To remain competitive, today’s businesses must use digital systems to improve efficiencies and meet customer needs. As people increasingly expect digital options in their daily lives, companies are reevaluating their workforces and ensuring that their employees and internal processes are prepared for digital transformation.

While it can be daunting to embrace changes brought on by technology amidst the pandemic, doing so will position your business to grow and flourish in the 21st century. One of the greatest benefits it brings is the ability to create a diverse workforce that is prepared for the future. Here are four examples of how digital transformation helps organizations do that.

1. Remote hiring

The pandemic forced companies around the globe to quickly implement remote work practices for all business functions. This included addressing the fact that employers could no longer meet face-to-face with potential hires or their current employees. This new trend hasn’t always been easy, but it has created exciting opportunities for both employers and candidates.

[ Also read Digital transformation: 5 ways to create a realistic strategy. ]

Digital tools enable business leaders and managers to provide safe distancing by interviewing and hiring employees remotely. This means they can interview and hire candidates from around the world rather than limiting their pool to a specific geographic location. Businesses have benefited by gaining a more diverse workforce that includes individuals with a variety of backgrounds and skillsets.

2. Flexible work environments

Working from home has become an essential benefit for many employees, and businesses that don’t offer remote-work options suffer higher attrition rates.

Digital transformation has provided the tools companies need to attract new candidates and retain existing employees. Remote work is here to stay, and companies that provide this flexibility will remain more competitive in the marketplace.

3. Upskilling opportunities

According to a McKinsey article, nearly 65 percent of executives believe that it is the company’s responsibility to provide employees with upskilling opportunities and prepare companies and candidates for the future of work. However, most companies have historically lacked the resources and time necessary to do so.

Digital solutions have enabled employers to offer their employees efficient, affordable upskilling opportunities. Using technology to train current employees on key skills that will help the company grow also saves recruiting time and resources.

4. Skills assessment

Assessing the skills of prospective employees via online platforms is an essential part of the recruitment and hiring process. Digital and online skills assessment tools enable employers to evaluate a candidate’s technical skills from the interview through onboarding. This not only helps employers determine a candidate’s qualifications, but it also allows employees to identify areas for improvement.

Companies must prepare for the future of work, or they will be left behind. Digital transformation can benefit every area of the organization, and leaders must consider how they can use tools that support tech-savvy teams and diverse workforces. Adopting a digital business model is the first step.

[ Discover how priorities are changing. Get the Harvard Business Review Analytic Services report: Maintaining momentum on digital transformation. ]