Research Scholar

Department of HDFS

C.S.A. University of Agriculture & Technology,

 Kanpur, Uttar Pradesh, India 

Associate Professor and Dean

M.A.B. College of Home Science

C.S.A. University of Agriculture & Technology,

Kanpur, Uttar Pradesh, India

Abstract

Digitalization has propelled the world into carefully linked and engaged society. It is a result of different technological improvements with progressive creativity. It creates numerous changes in human life and inspires them to always strive for the superior way to improve existing technologies. The idea behind digitalization is to improve participation of individuals at a single platform to create a better responsive frame work. In this digital era globalization is achieved by utilizing various digital platforms. The last two decades digital platforms were the largest corporations to connect customers and manage suppliers. They enable communication and data sharing among employees across the world. Digitalization can connect anyone anywhere which creates better globalization opportunities.

Keywords: Digitalization, Digitization, Globalization etc. 

Introduction

Digitization: Prerequisite of Digitalization

The process of converting information into digital format (Computer readable format) is known as digitalization. It is the representation of an image, object, document, sound, or signal into numbers which is known as the digital form or digital image of the object. With the continuous evolution of digital computers in the 20^th century, the processed data is converted into binary numbers i.e. 0 and 1.  Apart from binary other numerical formats such as decimal or any other number system can be used for the conversion of the analog material. The process of digitaization is crucial because of its importance in data processing, storage, and transmission. It allows information of all kinds in all formats to be carried and converted into digital format with the same efficiency (McQuail, 2000). Whereas digitalization is the “ integration of digital technology into everyday life “.

Need for Digitization

During technological revolution with higher rate of innovations leads the information to pass quickly from one individual to another, despite their location. Digitization helps us in preserving and enabling the original material into digitalised form which can be used as a substitute for the original. It also increases the efficiency of reproducing the digitalized secondary form. In any perilous situation when the stored information is partially destroyed digitization, enables its exact and full recovery. Apart from this digitization is a continuous process because we aspire to improve ourselves by inventing easier, faster and efficient passage of information.

v Digitization increases the productivity which leads to higher workflow.

v The digitalized can be quickly accessible, retrievable and easily transferable which results in higher output.

v It also enables resources online for distance research.

v It is time efficient.

v It allows us to preserve our relics and legacies for our future generations, which they can access at any time.

v In various technologies with the help of digitization collaboration can be possible among various people in spite of their distance.

v It also provides a systematic record of any transaction.

v It also reduces cost of handling, processing and storing paper documents.

v It also provides security and maintains confidentiality of an individual.

Advantages of digitization

v Cost efficient.

v Increase productivity.

v Effective storage.

v Provide backup.

v Save space.

v Required less manual labour.

v Provide connectivity at local, national and international level.

v Provide quick access to any document, anywhere.

v Enable people to access any document at the same time.

v Provide extended data recovery.

v Enables flexibility in operations.

Disadvantages of Digitization

Apart from technical issues digitization faces various problems such as

v Require technical staff or experts to operate.

v Require time and money to train the professionals who can perform effectively.

v Requires digital storage space.

v Requires proper classification and indexing in storage.

v Lack of technology and online accessibility to every individual reduces its productivity.

v Requires proper administration and regulations.

Onset of Digitalization

Digitalization is a technological trend which is ever-changing and improves both the society and business. It is the ultimate consequence of digital transformation. The term digitalization stems from the term digitization, which consists of “the use of digital technologies and of data in order to create revenue, improve business, replace/transform business process and create an environment for digital business, whereby digital information is at the core” (Clerck, 2017 ). Srai and Lorentz describes digitization is the material process of converting analogue streams of information in digital bits whereas, digitalization refers to the technology of digitalising information”.

With the invention of internet in 1995, digitalization has witnessed some massive and ground breaking revolutions which have affected our day to day life. It creates evolutions in not only tools and gadgets but acquires a larger part of our lifestyle buy inculcating itself in all the disciplines and applications of our life. The technological development such as internet, and smart-phones during last two decades have affected our economic, political and social life ( Hanson and Salskov, 2005). The diffusion of Information and communication technologies shows that digitalization creates a link or connection of oneself to the outside world. These diffused digital technologies makes the world “flat” which means that they create a platform where everyone can participate. It reduced the barrier of time and space.  

