Icde2020_presentation_slides_5

1. spbu.ru
Olga Stoianova, Tatiana Lezina, Victoriia Ivanova
Saint Petersburg State University
Corporate culture: impact on companies' readiness for digital
transformation

2. Status quo
Corporate
Culture
Digital
Corporate
Culture
93% of managers see the reason
for failures of digital
transformation projects in
corporate culture
25% - in resistance and sabotage
of staff

3. Innovation, Data-driven
Decision-Making,
Collaboration, Open Culture,
Digital First Mindset, Agility
and Flexibility, Customer
Centricity
Agility, Collaboration,
Customer-centric, Diversity,
Execution, Innovation,
Integrity, Performance,
Respect.
Characteristics of Digital Corporate Culture
Innovation, Data-driven
Decision-Making,
Collaboration, Open Culture,
Digital First Mindset, Agility
and Flexibility, Customer
Centricity
Agility, Collaboration,
Customer-centric, Diversity,
Execution, Innovation,
Integrity, Performance,
Respect.
The MIT SMR/Glassdoor projectCapgemini Digital Transformation Institute

4. The research hypothesis
There are universal characteristics of the company's
corporate culture that are necessary for the success of
digital transformation projects. These characteristics
can be generalized as a system of readiness criteria.

5. The objective
to distinguish universal criteria and characteristics of corporate culture
that determine the readiness of companies for digital transformation, as
well as metrics for their assessment.
Tasks:
• to identify and confirm the criteria and characteristics of corporate
culture that determine the readiness of companies for digital
transformation
• to propose a system of metrics to assess the characteristics of corporate
culture that determine the companies' readiness for digital
transformation.
The objective and tasks of the study

6. Design of the study
O.V.Stoianova, T.A.Lezina, V.V.Ivanova
Stage 4. Design of the assessment system
System design
Stage 3. Verification of distinguished criteria and characteristics
Survey
Stage 2. Selection of criteria and characteristics
Case study
Stage 1. Analysis of existed criteria for assessing corporate culture
Literature review

7. Related works
O.V.Stoianova, T.A.Lezina, V.V.Ivanova
Models/methods for assessment of corporate culture (G1)
• The Denison Organizational Culture Survey - DOCS
• Organizational Culture Assessment Instrument - OCAI
• Organizational Culture Inventory -OCI
• Organizational Culture Profile – OCP
• Organizational Culture Survey – OCS
• Model Organizational culture diagnosis
Models for the digital transformation readiness assessment (G2)
• The Digital Business Aptitude
• The Digital Maturity Model
• The Digital Acceleration Index …

8. Representation of existed criteria in models
Criteria G1 G2
Employee development 100% 100%
Innovation (Creativeness and Initiative of Employees) 50% 33%
Leadership involvement 62,5% 100%
Motivation and willingness to change 50% 33%
Talent Management 75% 33%
Cross-functional collaboration 38% 33%
Harmonizing strategy and tactic 50% 100%
Agility 25% 33%
Open Culture 50% 0%

9. Case-study description
Objects of the case-study are twelve machine-building companies, companies from
food industry (Cherkizovo), oil and gas industry (Gazprom Neft), retail (Sportmaster),
and the Russian Post.
Company Ural Optical and Mechanical Plant
Evidence «The Lean Production Policy was developed and approved. At
least 250 rationalization proposals are submitted.»
Source http://www.uomz.ru/ru/about/lean-production
Characteristic/[Metric] Employee initiative / [Number of rationalization proposals
submitted]
Case-study design

10. Case-study results relevant to the "Employee Development" criteria
Characteristic Cases
organization of
employee training
• in corporate universities (Gazprom Neft, Cherkizovo Group
PJSC, …)
• in traditional universities (Gazprom Neft and St. Petersburg
State University joint project)
• in research institutes (training of Moscow Machine-Building
Plant "Vpered" employees at VIAM)
standardization of
training programs
the model of corporate management competencies at
Cherkizovo Group PJSC
availability of
career programs
"School of Leaders" at NPO Energomash, "Personnel Reserve"
project at Demnichovsky Engineering Plant, "Reserve School"
program at UEC-Saturn

