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‘Digital transformation’ is the latest buzz phrase but what does it really mean? ...

‘Digital transformation’ is the latest buzz phrase but what does it really mean?

Our latest seminar aimed at the key decision makers in your organisation, takes a look at the difference between those who are digitally reactive, strategic, and transformational and asks: Which are you and what difference does it make to your business?

We look at the challenges and tangible benefits of digital transformation and why it needs to move out of the marketing team and into the boardroom, and look at how crucial it is for organisations to continuously adjust their business model in order to keep up with the fast pace of digital advancement, keep ahead of the curve and to ensure that digital is fully embedded and delivering the best possible results across all aspects of your business.

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    Daring to be_digital seminar_5th march edinburgh Daring to be_digital seminar_5th march edinburgh Presentation Transcript

    • MARK SHERWIN – GLOBAL COMMERCIAL DIRECTOR ROB VAN TOL – SENIOR STRATEGIST RYAN SACKETT – UX & STRATEGY CONSULTANT
    • EDINBURGH PERTH LONDON MELBOURNE CARDIFF HONG KONG
    • Our broader experience
    • Missoni_Conference MissoniGuest2014 #PrecSem @PrecedentComms
    • WE ARE EVOLVING FROM A MARKETING CENTRIC TO BUSINESS WIDE VIEW OF THE WEB The Website Web strategy Digital strategy Digital transformation Business-wide impact Marketing centric
    • TODAY WE WILL EXPLORE WHAT IT MEANS TO ACHIEVE DIGITAL TRANSFORMATION DIGITAL TRANSFORMATION REFERS TO THE CHANGES ASSOCIATED WITH THE APPLICATION OF DIGITAL TECHNOLOGY IN ALL ASPECTS OF HUMAN SOCIETY. DIGITAL TRANSFORMATION MAY BE THOUGHT AS THE THIRD STAGE OF EMBRACING DIGITAL TECHNOLOGIES: DIGITAL COMPETENCE -> DIGITAL LITERACY -> DIGITAL TRANSFORMATION. THE LATTER STAGE MEANS THAT DIGITAL USAGES INHERENTLY ENABLE NEW TYPES OF INNOVATION AND CREATIVITY IN A PARTICULAR DOMAIN, RATHER THAN SIMPLY ENHANCE AND SUPPORT THE TRADITIONAL Wikipedia | ‘Digital Transformation’
    • THOSE ORGANISATIONS THAT DO NOT FUNDAMENTALLY TRANSFORM ARE RAPIDLY BECOMING IRRELEVANT
    • DIGITAL TRANSFORMATION IS ABOUT FUNDAMENTAL CHANGE If you think being 'in e-business' means suturing on an e-commerce appendage to your body corporate, then think again. We promise you that won't work... You've got to be prepared to let that e-business commitment ripple through and shake up that body corporate. And like an 8.0 earthquake, you must be prepared for the rearrangement that will inevitably occur. Keyur Patel & Mary Mccarthy | Digital Transformation, 2000
    • AND THERE IS NO POINT IN SIMPLY WAITING TO SEE WHAT OTHERS DO Innovators 2.5% Early Adopters 13.5% Early Majority 34% Keyur Patel & Mary Mccarthy | Digital Transformation, 2000 Late Majority 34% Laggards 16%
    • THOSE WHO DO NOT INNOVATE WILL FALL IREVOCABLY BEHIND Innovators 2.5% Early Adopters 13.5% Early Majority 34% Keyur Patel & Mary Mccarthy | Digital Transformation, 2000 Late Majority 34% Laggards 16%
    • In a world filled with uncertainty, it’s easy to fall into a “wait and see” mind-set. But waiting and saying “no” has a cost just as high, if not higher, than saying “yes.” Because technology is increasing so fast and because we are in a period of rapid transformation are the exact reasons why you can no longer “wait and see” what will happen. Remember this: “If you don’t do it, someone else will.” And they’re doing it right now! Daniel Burrus, Flash Foresight
    • How is your industry being digitally disrupted?
