Interview: why do we need enterprise digitization?

24.10.2022

The understanding of the term “digitization” has changed over time. Until a few years ago, it was all about entering data into the systems. In this way, registers of customers, contacts with potential customers, etc. were created. Currently, we assume that these data are already in the systems. The problem faced by enterprises is their integration and harmonization in such a way that they automatically suggest what decisions to make. Will the new approach to digitization allow for efficient handling of large amounts of data in real time? Let’s check it out!

Marta Skiba: today we will talk about digitization, because it is undoubtedly one of the leading trends in corporate development. The question is, is this just an empty slogan or real support?

  • Jakub Rumian: in theory, everything is just a slogan. Only the application of a practical approach allows us to introduce real changes. It’s the same with digitization. We identify it as the main driver of IT modernization of Polish enterprises. If it is carried out properly, it can make things easier. It increases the efficiency of product distribution, facilitates flexible adaptation of the company to the changing trends of demand and supply. Digitization also optimizes the supply chain. There are many examples.

Marta Skiba: in other words, we can say that properly implemented digital technologies improve the results of companies?

  • Jakub Rumian: Definitely yes! The advantage is that digital technologies enable an extremely competitive business model. Enterprises that flexibly react to changes in their sector adapt to new realities more easily. I don’t think you need to explain to anyone how important this is an element of the modern strategy of every company. Recent years have clearly shown this: the COVID-19 pandemic, Putin’s aggression, galloping inflation, and rising fixed costs. Businesses are really not easy today and have to react quickly to any changes.

Marta Skiba: what if Polish companies are not ready to take advantage of technological improvements?

  • Jakub Rumian: in practice, it all depends on the scale of the enterprise. The larger the company is, the more difficult it is to control the smooth functioning of all its aspects. If we add to this the unstable situation on the market and the desire to optimize production or provide services that will be popular with customers, we can see how many potential problems these companies have to deal with. We are currently seeing huge technological progress. Enterprise-class companies cannot afford to give up these benefits. If they do not fully digitize, the competition can quickly gain an advantage. After all, it is extremely difficult to rebuild a position on the market. It is also worth paying attention to one more interesting aspect of digitization: large enterprises usually use, at least in part, dedicated systems that facilitate their operations. The situation is slightly different in the SME sector. Therefore, even small improvements in SMEs can significantly contribute to generating financial savings. Such large profits will probably not be observed in larger enterprises, because they already use tools that have an impact on the achieved financial results. Subsequent modernizations add a brick to the already functioning improvements.

Marta Skiba: can we say that digitization = economic growth?

  • Jakub Rumian: I would put it a bit differently: companies that strive to achieve significant economic growth must opt for digitization. Automation, artificial intelligence, using the potential of the cloud, robotics in business operations – these are ready-made tools that drive this economic growth. All you need to do is skillfully use them for your own needs.

Marta Skiba: what aspects of the functioning of enterprises are worth focusing on in order to make the effects of modernization visible?

  • Jakub Rumian: the priority should always be to improve the key processes for a given company. So it should be approached individually. However, if I were to point to one of the basic processes that allows you to see the quick effects of optimization, I would choose the supply chain. It is a recipe for achieving competitiveness not only in the local field, but also a simple way to conduct effective global expansion.

Marta Skiba: Why did you choose this one?

  • Jakub Rumian: by ensuring a high level of integration between the various elements of the supply chain, enterprises are able to react faster to changes in the market. They are also more resistant to temporary turmoil and difficulties related to limited access to goods or services. It also means real savings: in total costs of supplies, in optimization of warehouse management, etc. All thanks to the simplification of all processes by providing detailed information in real time. If we add to this the ability to create advanced reports and generate automatic prompts based on them, the management team will gain powerful support in making business decisions. And most importantly: decisions supported by real data. A system that is able to analyze information is a strong asset. Artificial intelligence and machine learning are, after all, the leading trends today, it is worth taking advantage of them.

Marta Skiba: understanding the relationship between digitization and the functioning of the supply chain based on real company data can be a strong driving force for the entire company?

  • Jakub Rumian: in fact, we can talk about three components that are interconnected here: understanding these dependencies, integration of the entire supply chain and enterprise performance. Smartly implemented digitization professionally brings all these issues together. The more we know about the functioning of the company, the easier it is to notice the elements that can often be modernized with a low effort.

Marta Skiba: and these are big advantages for the management team…

  • Jakub Rumian: in the case of the supply chain, it is worth considering logistics and operational efficiency. Yes, managers do their best every day to maximize its efficiency. With access to the right data and IT tools, this job simply goes to a higher level of management. An additional advantage is that decision makers in the company should be aware of how these daily operations affect the financial results of the entire company. Custom software based on individual needs is a simple way to acquire advanced knowledge in an accessible form.

Marta Skiba: there is one conclusion from this conversation: we need digitization

  • Jakub Rumian: yes, digitization makes many things easier. Undoubtedly, the use of IT technology nowadays allows to gain a greater sense of security and access to reliable information. These are solid foundations on which you can build the vision of the entire enterprise. And most importantly, achieve your goals step by step.

Marta Skiba: thank you for the interview.

We encourage everyone interested in additional information on digitization to contact us.