Jo Caudron's presentation about Digital Transformation in automotive for Autobuzz, at "Huis van de automobiel". It was about all the disruption that is happening around us, which affects every sector, including automotive, and how we can deal with it. Who will stand up against the digital excellence of Tesla?

2. Digital transformation:
!
the impact of digital
disruption on your world
!
!
AutoBuzz, September 2014
jo@dearmedia.be / @jcaudron / +32 475 43 80 98

3. Out Now!
• www.digitaltransformationbook.com
• English version available now
- Hardcover book
- eBook
• Dutch version coming early October

4. Jo Caudron
Digital Consulting Firm
Social Media
Campaigning Platform
DadoVan Peteghem

5. @jcaudron
• a digital consulting company
• founded in 2009 by Jo Caudron,
currently we are 6 consultants
• our mission is to help you find a new
balance between the certainties of your
traditional business and the
opportunities of innovations in (digital)
media
• our scope is everything in the digital
space, with focus on social, mobile,
tablets, location, connected TV, new
radio, ...
• We work for large European clients

6. @jcaudron
Our Field of Activities
!
Digital Transformation Modeling:
Digital impact on traditional communication, media, business, ...
Online Social
Mobile &
Tablets
Future Media &
Marcomm

7. @jcaudron
Smile, you’re in a crisis ;-)
The future is about
permanently dealing
with change and
going in and out of
moments of crisis.
!
Are you ready to
deal with this in
your business
context?
Digital Transformation

8. Digital
Transformation is
really happening

9. @jcaudron@jcaudron
Digital Transformation Modeling
From ... ... to
The Business
Digital (at
the sideline)
Digital in
the core

10. @jcaudron@jcaudron
Digital Transformation Modeling
From ... ... to
The Business
Digital (at
the sideline)
From ...
The Business
Digital (at
the sideline)

11. @jcaudron@jcaudron
Digital Transformation Modeling
From ... ... to
The Business
Digital (at
the sideline)
Digital in
the core
From ...
The Business
Digital (at
the sideline)
Digital in
the core
Digital in
the core
Digital in
the core

12. @jcaudron@jcaudron
Digital Transformation
TV
Radio
Print
Billboards
DM
DigitalMedia
From ... ... to
Sales
Marketing&Communication
Service&Support
HR
IT
PR&ExternalCommun.
R&D&Enterprise2.0
Digital Transformation

13. @jcaudron@jcaudron
Do you accept...?
How big should CHANGE be?
In order to change
the world?

15. Kodak Stock Evolution
1988 2000 2002 2004 2006 2008 2010 2012
Digital Photography
Iphone

18. 1.750
1.500
1.200
1.000
750
500
250
0
Jan 2007 Jan 2008 Jan 2009 Jan 2010
175
150
125
100
75
50
25
0
Blockbuster
Netflix
Blockbuster Versus Netflix (source: CNBC)

19. @jcaudron@jcaudron

21. @jcaudron
Waves of Digital Transformation
1995+!
Music
Photography
Video Rental
…
2010+!
Print Media
TV
Travel
…
2015+!
Retail
Healthcare
Automotive
Education
…

22. @jcaudron
The rollercoaster and the canary in the coalmine

23. 7 metaphors to
understand
the impact of change

24. The Glass House
The Package
The Frog
The GatekeeperThe Traveller
The Participant
The Cyborg
THE WHEEL OF
CHANGE

25. Transparency
Closeness
Responsiveness
Speed / Agility
Authenticity
Accountability
Bi-directional
Humanization
The Glass House

26. Transparency
Closeness
Responsiveness
Speed / Agility
Authenticity
Accountability
Bi-directional
Humanization
The Glass House

27. Transparency
Closeness
Responsiveness
Speed / Agility
Authenticity
Accountability
Bi-directional
Humanization
The Glass House
148K

28. Tesla shares its patents
Transparency
Closeness
Responsiveness
Speed / Agility
Authenticity
Accountability
Bi-directional
Humanization
The Glass House

29. Transparency
Closeness
Responsiveness
Speed / Agility
Authenticity
Accountability
Bi-directional
Humanization
The Glass House
The relationship is changing

