Last year was significant on many levels. Before a pandemic paralyzed the world, businesses were faced with another major disruption: that of the increasing pressure, need, and expectation for digital integration and transformation across all industries and geographies. The sweeping impact of COVID-19 only exacerbated the need for greater digital efficiency and connectivity in order to not just survive but thrive in this ever-evolving landscape.
Digital transformation is not new. In fact, it is a “buzz term” that has graced corporate power points, strategy sessions, and industry conventions for decades; that does not make the topic any less relevant today. Technology is continually changing, which means companies can never get comfortable with the digital strategies they have in place. Digital transformation is not an initiative discussed and implemented once; as the name suggests, it is a principle that must become an ongoing conversation as your business transforms – or as your goals for your business transforms.
SAP has said the following regarding digital transformation, “It’s driving new business models, new ways of working, and new ways of collaborating and communicating. Technology innovations like machine learning, artificial intelligence, and the Internet of Things (IoT) are turning our hyperconnected world into a huge information system where business value no longer lies in traditional assets, but in information about those assets. For enterprises that are willing to think big, embrace change, move quickly, and organize differently, there are countless opportunities to reap the rewards of the digital economy.”
Is Digital Transformation Relevant for Your Business?
The short answer is yes. In a recent interview my sister, Bich, and I had with Dr. Janson Yap, an expert on digital transformation and Chief Risk Officer at the National University of Singapore, he stated the following, “what I see as trends, really, in the workplace, is that there is a mass integration of digital technology into all areas of business, fundamentally changing the way we work. And the way we operate. And more importantly, the way we deliver value to customers. Customer expectation [and] customer requirements have not changed, whilst the world has changed. And hence, it’s very important for companies to have a cultural change. And the more successful companies are the ones that actually have that cultural change. And they need to experiment and get comfortable with failure whilst at the same time, being able to change the way they deliver values to customers. And that is very important.”
We went on to discuss specific areas for determining if a company was prepared to successfully undergo a digital transformation. Consider whether your business meets this criterion implementation:
- Does the company have a value proposition for the customer, and if so, is it sustained and created?
- Have they identified high-growth market segments and how digital transformation will assist in having success in those segments?
- Do they understand who their customers are and how best to serve them – particularly through digital technology?
- Have competitor strategies been studied and potential alliances identified in any new market channels being considered?
- Does top management have an insight outside leadership? Are they able to think from the outside and the inside as it pertains to the use of digital transformation?
In our interview with Dr. Janson, he addressed one of the most recent pressing motivators for prioritizing technology: COVID-19. “COVID-19 has forced us to adopt technology as a way to help us survive. And I think this is why I think we have been able to fast track a lot of adoption,” says, Dr. Janson. “There is a Chinese saying that when there is a common enemy, we do better, right? So all around the world COVID-19 is a common enemy…In many ways, I think COVID-19 will ask you to rethink and reimagine, and reframe your strategy or your business…from a regional perspective, and then from a global perspective.”
THP’s Ongoing Commitment to Digital Transformation
It’s no secret THP has seen its share of success in Vietnam since introducing its beverages in 1994; however, we recognize there is more opportunity to grow our footprint and reach new markets. Any company with a desire to grow and evolve must prioritize its digital strategy. For THP, this has meant transitioning our SAP system – which has been in place for over a decade – to a world-class cloud infrastructure. Doing so allows us to accommodate the business growth that is within THP’s trajectory toward becoming a top 10 company in Asia and reaching one billion dollars in revenue. Implementing this technology will help us achieve our goal by:
- Helping address compliance and data security needs as the infrastructure is taken care of by the best in the business, world-class IT infrastructure providers;
- Adapting to new ways of doing business, especially post-pandemic when customer’s expectations are changing in regard to online and remote experiences;
- Prioritizing customer loyalty in a different and fresh way with access to relevant data and analytics; and
- Leveraging a cloud infrastructure that can help identify new opportunities and adapt to changes quickly.
Our desire to prioritize technology is a great demonstration of THP’s core values of nothing is impossible, commitment to international standards, and business ownership. We have always prioritized investment in new technology. My father always knew that as THP got bigger it would only be able to compete with the multinationals by deploying the same or better technology – to take digital transformation seriously. In order to continue achieving our goals, we must transform leveraging the technological capabilities available in order to meet the expectations of our consumers.
As my father continually taught us, “Nothing is impossible. There are no limits to what we can accomplish.” We can achieve the seemingly impossible with hard work and the right technology and digital capabilities to support those efforts. I have no doubt your company can achieve greater heights and horizons if you are willing to make the strategic decisions to make it possible. Learn more about how THP has used technology as a way to differentiate itself and compete with some of the largest multinationals in the world at www.phuonguyentran.com/latest-thinking.