How does the conversion process between binary and hexadecimal systems simplify computations in digital electronics, and what are the steps involved?

Converting between binary and hexadecimal simplifies computations by reducing the length of binary strings, making them easier to read and process. Each hexadecimal digit represents four binary digits. To convert, group the binary digits into sets of four, starting from the right, and then replace each group with the corresponding hexadecimal digit. For example, the binary number 11010110 converts to D6 in hexadecimal.