A unique presentation about quality and digital transformation with a focus on Saudi Arabia

1. Mohammad Ali Shalan
BEng, MSc, PMP, PMI-RMP, ITIL, CISA,CGEIT,CRISC,CRMA
Quality Driven
Digital Transformation
Mohammad.shalan.jo@ieee.org
https://www.linkedin.com/in/mohammadshalan
+966-569188680
This is a year 2016 winning photograph taken at a refugee camp on the Djibouti boarder for people trying to capture a mobile signal from the near Somalia

2. ‫التقنية‬ ‫جودة‬ ‫منتدى‬
‫السبت‬18‫رجب‬1437‫هـ‬/Saturday, 15 April 2017
Mohammad Ali Shalan
0569188680
Mohammad.shalan.jo@ieee.org
Technology Manager
www.aqarat.com.sa
‫الرقمي‬ ‫التحول‬ ‫في‬ ‫الجودة‬
Quality Driven Digital Transformation
Technology Quality Forum
Source: https://goo.gl/q0iDBc Source: https://goo.gl/gsTnPa

3. ‫ميحرلا نمحرلا هللا مسب‬
‫محمد‬ ‫بيني‬‫ن‬‫ل‬‫ا‬ ‫وخامت‬ ‫املرسلني‬ ‫رشف‬‫أ‬ ‫عىل‬ ‫سالم‬‫ل‬‫ا‬‫و‬ ‫الصالة‬‫مني‬‫ال‬ ‫الصادق‬
‫وعىل‬‫هل‬‫أ‬‫مجعني‬‫أ‬ ‫به‬‫حص‬‫و‬
‫شئت‬ ‫ذا‬‫ا‬ ‫احلزن‬ ‫جتعل‬ ‫نت‬‫أ‬‫و‬ ‫سهال‬ ‫ته‬‫جعل‬ ‫ما‬ ‫ال‬‫ا‬ ‫سهل‬ ‫ال‬ ‫للهم‬‫ا‬‫سهال‬
"‫ي‬ ‫ساين‬‫ل‬ ‫من‬ ‫عقدة‬ ‫حلل‬‫أ‬‫و‬ ‫مري‬‫أ‬ ‫يل‬ ‫رس‬‫ي‬ ‫و‬ ‫صدري‬ ‫يل‬ ‫ارشح‬ ‫رب‬‫ا‬‫و‬‫فقه‬
‫هيل‬‫أ‬ ‫من‬ ‫ا‬‫ر‬‫وزي‬ ‫يل‬ ‫اجعل‬‫و‬ ‫قويل‬"

4. • Digital Transformation
• Every where
• In The 2030 Vision and 2020 NTP
• In the News
• Examples & Case Studies
• The Digital Transformation Bird
• Quality Elements
• Measuring and Feeling
Contents

5. Digital Transformation is Every Where

6. Chrysler Building,
Manhattan, NY, USA
• Represents power , car companies and
the oil industry. Opened 1930
Amazon New Headquarters,
Seattle, WA, USA
Designed 2013- Scheduled to finish by 2018
Even the Building design is being transformed
The Building Design Transformation
Apple Headquarters,
Cupertino, CA, USA
Opened 1993

7. “We will strengthen the governance of digital
transformation through a national council. Additionally,
we will improve our regulations and establish an effective partnership
with telecom operators to better develop this critical infrastructure. We
will also support local investments in the telecommunications and
information technology sectors.”
“The program identified five common digital platforms, 29 essential digital
initiatives for key sectors, and a number of national digital assets that may
be invested to support government digital transformation.
This corresponds to the commitment of Saudi Arabia’s Vision 2030 to
develop the digital infrastructure, activate economic sectors, support
industries and private sector entities, and advocate for the development
of public-private business models.”
Digital Transformation: KSA’s Vision 2030 and 2020 NTP
2015-2020 Transformation, 2020-2025 Assertion, 2025-2030 Achievement, 2030 Vision Completion

8. It is Time for Transformation in the Saudi Arabia

9. It is Time for Transformation in the Gulf

10. Digital Transformation is creating opportunities in all industries …
Rent-a-Car
Retail &
Second hand
Technology
Advertising &
News
Food
… and is removing boundaries between industriesAdapted from: Mr. Waris Ansari@Nournet
Travel &
Accommodation
Government

11. Also, Digital Transformation is Changing Some Rules
Previously:
Big was eating
the small
Then:
Small can eat
the Big
But, If the Big is not able to Predict, or is Denying, or (re)acting slowly

12. Let Us Have a Close Look in the Accommodation Industry
COMPANY VALUATION ($B)
2015 REVENUE*
($B)
VALUATION TO
2015 REVENUE
ANNUAL GROWTH
RATE**
Airbnb $25.5 $0.9 28.3 90%
Hilton $27.6 $11.5 2.4 9%
Marriott $20.9 $14.8 1.4 8%
HomeAway $3 $0.5 6 20%
Starwood $14 $5.9 2.4 -2%
Priceline $59.5 $9.3 6.4 17%
Expedia $13.8 $6.5 2.1 17%
Source: http://graphics.wsj.com/table/Airbnb_0615
MarriottHiltonHomeawayAirbnbKey Measure
1927191920052008Established
1.2 Million< 800 thousand1 Million2 MillionAccommodations
110104190191Country span
Intercontinental
1777
< 800 Thousand
100

