Digital Transformation from Consumer Internet to Industrial Internet

Author: Xiangyang Guo Dan

Big Data DT (ID: hzdashuju)

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From Consumer Internet to Industrial Internet

In the era of knowledge economy, the Internet has begun to rise; since the 21st century, the mobile Internet has made great progress with the popularization of intelligent terminals, sweeping the world. Initially, the Internet mainly focused on connection and matching, leaving an image of free, money-burning, eye-catching economy, and traffic as king. Advertising, games, and e-commerce became the earliest business models.

In 2012, the concept of "Internet +" was put forward. In 2014, the first World Internet Conference proposed that the Internet is a new tool for "mass entrepreneurship and innovation".

At that time, the industry still had different interpretations of "Internet +" or "+ Internet". The position of the "+" sign represented the coveting and subversion from the Internet to the traditional, or the embrace and transformation from the traditional to the Internet. Practitioners in traditional industries generally believe that "a car is a car first, and tofu must be tofu". After all, the Internet is still limited to the digital world.

In 2017, "digital transformation" replaced "Internet +" , and the digital economy and traditional industries have reached a certain balance. In 2018, it was mentioned at the opening of the first Digital China Construction Summit that informatization cultivates new kinetic energy, new kinetic energy promotes new development, and new development creates new brilliance. After preliminary exploration and market cultivation, coupled with the impact of the epidemic in 2020, digitalization has become the main driving force for social development, and digital transformation has become the consensus of the whole society.

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Digital transformation brings profound changes to enterprises

The core of digital transformation is the deep integration of digital technology and industry. In the era of digital economy, the Internet is the infrastructure, and data becomes the new means of production. The data-driven digital economy will further touch the core business of enterprises on the basis of the previous digitalization of consumption and marketing. Digital transformation is the reconstruction of supply-side and production-side business systems through the support of digital technology and its capabilities, so as to build a more creative digital business entity.

With the integration of industrialization, urbanization, and informatization , China's digitalization has become a trend in the world unconsciously. In the past, Internet companies gradually penetrated into manufacturing, medical care, transportation, new energy and other fields to make up for their own shortcomings in industry accumulation and enhance their ability to serve customers in the industry; at the same time, they moved from business model and application innovation to technological innovation, and began to lay a solid foundation. In the strategic direction, it will develop in-depth to the hard-core technology stack such as chips and systems.

Traditional enterprises have also begun to gradually introduce digital technologies, and use cloud computing, big data, artificial intelligence, AIoT and other capabilities to reconstruct business systems, so as to deeply tap customer value, reconstruct enterprise processes, improve delivery services, and respond to challenges in competition. Drive Enterprises create new value.

The in-depth integration of digital technology and traditional industries has brought about the improvement of production efficiency and the change of production mode, which has become an important driving force for industrial transformation and upgrading. As we have already seen, "digital government" is building better urban governance and intelligent infrastructure for public services. Behind the "run at most once" is the transparency, convenience and efficiency of people's livelihood services, and it is a new trend to change the need for people and services.

"Intelligent manufacturing" is developing in the direction of full-process automation and data intelligence. The integration of industrial big data (industrial brain) and the industrial Internet (AIoT) and the connection of data make flexible production and yield improvement possible. Among the top 500 Chinese enterprises in 2021, 249 are manufacturing enterprises, and intelligence has become the key to success for enterprises.

"Smart Agriculture" makes this most traditional industry no longer rely only on the weather and individual experience. Big data collects environmental parameters such as temperature, humidity, light, soil, etc., and automatically turns on and off the corresponding equipment in combination with the expert knowledge base, enabling agriculture to achieve This has led to the great development of productivity from "facing the loess with the back to the sky" to "facing the screen with the back against the data".

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Enterprise Change Brings Challenges and Opportunities to Human Resources

"Accelerating digital development and building a digital China" pointed out in the national "14th Five-Year Plan" and the outline of the long-term goals for 2035 is to give full play to the advantages of massive data and rich application scenarios, promote the deep integration of digital technology and the real economy, and empower The transformation and upgrading of traditional industries has spawned new industries, new business formats, and new models, and strengthened new engines for economic development.

The digital economy and traditional industries have formed a situation of cross-integration and harmonious reconstruction, and the digital world and the physical world have moved from being independent of each other to an era of deep integration.

The profound changes of enterprises also bring greater challenges and opportunities to human resources work. Digital transformation redefines the core business of the enterprise. First, it is the change of concept and system. Second, the new industrial ecology and new production model mean new leadership for change, new organizational form and management, and new composite structure. Talent quality model, and finally need to create a new cultural system that is compatible with it.

In the future, there will be no difference between technology companies and traditional companies. The times call for leaders with great patterns and more agile corporate management. As the earliest HRBP born in large-scale technology companies, it has gradually grown up in the exploration, and has driven thousands of troops on the battlefield with a huge radiation effect. HRBP has a long way to go in the vast world.

This article is excerpted from "Business Oriented: Huawei and Ali's HRBP Value Creation Three Layers and Twelve Forms", published with the authorization of the publisher. (ISBN: 978-7-111-70495-9)