Through the past decade, digital transformation has reshaped many industries, but it’s just now coming into its own as business-wide initiatives, even in sectors that have traditionally been less connected to technology and the internet.
And by 2022, the next phase of digital transformation will be in full force, with some new trends taking shape along with technologies we’ve seen before and continuing to gain steam.
In this article, we break down the top 9 digital transformation trends to be on the lookout for in 2022 and how these trends will impact your organization and your customers.
For this list, we looked at IT trends that seem to be growing in both usage and importance and narrowed them down to those that will have the greatest impact on the business world over the next five years. Of course, all of these trends may not become a reality, but most likely, some of them will – so keep an eye out!
Top 9 Digital Transformation Trends To Be On the Lookout For in 2022
Digital transformation isn’t an easy road to navigate, but if you approach it with these trends in mind, you’ll be able to stay ahead of the competition. So here are the top 9 digital transformation trends in 2022.
1) Incorporating AI into the Business Processes
AI is beginning to transform business processes. Integrating AI into business processes can speed up decision-making, reduce risks, and improve operational efficiency, increasing business agility.
AI can also help identify patterns from large data sets and suggest actions based on insights derived from historical data, a capability that has great potential to automate tasks previously performed by humans. It will thus serve as an enabler of both cost savings and revenue growth.
A few years ago, even suggesting such measures would have been considered pure fantasy but today, organizations are increasingly investing in Robotic Process Automation (RPA) and cognitive solutions.
RPA involves using software robots or smart programs to carry out repeatable computer operations such as administrative procedures. Cognitive computing combines machine learning with AI to provide systems that exhibit intelligence comparable to human beings.
2) Advances in Cloud Technology
The number of companies using cloud platforms such as AWS and Azure will continue to rise in the future.
According to Gartner, by 2022, 30% of organizations with more than $500 million in revenue will use a public cloud as their primary IT infrastructure platform.
This trend is being driven by advances in technology that increase efficiency and lower costs. As Digital Transformation increasingly becomes a necessity rather than a nice-to-have, expect software developers to embrace these advanced tools and technologies rapidly.
Expectations from customers are at all-time highs, meaning digital businesses need to deliver top-quality products within a reasonable timeframe or face losing business to competitors that do just that.
Digital Transformation gives businesses massive potential not only through growth but also through increased revenues and productivity. Achieving these lofty expectations requires cost-effective ways of increasing business agility while lowering costs through automation wherever possible.
3) Blockchain Technology
According to Forrester, Blockchain is an established technology, but most organizations have yet to realize its potential. While 82% of executives have identified a potential business use case for blockchain technology, only 8% say their organization has implemented any production application.
According to IDC, however, Blockchain will grow from just a use case [in 2017] into one of several core technologies—along with AI and IoT—that enterprises will need to build and support new digital ecosystems by 2025.
Indeed, according to Gartner’s 2018 CIO survey, 31% of CIOs have already deployed (or plan to deploy) blockchain initiatives within their organizations; that’s more than twice as many as reported doing so a year ago. Meanwhile, 84% of businesses worldwide are expected to make active investments in Blockchain technology over the next five years.
4) Growing Popularity of Chatbots
Chatbots are all the rage these days, and with good reason. Artificial intelligence is no longer a futuristic concept—today’s chatbots can do everything from streamlining customer service to providing real-time analytics.
The average American spends over five hours per day interacting with digital devices, so it’s no surprise that chatbots have become an essential part of many businesses’ day-to-day operations. It will likely take some time before they replace humans completely, but they’re certainly worth exploring as you look towards a long-term business strategy.
For example, DevOps Services Company partnering with digital transformation agencies to transform your business into one that uses conversational interfaces (chatbots). It may still be several years away, but expect 2022 to mark a significant milestone for user experience (UX) design and human factors engineering.
5) Growth Of Cyber Security Services
Cyber security services are one of the fastest-growing digital transformation trends, and it shows no signs of slowing down. The growth of cloud computing has increased security threats to businesses, and companies will spend more than $1 trillion on cloud services by 2022.