30. From monolithic to
atomic
Small & Simple
APPification
Long Tail
Personalized
Real-Time
Utility / Usability
Value for Money
Agile/Cloud/SaaS
The Package

31. From monolithic to
atomic
Small & Simple
APPification
Long Tail
Personalized
Real-Time
Utility / Usability
Value for Money
Agile/Cloud/SaaS
The Package
Angry Birds
Twitter,
Facebook
Newspaper
Website
CNN online /
app
Blogs
Vertical sites and
specialties portals
Yelo App
Boxee
Spotify + Metafy
Sporza.be
LinkedIn, Monster, ...
eBay
Pinterest,
blogs
Weather Pro (iPhone)
Traffic: Inrix +
iCoyote (iPhone)
Digg.be
Twitter,
Facebook
RSS
Breaking
news
In-depth
analysis
Services
Weather
Classifieds
Jobs
Sports
TV
Fun
Specials
Discovery
culture
Trends &
Lifestyle

32. From monolithic to
atomic
Small & Simple
APPification
Long Tail
Personalized
Real-Time
Utility / Usability
Value for Money
Agile/Cloud/SaaS
The Package

33. From monolithic to
atomic
Small & Simple
APPification
Long Tail
Personalized
Real-Time
Utility / Usability
Value for Money
Agile/Cloud/SaaS
The Package
versus

34. From monolithic to
atomic
Small & Simple
APPification
Long Tail
Personalized
Real-Time
Utility / Usability
Value for Money
Agile/Cloud/SaaS
The Package
https://cloudyourcar.com/
Car fleet management using the cloud

35. From monolithic to
atomic
Small & Simple
APPification
Long Tail
Personalized
Real-Time
Utility / Usability
Value for Money
Agile/Cloud/SaaS
The Package

36. From monolithic to
atomic
Small & Simple
APPification
Long Tail
Personalized
Real-Time
Utility / Usability
Value for Money
Agile/Cloud/SaaS
The Package
Product, services and packages
are changing.
From bundling to unbundling to
rebundling

37. By-passing
Virtualization
(services, products,
support,
distribution, ...)
Distortion of the
value chain
The Frog

38. By-passing
Virtualization
(services, products,
support,
distribution, ...)
Distortion of the
value chain
The Frog

39. By-passing
Virtualization
(services, products,
support,
distribution, ...)
Distortion of the
value chain
The Frog

40. By-passing
Virtualization
(services, products,
support,
distribution, ...)
Distortion of the
value chain
The Frog
http://www.macobserver.com/tmo/article/apple-lands-digital-wallet-deal-with-amex-visa-mastercard
Apple is bypassing the payment systems with its mobile wallet:

41. By-passing
Virtualization
(services, products,
support,
distribution, ...)
Distortion of the
value chain
The Frog
https://www.uber.com/
Uber: bypassing the taxi industry
And other
startups are also
gaining
popularity

42. By-passing
Virtualization
(services, products,
support,
distribution, ...)
Distortion of the
value chain
The Frog
https://www.clickmechanic.com/
ClickMechanic: an online marketplace aiming to connect
consumers with car mechanics (UK)

43. By-passing
Virtualization
(services, products,
support,
distribution, ...)
Distortion of the
value chain
The Frog
If you can sell expensive cars online,
you can sell anything online.

44. By-passing
Virtualization
(services, products,
support,
distribution, ...)
Distortion of the
value chain
The Frog

45. By-passing
Virtualization
(services, products,
support,
distribution, ...)
Distortion of the
value chain
The Frog “we will build this ourselves…”

46. By-passing
Virtualization
(services, products,
support,
distribution, ...)
Distortion of the
value chain
The Frog
The position in the value chain is
challenged

47. Gatekeeper meets
the Second
Gatekeeper (the
power of social
media)
Fragmentation of
(communication)
touchpoints
Recommendations
Ambassadorship
The Gatekeeper

48. Gatekeeper meets
the Second
Gatekeeper (the
power of social
media)
Fragmentation of
(communication)
touchpoints
Recommendations
Ambassadorship
The Gatekeeper
Crowd-sourced opinions
Peers as news distributors
Automatic algorithms

