Research On The Impacts Of Digital Transformation On Performance Of Midea Group

The development of science and technology is the field that the country pays close attention to.The tide of informationization is sweeping the whole world.The digital economy has become the new engine of the social economy.Enterprises need to respond to the competition through digital means,and quickly respond to the new normal of the economy through the agile transformation of organization,technology,business and supply chain.The report to the 20 th National Congress of the Communist Party of China pointed out that accelerate the development of the digital economy,accelerate the joint development of digital economy and real economy,and build internationally competitive digital industrial clusters.The real economy is the foundation of a country’s economy and the fundamental source of wealth creation.This is conducive to the development of new models for high-quality development.By July 2022,China’s industrial digitalization accounted for more than 80 percent of the digital economy,and the digital economy has penetrated into every field of traditional industries.The digital economy is developing at an unprecedented speed,with unprecedented coverage and impact.It is an absolute force for changing the world economic pattern,redistributing social resources and increasing the global economic growth rate.Digitalization plays an important role in helping enterprises reduce costs,increase efficiency and improve quality.Therefore,it is worth discussing how to use digital transformation to help enterprises improve their business capabilities and achieve competitive advantages.The study of mature enterprises in digital transformation can provide other enterprises with transformation ideas and referential experience.Midea Group is a leader in the home appliance industry,and is recognized as a successful model of digital transformation of manufacturing enterprises.How does Midea Group transform into a digital beacon through strategy breaking the game,and how does it affect the performance of enterprises after transformation? This thesis will carry out an in-depth discussion from the above aspects.This thesis uses literature analysis to sort out domestic and foreign literature on digital transformation and enterprise performance,and combines case analysis to study the motivation,performance and path of digital transformation of Midea Group,and then draws conclusions and suggestions.First of all,this thesis explains the basic concepts of digital economy,digital transformation and enterprise performance,and briefly introduces the theoretical basis of contingency theory,technological innovation,process reengineering and organizational change.Secondly,in the part of case analysis,elaborated the basic situation of Midea Group,and then from the digital technology,market environment,management,user demand four aspects.After analyzing the motivation of digital transformation of Midea Group,the thesis describes the process of digital transformation of Midea Group according to the time line,and summarizes the results of the stage of digital transformation of Midea Group,paving the way for the following performance impact research.On this basis,from R&D,management,logistics,production,marketing and service five aspects of the United States Group digital transformation path summarized.Then,this thesis analyzes the influence of Tobin Q value on the market value,and compares the profitability,operating ability,solvency and follow-up development ability with the industry average level.In addition,the thesis analyzes the non-financial performance indicators of Midea Group after the transformation from four aspects: corporate culture,research and development innovation,brand recognition and market share,and finds that the digital transformation has improved the corporate performance of Midea Group to some extent.The conclusion of this thesis is as follows: enterprise digital transformation can reduce cost and increase efficiency,so as to improve enterprise performance,optimize operation efficiency,and promote the continuous improvement of R&D and innovation ability.On the basis of this research,it points out that Midea Group needs to further optimize and improve from three aspects: cost reduction and efficiency increase,collection efficiency,and group industry and financial integration process system in the later stage of transformation.Through the digital transformation experience of Midea Group,it can be concluded that enterprises should formulate transformation strategy according to the actual situation,build digital corporate culture,build data analysis platform,invest in talents and open employment,rather than blindly imitate.