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Overview of mapping, strategy and structure

Overview of mapping, strategy and structure

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  • 1. A warning from the pastand the future.What to do when Google / Amazon / Any Playerenters your industry?
  • 2. STRATEGYTake your companybusiness and IT strategy andremove ...
  • 3. TacticalChoices(BYOT)OperationalDetails(SLAs)ImplementationDetails(Private vs Public)PurchasingDecisions(Oracle vs SAP)... the How,Whatand When.
  • 4. Why?Look at what is left.Is it vague?Are decisions madebecause ...
  • 5. ... everyone else is doing it?67% of successful companies doCloud, Big Data, Social Media.
  • 6. Q. Why does a Generalbombard a hill?Ask yourself ....
  • 7. Because some reportsays 67% of successfulgenerals bombard hills.Answer A ...
  • 8. Why?Where?How?What?When?or Answer B?
  • 9. Where? Why? How?What?When?can we attackattack here overtheredo we attackto doto do itIn Military ...
  • 10. Where? Why? How?What?When?Is your Strategy a tyranny of weto doto do it"67% of successful companies doCloud, Big Data, Social Media"
  • 11. LevelofStrategicPlayUses Open to CompeteBut does it matter ...
  • 12. LevelofStrategicPlayUses Open to CompeteChancersPlayersDoing WellDoing Badly... apparently, yes.
  • 13. So how do you map abusiness landscape?... start small
  • 14. The Players Way
  • 15. NeedStep 1
  • 16. ValueChainValueChainStep 2
  • 17. CertaintyUbiquityCustom BuiltCommodityServiceProductUtilityGenesisUnderstandthings EvolveStep 3DemandCompetitionSupply Competition
  • 18. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionMapValue Chain vs EvolutionStep 4
  • 19. An example map ... it canbe quickly and easily.
  • 20. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionDifferentiationNeedStep 5
  • 21. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionEfficiencyHiddenStep 6
  • 22. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionIndustrialisedUnchartedAnarchyUncertainUnpredictableChangingDifferentExcitingFuture WorthDifferentialOrderedKnownMeasuredStableStandardDullLow MarginEssentialUnderstand competitiondrives evolution andcharacteristics changeStep 7
  • 23. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionDONT treat as singleStep 8
  • 24. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionTreat as unitsStep 9
  • 25. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionSIX SIGMAStrongWeakAGILEStrong WeakApply rightmethodsStep 10
  • 26. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionAgile, In-HouseStep 11
  • 27. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionLeverage,Buy Products,Open SourceStep 12
  • 28. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionUtility,OutsourceStep 13
  • 29. Find sharedcomponentsStep 14
  • 30. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionDifferentiationNeedEfficiencyHiddenUpdateStep 15
  • 31. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionInterfaceUnderstand basiceconomicsCommoditisation = EfficiencyComponentisation = Agility inbuilding higher order systemsthrough standard intefacesBut also ... Creative Destruction = FutureValue123
  • 32. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionInterfaceElectricityRadioTelevisionUnderstand basiceconomics123
  • 33. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionWarPeaceWonderUnderstand basiceconomicsEvolution leads to differenteconomic states of competitionwhich occurs at both a local andmacro economic scale
  • 34. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionInertiaUnderstand basiceconomicsWe all have inertia to changecreated from past success andnorms of operating
  • 35. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionInterfaceWorthAgilityEfficiencyOpenYou canmanipulate theenvironment(Strategy)Step 16
  • 36. OpenEfficiencyCommoditiseRecruitmentProtectingValue ChainStandardsEcosystemsBarrier to Entry
  • 37. EcosystemSupplierInnovateLeverageInnovateCommoditise
  • 38. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionCommoditiseInnovateAmazon BigData (EMR)LeverageEC2Big Data
