From "digitization" to "digitalization", digitalization will become the next battle field

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Digitalization has been applied in many industries, including retail, tourism, automobile, Internet, medical care, education, energy and so on, and has become an important part of the entire economic activity.

In 2021, Meituan's "Everything Goes home" business has done very well. Starting from 2021, Meituan began to vigorously arrange pre-warehouse access in major cities across the country, and increase access to convenience stores and supermarkets. Through this strategy, Meituan's distribution efficiency has been greatly improved, and the concept of "everything goes home" has been deeply rooted in people's hearts. Relying on the layout of "Everything goes home", Meituan achieved very good results in 2021.

The so-called pre-warehouse is to move the traditional distribution center from the outer suburbs of the city to different parts of the city and closer to consumers. The appearance of the front warehouse makes consumers enjoy faster delivery services; The appearance of pre-warehouse solves the problem of "the last kilometer" in fresh distribution.

However, in this process, how to carry on the position layout of the front warehouse, how to carry on the optimal collocation of the rider, the business, the consumer, how to accurately deal with the complicated data in the process of distribution, has become a difficult problem in front of the enterprise.

With the development of society and technological progress, the continuous improvement of digital intelligence technology has been applied to more and more industries. Relying on the current application of digital intelligence technology, more and more e-commerce enterprises have been empowered, and the business model of "exhibition + storage + trade" in one is possible to be realized in e-commerce enterprises.

Digitalization is not only changing the business model of enterprises, but also changing our way of production and life. The era of digital intelligence has arrived.

From "Digitization" to "Digitalization"

For many people, the term "number intelligence" may feel strange. But if the word "digital" is mentioned, almost everyone knows it.

To many people, digitization and digitalization seem to be similar things, with little difference between the two.

In fact, digitalization and digitalization are two completely different concepts. Digitalization is only a simple technical concept, while digitalization belongs to the industrial application of digital technology. Although the two have a certain connection, but the essence is not the same.

If there is a trace to the concept of digitisation, it goes back to the 1940s. At that time, Shannon proved the sampling theorem, stating that everything can be incorporated into the calculation of 0 and 1, any representation can be abstracted into a number, can be digitized. And this principle became the precursor of the concept of digitization.

As the whole world has entered the Internet era, digitalization has become a hot topic in society. In quite a long period of time, digitalization has been frequently mentioned by countless enterprises, institutions and even individuals. However, how to realize digitalization and how to make digitalization benefit social development and people's life has become a difficult point.

In order to realize "digitalization", it requires not only technological progress in cloud computing, artificial intelligence and big data, but also the construction of infrastructure, the change and improvement of the whole social system, and the advance of people's way of thinking. In this process of progress, the concept of "digitalization" was born.

For the concept of digitalization, we can simply understand it as the combination of digitalization and intelligence. Its essence is interconnection of all things, the first level is connection; The second level is data value extraction; The third level is efficiency application empowerment, the value of data landing to the application scene.

Li Fei division of the power of the general manager, in 2021 China international big data industry exposition, for the concept of number of intellectualization, once made this explanation: "several intellectualization of core, is based on the massive big data, combined with the artificial intelligence technology, through the original data" end-to-end island ", combined with the scene to solve problems."

In May 2021, KPMG and Ali Cloud jointly released the 2021 White Paper on Consumer Digital Intelligence Operation at the 2021 Ali Cloud Summit. The White Paper focuses on the need for enterprises to make digital-smart transformation. Big data shows that enterprises with digital-smart transformation have not only performed well during the epidemic, but also sustained growth in the post-epidemic era.

Financial author xiao-bo wu cooperation with ali cloud cloud China - agitate for intellectualization of the future "documentary, also tells the story of a number of intellectualization related phenomenon: some traditional manufacturing enterprises, in the face of inventory backlog in sectors such as difficulty, and face the sudden outbreak, is how to solve the problem, by number of intellectualization operational and created the performance beyond imagination.

