70% of the market has been shifted to digitalization. The evidence is
- Asian banks have swiftly migrated physical channels online
- healthcare providers have moved rapidly into telehealth
- retailers into contactless shopping and delivery.
Digitalization has become the central-way to every interaction, customer-engagement model, and automated processes. It also became a primary driver of productivity forcing both organizations and individuals to adopt digitality almost overnight for flexible, transparent, and stable supply chains in Covid-19.
Gathering crucial information such as evolving core customer requirements, and the ways in which competitors and markets are moving to meet them. Mapping these two aspects helps the company to address immediate risks.
Most of the organizations are looking for virtual replacements for their previously physical offerings or at least new ways of making them accessible with minimal physical contact.
- Firstly, customer behaviors and preferred interactions have changed significantly.
- Fully 75 percent of people using digital channels for the first time indicate that they will continue to use them when things return to “normal.”
- Second, as the economy goes back to normal, demand recovery will be unpredictable and uneven across geographies, sectors, and product categories which can be slow to return to normal conditions.
- New data and completely rebuilt analytical models will be essential to steer operational decisions for forecasting and predicting the demand of the supply chain.
Digital will undoubtedly play a center-role in pacing up companies in covid.
The digital agenda for recovery:
Companies had adapted to remotely working space and agility to some degree.
There are mainly four areas in the company for digitalization :
1. Refocusing and accelerating digital investments for evolving customer needs.
2. Using new data and AI to improve business operations.
3. Selective modern technology requirements for boosting the pace of company development.
4. Increasing organizational agility to deliver more quickly.
Use new data and artificial intelligence to improve business operations:
A number of decisions are made daily evaluated in the operational model and nowadays companies are focusing more on forecasting and planning models for better end results. For example, airlines have to make decisions from the operating crew, routes, and staffing. All these are managed by a specific planning model.
There are different operations to forecast such as :
- To work with business leaders to prioritize the key operations and mobilizing the inventory core models.
- Leveraging the new data sets and modeling techniques better suited for fast-changing environments.
For Example, Advanced companies are already creating synthetic data sets using advanced machine-learning techniques, such as generative adversarial networks (GANs) to train new analytical models when historical data are of little use.
Selectively modernize technology capabilities:
Successfully executing a digital plan needs investment capacity and development velocity.
- Downsizing the IT cost structure to new demand levels.
- Reinvesting the facilitated resources into customer-facing digital solutions.
- Critical decision-support systems.
Many companies have found they have the potential to free up as much as 45 percent of their IT costs over the course of a year and roughly two-thirds of this potential can be achieved through measures such as extending hardware- and software-refresh cycles, rapidly renegotiating vendor contracts, and restricting cloud workloads by turning off noncritical jobs
Finally, continue to pay attention to cybersecurity. Much of the rapid IT work carried out during the COVID-19 crisis might have created new cyber risk exposures.
Reinvent your business model at its core:
There are few sectors to significantly focus to get cost structures and operating models
Supply-chain transparency and flexibility :
Retailers around the globe are experiencing stock-outs during the crisis. Therefore, Retailers are focusing more on supply chain transparency and flexibility and algorithms to detect the purchase pattern to get better job navigation during crises.
Remote workforces and automation:
Learning how to maintain productivity, flexibility and diversity brought through remote working is another common reason to take up digitalization. Even though it is
- Return to office buildings after the lockdown ends
- Continue to automate activities
These all are critical to capture the most value to the companies.
In retail, for example, there has been widespread use of in-store robots to take over more transactional tasks like checking inventory in store aisles and remote order fulfillment. These investments won’t be undone postcrisis, and those that have done so will find themselves in an advantaged cost structure during the recovery.