Digitalisation can mean enormous potential for entrepreneurs, but it also requires a great deal of adaptation and learning. As the world becomes more and more digital, business owners need to implement strategies that embrace digital technology to stay competitive.
According to research, 93% of businesses have already adopted or have plans to adopt a digital-first business strategy. More than ever, entrepreneurs see the need to strengthen their business acumen in light of the digital transformation. While some may decide to get further education, pursuing a Graduate Certificate in Business Administration online, for example, others opt for hands-on experience or mentorship.
In this article, we will share some important aspects that entrepreneurs need to consider to succeed in a dynamic and ever-changing digital era.
Benefits of Embracing Digitalisation in Your Business
Studies show that digitally mature companies are 23% more profitable than their less mature peers, and 56% of CEOs stated that digital improvements have led to increased revenue.
Entrepreneurs can see the benefits of working towards a digital transformation across multiple aspects of a business. Increased profit is only a result of the improvements that digitalisation can bring:
- Increased customer satisfaction
- Improved productivity and efficiency
- Data-based insights and decision-making
- Higher-quality user experience
- Cost reduction
- Increased innovation and collaboration
- Competitive edge and continued relevancy
How Can Entrepreneurs Succeed in a Digital Era?
Finding your way in the complex maze of digital technology as a business owner and entrepreneur is certainly not easy. In fact, studies have revealed that 70% of digital transformation efforts fail.
There are several reasons why a digital transformation effort may fail, but the most common pitfalls have to do with:
- a lack of vision, aspiration, and defined goals by the leaders
- a lack of engagement from the team
- low investment in upskilling
- and an inability to build the right structure to support the digital transformation
As you can see, it's not so much about the technology itself, but about business understanding and soft skills. If you want to make sure your business succeeds through digital transformation, there are a few aspects you should consider.
1. Have a clear vision and well-defined goals.
To survive a competitive market in the digital age, you must have a strategic vision and set out tangible goals to guide you. This may seem obvious, but the truth is that, surprisingly, many entrepreneurs don't have a clear idea of what they want to achieve.
Having a clear vision will help you prioritise what's important and make informed decisions to meet your business's long-term goals. It's also essential to have a clear digital strategy, which is a plan that outlines your goals when it comes to the use of a certain digital channel or technology to improve your operations.
2. Keep learning.
Entrepreneurs need to have a mindset of continuous learning if they want to thrive in the rapidly changing digital era. As technology evolves, customer needs change, and markets shift, you have to equip yourself with the tools and knowledge to face these changes.
Taking the initiative to educate yourself and continuously gain insights about new technologies and ways of working will position you as a stronger leader. Entrepreneurs nowadays need to have more than just surface-level knowledge about the digital world. They need to be tech-savvy to stay relevant and competitive.
Whether you go the self-learner route or go for a graduate degree, make sure you keep your mind open and find opportunities to learn continuously every day.
3. Support the upskilling of your team.
A leader is nothing without their team, so it is crucial that you also support the continuous learning of your workforce. Upskilling and reskilling are becoming more necessary than ever as technology—and artificial intelligence in particular—is changing the ways people work.
Studies show that as much as 50% of all employees will need reskilling by 2025, as the average half-life of technical skills is now considered to be around 2,5 years. Business owners need to focus on analysing skill gaps in their workforce, investing in training programs, and embracing a culture of continuous learning in their companies. This is the best way you can future-proof your team and stay ahead of the competition.
4. Be adaptable to change.
Entrepreneurs need to adopt a mindset of adaptability to navigate the digital era successfully. Adaptability refers to the ability to adjust and evolve in the face of constantly changing circumstances, such as the introduction of disruptive technology, market fluctuations, and changing consumer needs.
Embracing flexibility and resilience towards uncertainty is crucial to prepare yourself and thrive in rapidly changing circumstances. Adaptable organisations and leaders are, in fact, more successful and capable of outperforming the competition.
Being adaptable is about embracing a culture of experimentation and innovation, promoting an agile mindset, empowering your team to contribute and collaborate, and trying emerging technology for business growth.
5. Invest in the right technology.
Many entrepreneurs suffer from the so-called Shiny Object Syndrome, which means they get easily distracted by new opportunities that might not suit their business goals. Being successful in the digital era is about investing in the right technology for your business without losing focus.
To do this, you have to thoroughly analyse your business needs and how technology can improve your internal operations, get input from employees, and do research on the technologies you are considering implementing in your business.
From cloud computing to workflow automation, there are a lot of technologies that can greatly improve your business. Make sure you also assess your finances and be pragmatic and wise in your investments.
Final Words
Finding success as an entrepreneur in the Digital Era can be as challenging as it is exciting.
Fostering a mindset of adaptability and resilience, putting out a clear strategy, and embracing a culture of continuous learning is essential to successfully navigate the complex changes that technology brings to the business market.
