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Winners and Losers of a Digital Transformation

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Utilizing robotic process optimization, upgrading to a cloud server, or setting up a customer‐facing API may sound like great first steps along this journey. However, whether a company decides to use an outside consultant or drive this initiative from within their organization, there can be substantial roadblocks that hinder the digital transformation. The potential benefits of better technology must be weighed against its costs, including not only the cost of obtaining the technology but also the costs of learning how to use it and integrating it with other technologies already in use. There is also the risk of rushing into a new technology and having a more efficient technology come out just after that makes the investment that the company just made obsolete. Technological change will help some workers do their job more efficiently but potentially put others out of a job. In the end, it will be the market, profitability, and economic efficiency that have the final say on what technology will be used and how (Mokyr 1996).

The Digital Transformation of Logistics

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