  • 39. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionIndustrialisedUnchartedFirst MoverFast Follower
  • 40. Choose All ...+ Innovation+ Customer Focus+ EfficiencyAndAnd
  • 41. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionOnline PhotoStorageData CentrePowerPaymentDistributedArchitectureWeb SitePlatformFotangoCustomerCRMOnline ImageManipulationCompute2005
  • 42. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionPlatformPaaS2005Open
  • 43. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionPlatformEfficiencyAgilityWorth2005Inertia
  • 44. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionPlatformIaaS2005EcosystemCompute
  • 45. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionWhere?2005
  • 46. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionPlatform2005Why?Ecosystem
  • 47. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionPlatform2005How?Open
  • 48. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionUse a cell basedstructureStep 17
  • 49. Countcomponents atdifferent stagesStep 18
  • 50. Genesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionIndustrialTransitionalFrequencyBuild your profileStep 19Uncharted
  • 51. Genesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionTransitionalFrequencyPioneers Settlers Town PlannersRealise differenttypes of peoplehave valueStep 20IndustrialUncharted
  • 52. Genesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionPioneers Settlers Town PlannersRarePoorly UnderstoodDifferential & NovelHigh Future valueConstantly changingUndefined MarketDeals with ...Happy with ...FailureGambling & Gut FeelExperimentationUncertaintyUses ... AgileCommon componentsMost likely to build a partiallyfunctioning 3D printer with LegoIgnoring CustomersGrowingIncreasing EducationFeature DifferentiationHigh ProfitabilityMaturing ProductsGrowing MarketDeals with ...Happy with ...Constant ImprovementMarket AnalysisFeedbackTrend SpottingUses ... EcosystemsMost likely to steal a half baked Lego 3Dprinter and turns it into something that lotsof people want to buyListening to CustomersCommonWell DefinedEssential Cost of Doing BusinessHighVolumeStandardised & StableMature MarketDeals with ...Happy with ...Opertional EfficiencyMetric DrivenAnalyticsScientifc ModellingUses ... Six SigmaMost likely to be running the factorywhich builds Lego bricks and Lego kitsBuilding what is neededSteals from Steals fromUses Components From
  • 53. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionPioneersSettlersTownPlannersPopulateyour cellsStep 21
  • 54. The Chancers Way
  • 55. No MapStep 1
  • 56. Treat as one thingIncur excessivechange controlcostsSome parts will beefficientSIX SIGMAStrongWeakStep2Apply single methodsOutsource entire value chainThe problemwas the client keptchanging theirmind ...We want acontract so we knowwhat is deliveredThis isnt core tousBut wedidnt knowwhat wewanted.
  • 57. SIX SIGMAStrongWeakAGILEStrong WeakORYoYo betweenmethodsStep 3Evidence shows wework better!Evidenceshows we workbetter!Look AgileSucks!Look Six SigmaSucks!
  • 58. IT Finance MarketingOrganise bySilosStep 4 IT is unrealiable andcostlyIT is too slowand conservativeSo we need to bereliable and efficient andfast and risky?
  • 59. IT Finance MarketingSocialMediaCreate newgroupsStep 5Were different, weneed a new groupI thought we did IT? I thought we didMarketing?
  • 60. InertiaIgnore InertiaStep 6The future is alwaysunpredictable and random, sowhy worry?Weve been running thisbusiness for 40 years. Wehave lots of data. Nothing willchange.