Additionally, as more businesses adopt DevOps strategies, there will be a greater need for them to build out their cyber defenses. Growing awareness about sophisticated attacks like DDoS has many companies investing in additional security personnel or cyber ninjas. Increasingly, these specialized staff is brought on board through managed security service providers (MSSPs).
Businesses often choose MSSPs because they provide added protection and coverage against costly lawsuits related to data breaches.
6) Data Integration as a Service
A dedicated IT team has traditionally owned the concept of data integration. Yet, as organizations become more dependent on different digital tools and technologies, there is a growing need for Data Integration as a Service (DIaaS).
DIaaS providers offer their customers an alternative way of managing their data. Instead of traditional ETL software and processes, these enterprises have access to pre-built connectors that are designed to collect, integrate and prepare any information automatically – without any manual intervention.
Using purpose-built Software as a Service (SaaS) applications, companies can quickly combine structured and unstructured data from various business systems, mobile devices, or Internet services. Because it’s easy to use and fast to implement, many businesses consider creating their solution based on open source components.
However, these DIY projects usually fail due to financial constraints and limited resources. That’s why third-party providers dominate the Data Integration Services (DISS) market. This approach offers businesses additional benefits, such as 24/7 support, help desk assistance, and training sessions, not forgetting scalability and cross-channel reporting opportunities.
7) Growing Importance of Big Data Analytics
Big data analytics will play a bigger role in tomorrow’s enterprises. By using big data analytics, companies can realize business benefits such as improved customer engagement, new revenue streams, cost savings and efficiencies, better risk management and compliance, etc.
Enterprises that plan smartly can use Big Data Analytics to gain a competitive advantage. Big data is helping businesses make critical decisions with confidence which is why big data analytics is an integral part of the Digital Transformation roadmap.
Digital transformation trends are coming into action by increasing the adoption of Big data analytics, cloud computing, artificial intelligence (AI), blockchain technologies, and the Internet of Things (IoT). In short, technology professionals will witness some major changes at work during the next 5 years.
8) Internet Of Things Becoming A Reality In All Industries
According to a recent report by Gartner, 8.4 billion connected things were used worldwide in 2017, up to 31 percent from 2018, and will reach 20.4 billion by 2022.
IoT is also becoming more prevalent as companies are now looking at reducing costs and improving efficiency.
These new-age IT professionals are tasked with developing an app or service that interacts directly with business processes and improves decision-making power.
The latest smartphones have sensors that can collect data about their surroundings; however, most organizations haven’t started taking advantage of these devices due to a lack of resources.
This is where a business transformation agency comes into play; it works with clients to leverage these technologies to improve efficiencies. If you want your organization to remain relevant, you must consider investing in digitalization initiatives because not doing so could fail your business.
9) DevOps Approach To Software Development And Testing
A DevOps software development model encourages a new way of working that blurs or eliminates traditional distinctions between operations and development teams. As opposed to seeing these functions as separate processes, DevOps assumes a mutually reinforcing relationship between operations and development activities.
It’s a business approach that values communication, collaboration, and integration between cross-functional teams and focuses on rapid delivery of products (including Software) with high-quality features. DevOps is essential to digital transformation efforts, which rely on fast pace changes and continuous product improvement.
While many enterprises are now implementing agile software development approaches at scale across their businesses – which has a lot of parallels with DevOps – they have yet to apply it consistently throughout their IT environments.
This means they don’t reap all of its rewards: speedier deployments, faster time-to-market for new services, increased productivity through automation, and improved customer experiences by connecting products more quickly with market demands.
In today’s increasingly digital world, Digital Transformation is becoming a necessity rather than a luxury for companies and brands. With huge investment going into technology-led solutions, we can expect to see huge strides taken in digital technology over the next five years. The digital transformation trends discussed above will give businesses a competitive edge, especially in customer experience and employees’ skillsets.