Digital Capability Center

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This presentation is about understanding and setting up a Digital Capability Center

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  • ObjectivesBe a one stop shop for digital capabilitiesGather and combine existing knowledge and capabilities and share themMake execution of digital activities and projects easyInnovate and create new digital capabilities
  • Making it happenlocalize the digital capabilities to execute their digital activities and to engage with their customers. Local digital initiatives are shared with the DCC in ordeBusiness units and brands r to create best-practices. Sharing best practices improves internal status of business units.Creating best-of-breed re-usable digital capabilities Best-of-breed digital capabilities are developed to support the businesses and brands in their digital activities. A catalogue of digital capabilities can be developed by the DCC based on best-practices in- and outside the organization. Using these digital capabilities is beneficial for the company, business units and customers.Building the foundationThe foundation of a DCC supports the development and execution of the digital capabilities. It includes an operating model, people, technology, an organization structure, processes and IT.
  • What is the DCC’s organizational model?Some organizations require a hierarchical model with central coordination of activities, whereas others prosper with informal collaboration mechanisms.An example is using local digital champions.Final DCC responsibility can be arranged in multiple ways – it can for example be held by the CIO, CMO or CEO. The decision to place your DCC under business or IT will affect the scope of offered digital capabilitiesWhat DCC and employee competences are required?are required?DCC’s success depends on the use of its digital capabilities by business units. This may require strong digital leadership and cultural change. The development and delivery of digital capabilities may require employees to develop new skills and competences.What systems and tools does the DCC require?A DCC requires tools and systems to be operational and may require specific tools to deliver the digital capabilities.What processes do you need to have in place to run a DCC?Processes for innovation, resource allocation and reporting are just a few examples of processes that need to exist to run a DCC.What are the digital capabilities your DCC offers to the business units or countries?The ideal DCC includes a combination of marketing, sales, service, data analysis and IT capabilities.A service catalogue needs to be build based on the local needs and locally available capabilities and experience.For each digital capability in this service catalogue the level of support needs to be determined. The DCC can for example only provide advice on running an online campaign or actually run the campaigns for the business units.How to fund the DCC? Various funding models can be applied for the development and delivery of digital capabilities. Examples of funding the setup of a digital capability are central funding, funding by local entity or supplier supported.Pay per use or cost allocation are examples of funding models for the delivery of the digital capabilities
  • Nestle:Based on Marketing, Sales, and IT capabilities Central catalogue , containing capabilities on B2C, advanced technology, SEO, analytics, training, production, b2e, b2b, and core innovationDCC support is based on supporting and collaborating with the businessGlobalManufacteringcompany:Based on Marketing, Sales, and Service capabilities, including data analysis as part of marketing automation, and specific IT capabilities Central catalogue has been designed (Jaap or MarieC to share catalogue)DCC support is focused on the design and implementation of capabilities. Execution is done by marketing and sales functionsDSM:Digital Intelligence, digital marketing, digital sales, digital servicesDCC activities consist of Strategy, Advice, Analysis, Intelligence, Project plan, Project management, Implementation, Run, Maintain, Train, Choose media agencies, Consolidate content, Perform health checks, Digital ‘model office’
  • Nestle:Based on Marketing, Sales, and IT capabilities Central catalogue , containing capabilities on B2C, advanced technology, SEO, analytics, training, production, b2e, b2b, and core innovationDCC support is based on supporting and collaborating with the businessGlobalManufacteringcompany:Based on Marketing, Sales, and Service capabilities, including data analysis as part of marketing automation, and specific IT capabilities Central catalogue has been designed (Jaap or MarieC to share catalogue)DCC support is focused on the design and implementation of capabilities. Execution is done by marketing and sales functionsDSM:Digital Intelligence, digital marketing, digital sales, digital servicesDCC activities consist of Strategy, Advice, Analysis, Intelligence, Project plan, Project management, Implementation, Run, Maintain, Train, Choose media agencies, Consolidate content, Perform health checks, Digital ‘model office’
  • Digital Capability Center

