Note this is very slack language, and not precise. It's to give a flavour of the answer, not to be exact technically.
The big deal of it, is really in three parts.
- A lot of calculations are really complicated with basic mathematics, or just plain impossible. We need new ways to do many "real world" problems that bypass these difficulties.
- A huge number of problems, are difficult because they involve something that varies gradually. A curve of some kind, or something that's not a straight line (for example) if you drew it. But if you looked at the tricky curve with a bigger and bigger magnifying glass, focusing on smaller and smaller bits of it, it would start to look more and more almost like a straight line.
We can do maths on straight line things much easier. So if we could imagine extending that with an infinitely powerful magnifying glass, we would get more and more, flatter and flatter line segments.
Differentiation and integration are words we use to describe this process. We can break down a shape or curved thing, mathematically, into a vast number (infinite number) of tiniest flat things (infinitesimally small items). We can also add up this infinity of flat parts muxh easier, to "reassemble" the curve ...... but this time in a way that we can use maths of straight lines to do the hard work, bypassing the original roadblock.
- It also turns out when we do this, we have found ways to analyse how things change, and how things build up, which is a hugely important trick with an incredible number of practical uses in mathematics, physics, and the real world.
(Will this beam support that weight? How much water to fill this odd shape container? How much fuel is needed to get a satellite to orbit, given it has to use more fuel to carry that fuel? How fast or far will we travel? What is the point on a curve that is lowest or highest? Literally, more uses than you could count in a lifetime. Those are some simple ones.)
Update - your last point
I didn't really answer this, and want to add a simple example:
why does differentiation have so much significance in physics, if we are only dealing with infinitesimal small changes? Also, what does it mean to find the rate of change of a quantity at a particular value (K here)? What’s the use?
Suppose an object moves around a circular path 10m wide (diameter), at 1 m/sec. So in an ideal world of mathematics and physics problems, it has a circumference of 31.4m, and takes 31.4 seconds to walk around, or about 7.9 seconds to make a quarter turn.
Now, if we scale that down, that means in 7.9 seconds we turn 90 degrees. So in 1 second it turns 11.6 degrees. In 1millisecond it turns 0.0116 degrees, and every microsecond, turns just 0.0000116 degrees which is a tiny amount.
The point I'm making here is that the numbers are becoming infinitesimal, but you cant ignore the rate of change. 360 degrees in 31.4 seconds is the same amount of turning as 90 degrees I 7.85 seconds, or 11.6 degrees in 1 second, or 0.0000116 degrees in one microsecond.
That's the "rate of change". The rate of change here, is how quickly its direction changes per unit time - and that's the same rate whether you say 11.6 degrees in 1 second, 1.16 degrees in 0.1 seconds, or 0.0116 degrees in 1 millisecond.
So the rate of change of the direction it's moving, is the same for all of these.
In a way its the same as saying 2/4 = 3/6 = 1000/2000. The ratio is what matters, not the tiny sizes. That's an important insight.
Like I said above, what the tiny sizes let us do, is to approximate tricky mathematics about curves and shapes, by tiny straight lines that are much easier to work with.