Digital transformation: How Software Your Company

Digital transformation: How software changes your company

Short: The Digital Transformation is not a temporary trend.

The Digital Transformation is not a temporary trend. However, a core change that captures every industry and company.

It is about far more than just the introduction of new technologies.

It is about fundamentally rethinking business models, processes and corporate culture and redesigning them with the help of software.

This article shows why digital transformation is vital and how to successfully master it with a clear software strategy.

What is digital transformation? (More than Digitization)

Often the terms digitization and digital transformation are used synonymously, but there is a decisive difference:

Digitalization: Conversion of analogue processes into a digital form (e.g. digital invoice instead of paper billing). It's the basis, but not the transformation yet.

Digital transformation: A holistic process of change that affects the entire company.

It uses the options of digitalization to develop new business models, improve customer experiences and radically improve operational processes.

The Three Columns of Digital Transformation

A complete guide on digital transformation.

For Digital transformation: How Software Your Company, see View services und Discover solutions on our website for rollout paths and planning.

A successful transformation is based on three essential pillars:

Business model: How can your company unlock new sources of income through digital technologies? (e.g. by subscription models, digital platforms or data-based services)

Customer Experience: How can you personalize and seamlessly shape interaction with your customers at all digital touchpoints?

Operative processes: How can you make your internal processes more efficient, faster and more agile by automation, data review and networking?

The role of software as an enabler

Short: Software is the heart of digital transformation.

Software is the heart of digital transformation. It is the tool that only allows change.

• Custom software development: Tailored software solutions enable unique digital business models to be created and stand out from competition.

• Data review & AI: Software helps to analyze large amounts of data (big data), find patterns and make smart, data-based decisions.

• Automatization: Robotic Process Automation (RPA) and other software tools automate manual, repetitive tasks and thus release resources for more value-intensive activities.

• Connection (IoT): Software connects machines, devices and sensors (Internet of Things) and enables new services and efficiency improvements.

Examples of successful digital transformation

• Netflix: Transformation from a DVD shipping company to a global streaming giant with data-driven Conte.

References and further reading

The following separate references complement the topics in this article:

• Bitkom – German digital industry association.
• German Federal Office for Information Security (BSI).
• European Commission – Digital strategy.
• MDN Web Docs (Mozilla)
• W3C – World Wide Web Consortium.

"APIs are the backbone of modern systems; stabilise contracts early or pay twice in integration work later."

— Björn Groenewold, Managing Director, Groenewold IT Solutions

Frequently Asked Questions (FAQ)

What is this article about: “Digital transformation: How Software Your Company”?

This post explores Digital transformation. How Software Your Company from the perspective of needs, typical pitfalls, and sensible next steps. In short: A complete guide on digital transformation.

Learn all about agile methods, MVP, Cloud, AI, legacy systems, DevOps and digital transformation.

Who benefits most from the content described here?

Useful for project leads and product owners in Software development who must choose between standard software, custom development, and integration.

How does this topic fit into an IT or digital strategy?

Technically and organizationally, alignment with experienced partners pays off — from requirements to operations; start with the [services overview](/en/services/software-development). For multi-system landscapes, [IT consulting and architecture](/en/services/it-consulting) helps align vendors and internal teams.

What are sensible next steps if we need support?

A practical next step: book a consultation and clarify which MVP or pilot fits your team and landscape.