Set all controls for destination digital

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Set all controls for destination digital

  1. 1. SET ALL CONTROLS TO DESTINATION DIGITAL Rob Mettler, Director of Digital Business PA Consulting © PA Knowledge Limited 2013 1
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  5. 5. How can legacy businesses keep their traditional, profitable operations going, while the new digital upstarts bite into their businesses? It’s the old cannibalisation argument – if you don’t eat your children, someone else will Sir Martin Sorrell, CEO, WPP Group © PA Knowledge Limited 2013 5
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  7. 7. The digital business looks different on the outside © PA Knowledge Limited 2013 7 © PA Knowledge Limited 2013
  8. 8. Critically the Digital Business is also very different on the inside © PA Knowledge Limited 2013 8 © PA Knowledge Limited 2013
  9. 9. Market Model Finance Model New rivals, new markets, new forces New revenue streams, new costs Customer model Culture and leadership • New propositions and experiences • Mindset adapted to think digital • Creates products with customers/users • Creates new markets, disrupts self & others Processes Application and technology • Designed for self-service • Interfaces adapted to leverage SaaS & social • Highly responsive to data/social • Agile methods, rapid regular releases Infrastructure & facilities People and skills • New approaches, e.g. BYOD • New digital thinkers needed, more right brain • Internal systems and external • Data, PR and agile skills need development Information Structure & locations • New skills in real-time big data • Aligned around outcomes • Internal, external, 3rd party data • Integrating disciplines, technical & business. Sourcing and suppliers Governance & controls • New partnerships • Modified to handle real-time interaction • New types of contract • Adapted to reflect social and SaaS © PA Knowledge Limited 2013 9 © PA Knowledge Limited 2013
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  11. 11. Organisations range from those dabbling in digital to those that have reimagined their businesses and reconfigured them for the digital age A digital tomorrow DigitizingDealing w today Dabbling with Digital Dabbling with digital • • • • • • Omni-channel operations (physical, web, phone, tablet, kiosk, mobile, social) • Major growth and new revenues from digital services • Business strategy is digital strategy • Organisation re-structured to be digital – new operating models • Multi-channel e.g. on-line, mobile and phone • Some new digital customer services • Self service, zero-touch transactions • Have a digital strategy • Digital operations added to organisation No channel integration Heavily marketing biased Me-too services Minimal desire to change Minimal people with digital skills © PA Knowledge Limited 2013 – Data from senior clients attending PA Innovation event Nov 2012 © PA Knowledge Limited 2013 11
  12. 12. Organisations range from those dabbling in digital to those that have reimagined their businesses and reconfigured them for the digital age 05 5 32 3 Current position of company 02 135 Target position of company 90 151 57 60 9 19 69 16 6 11 4 8 10 7 24 78 82 05 02 151 10 12 82 9 15 135 19 113 4 90 18 12 Dabbling with Digital Dabbling with digital • • • • • 14 6 60 137 1 128 24 7 57 8 16 13 137 17 11 DigitizingDealing w today 79 69 120 13 79 113 3 8 73 78 20 5 14 32 21 128 15 120 18 20 139 1 2 73 17 139 • Omni-channel operations (physical, web, phone, tablet, kiosk, mobile, social) • Major growth and new revenues from digital services • Business strategy is digital strategy • Organisation re-structured to be digital – new operating models • Multi-channel e.g. on-line, mobile and phone • Some new digital customer services • Self service, zero-touch transactions • Have a digital strategy • Digital operations added to organisation No channel integration Heavily marketing biased Me-too services Minimal desire to change Minimal people with digital skills 12 © PA Knowledge Limited 2013 – Data from senior clients attending PA Innovation event Nov 2012 and Design for Digital Event in Sept 2013 © PA Knowledge Limited 2013 A digital tomorrow
  13. 13. Data snapshot #1 - Leaders don’t get digital and we’re lacking the skills we need 9 8 7 Responses 6 5 Our leadership team understand digital We have the right skills to succeed in the digital age 4 3 2 1 0 Strongly Disagree Disagree Neutral Agree Strongly Agree Data from PA Digital Barometer- http://digitalbarometer.paconsulting.com © PA Knowledge Limited 2013 13
  14. 14. So what’s stopping organisations? Executive sponsorship Inertia Understanding No strategy Culture Legacy Investment/bus. case Lack of agility Data from PA Digital Barometer- http://digitalbarometer.paconsulting.com © PA Knowledge Limited 2013 Expertise 14
  15. 15. Five key things to help you reach Destination Digital 1. Re-boot the leadership  Create digital leadership through education, do you need a CDO or a digital NED? 2. Educate in the language of the business  Create the evidence base (numbers & customer) – what’s the value, revenue & profit 3. Look at it holistically across/into the business  It’s not just web and apps, it’s not just a channel, get under the skin, into the business 4. It’s a journey, break it down to achievable chunks  Identify proof points (e.g. pilots) and focus on them, intercept annual planning 5. Create the A Team to drive it  Drawn across disciplines, with senior sponsorship, consider skunkworks activity © PA Knowledge Limited 2013 15
  16. 16. Rob Mettler Please complete the digital barometer http://digitalbarometer.paconsulting.com Destination Digital – the blog rob.mettler@paconsulting.com @robmettler © PA Knowledge Limited 2013 16 © PA Knowledge Limited 2013

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