What Is Digital Innovation?
Digital innovation refers to the application of digital technology to existing business problems.
Ideas such as digital transformation and digitization are closely related to the concept of digital innovation. In today’s evolving marketplace, many businesses recognize that they need to transform, innovate, and adopt new technology in order to stay competitive.
Businesses that are digital innovators consider new ways to solve old problems. Digital transformation is the process of switching to that new approach.
Digital innovation initiatives can include:
- Developing a new technology strategy in an existing business context
- Choosing to adopt and implement new software or platforms
- Deciding to evolve from analog to digital processes
Because the global marketplace is becoming more digital, businesses must also evolve in order to stay competitive.
Companies that innovate and transform see a number of benefits, such as:
- Streamlined business processes that come as a result of automation, SaaS, and other integrated technology solutions
- Digital solutions that cut costs, improve ROI, and boost revenue
- A competitive advantage
Though digital innovation has its benefits, it also has its downsides.
Many business leaders are afraid that innovation could damage their core business. While fear of change is understandable, it can also hinder growth. There are numerous stories of businesses that failed as a result of their reluctance to innovate.
Technology is disrupting industry after industry, and this disruption is only set to continue.
Digital innovation is the best solution for businesses that wish to evolve and stay competitive.