Why the Term Digital No Longer Makes Sense in Business
Over the past decade, the word digital has been everywhere in business discussions. We’ve talked about digital transformation, digital strategy, digital innovation but as we approach 2020, I’ve realized that the term has outgrown its original meaning. It’s no longer just a category or strategy; it is the core of every business.
The Evolution of Digital
When businesses first went digital, it meant moving from paper-based processes to online systems. That was the first wave focused on digitization rather than full transformation.
The second wave expanded digital to include mobile technology and customer experience, emphasizing user-centric innovation and convenience.
Later, the adoption of cloud computing became a milestone, enabling scalability, flexibility, and new ways to innovate faster and more efficiently.
Digital Is Now the Fabric of Business
Today, digital is not something separate. Every company whether a bank, retailer, or startup is inherently a digital business. Digital isn’t a department, a project, or an add-on it’s the very fabric of how organizations operate, compete, and deliver value.
This means businesses need to shift their thinking from “digital initiatives” to holistic business transformation, reimagining operations, strategies, and value propositions to fully leverage technology.
Why We Should Remove the Term “Digital”
The term has become so ubiquitous that it dilutes its original meaning. Calling out “digital” separately is now outdated. It should no longer be considered an add-on; it’s inseparable from business itself.
Future-Proofing Your Business
Embracing this mindset prepares businesses for the future:
Innovation becomes embedded across all functions.
Efficiency and scalability are natural outcomes.
Customer engagement happens holistically, not in isolated digital initiatives.
The organizations that thrive won’t be the ones with a “digital department.” They’ll be the ones that see digital as the core of how they operate and create value.
Final Thoughts
If your organization is still talking about digital as if it’s a destination you’ll eventually reach, you’re already behind.
Because the reality is simple:
Digital didn’t transform the business. Digital became the business.
Frequently Asked Questions
Q1. What does digital mean in business?
In business, digital means using technology to reshape operations, products, and customer experiences. It’s about creating new value, connecting people to insights, and innovating services or products so that technology becomes an integral part of how a company delivers value every day.
Q2. Why is digital transformation no longer optional?
Digital transformation isn’t optional because technology changes rapidly, disrupting industries and making old business models obsolete. Companies must adopt digital tools and strategies to stay competitive, innovate, and meet evolving customer expectations, or risk falling behind permanently.
Q3. What are the 4 pillars of digital transformation?
The four pillars are:
Customer Experience: Enhancing satisfaction and engagement
Operational Processes: Automating and optimizing workflows
Business Models: Rethinking how value is created
Culture & Leadership: Fostering innovation, agility, and tech adoption across the organization.
Q4. Why should companies move beyond calling themselves “digital”?
Labeling a business as digital can be misleading because technology is no longer separate. It’s part of the core operations. Treating digital as a side initiative risks creating silos and slows down holistic growth and innovation across the organization.
Q5. What’s the difference between digital tools and digital strategy?
Digital tools are software and platforms that help businesses function. Digital strategy is the plan for how to use these tools effectively to improve operations, customer engagement, and growth. Tools are just part of the bigger strategic picture.
Q6. How does cloud computing benefit businesses?
Cloud computing offers scalable, flexible, and cost-efficient technology. It enables remote collaboration, real-time data access, and faster innovation. Companies can store data securely, automate workflows, and experiment with new services without heavy infrastructure investment.
About the Author:
Shawn Kanungo is a globally recognized disruption strategist and keynote speaker who helps organizations adapt to change and leverage disruptive thinking. Named one of the "Best New Speakers" by the National Speakers Bureau, Shawn has spoken at some of the world's most innovative organizations, including IBM, Walmart, and 3M. His expertise in digital disruption strategies helps leaders navigate transformation and build resilience in an increasingly uncertain business environment.