Digital technologies are now driving the so-called ‘fourth Industrial Revolution’. They transform every industry and affect socio-economic and environmental aspects. This change therefore generates new international market opportunities leading to a new technological growth.
But which are the sectors that particularly favour digital transformation?
1. The financial sector
The financial sector usually favours digital channels. This tendency is thus correlated with the improvement of online channels, fewer branch visits and a change in mindset as regards the use and consumption of financial services. These digital channels enable clients to carry out transactions, for example. The impact of the millennial generation on the implementation of digital solutions is crucial, as they represent millions digital natives.
If banks, however, decide not to carry out any digital transformation, they will face significant problems such as the following:
- Banks will have difficulties in being differentiated from one another if they only serve as a back-end service provider;
- A diminution of cross-selling opportunities due to fewer and fewer branch visits.
This transformation is mostly implemented by means of a massive use of mobile devices and omni-channel experiences which enable to increase the customer insight or to provide personalized financial services.
As a case in point, Deutsche Bank’s CEO John Cryan put emphasis on the fact that every discussion the company holds is always about technology. The company therefore created robot advisors although a lot of clients still want to talk to a physical person (Source: http://uk.businessinsider.com).
2. Public transportation
Public transportation is usually considered to be one of the major criteria when assessing the quality of life of a city. This assessment is based on multiple criteria such as quality, safety, speed, cleanliness or on-time journeys.
Digitally transforming public transportation usually relies on a combination of both physical transportation lines and digital networks to create smart public transport.
We can find a case in point in Transport Metropolitans de Barcelona’s TMB Digital. The combination of four different aspects characterizes its digital tool, TMB Connecta:
- Social networks;
- Relational marketing;
- Mobile devices.
These digital facets aim to optimize the implementation of processes, equipment but also systems. Along with these tools, the company decided to start using two mobile applications, namely TMB virtual and Barcelona Bus Turistic (Source: http://www.rocasalvatella.com).
Switzerland’s public transportation, the SBB, is also undergoing a digital transformation on three different levels:
- Improving the interaction with customers;
- Increasing internal efficiency;
- Facilitating capacity management.
They aim to distance themselves from “rail versus road” frames of mind by combining the strengths of various modes of transport. As a result, they provide personalized offers, such as relevant information about incidents (Source: https://www.sbb.ch).
Healthcare services are said to be claiming an ever-increasing share of national wealth. Digitization therefore helps offer benefits as regards both cost and quality. Digital solutions can thus help facilitate the seamless exchange of a patient’s information between different providers thanks to the use of both telehealth and mobile health solutions.
A perfect example can be found in Kaiser Permanente’s Archimedes IndiGO, a decision support tool. It enables to take a heart-health risk assessment along with finding places for a check-up. We can use it to quantify risks of serious conditions and to prioritize the actions needed to be taken to reduce these risks. It therefore provides a more informed and collaborative conversation as regards the care options (Source: https://share.kaiserpermanente.org).
Both the tourism and the travel sectors make an extensive use of information and communication technologies in each and every stage of the value chain. Consumers can therefore search for various kinds of information before going on a trip along with comparing diverse opinions. When they return from travelling, they can add their own review to those previously put online by other travellers. All these processes are usually carried out thanks to a mobile device (Source: https://www.icarvision.com).
5. The governments
There are usually top three priorities for government CIOs: analytics, infrastructure and cloud computing. Governments usually tend to adopt bimodal IT, such as crowdsourcing, working with start-ups or small or mid-size businesses and agile methodologies.
They tend to lay emphasis on five different factors in order to implement a digital transformation:
- Strategy: a clear digital strategy to address the key elements of digital transformation;
- Leadership: leaders must have sufficient skills for meeting the challenge of digitally transforming public services;
- Workforce skills: a strong leadership enables employees to strengthen their digital skills;
- Digital culture: culture should nurture innovation, foster collaborative work environments and be adept at taking risks;
- User focus: service users must be part of digital transformation.
With this article, we aimed to present five sectors which particularly favour digital transformation and there are many others to come:
- The financial sector is said to be particularly affected by millennial generation’s needs;
- Public transportation now relies on the implementation of both physical lines and digital networks;
- Healthcare services can use digital technologies to help reduce costs but also increase quality;
- The tourism sector is characterized by a massive use of mobile devices;
- Governments tend to use bimodal IT activities.