Digital transformation strategy is a response to the challenges of managing the growing landscape of digital initiatives and related infrastructures. A DTS is sup-posed to coordinate, prioritize, and implement a predigital orga-nization’s transformation efforts and, as a long-term objective, to govern its journey to achieve the desired future state of being digitally trans-formed.

Digital strategy is formulated and executed by leveraging digital technology to create differential value for customers. Digital strategy needs clear digital goals and visible visions which are supported by leaders who are able to influence on organizational structure and culture change, invent new processes, business model which are beneficial internal and external stakeholders.

Digitalization capabilities are organizational capabilities that allow firms to pervasively combine digital assets and business resources, and leverage digital networks, to innovate products, services and processes for organizational learning and customer value creation, and manage innovation for ensuring sustained competitive advantage.

Smart factories (smart, connected products) are emerging across all manufacturing sectors. Smart, connected products have three core elements: physical com-ponents, “smart” components, and connectivity components. Smart components amplify the capabilities and value of the physical components, while connectivity amplifies the capabilities and value of the smart components and enables some of them to exist outside the physical product itself. The result is a virtuous cycle of value im-provement.

The digital workforce has developed many competencies in the course of their interactions with technology that may be leveraged at work. Among the most obvious of these com-petencies is their proficiency and comfort in achieving desired outcomes using technology, often referred to as digital fluency. Digital fluency goes beyond simply knowing how to use a few programs or basic applications. Those who are digitally fluent have achieved a level of proficiency that allows them to manipulate information, cons-truct ideas, and use technology to achieve strategic goals.

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