    • WE’LL ALSO HELP YOU FIND YOUR INNER HERO…
    • WE’RE GOING TO EXPLORE 5 KEY THEMES 1. Customer service, the missing link 2. Harnessing the wisdom of crowds 3. New money models 4. The tricorder 5. The Internet of things
    • Customer service, the missing link
    • DESIRE INTEREST ADVOCACY INVOLVEMENT The AIDA reflection | Mark Sherwin, Precedent 2013 ACTION DELIVERY AWARENESS MARKETING CAN NO LONGER SIMPLY FOCUS ON AIDA IT MUST FOCUS ON AIDA AND ITS REFLECTION
    • WIGGLE - NOT JUST AN ACQUISITION MODEL
    • WIGGLE - NOT JUST AN ACQUISITION MODEL
    • WIGGLE - NOT JUST AN ACQUISITION MODEL
    • WIGGLE - NOT JUST AN ACQUISITION MODEL
    • WIGGLE - NOT JUST AN ACQUISITION MODEL
    • LOVEFILM – FAILING AT THE FINAL HURDLE
    • LISTENING AND RESPONDING IN A HUMAN WAY IS A GOOD START
    • …AND CHOICE MAKES PEOPLE FEEL BETTER
    • TECHNOLOGY ENABLED CUSTOMER SERVICES
    • TECHNOLOGY ENABLED CUSTOMER SERVICES
    • Harnessing the wisdom of crowds
    • USES OF CROWD SOURCING Idea Generation Research & Development Financing Operations ?
    • IDEA GENERATION - LEGO
    • R&D - GOLDCORP
    • FINANCING - KICKSTARTER x
    • OPERATIONS - GIFF GAFF
    • ? – SHUTLR
    • TURNING ADVOCATES INTO STAKEHOLDERS Idea generation Operations Stakeholders Financing Research and Development
    • How could your business harness the wisdom of crowds?
    • New money models
    • WE’D WANT TO HIGHLIGHT NINE DIFFERENT TYPES OF BUSINESS MODELS ALL OF THEM HAVE BEEN IMPACTED BY THE WEB  Brokerage | Bringing buyers & sellers together e.g. Estate Agents, IFAs  Advertising | Content provider carrying adverts e.g. Google, Facebook  Infomediary | Consumer habits & personalisation e.g. DoubleClick  Merchant | Selling e.g. Amazon, John Lewis, Argos  Manufacturer Direct | Build and sell e.g. Dell  Affiliate | Revenue sharing e.g. Amazon  Community | User supported e.g. Open source, Kickstarter  Subscription | Periodic payment e.g. Guardian, Spotify, membership orgs  On-demand | Pay as you go e.g. In App/Game Payments
    • MERCHANTS: CUSTOMERS WANT INCREASINGLY GRANULAR PURCHASING OPTIONS. MAKE THIS SIMPLE, FLEXIBLE AND VALUABLE AND THEY WILL RETURN
    • ON-DEMAND: NEW PURCHASING MODELS CAN DRIVE NEW CONSUMER HABITS AND DELIVER GREATER RETURNS
    • OLD SUBSCRIPTION: TRADITIONAL ORGANISATIONS WILL BE USURPED BY THOSE OFFERING A MORE FLEXIBLE APPROACH TO ACCESS
    • NEW SUBSCRIPTION: TRADITIONAL ORGANISATIONS WILL BE USURPED BY THOSE OFFERING A MORE FLEXIBLE APPROACH TO ACCESS
    • NEW SUBSCRIPTION: THE VALUE OF KNOWLEDGE HAS PLUMMETED AS THE WEB HAS WIDENED ACCESS TO IT 0.69p a month
    • COMMUNITY: THESE MODELS ARE STARTING TO PERFUSE INTO MORE NICHE APPLICATIONS AND SECTORS
    • COMMUNITY: THESE MODELS ARE STARTING TO PERFUSE INTO MORE NICHE APPLICATIONS AND SECTORS
    • COMMUNITY: FINANCING – NICHE GIVING
    • BROKERAGE: A NEW SET OF KNOWLEDGE BROKERS HAS GROWN UP, TO FORCE DOWN PRICES IN ACROSS A NUMBER OF SECTORS
    • ADVERTISING: HAS HAD TO BECOME BLENDED WITH THE CONTENT
    • ADVERTISING: HAS HAD TO BECOME BLENDED WITH THE CONTENT
    • INFOMEDIARY: HAS BEEN VERY EFFECTIVE IN COLLECTING PERSONAL INFORMATION, A COUNTER TO SHOWROOMING, BUT HAS PRIVACY CONCERNS
