Speeding up digital transformation

World over, economies are being transformed by digital technology, and Sri Lanka is no different. As digital technologies change sectors and open the door for a booming e-commerce ecosystem, the island nation has recently seen a stunning transformation in old business patterns. Conventional business models have been impacted by digitisation, with e-commerce developing, and the benefits and difficulties that come with Sri Lanka’s use of digital technology should not be overlooked. Additionally, the importance of software should not be side-lined by the influence digital infrastructure development and Government policies play in promoting this digital transition.

The integration of digital technology into every facet of an organisation, allowing it to adapt and prosper in the digital economy, is known as digital transformation. Traditional business models in Sri Lanka have been reimagined by this revolution, enabling firms to simplify operations, improve customer experiences, and open up new income sources. Traditional brick-and-mortar businesses are increasingly using digital channels to reach wider audiences, increase efficiency, and spur development as a result of the proliferation of online platforms and mobile connections.

E-commerce in Sri Lanka has risen as a result of the digital revolution. 

Recent figures show that Sri Lanka’s e-commerce business expanded significantly, with a 50% increase in online transactions just in the last year. Customers may now effortlessly purchase online, thanks to the availability of smartphones and the growth of internet connectivity. Local e-commerce platforms and international marketplaces are more popular because they provide a huge selection of goods and services to satisfy changing customer preferences.

According to a survey by the Ceylon Chamber of Commerce, e-commerce in Sri Lanka has grown astronomically, with a market value of $ 1.3 billion expected in 2020. Numerous causes, such as the expansion of online markets, rising smartphone usage, and shifting customer tastes and trends post COVID-19, may be credited for this surge. Online stores like Daraz, and Kapruka have grown significantly in popularity and provide customers with access to a variety of goods and services.

While digital transformation offers promising opportunities, it also presents problems that must be solved. The digital gap in Sri Lanka, where there are differences in internet access and digital literacy between urban and rural areas, is one of the country’s most pressing problems. It is essential to close this gap via investments in digital education and infrastructure to enable equitable growth. Additionally, strong steps are needed to safeguard organisations and customers online from cybersecurity issues including data breaches and online fraud.

The Sri Lankan Government has launched a number of efforts to support the growth of digital transformation since it understands how important it is. The National Digital Policy (NDP) intends to boost connection, foster digital innovation, and foster digital literacy across the country. The formation of technology parks and the growth of broadband networks are only two examples of how infrastructure development lays the groundwork for digitalisation. 

Additionally, the Government’s initiatives to simplify rules and aid companies have stimulated entrepreneurship in the digital sphere.

Traditional business models have changed as a result of digital transformation, which has also fuelled the expansion of e-commerce in Sri Lanka. As digital technologies are used more widely, companies are using online platforms to expand their reach, improve efficiency, and spur development. Opportunities brought forth by digital transformation can be found in a variety of industries, including retail, tourism, and other fields. 

To achieve equitable growth, issues like cybersecurity and the digital gap must be addressed. The proactive approach taken by the Sri Lankan Government in putting regulations into place and developing infrastructure is crucial in promoting digital transformation and producing an environment that is favourable for companies to prosper in the digital era.