11. The case-study can't confirm some criteria
✓ Employee development
✓ Innovation (Creativeness and Initiative of Employees)
• Leadership involvement
• Motivation and willingness to change
✓ Talent Management
✓ Cross-functional collaboration
• Harmonizing strategy and tactic

12. The survey analysis
The questionnaire contains questions about
• the company's readiness for digital transformation
• personnel's readiness for transformation
• the company's employees' support of the digital transformation idea
• employees' willingness to change their functions
• organization of training and professional development processes
• employees' interest in raising the level of digital competence
• interaction in the company
• the level of "digitalization" of personnel's functions

13. raw materials sector 8%
construction 6%
goods production 20%
industrial production 19%
trade 8%
services 33%
ICT 6%
Distribution of companies by industry

14. The distribution of companies by the level of readiness
high level 13%
medium 61%
low 26%

15. Distribution of companies by the level of staff readiness
high level 31%
low 44%
difficult to assess 25%

16. Correspondence between personnel and the company's readiness

17. Employee Development criteria : how employees improve the qualification
at least once a
year 25%
improve
continuously
13%
initiate the
training
themselves
12,50%
Others 49,50%

18. Motivation and willingness to change: interest in raising digital competencies
0,00%
10,00%
20,00%
30,00%
40,00%
50,00%
60,00%
70,00%
80,00%
All employees regular train No training
Companies with low level of readiness
Employees are not interested
Employees willing to improve their skills
0,00%
10,00%
20,00%
30,00%
40,00%
50,00%
60,00%
70,00%
80,00%
Low level of readiness Middle level of readiness
Attitude to getting digital competence
in companies with different levels of
readiness
Employees willing to improve their skills
Employees are not interested

19. System of evaluation criteria
Existed
✓ Employee development
✓ Innovation (Creativeness and
Initiative of Employees)
• Leadership involvement
✓ Motivation and willingness to
change
✓ Talent Management
✓ Cross-functional collaboration
• Harmonizing strategy and tactic
Proposed
✓ Employee development
➢ Employee engagement
✓ Motivation and support for
transformation
✓ Talent Attraction
✓ Cross-functional collaboration
➢ Knowledge management

20. Proposals for a system of criteria and characteristics
• Training of various types
• Training standards
• Career development programs
Employee development
• Support for employee initiatives
• Professional skills competitions
• Support programs for young professionals and Seniors
Employee engagement
• Organization of Hackathons, Case Championships
• Collaboration with Highschool
• Support for students
Talent attraction
• Information system or platform of knowledge-sharing
• Mentoring systemKnowledge management
• Readiness for changing job functions
• Readiness for professional development
Motivation and support for
transformation
• Cross-functional project teamsCross-functional collaboration

21. Problem with characteristics distribution
Employee development
Employee engagement
Knowledge management
Mentoring systeminvolvement
knowledge sharing
training

22. Proposals for metrics and evidence
Characteristics Metrics Evidence
Support for
employee initiatives
Number of innovation proposals
submitted per employee per year
[pcs./person]
Percentage of implemented innovation
proposals regarding submitted ones [%]
Lean production system is
implemented in the company
Functioning of the
mentoring system
Percentage of mentors compared to the
number of specialists [%]
Average number of students per mentor
The company has a mentoring
system
An example

23. Conclusion
• The paper findings confirm the hypothesis about the existence of
universal characteristics of a company's corporate culture as a
basis for digital transformation success.
• The combined use of case study and survey methods allow
identifying characteristics specific to Russian companies.
• The distinguished characteristics are summarized as a system of
criteria.
• Along with the metrics for characteristics evaluation, the study
proposes to use evidence.

24. spbu.ru
Olga Stoianova Tatiana Lezina, Victoriia Ivanova
Saint Petersburg State University
Corporate culture: impact on companies' readiness for digital
transformation