Companies & digitalization: A decisive turning point

Are you planning to implement digitalization in your company?

With the development of big data and cloud computing technologies, the digitalization of companies is more than just a trend: it is one of the biggest challenges of the digital age. At the same time, it is essential in order to remain competitive today. Because digital companies are growing.

In what form can digitalization be used in companies? What are the benefits of digital transformation for your organization?

In this article, you will find out what impact digital transformation has on your company. We also discuss the advantages and disadvantages of developing digital processes and the challenges you will face.

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What does digitalization mean for companies?

Definition of digitalization

Digitization is the process of replacing physical information carriers (usually paper) with digital technologies. The dematerialization of documents comprises several phases:

1. Digitization,
2. indexing,
3. archiving,
4. version management,
5. certification.

Types and challenges of digitization

The digitization of documents is often the gateway to a paperless working world. But it is also part of a broader dynamic of digital transformation.

It affects:

• Activities,
• processes,
• communication,
• tools,
• the workplace itself, in the age of flex and home office, with the help of the digital office.

Today, companies face many challenges. Depending on their level of digital maturity, different aspects of the company can be digitized:

• Digitization of general documents:
  • Contracts
  • purchase orders
  • signatures
    
    
• Digitization of accounting:
  • Invoices
  • Taxation
    
• Digitization of HR documents:
  • Contracts
  • payroll accounting
    
• Digitization of the exchange:
  • Business documents in the logistics sector
  • Documents to authorities

Why should companies digitize?

The business world is evolving faster and competition is stronger than ever. Many companies today are struggling to remain profitable with their core business. In this context, digitization is able to provide solutions to acute problems.

Advantages

• Cost reduction:
  • 91% less costs for document management
  • 2500 sheets of paper can be saved per employee per year
    
• Better communication:
  • Documents can be viewed simultaneously by several employees in different locations
    
• Increased productivity:
  • the processing of a document is accelerated by 46
    
• Increased security:
  • access to sensitive data can be better controlled

In addition, the following aspects can also be taken into account:

• Space savings thanks to digital archiving;
• Mobile access to data in real time;
• Environmental sustainability thanks to the reduction of paper waste and travel.

Disadvantages

• Resistance to change on the part of your employees, which requires time to adapt and develop know-how, so-called change management.
  
• A financial investment:
  • Technology,
  • maintenance,
  • data hosting,
  • training of employees.
    
• Risk of losing documents due to hardware errors, malicious acts, viruses or human error.

How can companies successfully implement digitization?

Now that you know why digitization can help your business and what challenges you need to prepare for, it's time to talk about specific applications. Our selection of software shows you how digital solutions can help your company in specific situations.

• An electronic safe enables data to be secured and gives it legal value. This is particularly useful for file storage, data integrity and the processing of sensitive data.
  
• For secure access and good management of user rights, the use of a password manager is very helpful. LastPass, for example, can be used to generate complex passwords. They are stored in a digital safe that can be accessed via single sign-on.
  
• For the legal value of the electronic signature.
  The use of a certification authority makes it possible to meet the most demanding European security standards;
  Software such as DocuSign provides the electronic signature and guarantees its probative value.
  
• For document sharing, communication and collaboration:
  Document sharing portal software such as Intrexx makes collaboration more efficient.
  A DMS (document management system) such as DATEV DMS simplifies the storage, search and availability of all company information. This is made possible by a powerful search engine and intelligent data analysis.

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On the way to an (almost) paperless world

With digitization, your entire organization is taking the step towards a dematerialized world. The ultimate goal is the fully electronic management of your data and processes with the help of artificial intelligence.

In order to make the digital transformation a success, it is necessary to rethink the associated processes. This applies to finance, accounting, personnel management, etc.

Each work step must be reviewed before it can be automated under the best possible conditions. This is particularly the case when digital solutions are used.

And you? How far have you progressed with the digital transformation of your company?