49. Gatekeeper meets
the Second
Gatekeeper (the
power of social
media)
Fragmentation of
(communication)
touchpoints
Recommendations
Ambassadorship
The Gatekeeper
New “experts”

50. Gatekeeper meets
the Second
Gatekeeper (the
power of social
media)
Fragmentation of
(communication)
touchpoints
Recommendations
Ambassadorship
The Gatekeeper
Brands by-passing the media to directly connect
with the audience

51. Gatekeeper meets
the Second
Gatekeeper (the
power of social
media)
Fragmentation of
(communication)
touchpoints
Recommendations
Ambassadorship
The Gatekeeper
Guess who will determine what happens IN your future cars…

52. Gatekeeper meets
the Second
Gatekeeper (the
power of social
media)
Fragmentation of
(communication)
touchpoints
Recommendations
Ambassadorship
The Gatekeeper
Opinion making is challenged

53. Mobile technology
Location / Local
Always on / Instant
gratification
Decreased mobility (for
society)
De-centralized /
NWOW
“Good is good enough”
Small Data
The Traveller

54. The Traveller
Mobile technology
Location / Local
Always on / Instant
gratification
Decreased mobility (for
society)
De-centralized /
NWOW
“Good is good enough”
Small Data

55. The Traveller
Mobile technology
Location / Local
Always on / Instant
gratification
Decreased mobility (for
society)
De-centralized /
NWOW
“Good is good enough”
Small Data

56. The Traveller
Mobile technology
Location / Local
Always on / Instant
gratification
Decreased mobility (for
society)
De-centralized /
NWOW
“Good is good enough”
Small Data

57. The Traveller
Mobile technology
Location / Local
Always on / Instant
gratification
Decreased mobility (for
society)
De-centralized /
NWOW
“Good is good enough”
Small Data

58. The Traveller
Mobile technology
Location / Local
Always on / Instant
gratification
Decreased mobility (for
society)
De-centralized /
NWOW
“Good is good enough”
Small Data

59. The Traveller
Mobile technology
Location / Local
Always on / Instant
gratification
Decreased mobility (for
society)
De-centralized /
NWOW
“Good is good enough”
Small Data
Primary location and place of
consumption change
The Traveller
Mobile technology
Location / Local
Always on / Instant
gratification
Decreased mobility (for
society)
De-centralized /
NWOW
“Good is good enough”
Small Data

60. The Participant
Community
Gamification
Co-creation /
Collaboration
The power of the
crowd
Empowered Self
(Self-)service

61. The Participant
Community
Gamification
Co-creation /
Collaboration
The power of the
crowd
Empowered Self
(Self-)service

62. The Participant
Community
Gamification
Co-creation /
Collaboration
The power of the
crowd
Empowered Self
(Self-)service

63. The Participant
Community
Gamification
Co-creation /
Collaboration
The power of the
crowd
Empowered Self
(Self-)service

64. The Participant
Community
Gamification
Co-creation /
Collaboration
The power of the
crowd
Empowered Self
(Self-)service
http://www.zipcar.com/
Car sharing initiatives

65. The Traveller
Mobile technology
Location / Local
Always on / Instant
gratification
Decreased mobility (for
society)
De-centralized /
NWOW
“Good is good enough”
Small Data
Peer-to-peer airport rentalsThe Participant
Community
Gamification
Co-creation /
Collaboration
The power of the
crowd
Empowered Self
(Self-)service

66. The Traveller
Mobile technology
Location / Local
Always on / Instant
gratification
Decreased mobility (for
society)
De-centralized /
NWOW
“Good is good enough”
Small Data
Elon Musk acts
upon the input he
receives form the
community
The Participant
Community
Gamification
Co-creation /
Collaboration
The power of the
crowd
Empowered Self
(Self-)service

67. The Traveller
Mobile technology
Location / Local
Always on / Instant
gratification
Decreased mobility (for
society)
De-centralized /
NWOW
“Good is good enough”
Small Data
Consumers are uniting and
creating powerful communities
The Participant
Community
Gamification
Co-creation /
Collaboration
The power of the
crowd
Empowered Self
(Self-)service