    1. 1. The Concept of a Digital Capabilities CenterTransforming the way to organize your digital capabilities Copyright © 2012 Capgemini Consulting. All rights reserved.
    2. 2. The world is changing due to fast-moving digital innovations, digital leaders outperform their peers in every industry Digital innovations Winners ANALYTICS “The most digitally mature companies are 26% more profitable than their industry competitors” CONNECTIVITY “The most digitally mature companies MOBILE SOCIAL MEDIA achieve 12% higher market valuation and MOBILITY SERVICES 9% more revenue” DATA “Digital beginners are several years from gaining the digital maturity that their Digirati competitors already possess” SMART EMBEDDED DEVICESSource: The Digital Advantage - How digital leaders outperform their peers in every industry, MIT & Capgemini Consulting (2012) Copyright © 2012 Capgemini Consulting. All rights reserved. 2
    3. 3. Multi-national and multi-brand organizations are facing complex challenges in theirjourney to realize the benefits of digital activities Costs effectiveness Brand Health Time-to-market New Risks Copyright © 2012 Capgemini Consulting. All rights reserved. 3
    4. 4. This makes organizations wonder how to maximize the value of their digital activitiesacross the different brands and countries Questions  How can we lower the costs of digital activities across our organization?  How can we leverage digital capabilities across countries and groups to create more value?  How can we accelerate local digital capabilities?  How can we minimize the risks in the digital world? Copyright © 2012 Capgemini Consulting. All rights reserved. 4
    5. 5. Establish the Digital Capabilities Center (DCC) to optimize the use and re-use of your digital capabilities to become a digital leader Copyright © 2012 Capgemini Consulting. All rights reserved. 5
    6. 6. A DCC bundles digital capabilities, combines multi-disciplinary skills and at the sametime keeps business units in control of their digital activities Bundle digital capabilities Combine multi-disciplinary skills Keep current level of empowerment Copyright © 2012 Capgemini Consulting. All rights reserved. 6
    7. 7. A DCC stimulates the use and re-use of best practice digital capabilities to the businessunits in order to accelerate local digital activities BU1 Central Digital Capabilities Center BU2 Brand Re-usable digital Guidelines and BU3 accelerators capabilities technology Foundation BU.. By localizing the digital capabilities offered by the DCC, business units create brand accelerators Copyright © 2012 Capgemini Consulting. All rights reserved. 7
    8. 8. The development of a DCC requires building the foundation and developing re-usabledigital capabilities Approaches Two possible ways to start with the development of the DCC Building the foundation Vision & analysis Design Pilot Implementation Operate Develop digital capabilities Development Pilot Roll-out Copyright © 2012 Capgemini Consulting. All rights reserved. 8
    9. 9. Designing and scoping the DCC requires taking important fundamental decisions bymanagement What processes do you need to have in place to run Processes a DCC? What is the DCC’s organizational model? Organizational Service What are the digital capabilities model catalogue your DCC offers to the business units or countries? DCC design & scope What DCC and employee competences are required? People Funding How to fund the DCC? Tools What systems and tools does the DCC require? As every company is unique a tailored DCC configuration is required Copyright © 2012 Capgemini Consulting. All rights reserved. 9
    10. 10. Capgemini Consulting believes the ideal DCC includes a combination of marketing, sales, service, analytics and IT capabilities ProcessesOrganizational Service model catalogue People Funding Global Nutrition Company Global Electronics Company Global Life Sciences Company Tools Consumer Engagement Customer Interaction Digital Marketing  Direct to customer  CRM Lead management  Website innovation e-Commerce  Email marketing  Digital campaigns  Campaign Management  Social Media marketing  Social Listening  Search Engine Marketing Digital Sales  Social Media  Webshop innovation  Analytics Content Management  Sales Force Enablement  Web Publishing  Tridion  Structured content Digital Service Digital Transformation databases  Supply chain integration  Connected devices in POS  Localization services  Digital customer experience  E-Commerce through (e)retailers Deep analytics and reporting  In-store technologies  Omniture, Eloqua analytics  Mobile apps and standards  ServiceNow analytics The service catalogue needs to be build based on the local needs Copyright © 2012 Capgemini Consulting. All rights reserved. 10
    11. 11. Depending on your current way of working, there are different models to support the governance and interaction with the business units ProcessesOrganizational Service model catalogue People Funding Global Nutrition Company Global Life Sciences Company Tools DCC Head of CEO DCC GMBs / functions Virtual DCC Architecture Compliance AMS Marketing & Sales ICT Innovation Support EMEA Market 1 Corporate Comm. Man. Consumer Digital Digital Digital APAC Market 2 Engagement Transformation Service Del. Champions Business Business Business Business Market 3 Units 1 Units 2 Units 3 Units 4 A DCC can be physical center, a virtual center or a hybrid model Copyright © 2012 Capgemini Consulting. All rights reserved. 11
    12. 12. To kick start your DCC, Capgemini Consulting advises to start with an digital maturityassessment and an envision & align workshop 2 weeks 1 day To be determined 1 2 3 Assess Envision & Align Determine the next steps and approach for creating a DCC  Assessment of the digital maturity  One day workshop with key based on interviews, benchmarks, and stakeholders our proven MIT maturity assessment  Mobilize the major stakeholders and  Develop insight on the major digital agree on the way forward for the DCC opportunities and focus areas  Results in a DCC transformation Building the  Results in a maturity overview on the roadmap including quick wins foundation different digital capabilities 6 months 12 months 18 months Develop digital capabilities TO BE  Installed Digital Fit for DT Digital Services Champions Internal management Unit Branding population program Governance completed Implemented Success Factors Measurement of DT maturity progress Implementation recruitment & selection process Strategy & DT behavior direction setting trained done mapped inflow, mobility & outflow Strategy check Behaviour & Culture New competence profiles for managers competence profiles for ambassadors DNA of managers Market check Copyright © 2012 Capgemini Consulting. All rights reserved. 12
    13. 13. Wilco van Batenburg Senior Consultant +31 6 15030480Thanks for your attention! Copyright © 2012 Capgemini Consulting. All rights reserved.

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