy for bigger businesses to do. Many executives tend to believe what they see, and if their organization has been successful thanks to traditional strategies, executives might not be interested in engaging with seemingly risky changes to organizational structure with newfangled digital technology.
Yet, digital transformation not only works, but it is also becoming ever more essential for businesses to adopt digital tools and techniques as the Digital Age advances. In addition to information available in online digital transformation courses, the following stories about big business wins through digital transformation might convince executives to initiate much-needed digital change:
Chipotle
Restaurants must operate in the physical world, but the recent success of fast-casual icon Chipotle’s digital change program demonstrates how critical digital transformation can be in keeping a dying business afloat. In just 17 months, the deployment of a few critical digital services — like online orders, wider delivery services and a digital app — caused Chipotle’s stock price to rise 152 percent. Customers once dismayed by Chipotle’s long and slow lines are once again eager to order their burritos and bowls with faster, more convenient digital technologies.
IKEA
Once innovative for its flat-pack furniture offerings, IKEA continues to rely on a brick-and-mortar warehouses, potentially putting it behind its competitors who function almost solely online. Instead of copying digital furniture purveyors by investing more heavily in the ecommerce space, IKEA has digitally transformed its products, creating a line of smart home tech that integrates beautifully with the simple and affordable Scandi style that makes the company so beloved.
Trelleborg
Though not a well-known consumer brand, Trelleborg is a world-leader in the production of precision polymer seals used in industry. In recent years, Trelleborg has become one of the best examples of how a digital transformation that relies on automation and robots in manufacturing will not eliminate human jobs. When Trelleborg transitioned to using robots in the manufacturing process to improve product quality, the company did not cut its workforce; in fact, the improved agility and productivity allowed the company to grow, hiring on additional staff.
Microsoft
Microsoft has been a tech giant since essentially the beginning of the Digital Age, but the enormous size of Microsoft has caused the company to slip behind its competitors and away from the bleeding edge of tech development. In an attempt to regain their leading position in the industry, Microsoft implemented a shift to cloud computing in 2014, offering all its products in as-a-service formats that have radically increased revenues. Microsoft’s successful pivot demonstrates that digital transformation is not necessarily about a lack of digital technology, but rather about positioning business strategies toward the future.
Coca-Cola
An early adopter of automated document scanning and processing, Coca-Cola found that its existing systems were unreliable and riddled with errors that made business decision-making more difficult. Instead of ditching the digital strategy altogether, Coca-Cola partnered with a different digital transformation team, who utilized better technologies and services to reduce error rate to near-zero. Technical details can make or break company success, and Coca-Cola’s digital transformation story demonstrates the importance of selecting an effective vendor with appropriate expertise.
Budweiser
Budweiser offers one of the most reliable flavors in beer, but even as the company commits to maintaining its product for its loyal fans, Budweiser is experimenting with artificial intelligence to find ways to improve various business processes, especially its processes involved in brewing the company’s world-famous, American-style lager. In a Silicon Valley–based innovation center called the Beer Garage, Budweiser uses AI to predict the outcomes of changes to the brewing strategy — but human taste testers are still involved in the research and development.
Under Armor
Thanks to high-profile relationships with athletic teams around the world, Under Armor is a successful clothing brand — but the company wanted to be more. Thus, Under Armor launched a connected fitness platform that tracks and analyzes user health data to help consumers reach their health goals. In return, Under Armor gains access to more information about emerging trends amongst their target audience, allowing them to rapidly deploy localized marketing and best their competitors.
Digital transformation can be a full-scale revolution in how a business operates. Digital transformation can also be a small tweak to products or processes. These stories of successful digital transformation from the world’s most well-known companies demonstrate how important it is to implement digital changes with the right technologies at the right times.
