Digital transformation glossary for SMEs

8 minutes
Digital transformation glossary

This glossary will help you with your digital transformation and the digitization of your business processes.

And let’s start with an introduction to our definition of a digital transformation:

Digital transformation is a method for companies to integrate and leverage the technologies driven by Internet standards, based on business needs. Each transformation within a single company takes place in 3 phases:
– the scoping phase (study, audit of the existing situation, definition of the target and roadmap)
– the project to implement the various projects, including change management phases
– the cruising phase, which is the phase of continuous improvement of the transformed perimeter.

The themes of digital transformation in business are varied, because the evolutions and advent of new solutions are infinite. A company is never behind in its digitalization, at least if it doesn’t choose a strategy based on a technology from the past.

IT or IS audit

Definition of IT Audit

An IT audit is a methodical and systematic assessment of a company’s information systems (IS). Its aim is to highlight potential problems, vulnerabilities and inefficiencies, and to improve performance, security and compliance.

IS audits can cover several areas, such as network infrastructure, software, hardware, cybersecurity and the organization of the IT function. They help companies to align their processes and technological resources with their strategic and operational objectives, thus guaranteeing optimal and secure use of technologies.

IT audit leads to the construction of a digital transformation roadmap

Business applications

Definition Business application

A business application is a digital tool tailored to a company’s business needs. It aims to optimize operations, improve business processes and facilitate collaboration.

They encompass functions such as CRM, HRIS, ERP, logistics, production or sales. Business applications can be standard software, customized solutions, or built via no-code/low-code.

As part of a digital transformation, adopting a business application brings improved traceability and better quality of data and information.

Automation

Definition Automation

Automation is a concept that minimizes or eliminates human intervention in repetitive, routine business process tasks. The aim is to increase efficiency, productivity and quality, while freeing staff to concentrate on value-added activities.

This approach encompasses a variety of methods and solutions, including automation software, RPA (Robotic Process Automation) tools and BPM (Business Process Management) platforms.

Automation can affect various areas of a company in their digital transformation, such as sales administration, accounting, marketing, customer service, production management, purchasing and human resources.

BPMN and BPMN 2.0

BPMN definition BPMN 2.0

BPMN (Business Process Model and Notation) is a standard for modeling business processes. It uses flowcharts to represent the sequence of tasks, actors involved, responsibilities, conditions, decisions and events. This standard provides a standardized language for clearly visualizing the activities and overall functioning of a company.

BPMN 2.0 is an enhanced version of the original BPMN standard. It introduces additional principles that offer new possibilities for events, decisions and exchange formats. Developed in 2011, BPMN 2.0 aims to improve interoperability between systems and the use of software.

BPMN’s advantages include its role as a powerful communication tool for digital transformations, its standardized language that facilitates collaboration between different departments, and its ability to simplify the documentation of business processes.

Digitization

Definition of digitization

Digitization refers to the process of adopting digital technologies and solutions within a company. It optimizes operations, improves the efficiency of business processes and fosters collaboration between employees. Also known as digital transformation, it enables the adoption of new software, the automation of tasks and the improvement of information systems.

A deep understanding of business processes is needed to achieve this transformation.

Aligning the digital transformation strategy with the company’s overall objectives is crucial to ensure optimal results.

Automation software

Definition of automation software

Automation software is a digital tool designed to facilitate the management and optimization of business processes by automating recurring tasks, actions and operations between different applications and systems.

Some automation software is no-code or low-code, enabling accessible customization and easy integration with existing systems. In general, these digital solutions do not require advanced IT development skills, an asset for your digital transformation.

BPM software

BPM definition

BPM (Business Process Management) software generally covers all the possibilities offered by workflow software. It also integrates more advanced orchestration, tracking, monitoring, reporting and administration functions.

It also makes it easier to centralize all data than workflow software (which also does this, but requires more design).

BPM software requires quite specific technical skills for configuration and administration.

