💡The differences between Digitization and Digitalization

You’ve seen these two words before, but they may not have resonated with you in any particular way.

However, when discussing digitization versus digitalization, we’re diving into two concepts that sound similar but have distinct impacts on your business.

🏝 I know this topic is as dry as a desert at high noon, so go ahead, grab your favourite drink—be it a steaming cup of coffee, a soothing tea, or maybe something a bit stronger (no judgment here)—and let’s dive into this together. 

Ready? 

Let’s roll!

Digitization is more about converting information into a digital format, while digitalization is about leveraging digital information and technologies to improve or transform business processes and workflows.

📌 Digitization: The Digital Makeover

Imagine having a shelf full of old records or a filing cabinet stuffed with paper documents. 

Digitization is taking all those physical forms and turning them into digital files that live on your computer or the cloud. 

So, scanning a document and saving it as a PDF is digitization in action. You are going from analog to digital in a flash!

📌 Digitalization: Changing the Way We Work

Now, digitalization takes things up a notch. 

It’s about using the digital information you created to change how your business functions daily. 

It’s leveraging digital tools and technologies to rethink your business models, streamline your processes, and enhance decision-making. 

You use data and digital tools to make your business smarter, faster, and more connected. 

If digitization is about preserving information, digitalization is about transforming your operations.

Gartner  and SAP have their takes on it, but the essence is the same:

✅ Digitization is your first step into the digital world, turning analog information into digital bits and bytes

✅ On the other hand, digitalization is the strategic leap forward, using digital data and tools to revolutionize your business practices

So, to summarize, you’ll:

☑ Digitize a document but digitalize a warehouse

☑ Digitize a report but digitalize your company’s change management process and workflows

Here’s a quick table to break down the differences between Digitization and Digitalization.

PS Comment and add your take + ♻️remember to Like and Share for others.

#digitalization #digitization

Cheers! 🚀

Veronica 

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