68. The Cyborg
Quantified Self
Wearable Computing
Internet of Things
Big Data
Open Data
Monitoring
Even Smaller
Contextual Awareness

69. The Cyborg
Quantified Self
Wearable Computing
Internet of Things
Big Data
Open Data
Monitoring
Even Smaller
Contextual Awareness

70. The Cyborg
Quantified Self
Wearable Computing
Internet of Things
Big Data
Open Data
Monitoring
Even Smaller
Contextual Awareness
http://www.digitaltrends.com/mobile/mercedes-benzs-google-glass-app-feeds-directions-straight-to-your-eyeballs/
Mercedes’ Glass app pipes directions through Google
Glass and directly to the wearer’s eyeballs

71. The Cyborg
Quantified Self
Wearable Computing
Internet of Things
Big Data
Open Data
Monitoring
Even Smaller
Contextual Awareness
Contextual Awareness: technology knows everything
Location/
time-aware Activity-
aware
Product-
aware Intention-
aware

72. The Cyborg
Quantified Self
Wearable Computing
Internet of Things
Big Data
Open Data
Monitoring
Even Smaller
Contextual Awareness

73. The Cyborg
Quantified Self
Wearable Computing
Internet of Things
Big Data
Open Data
Monitoring
Even Smaller
Contextual Awareness
http://www.designboom.com/technology/audi-a3-car-manual-enhanced-by-augmented-reality-app/
Augmented reality

74. The Cyborg
Quantified Self
Wearable Computing
Internet of Things
Big Data
Open Data
Monitoring
Even Smaller
Contextual Awareness
http://www.extremetech.com/extreme/183174-googles-new-self-driving-car-electric-no-steering-wheel-and-incredibly-cute
Robots are entering our daily lives

75. The Cyborg
Quantified Self
Wearable Computing
Internet of Things
Big Data
Open Data
Monitoring
Even Smaller
Contextual Awareness

76. The Cyborg
Quantified Self
Wearable Computing
Internet of Things
Big Data
Open Data
Monitoring
Even Smaller
Contextual Awareness
Technology keeps progressing

77. Transparency
Accountability
Proximity
Responsiveness
Bi-directional
Humanization
Authenticity
The
Glass House
Relationship
Monolithic vs.
atomic
APPification
Long Tail
Personalized
Experience
Speed
Price
(Self-)service
Scalability
The
Package
Product, Service
& Packaging
Bypassing
Virtualization
Fragmentation of
touchpoints
The
Frog
Position in
the value
chain
New gatekeepers
Recommendations
"Good is good
enough"
Ambassadorship
The
Gatekeeper
Opinion
making
The
Traveller
Place
Utility
Empowered self
Delivery fulfillment
New way of
working
Contextual
awareness
Real-time
Location &
Place
The
Participant
Community
Gamification
Collaboration
The power of the
crowd
Community
The
Cyborg
Internet of things
Wearables
Quantified self
Robotics
Data
Monitoring
Progressive
Technology
We have to prepare for a digital future, with new rules and new relationships

78. Digital
Transformation
Modeling
(DTM)

79. @jcaudron
Disruption is real, deal with it!
Disruption
Modeling
Transformation

80. @jcaudron
It’s no longer about digital, it’s about business
Corporate (comm)
Strategy
Digital
Strategy
Social
Strategy
Company
Strategy
Digital
World