Number intelligence, the next battle field

As a technical application that has been implemented, digitalization plays a positive role in promoting the development of all walks of life. In the strategic decision of many enterprises, digital intelligence plays an important role.

In the new retail industry, the landing of digital intelligence application technology has brought great impetus to enterprises.

As the order quantity of new retail platform in the community gradually increases, in order to ensure the interest balance between loss, timeliness and cost, the current mainstream new retail enterprises in the community, such as Buy more vegetables, Meituan selection, etc., have basically formed a three-level warehouse distribution and performance system of shared warehouse (collaborative warehouse), central warehouse and grid warehouse. The construction of such compliance system relies on the transformation and optimization of supply chain by digitalization.

The logistics industry corresponding to the new retail in the community has also been greatly affected by the technological innovation of digital intelligence.

Cainiao international Logistics, a subsidiary of Alibaba, has launched a smart order combination function. When overseas consumers use the same address to place shopping orders at different stores on AliExpress, the system will collect the packages from different stores through the intelligent order closing function, and then pack them into a package again and send them to the consumers. Through intelligent order combination, Cainiao not only improves logistics timeliness, but also reduces logistics costs.

With the help of digital intelligence logistics technology, cainiao's cross-border e-commerce logistics has realized the traceability of logistics details in the whole link through the improvement of intelligent supply chain and the improvement of algorithm, which solves the previous situation that the details of cross-border parcels are not visible. Allowing people to track their packages from time to time enhances the shopping experience.

At the same time, equipped with digital assembly line, cross belt sorting machine and other intelligent equipment, designed for intelligent single collection warehouse, and has a fully automated sorting mode and sorting equipment, with the intelligent distribution system developed from the distribution center, not only improve the efficiency of parcel sorting, but also reduce the cost of sorting.

Jingdong is also willing to lag behind in the construction of digital intelligence in the logistics industry. In 2021 "Double 11" period, JINGdong logistics launched the supply chain logistics number of intelligent service products - intelligent business warehouse.

The intelligent business warehouse is guaranteed by the warehouse distribution service of JD Logistics. Through the application of prediction algorithm, inventory model and big data to the national warehouse and warehouse allocation management, it reduces delivery nodes, shortens the communication chain, helps customers improve the efficiency of supply chain management and reduces the complexity of management.

At present, JINGdong logistics intelligent business warehouse has broken the limitations of integrated supply chain project-type services, and provides standard services for more small and medium-sized enterprises. Jingdong logistics intelligent business warehouse has appeared in the supply chain management of food and beverage, beauty and cosmetics, healthcare and other industries.

Take a certain cosmetics merchant as an example, it has been in the state of cross-region order default for a long time. The cross-region order default rate is as high as 37%, and the next-day delivery time is only 55%. After three weeks of access to jingdong Logistics intelligent business warehouse service, inventory readjustment is made through digital intelligence decision, and the next-day availability is increased to 90%. The store's next-day delivery time is 15 percent better than before, resulting in a much improved customer experience and a 60 percent increase in sales.

In addition to improving the efficiency of logistics industry, digitalization can also empower enterprises in other industries.

Intime Department Store, an old retail company, puts all its products on the cloud for the new retail digital transformation. Through this initiative, Intime department Store completely connected online and offline, realized the comprehensive digitization of consumers, shopping guides, counters, commodities and suppliers, and laid a foundation for business innovation. Through this digital innovation, Intime increased its transaction peak by more than 20 times while maintaining the same IT cost.

The catering industry is the same, haidilao after the launch of its own APP operation more accurate. Through haidilao APP, customers can not only place orders in advance, but also reduce the waiting time in line. You can also share your own original hot pot taste on social network, carry out nationwide PK, and truly realize "hi together" with netizens from all over the country.