Workflow software

Definition Workflow software

Workflow software is a digital tool for managing business processes. It optimizes task sequences, boosts productivity and fosters collaboration.

Features include visual modeling, approval management, automation and integration with other software. In some cases, they are no-code or low-code, facilitating customization.

Process modeling

Process modeling definition

Process modeling refers to the visual or schematic representation of the various steps, tasks and activities that make up a business process within a company.

In the context of digital trasnformation, this method enables us to better understand how a process works, to analyze the interactions between the elements and stakeholders involved, to identify areas for improvement and to design optimized future operations.

Process modeling also facilitates communication and collaboration between teams, informed decision-making and the implementation of organizational changes. It’s a great tool for digital transformation.

Formatting

Definition Platformization

Platformization refers to a digital transformation in business operations. It involves using no-code or low-code platforms to orchestrate and automate the organization’s operations and activities.

This approach enables existing software to be connected, internal processes to be reproduced in digital form, and repetitive, manual and time-consuming tasks to be automated. The aim is to improve ergonomics and the employee experience, while streamlining collaboration between teams.

One of the main advantages of platformization is that it makes the various stages of a process tangible and operational. As a result, companies gain in performance and profitability, enabling them to rapidly finance their digital transition.

Process vs Process vs Procedure

Process definition, process and procedure

A process is a set of linked activities and interconnected tasks forming a workflow to achieve a specific objective. It generally applies to a specific area within a company. Processes can be business (operational), support or executive.

A process is a generic term for a process, procedure, workflow, method, operating procedure or action.

A procedure, on the other hand, is a documentation tool for a process. It can include process modeling (flowchart, BPMN, SIPOC, VSM…), data description, software used, resources and responsibilities. Companies can formalize their procedures using forms, documentation or BPM tools, making processes operational via workflows.

Business processes

Business process definition

A business process is also known as an operational process. It represents a coordinated set of interconnected activities and tasks carried out within an organization. A business process leads to the creation of added value for the customer.

Business processes comprise all the steps required to transform a resource, such as a customer request, into a desired result, such as a final product or service. They often involve several departments, and are essential to ensure the efficiency and consistency of operations.

Business process mapping is a common approach to documenting, analyzing and optimizing these processes.

Example of a business process: pre-sales process, production planning process, compliance process, invoicing process…

Support processes

Support process definition

Unlike business processes, support processes group together tasks which do not directly generate added value for a customer, but which are essential to the smooth running of the company. Examples: Human Resources, Maintenance, Information Systems, Administration, Documentation, Accounting, etc.

Quality process

Quality process definition

A quality process aims to control and ensure the conformity of a company’s activities. Often based on the ISO 9001 standard, it includes the use of process management software. The main aim is to improve efficiency, customer satisfaction, compliance and continuous improvement.

ISO 9001 is a set of requirements for quality management systems (QMS). Obtaining ISO 9001 certification involves meeting criteria such as consideration of customer needs, employee involvement and process documentation.

To implement a quality process, it is crucial to define a manager, set objectives and performance indicators, automate certain tasks and carry out internal audits.

Workflow

Definition Workflow

A workflow is a structured sequence of tasks, actions or operations carried out by one or more employees within the framework of a specific business process. It aims to organize the way a company operates, following predefined steps. It often involves decisions, validations and collaboration between the various players.

Workflows can be linear, simultaneous, conditional or involve validation loops, and are usually documented or managed using dedicated software. Adopting workflows improves process efficiency, facilitates communication between employees, and enables better monitoring of task progress and overall company performance.

Workflow management

Definition Workflow management

As a key tool for digital transformation, workflow management enables the digitization and automation of a company’s internal processes. This approach aims to improve performance, reduce delays and errors, and simplify documentation.

To create a workflow, you need to follow a number of steps. First, analyze existing processes in collaboration with key members of the company. Next, define and map the target workflow to facilitate project management.

Then choose the workflow management software best suited to your needs. Then set up the entire workflow, defining roles, actions, tasks, triggers, conditions and rules.


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