Written by: Aleksandr Buinoi
Bringing the company to a new level through a digital transformation requires following several key principles. Aleksandr Buinoi, the developer of original software solutions and a leading IT manager, reveals the proven foundations of this transformative shift, drawn from his own experience.
In September 2024, Amazon announced the release of Project Amelia, a generative AI assistant that is intended to provide sellers with insight into their metrics, helping them to develop their businesses. This is one of the multiple illustrations of the fact that businesses cannot escape the process of digitization and implementing new technologies into their operations even if they do not have in-house solutions of this type. However, those who do not rely on the universally available solutions provided by the marketplace, and develop their analytical tools, can gain a significant competitive advantage. Below, I outline the key points of how to implement digital solutions efficiently. These points were proven by practice many times in my experience, and I think any top-level manager who aims to build a successful digital transformation strategy for their company should keep them in mind.
Follow a Systemic Approach
One of the most important points to understand is the fact that the word “transformation” is in the term “digital transformation” for a reason. To be efficient, innovation cannot be limited to surface-level changes and often requires reshaping the way the company operates. Implementing new solutions, such as digital tools for the tasks that were earlier performed manually, changes operational processes and requires that all the managers and employees learn new approaches to their work. Applying new tools and technologies to what is already in place can give a short-term efficiency boost, but to remain competitive in the long term, organizations need to implement changes on a deeper level.
A good example of such a transformation can be found in Skysmart, a tool I developed and implemented for Skysale. This software solution conducts automated product analysis across several channels, drastically reducing the manual analyzing time from 250 to 2 hours. In particular, it allowed us to solve several challenges faced by many IT distribution companies, such as optimizing inventory, managing bulk purchases, and avoiding overstocking. As a result, company profits are steadily growing.
It is also important to note that implementing changes on a deeper level allows businesses to establish a stable foundation for responding to emerging market developments. For instance, the inventory management and analysis system mentioned above became crucial when Skysales expanded into the Amazon marketplace. The ability to analyze market trends and present customers with competitive offers allowed the company to expand its client base. Currently, Skysales has won a significant market share not only in its origin country of Estonia but on the global level as well, as it belongs to the top 100-500 sellers out of 200,000 European companies on Amazon.
Develop a Multifaceted Skill-Set
At this point, a question may arise: how can one ensure that digitization goes beyond a surface level and truly enhances the operations of the company, bringing tangible benefits? To achieve this level of efficiency, it is necessary to have a deep understanding of both technical and managerial aspects of innovation. While I studied Computed and Systems Engineering at Tallinn University, I also worked continuously to enhance my understanding of business, management, and finance. Acquiring such a twofold background becomes crucial when it comes to finding efficient ways to apply new technologies. If a person possesses skills in both domains, they can determine the best points where innovative solutions can be applied and then develop and maintain said solution.
This is exactly what happened with Skysmart, as I developed it independently, from concept to deployment, including multiple aspects of app development, such as coding, user interface, and API integration. This allowed me to accelerate the development process itself, getting to the working solution in about 6 weeks, and account for the specifics of the company operation at the same time.
In practice, to operate smoothly, a company needs not only to develop its software solution tailored specifically to its needs but also to implement third-party IT systems and tools, from purchase processing modules to specialized AI assistance, such as the Amelia Project mentioned above. And again, to integrate multiple solutions, both third-party and developed in-house, into a robust system that corresponds to the needs of the company, one needs to possess both technical knowledge and a deep understanding of the business processes. This is true both for company leaders and for software engineers who will create specific solutions tailored to the specific needs of the business. This approach makes it possible to create tools that are viable in the long term, due to their scalability and the support of the company’s growth.
Establish Efficient Communication
Another skill that is growing in significance is the ability to communicate efficiently and establish productive collaboration between teams. For instance, while working at ELKO as a B2B Customer Manager and a Business Development Manager, I organized meetings and conducted negotiations, which helped to build new partnerships, straighten relationships with vendors, and improve client satisfaction. This aspect of the work was no less important than integrating software to automate order processing and provide clients with better service.As the digital transformation often requires to reimagine multiple aspects of how the company operates, to conduct it, the leader should establish a solid foundation in the form of an environment that supports and incentivises collaboration between teams, integrating their efforts for achieving the strategic goal.
These examples clearly illustrate that digital transformation is a multifaceted process. To make digital and automated solutions truly work and provide tangible benefits for the company, a diverse set of skills is required, not limited to understanding the technical aspects. However, companies that manage to build a team that puts into practice the key points described above will have a higher chance of outperforming their competitors.
