Digitization refers to the process of transforming and improving business operations by using digital technology in the form of data through the application of knowledge with a pre-destined objective in mind (Gulati & Soni, 2015). For quite a long time, businesses and other organizations have relied so much on analog systems and modes of operation, but with the increased demand for quality services, digitization of systems has become unavoidable. This paper seeks to find out the extent to which digitization is effective for a business, both in its model and management of staff performance.

Effects of Digitization to the Business Model

`           First, digitization helps in the improvement of the efficiency of the business in its service delivery. Efficiency encompasses several aspects such as the quality of the services as well as the consistency in the production of quality. In addition to this, digitization also helps in the shortening of a communication chain. More often than not, a long communication chain slows down the service delivery of business (Hedman, Sarker & Veit, 2016). Digitization, however, makes it simple because communication can be done directly through technology such as electronic messages and therefore saving on time. Still, on the time factor, digitization helps the business to efficiently and timely respond to the needs of a customer whenever and wherever the customer is. Also, digitization of processes helps to cut the operating costs of a business. When a business digitizes its operations, it is easy for it to manage its data without losing any. As such, the industry can easily keep track of the activities surrounding the use of data. It also helps in the improvement and continuity of the business because it becomes easy to improve the systems when they are digitized.

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