    • AFFILIATE: PAY FOR PERFORMANCE MODEL – IF THE AFFILIATE DOESN’T GENERATE SALES, IT COSTS THE MERCHANT NOTHING
    • MANUFACTURER DIRECT: DISINTERMEDIATING THE TRADITIONAL MERCHANT AND OFFERING CUSTOMISATION ON BUILD
    • MANUFACTURER DIRECT: NEW SUBMIT YOUR DESIGN TO BE 3D PRINTED. AND A 3D PRINTER IS CREATING A PIZZA – SHADES OF STAR TREK’S REPLICATOR
    • The tricorder
    • EVERY EMPLOYEE WITH MORE COMPUTING POWER AT THEIR FINGER TIPS THAN THE SPACE SHUTTLE. ANYTIME…ANYWHERE
    • CONVERGENCE PUTS INCREDIBLE POWER IN THE PALM OF OUR HAND Wired UK | 20 Years of Wired | June 2013
    • SMART PHONES CAN NOW REPLACE MANY ANALOGUE PROCESSES AND DEDICATED DEVICES
    • THEY ALSO OFFER THE OPPORTUNITY TO PROVIDE NEW VIEWS ON TO EXISTING DATA USING CONTEXT TO STREAMLINE EXPERIENCES
    • AS DIGITAL WALLETS BECOME MORE MAINSTREAM THE MOBILE OFFERS HUGE EFFICIENCY AND PRODUCTIVITY BENEFITS
    • PHONE AS BUS TICKET AND BUS TRACKER
    • INTEGRATING DIGITAL WITH THE PHYSICAL WORLD (PHYGITAL) CREATE INNOVATIVE NEW CUSTOMER SERVICE OPTIONS
    • TECHNOLOGY ENABLED SERVICE EXPERIENCES
    • TECHNOLOGY ENABLED SERVICE EXPERIENCES
    • TECHNOLOGY ENABLED SERVICE EXPERIENCES
    • INTEGRATING DIGITAL WITH THE PHYSICAL WORLD (PHYGITAL) CREATE INNOVATIVE NEW CUSTOMER SERVICE OPTIONS
    • How will you fit into your staff and customers’ mobile lives?
    • The internet of things
    • NOT A FRIDGE WITH AN IPAD STRAPPED TO IT…
    • DIGITAL CAPABILITY IS NO LONGER RESTRICTED TO HIGH END COMMUNICATION DEVICES
    • NOT A FRIDGE WITH AN IPAD STRAPPED TO IT… The internet of things isn’t wi-fi fridges and devices with bolt on connectivity: it’s tiny, cheap sensors that will bring everyday objects to the network – in their billions’ ‘By strapping a receiving computer to the side of it, the internet fridge brings the internet to the device. By connecting transmitting sensors to the network, the internet of things brings the device to the internet.’ BEN HAMMERSLEY | WIRED, 2013
    • THIS CREATES HUGE OPPORTUNITY FOR NEW MULTI-INPUT, MULTI-OUTPUT DIGITAL INTERACTIONS
    • THIS CREATES HUGE OPPORTUNITY FOR NEW MULTI-INPUT, MULTI-OUTPUT DIGITAL INTERACTIONS Use case from The New Digital Age | Schmidt and Cohen 2013
    • THE INTERNET OF THINGS IS PERVADING EVERY FACET OF OUR LIVES Learns your behaviour by you manually changing the temperature, and it learning your routine. And can be adjusted by your smartphone app.
    • THE INTERNET OF THINGS IS PERVADING EVERY FACET OF OUR LIVES
    • THE INTERNET OF THINGS IS PERVADING EVERY FACET OF OUR LIVES
    • THE INTERNET OF THINGS IS PERVADING EVERY FACET OF OUR LIVES WHETHER WEARABLE OR AMBIENT
    • THIS IS A 2020 CONCEPT FROM SONY ABOUT A FULL COMPUTER YOU WEAR ON YOUR WRIST
    • BIG NAME BRANDS NEED TO ADAPT FAST TO SURVIVE
    • WHILST PERSONAL DEVICES MAY IN FACT MAKE UP AN INTERNET OF THINGS, COMMERCIAL AND MUNICIPAL APPLICATIONS HAVE MUCH WIDER OPPORTUNITIES
    • WHILST PERSONAL DEVICES MAY IN FACT MAKE UP AN INTERNET OF THINGS, COMMERCIAL AND MUNICIPAL APPLICATIONS HAVE MUCH WIDER OPPORTUNITIES
    • How will you be / how are you being impacted by the Internet of Things
    • Gotcha, but how do I make that 15%?