13. Founded: 1957 Defunct : 1998 Employees: Over 140,000 in 1987
“We had dreams …. ….
A computer on every desk
and in every home. ” Bill Gates
Every One Must Believe in Digital Transformation
“There is no reason anyone
would want a computer in their
home” Ken Olsen, 1977
“The best people are motivated by belief, others are motivated by
dreams or money” Shalan, 2016
‫عمر‬ ‫بن‬ ‫هللا‬ ‫عبد‬ ‫المعنى‬ ‫هذا‬ ‫إلى‬ ‫سبق‬ ‫وقد‬(‫عنهما‬ ‫هللا‬ ‫رضي‬)‫يقول‬ ‫إذ‬"‫أحدن‬ ‫وإن‬ ‫دهرنا‬ ‫من‬ ‫برهة‬ ‫عشنا‬ ‫لقد‬‫ا‬
‫القرآن‬ ‫قبل‬ ‫اإليمان‬ ‫يؤتى‬...“‫الكبرى‬ ‫السنن‬ ‫في‬ ‫البيهقي‬ ‫رواه‬(5073)‫المستدرك‬ ‫في‬ ‫الحاكم‬ ‫ورواه‬(101)‫وقال‬:‫الشيخين‬ ‫شرط‬ ‫على‬ ‫صحيح‬ ‫حديث‬ ‫هذا‬
Established 1975, As of June 30, 2015, Microsoft has a global annual revenue of $86.83 Billion USD and 128,076 employees

14. Even Gone into an Internal Transformation
Bill Gates
allegedly said at one Comdex trade event in 1994that
"I see little
commercial potential
for the internet for
the next 10 years"
Gates could not be an internet or cloud visionary. He almost
missed the Internet and the mobile revolution, also he could not
spot the cloud early.
Steve Ballmer
, as a Bill Gates successor failed to understand and execute on the five
most important technology trends of the 21st century in:
• Search – losing to Google;
• Smartphones – losing to Apple;
• Mobile operating systems –
losing to Google/Apple;
• Media – losing to Apple/Netflix;
• Cloud – losing to Amazon.
Microsoft Bring in Believers to lead every Transformation Stage
Satya Nadella
He got Microsoft
organized around mobile
and the cloud (Azure)
and he launched Office
365 as the cloud version
of Microsoft Office.
1975 20002014

15. What is Digital Transformation?

16. A Journey to deliver superior User
Experience through Technology
enabled differentiation supported
by required Competencies
Because digital transformation is a journey, then
it is mandatory to “build quality within it”,
rather than ensuring quality after its completion
What is Digital Transformation?

17. The Digital Transformation Bird
User
Experience
Quality

18. Building Quality within Digital Transformation
“Every thing is based
on a simple rule:
Quality is the best
business plan,
Period.” Steve Jobs
Quality should derive every stage of
the digital transformation journey
and all development lifecycles

19. It is the Age of Customer
“You’ve got to start with the customer
experience and work backwards to the
technology.” - Steve Jobs

20. It is the Age of User Experience (UX)
The Hyper Connected Knowledge User http://www.smartinsights.com/content-management/content-marketing-strategy/googles-zmot-brilliant-or-
bocks/?utm_source=basic&utm_medium=pdf&utm_campaign=digital-models

21. Digital Transformation is Empowered by SMACT and Other Technologies
InsightFreemium
Privacy
Convenience
Apps
http://labs.sogeti.com/get-smart-get-smact/

22. “…[digital] technologies such
as social media, mobility, and
data analytics are not goals to
attain…[but] are tools to get
closer to customers, empower
employees, and transform
internal business processes”
Technology Can’t Work Alone
Source: WDR Report 2016
Technology is moving upwards but productivity is decreasing
Westman, Bonnie and McAfee, “Leading Digital: Turning
Technology into Business Transformation” (HBR, 2014)
Source: WDR Report 2016

23. Legend
Digital Transformation Competencies
Source: Institute of the future, University of phoenix

24. The Quality Elements of Digital Transformation
Continuous
Quality Assurance
(QA)
Continuous
Audit
Ecosystem
Fitting with
Gemba
Gemba-kaizen
for Continuous
Improvement
Managing
Compliance
Real-time
Lean Six
Sigma
Belief &
Cultural
Challenges
Governance Risk
Dimensions
The
Negative
Question
Cyber
Security

25. Source: www.actual-experience.com/report2016
The Impact of Poor Quality on Digital Transformation
Quality Assurance plays a vital role in responding to
these challenges. It’s essential for organizations that are
dealing with digital transformation to have an
appropriate digital assurance strategy, with the right
tools, methodologies and measures to assure customer
experience. Source: Ahmed Alarieqi@labs.sogeti.com
Nothing should be traditional in the Digital Transformation roadmap;
and that includes Quality Assurance (QA) and Testing too. Traditional
testing approaches will simply not work! This is the first step in
making your QA organization ready for Digital Transformation. Your
QA organization definitely needs a re-look before embarking on the
journey. Source: Ahmed Alarieqi@labs.sogeti.com

