Digital Business Strategy
Digital strategy focuses on using technology to improve business performance, whether that means creating new products or reimagining current processes. It specifies the direction an organization will take to create new competitive advantages with technology, as well as the tactics it will use to achieve these changes. This usually includes changes to business models, as new technology makes it possible for innovative companies to provide services that weren’t previously possible.
Today, technology has integrated with business to become something more than hardware or software. As digital technology becomes more pervasive and companies move further in the journey of digital transformation, digital strategy and business strategy will be the same thing. For now, it is still useful to use the term “digital strategy” to focus the effort behind digital initiatives.
Digital transformation is no longer an alternative. It was already a critical imperative before COVID-19. Now with remote workers and customers, it’s the only way to survive. But the digital transformation journey can be complex. It requires organizations to rethink fundamental processes and take a customer-centric view while leveraging technology to drive the journey. It requires a strong digital business strategy that puts the customer-centric mindset at the core of the business and helps define the blueprint for digital transformation initiatives.
Digital strategy is the application of digital technologies to business models to form new differentiating business capabilities.