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  • https://doi.org/10.33111/sedu.2024.54.005.016Copy DOI Icon

Business digitalization: definition and tools

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Abstract

As a result of the study, the concept of digitalization of a business organization is defined as a set of tools, the process of adding digital technologies to physical space and transferring information into a digital format to improve the efficiency and increase the profit of a business organization. Digitalization is a process and a tool, not the ultimate goal, and it should improve the interaction between people and technology. Digitalization has been classified into two types: process digitalization and product digitalization. Process digitalization is the classic understanding of this term in the context of business processes, and product digitalization is the additions of digital technologies to an existing product to improve it. Any type of digitalization should lead to an increase in the profit of a business organization directly or indirectly because this is one of the most important goals of any business. Digitalization tools have been defined as digital technologies and methods of their implementation in business processes or additions to products. Examples of such tools have been provided. It has been determined that one of the most important tools of digitization is digital data management. Digital data management includes digitization as one of the first stages and may include the use of CRM systems, cloud technologies and artificial intelligence. The use of these tools is possible not only in the context of data management, but as a method of creating a digital infrastructure or making decisions. The advantages of using various digitalization tools have been determined. Digital data management (including CRM systems, cloud technologies and artificial intelligence in this context) gives the ability to store, analyse and use large volumes of data, allows quick and easy access to information, reliability, and confidentiality, ensuring statistics, etc. Also, the use of digitalization tools allows improving interaction with consumers and creating a comfortable and efficient infrastructure both within the company and for consumers. Other digitalization tools have been listed: mobile technologies, ERP systems, automation, robots, IoT platforms, and GPS systems. It has been found that all these tools can be used to digitize the process, and only artificial intelligence GPS, and cloud technologies can be used to digitize the product.

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