    • FIRST WE MUST ARTICULATE WHAT IT MEANS TO EMBRACE DIGITAL TRANSFORMATION The Website Web strategy Digital strategy Digital transformation Business-wide impact Marketing centric
    • DIGITAL MUST MOVE FROM A MARKETING FUNCTION TO A BUSINESS-WIDE IMPERATIVE Daring to be Digital | Adrian Porter, Head of Strategic Research, Precedent 2013
    • AND TO GATHER SUPPORT IT MUST DELIVER TO ALL PARTS OF THE BUSINESS DIGITAL TRANSFORMATION Digital Transformation | Adrian Porter, Head of Strategic Research, Precedent 2013 DIGITAL TRANSFORMATION
    • GENERATE IDEAS AND LOOK FOR THOSE IDEAS THAT IMPACT ACROSS ORGANISATIONAL GOALS
    • A STORY IS WORTH 10,000 WORDS
    • UNDERSTAND HOW YOU WILL MEASURE BUSINESS VALUE ESTABLISH BASELINES, CONSTANTLY MEASURE, OPTIMISE AND EVOLVE We need to deliver recognisable and measureable business value every three to five months. That is imperative, otherwise we lose credibility and trust. CLAES MANSSON | DIRECTOR, ICT STRATEGIC INVESTMENT PROGRAMME , MONASH UNIVERSITY, 2013
    • CONSIDERATIONS
    • A HERO’S JOURNEY CHANGING THE WAY BUSINESSES CREATE EXPERIENCES INCEPTION You see the need for change. You feel as if more can be done. You’re not sure it’s your responsibility and the opportunity is bigger than you envisioned. You question your calling. Perhaps you refuse it. Then you meet others who will empower you…stand by you through change. What’s the Future of Business | Brian Solis, 2013
    • A HERO’S JOURNEY CHANGING THE WAY BUSINESSES CREATE EXPERIENCES TRIBULATION Change is met with hardship. It’s unavoidable. You start to feel the discomfort from leaving your comfort zone. Obstacles will arise; budget constraints, politics, scepticism, tunnel vision, blatant ignorance. Stay true stay focused. Your customers and employees are anxious for you to succeed. What’s the Future of Business | Brian Solis, 2013
    • A HERO’S JOURNEY CHANGING THE WAY BUSINESSES CREATE EXPERIENCES TRANSFORMATION Buzz and excitement permeates the halls of your business. Employees hear about what you are trying to do, they enquire how to be part of it or how soon they’ll see the fruits of your labour. To hold consensus takes frameworks and processes. This sets the stage for how people, teams, philosophies, and technology will support the transformation. It’s always darkest before dawn. There will be pushback, more and more challenges. Keep the team strong, you’ve come too far for that. What’s the Future of Business | Brian Solis, 2013
    • A HERO’S JOURNEY CHANGING THE WAY BUSINESSES CREATE EXPERIENCES REALISATION To call this the last stage is misleading. Transformation is continual, it becomes part of your business model. Here you learn and adapt accordingly. You lift your head and notice that the people inside and outside of the organisation are noticing change. Change is now constant. Take this moment to revel in your journey. Since you are the hero in this story, your journey is just beginning. What’s the Future of Business | Brian Solis, 2013
    • How will you start your hero’s journey?
    • Transformation will not wait, pause, or stand aside while you think about it. There are three critical truths about business in this new era that you cannot afford to ignore; we might call them corollaries to the Golden Rule: 1) Transformation will happen. 2) If it can be done, it will be done. 3) If you don’t do it, someone else will. The message is clear: in the days, weeks, months, and years ahead, expect and plan for radical transformation. Daniel Burrus, Flash Foresight
    • WE SHOULD ALL BE CONCERNED ABOUT THE FUTURE BECAUSE WE WILL ALL HAVE TO SPEND THE REST OF OUR LIVES THERE. Charles F. Kettering, American inventor and businessman