  • 61. StandardsBoardSIAM (SRO)Technical Body -Transition Support to Depts -Procurement Body -Security Body -Other Bodies as Req -Wider Engagement(e.g. CTO Council)Wider Engagement(e.g. PSTSA)Wider Engagement(e.g. GPS)Wider Engagement(e.g. CIOs and CIO CouncilWider Engagement(e.g. GovICT PMO)PEX(ER)Cabinet CommitteeCIO DB-Acting as SteeringBoard-GovICTInfrastructureProgramme BoardCIO DB ChairInfrastructure SROs x4Infrastructure PDNEDGCTOPMOGovICT InfrastructureProgramme DirectorPB2Green ICTDelivery UnitChair: JenniferRigbyCIO CouncilIT ReformOpen Tech, Data& DocumentSTANDARDSSRO: Phil Pavitt,Paul Jones, LiamMaxwellAssetManagementSRO: LiamMaxwell(CO)Open SourceSRO: JustinHolliday (HO)ProcurementSRO: BillCrothers (CO)AgileSRO: PhilipLangsdale (DWP)Social Media,APIs, ChannelShift, Online Govt& InnovationSRO: MikeBracken (CO)CapabilitySRO: AndyNelson(MoJ)-PSN(SRO)-ReferenceArchitecture-EUD(SRO)-Hosting(SRO)-Cloud&Apps(SRO)-ProgrammeSupportEscalation route Changes whichwill impact on the StrategySupportedThroughXAMHFIJEvidence of in-effective support –Corrective action requiredCorrective action takenGEBGDSGPSQMeasure Implementationthrough CIOc, Raise Issueif Rqd,Task CIOc to SortOCCTO ExecutiveChair: LiamMaxwell(Overview RefArch andStandards)YZSRO / Accountable FeedMI / Metrics / ReportingEscalation RoutingDirect Interaction / RequestBAU Request for IA/Risk DecisionInfo StrategySRO: Paul Jones(DH)LGreen ICTSRO:John Taylor(MOD)KnowledgeCouncilChair: Karen McFRisk RegimeSRO: John Taylor(MOD)SCaRAB(Prev IADG)StandardsSponsorRaisingBodiesStandardsPanelStandardsPanels}Engagement withsupporting bodies,either directly orthrough the formationof a Working Group orForum to progressdeliveryMetricAccountableEscalationRequestEXECCommitteeSteeringBoardMeasure KPIsGreen ITCouncilIT CouncilIT StrategyKnowledgeCouncilCTOCouncilStandardsCouncilOpen StandardsCouncilSpecialist StandardsPanelsOpen SourceManagementCapabilityManagementAssetManagementInnovationManagementProcurementManagementAgileManagementGeneralPurchasing TeamGeneralEngineeringTeamInfrastructureBoardProgramme BoardRisk / SecurityCouncil & SpecialismRisk DecisionNetworksCloudBYODHostingArchitectureProgrammeSupportPMWorking Groupsas requiredTame uncertainty withGovernanceStep 7
  • 62. Choose one ...+ Innovation+ Customer+ EfficiencyRely on old modelsStep 8oror
  • 63. When they meet!
  • 64. LevelofStrategicPlayUses Open to CompeteChancersPlayersIf you ...
  • 65. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionMap OpponentStep 1
  • 66. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionWhere?Step 2Industrialise
  • 67. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)Evolution"Relationship""Cannibilisation""Legislative""Disintermediation"Why?Past SuccessStep 3
  • 68. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionWhy?Step 4Ecosystem
  • 69. StrategicPlayUses Open to CompeteChancersWhy?Step 5Your Opponents
  • 70. Open sourceResilienceFailure TestingInfrastructureLearning"Big" DataCultureStructureCorporate FocusTypeStrategy/TacticalOrganisationActivityDepartmentalInertiaProfitCost ReductionN+1Disaster RecoveryAnalystsUsedEnterprise ClassService / CellFluid / GameableDisruptionWeaponDesign For FailureChaos EnginesEcosystemDriven ByCommodityTraditional Next GenerationCapacityDeploymentScale UpChange ControlScale-outContinuousTechnique Single MixedPracticeWhy?Step 6Your Opponents
  • 71. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionOpenHow?Step 7
  • 72. Where? Why? How?What?When?Attack!Step 8
  • 73. 10-15 years todisrupt anencumbent industry
  • 74. LevelofStrategicPlayUses Open to CompeteChancersPlayersIf you ...
  • 75. LevelofStrategicPlayUses Open to CompeteDieAdaptChoiceStep 1
  • 76. Open sourceResilienceFailure TestingInfrastructureLearning"Big" DataCultureStructureCorporate FocusTypeStrategy/TacticalOrganisationActivityDepartmentalInertiaProfitCost ReductionN+1Disaster RecoveryAnalystsUsedEnterprise ClassService / CellFluid / GameableDisruptionWeaponDesign For FailureChaos EnginesEcosystemDriven ByCommodityTraditional Next GenerationCapacityDeploymentScale UpChange ControlScale-outContinuousTechnique Single MixedPracticeToughen upStep 2
  • 77. Where? How?What?When?Why?Attack theWhyStep 3
  • 78. ValueChainGenesis CustomBuiltProduct(+ rental)Commodity(+ utility)EvolutionIndustrialiseAttack theWhyStep 4
  • 79. You have been duly warned.Many companies are disrupted notby unexpected market changes butentirely predictable marketchanges they could not see.
  • 80. Leading Edge Forum 4Engage with us ...Visit our website at can also find us via our social media spaces:Follow me @swardley and LEF @lefepSubscribe to our YT channel, LEFResearchFollow our Company page (CSC Leading Edge Forum)