81. @jcaudron

82. Impact
Insights
Scenarios
Business
Cases
Trendwatching
DigitalTransformationModeling

83. Impact
Insights
Scenarios
Business
Cases
Trendwatching
DigitalTransformationModeling

84. Impact
Insights
Scenarios
Business
Cases
Trendwatching
DigitalTransformationModeling

85. Impact
Insights
Scenarios
Business
Cases
Trendwatching
DigitalTransformationModeling

86. Impact
Insights
Scenarios
Business
Cases
Trendwatching
DigitalTransformationModeling
Trendwatching
!

87. For most companies,
this is still a mighty long
way to go…

88. AllDigitalNow
Trendwatching
Impact
Insights
Scenarios
Business
Cases
Objective:
Create a detailed view on how
“digital” your entire
organization actually is. Define
recommendations to improve
the Digital Culture on all levels.
!
Approach:
• Assessment
• Digital Readiness In-
Company Survey
• Senior Management Scan
(incl. BoD)
• Division Scan
• Digital Leadership Creation:
action plan and (individual)
coaching to inject more digital
DNA on all levels (custom)
Objective:
Elaborate (each of the cases of)
the short list of business cases
that were defined in the
general DTM approach.
!
Approach
• detailed approach to develop
the business model for each
idea, based on
• comparative research to
validate ideas in a
broader context
• the Business Model
Generation methodology
Objective:
Kick-start the Digital Agenda
for the organization, based on
all previous steps.The Digital
Agenda is the strategic and
tactical roadmap for digital
transformation and serves as a
evolutive roadmap.
!
This contains:
• future vision of transformation
• company LT and ST strategy
• operational plan (business
cases)
• actions for cultural change
• digital status
Digital
Leadership
Development
Business
Case
Development
Digital
Agenda
Development
3 Transformation
1
Start
2
Follow-up

89. For most companies,
this is still a mighty long
way to go…

90. So, where are you?
How digital is your
company?
!
Digital Leadership
Assessment

91. “If you can't understand the new
world of digital, fire yourself.
Build an executive team that is
digital-first (when problems arise,
the first solution is always digital).
Make sure there is a techie on the
board of directors. If the board
has a low digital IQ, the company
will have a low digital IQ”
George Colony
CEO Forrester Research
So, where are you?
How digital is your
company?
!
Digital Leadership
Assessment

92. Your Market Your Company Your Leadership
Digital Leadership Assessment
The Age Test
Is this you?

93. Your Market
Your Company
Your Leadership
Digital Leadership Assessment
The Age Test
Guess who’s this

95. Digital Leadership Assessment
The 7x7 Test
Who’s an
(active) user?
CEO
Sales Mkt CIO COO HR CFO …
Facebook V X
Twitter X X
LinkedIn V V
Snapchat X X
Youtube V X
Smart-
phone!
V V
Tablet V X
…
Pick 7 (or more)
relevant digital
activities
Score your leadership team
on active usage/
understanding
If a member doesn't score
at least 4 out of 7, he’s out.
In Out
If the majority of leadership
is out, the company is out

96. Probably you just
failed both tests …

97. Build Your
Digital Transformation Team
!
It doesn’t have to be large and costly
!
It needs to be strategically high-
priority

98. @jcaudron
The Factory The Guesthouse The Garage
Incremental innovation
• Development of ‘need to have’
digitals projects and technology
• Working on the existing foundation
of the company
• Follows general procedures and
regulations
• Slow
Change projects
• Small and dedicated project-teams, focused
on in-house innovation
• Limited independency: they are an (internal)
supplier of the factory
• Focus on strategically important new-style
projects or add-ons that will be rolled-out
within the existing company architecture
Breakthrough innovation
• Small dedicated teams focused on innovation
• Autonomous operations and decisions
• Possibly separate entities
• Focused on agile and rapid development and roll-
out of ideas in a stand-alone model
•These can be grass-root internal
initiatives or acquisition of interesting
targets

99. @jcaudron
Digital Transformation
From ... ... to
The Business
Digital (at
the sideline)
Digital in
the core
From ...
The Business
Digital (at
the sideline)
Digital in
the core
Digital in
the core
Digital in
the core

100. @jcaudron
Digital Transformation
From ... ... toFrom ...
Your captain

101. @jcaudron
The Digital
Commandments,
your new mantra!

102. @jcaudron
1.
The customer always
decides

103. @jcaudron
2.
All things you do
must start from a
superior
experience

104. @jcaudron
3.
From now on, you
are an agile and
flexible company

105. @jcaudron
4.
You live in a world
of uncertainty

106. @jcaudron
5.
Always play on the
offense instead of
the defense

107. @jcaudron
6.
Don’t be afraid to cannibalize
your own business

108. @jcaudron
7.
Never, ever, disrespect
new or small players

109. Things to take away ...

110. @jcaudron

111. Digital transformation:
!
the impact of digital
disruption on your world
!
!
AutoBuzz, September 2014
jo@dearmedia.be / @jcaudron / +32 475 43 80 98