In today's world, the pandemic, economic developments and changing commercial conditions have brought about the ways of doing business and changes in many areas. Digitalization and transformation have become a necessity for businesses. Almost every sector has begun to choose digital transformation as a tool while trying to find a place in the new order caused by the epidemic. If we look at the past 10 years, we can see that digital transformation has been progressing at a relatively slow pace and digital transformation has been used by businesses to improve products, processes, and employee experiences. Today, businesses are trying to adapt their operations to digital transformation in order to remain competitive, maintain business continuity, create new revenue channels and meet increasing customer demands.
According to a study by Deloitte, businesses that are mature in digital transformation gain more profits compared to businesses that are not yet mature.
"Trying to preserve the current situation means staying behind."
All these developments raise the question "What subjects should we focus on in digital transformation in 2021 and after?”
In this article, you can find the digital transformation path and predictions for businesses by 2021.
We can define cloud technology as an online storage service that offers transactional convenience with web-based applications that do not require any installation. SaaS applications will account for 75% of all cloud workloads and compute instances by 2021, according to Cisco. Applications and programs in the past; It was run through software downloaded to a physical computer or server. Today, businesses; by keeping files and data in the cloud system, they can easily access these files and data from any device with an internet connection, thus providing convenience and avoiding hardware obstacles. Thanks to the infrastructure it provides, "pay as you use" and "scale capacity" features, cloud technology offers its users a more economical and more scalable option.
Digital transformation efforts, which have accelerated recently, have increased the demand for cloud technologies considerably. According to Gartner's report, it is stated that the global public cloud services market grew from $242.7 billion in 2019 to $257.9 billion in 2020, growing by 6.3%. One of the biggest factors of this growth is the increasing demand due to the shutdowns and remote work experienced during the pandemic. Gartner predicts that the SaaS market will continue to grow in 2021, reaching $120.9 billion. Throughout 2021, it is predicted that companies will increasingly turn to cloud systems to save money, be more agile and support innovation.
Artificial Intelligence (AI), which has been among the important building blocks of digital transformation for a long time, is expected to increase its potential considerably in 2021. Artificial intelligence refers to systems or machines that mimic human intelligence to perform tasks and that can recursively heal themselves based on the information they collect. The ability of this technology to analyze big data using multiple tools makes companies more data-oriented and guides companies in decision-making processes with the data it provides. Thus, companies can create faster, more efficient and productive operations.
According to a report published by Statica; 84% of enterprises believe that investing in artificial intelligence will provide a more competitive advantage. 75% think that AI will open up new businesses and at the same time offer competitor’s new ways to gain access to their markets. 63% estimate that the use of AI will help the pressure to lower costs.
Recently, increasing distance education, remote working, and video conference applications brought the importance of internet quality. The emergence of the concept of "telemedicine" especially in the field of health opens the door to video-based doctor visits. Deloitte predicts that 5% of doctor visits will take place virtually in 2021, which is 5 times its level in 2019. 5G has the potential to provide higher speeds compared to fiber networks operating at an average speed of 150-200 Mbps. It is predicted that 5G networks, which will make a great contribution to the healthy progress of all digital business processes, will cover one-third of the world's population by 2025.
In addition to the benefits it will bring, 5G allows a large amount of IoT devices to be connected by increasing the available bandwidth. With more connected devices coming online day by day, cyber security attacks are becoming widespread and expose organizations to new risks.
With the start of the pandemic process, cybersecurity problems have become a bigger problem for organizations day by day. The main reason for this is the increase in the use of 5G and the number of IoT devices. There was a 600 percent increase in attacks on banks and cloud servers between January and April 2020 alone, and it is known that cyberattacks occur every 39 seconds in the digital world. At the same time, according to the latest security research; it shows that most companies have unprotected data and weak cybersecurity practices, making them vulnerable to data loss. It has become mandatory for organizations to combat cybersecurity awareness and make security best practices part of their culture. According to a study by Gartner, it is estimated that the global information security market will reach USD 170.4 billion in 2022 with an annual growth rate of 8.5% within five years.
By the end of 2021, it is expected that more than 6 trillion dollars will be invested in cybersecurity. It is also predicted that the use of artificial intelligence to prevent attacks on data security and the market share of artificial intelligence in the cybersecurity market will reach 38.2 billion dollars by 2026.
IoT technologies are objects communicating and communicating with each other and their users via the internet. IoT is a network of devices connected via communication technologies to create systems that monitor, collect, modify and analyze data, providing valuable information that enables industrial companies to make business decisions faster.
Reports on the development of IoT technology around the world also support the growth rate predictions of this market in the future:
With the spread of 5G technology in the world, IoT technology is expected to further increase the market growth in the coming years, thanks to the data transfer speed to be achieved.
The potential and benefits of IoT technology are increasing day by day in many industries, from manufacturing to retail, from machinery manufacturing to tourism. It is anticipated that IoT technologies will become an industry standard and will be one of the important factors that increase the overall profitability and sustainability of businesses in the coming years.
Developed with the latest technologies, the Trio Mobile IoT Platform allows you to access data about all your operational processes from workforce efficiency to energy consumption, from job security to production performance.
(1) IDC(International Data Corporation)