As early as 2015, Li Ning, a sportswear brand, established a "digital business platform" with Ali Cloud to transform itself into an Internet + sports life experience provider. At the sales end, Li Ning stores have launched "cloud shelves" and "smile discounts" to enhance the shopping experience for consumers. In the warehouse end, Li Ningtong through the number of intelligent construction, will rely on manual adjustment and replenishment behavior in the past, into the information system automatic decision. At present, Li Ning a subsidiary of 100 stores of the size of the replenishment decision action, as soon as 2 hours can be completed, operational efficiency has been greatly improved.

Mengniu Group, the dairy giant, has been rapidly promoting digital-intelligence transformation and continuous innovation, expanding from the processing end to the downstream, covering planting, breeding, logistics, sales and other links, and constantly improving the integration level of the whole link.

Lu Min, president of Mengniu Group, said: "Our biggest challenge is to realize consumers' demands in the supply chain with low cost and high efficiency, starting from the pasture to the consumer end with digitalization and intelligence."

In addition to the above enterprises, feihe, FAW, China Mobile, Tongcheng Yilong, Kingdee, IFlyTEK, Tencent and other enterprises have also made many attempts in the transformation of digital intelligence. Digital intelligence has been applied in many industries including retail, tourism, automobile, Internet, medical, education, energy and so on. Digitalization is not limited to one or two industries, but has become an important part of the entire economic activities.

Is digitalization the future?

In this way, the construction of digital intelligence is very important for the future of enterprises. The formation of the age of digital intelligence is of great significance to the development of society. However, at present, enterprises are facing many problems in the construction of digitalization.

First of all, digitalization is not simply data extraction, and the industrial upgrading caused by digitalization cannot be completed only on the software side. The construction of digitalization needs not only software update, but also hardware cooperation. The comprehensive construction of digitalization requires the upgrading of existing infrastructure, which is not only costly and costly, but also requires a longer cycle and higher technical level.

The construction of digital intelligence not only puts forward new requirements to infrastructure. It also puts forward requirements for today's enterprises. Under the requirement of digitalization, enterprises also need to update the existing equipment and machines. For most enterprises facing fierce competition, no matter the required capital, or the cost of time and energy, is not a small cost.

Secondly, the number intelligence to the current mode of production and life, also put forward a challenge. It is not easy for producers to change their working and living patterns, which have accumulated over decades. The in-depth application of digitalization will profoundly change the previous working and living mode. Consumers' experience will be completely different from that of shopping in shopping malls or ordering food in restaurants, and this change in behavior pattern is likely to become an obstacle to the implementation of digitalization.

Finally, digitalization reorganizes everyone's thinking and social relationships. In the age of digital intelligence, all our behavior patterns are being reconstructed, so we need to change our way of thinking. At the same time, in order to adapt to the changed mode of production and life, our social relations also need to be restructured.

In the next few years, it will be a window period for digital intelligent infrastructure to accelerate installation, digital intelligent transformation of enterprises to accelerate first, and overtaking cars in curves. A group of leading enterprises in thinking and action will take the lead in seizing this round of jump start window period to comprehensively improve their ability of digital intelligence, so as to get beyond the intergenerational competitiveness of traditional enterprises.

In the past few decades, we have experienced the transformation from IT, online, cloud, dual-wheel drive to full-link digital intelligence. From digitalization to digitalization reflects not only the name change, but also the reconstruction, migration and switch of new digital business infrastructure, which is the reconstruction of digital business ecology with consumer operation as the core.

At present, digital intelligence is helping the rapid growth of new forces, including both the new brand breeding on the digital platform, the use of digital technology to create new industries, and the full embrace of digital traditional enterprises.

In the face of the advent of the era of digitalized innovation, both enterprises and everyone of us should prepare for the future, make arrangements in advance, and better apply the concept of digitalized innovation into daily production and life. Technology empowers society, change creates the future. With the wings of digitalization, our society, with all its diversity, will surely grow like a tiger and usher in a better new era.

Marketing Strategy

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From "digitization" to "digitalization", digitalization will become the next battle field