Impact of digitalization on different sectors

After the industrial revolution human being have shown tremendous potential in their progressive thought process which always strives to achieve the best results. In fact, now this quality has leaded them into the era digitalization where everyone be an individual or countries are completely digitalized and engaged the society in superior way. Now the entire world is not focused on accumulating information but they are more invested into becoming more technological advanced and friendly. They dreamed about the world which can be accessed at the tips of their fingers or at a single tick. Digitalization helps in providing government administration accessible to everyone carefully and enhanced the flow of information with mechanical advancement. It can bring all the sectors into our palm like- e-health, Digital library, e-signature and e-education etc. Everyone can be profited by using it which requires less time and limited use of cash with the account of zero physical as well as psychological involvement.

Importance of Digitalization in achieving globalization

Due to digitalization the world has become more intricately connected than ever before. In 1990, $5 trillion which measures up to 24percent of world GDP was utilised in the form of goods, services and finance globally. It was the outset of public internet and at that time international tourist arrival was about 435 million. Fast forward to 2014: some $30 trillion worth of goods, services, and finance, equivalent to 39 percent of GDP, was exchanged across the world’s borders and the arrival of international tourist soared above 1.1 billion. Now internet plays a major role by providing global network and connecting billions of people as well as various companies around the world in a flash.

Flows of physical goods and finance were the hallmarks of the 20th-century global economy, but today those flows have flattened or declined. Globalization in 21^st century is entirely based on the flow of information and data. Now all cross-border transactions within traditional flows are supported by digitalization while concurrently transmitting a valuable stream of ideas and innovation around the world.

Globalisation in 20^th and 21^st Century

	20th Century	21st Century
1.	Tangible flows of physical goods	Intangible flows of data and information
2.	Flows mainly between advanced economics	Greater participation by emerging economies
3.	Capital and labour intensive flows	More knowledge intensive flows
4.	Transportation infrastructure is critical for flows	Digital infrastructure becomes equally important
5.	Multinational companies drive flows	Growing role of small enterprises and individuals
6.	Depends on monetized transactions	More exchanges of free content and services
7.	Ideas diffuse slowly across borders	Instant global access to information
8.	Innovation flows from advances to emerging economies	Innovation flows in both directions

Digital Globalisation

The world has been connected deeply by commerce, communication, and travel than it was ever before. But the pattern of globalization is shifting. At some point tangible goods have been dominating the trade and highly confined it within advanced economics and their large multinational companies. Today global data flows are surging, and digital platforms allow more countries and smaller enterprises to participate. This shift has far-reaching implications.

Digital platforms create more efficient and transparent global markets in which far-flung buyers and sellers find each other with a few clicks. The near-zero marginal costs of digital communications and transactions open new possibilities for conducting business across borders on a massive scale.

Challenges

The era of digital globalization also has its challenges. New markets are open for companies but they have to face the current pricing pressure intense global competitors, and highly disruptive digital business models.  Data has to be protected against cybercrime. It opens a digital world for students in which they can educate themselves online from anywhere on earth, but their view into other societies can heighten their impatience with bleak job prospects at home. Social media creates global communities but also allows networks of extremists to connect. It will take more international coordination to deal with many of these issues. Today’s version of globalization is vastly more complex and fast-paced, but connectedness can be a path to growth.

References

1. Clerck, J. Digitalization, Digital Transformation: The Differences. i-SCOOP (2017).

2. Hansen, H., Salskov-Iversen, D.: Remodeling the transformational political realm: partnerships, best-practice schemes, and the digitalization of governance. Alternatives 30(2), 141–164 (2005)

3. http://www.businessdictionary.com/definition/digitalisation.html

4.https://www.mckinsey.com/~/media/mckinsey/business%20functions/mckinsey%20digital/our%20insights/digital%20globalization%20the%20new%20era%20of%20global%20flows/mgi-digital-globalization-full-report.ashx

5. McQuail, D. (2000). McQuail's mass communication theory (4th edition). Sage.

6. Srai, J., Lorentz, H.: Developing design principles for the digitalisation of purchasing and supply management. J. Purch. Supply Manag. 25(1), 78–98 (2019)