26. Digital Transformation Governance
• Governance forms the constitution for the Digital Transformation journey
• Digital Transformation is an endless journey
• The ultimate goals of governance are to empower and accelerate
• It powers the ability to make informed decisions
• It helps to achieve the goals named in the strategy
• Governance has four pillars:
1. Transparency
2. Fairness
3. Accountability
4. Responsibility
• The achievement of certain milestones is more important than reaching
the final destination

27. Handling the New Risk Dimensions in the Digital Transformation Age
Gartner predicts that by 2020, 60% of digital businesses will suffer major service failures because of IT teams’
inability to manage digital risks in new technology and use cases. Source: www.gartner.com/newsroom/id/2794417

28. Digital Transformation Cultural Challenge
Source: Managing change and risk in the age of digital transformation, 2016 by EY
Describes the
continuous process
of adapting to
changing customer
needs by
leveraging digital
competencies to
innovate business
models, products
and services
Creates an efficient
way to deliver a
digital value
proposition in an
organization
increasingly based
on process
automation and
straight-through
processing
Depends on
organizational culture to
fuel the transformation
with the right talent,
incentives, and objectives
as well as new
approaches to generate
ideas and develop new
digital initiatives
1 32

29. More Quality Assurance Focus in the Digital Transformation Age
Source :Capgemini Group | Quality Assurance Services for Digital Transformation

30. “CEOs are coming into MIT (Massachusetts Institute of Technology) and saying I’m
spending so much money on IT and technology and I feel like it’s a black
hole with nothing coming out.”
Peter Kriss, Harvard Business Review.
"One of the hardest things we have with delivering technology as a service
is user perception. How well is it working? What isn't working well?”
Adam Gibson, CIO, Odgers Berndtson
The Negative Question
Digital Transformation paves the way for every one to understand
technology and User Experience, and to stop asking the Positive
Question: “Why I need to invest more in technology?”. The Negative
Question should be: “What will happen if I did not invest on those
technologies or evaluate the associated risks?”

31. SOURCE: WDR 2016 team. For more details see figure 5.3 in the full Report.
Complements Digital Adoption Index (DAI)
Complements: Index of quality of
institutions, skills and regulations.
Technology: Digital adoption index -
businesses, people and governments.
A measure of the Transformation race between Technology and other complements created by World Bank
Saudi Arabia (SAU)
http://pubdocs.worldbank.org/en/587221475074960682/WDR16-BP-DAI-methodology.pdf
http://wbgfiles.worldbank.org/documents/dec/digital-adoption-index.html

32. • DAI is a composite index that measures the depth and breadth of
adoption of digital technologies
• It is based on three sectoral sub-indices covering businesses, people, and
governments, with each sub-index assigned an equal weight
• DAI (Economy) = DAI (Businesses) + DAI (People) + DAI (Governments)
• DAI (Business): Simple average of Four normalized indicators: the
percentage of businesses with websites, the number of secure servers,
download speed, and 3G coverage in the country
• DAI (People): Simple average of Two normalized indicators from the
Gallup World Poll: mobile access at home and internet access at home
• DAI (Governments): Simple average of Three sub-indices: core
administrative systems, online public services, and digital identification
Calculating Digital Adoption Index (DAI)
http://pubdocs.worldbank.org/en/587221475074960682/WDR16-BP-DAI-methodology.pdf

33. 33
The Five Seconds Feeling Test:
A digital organization is one that can
in five seconds or less assemble all
the relevant information to take
smart decisions and actions.
Feeling Quality in Digital Transformation

34. What was wrong by company A
Be proactive, plan to
start “Digital
Transformation” and
don’t wait to be hit by
“Digital Disruption”
Digital Transformation versus Digital Disruption

35. Digital Transformation is a Great Opportunity

36. About Mohammad Shalan
Proven record in Technology Governance, Risks and Compliance
Author, Researcher and Technical Translator in Digital transformation, Technology Audits
and SMACT (Social, Mobile, Analytics, Cloud and the internet of Things) areas.
University of Jordan Graduate:
• Master in Telecommunication Engineering 2005
• Bachelor in Electrical Engineering 1995
Have a wide work portfolio in Multinational, Regional and Local Enterprises
Occupation: Technology Manager for Aqarat Real Estate Development Company, Jeddah, KSA
Expert in Digital Transformation projects and contract management
Mohammad Ali Shalan
Mohammad.shalan.jo@ieee.org
https://www.linkedin.com/in/mohammadshalan
+966-569188680
Author of 5 book chapters and several articles
Holding 7 professional certifications: PMP, RMP, ITIL, CISA,CGEIT,CRISC,CRMA
Member of several professional organizations: IEEE, PMI, ISACA, IIA, JEA and the Saudi Council of
Engineers