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How are digital transformation
challenges manifesting themselves in
the advertising industry in general and
in Havas in particular?
01
DIGITAL TRANSFORMATION
SHIFTING
New channels and
ways of working
FAST PACED
Different modes of
consuming media
DATA INTENSIVE COMPETITIVE
New competitors
everyday
Customer generates data
on a big scale
CHALLENGES FOR AD INDUSTRY
SHIFTING
Testing time is low
FAST PACED
Multiple media
channels
DATA INTENSIVE COMPETITIVE
Virality is hard to
achieve
Hard to keep up
CHALLENGES FOR
HAVAS
03
01
02
04
REVENUE
70% of the revenue was directed
from traditional methods
RELUCTANCE
C-level employees were
reluctant to change their
practices
CLIENT DEMANDS
Increase in data size facilitated
interpretation of data and
subsequent increase in demands
ORG. STRUCTURE
Keeping digital at the core required a
change in architecture of all
departments
What capabilities does the firm
now need to be a leader in the
changing advertising
landscape?
02
CURRENT SCENARIO?
Industry
Decentralization
Eg: Victors & Spoils
Changes
Simple ads using
iPhone on
YouTube
Value of digital
Future focused
communication
CHANGES FOR EVOLUTION
Adapt
Digital media is different
than TV
Internal
Communication
Team should be on
same page
Be Curious
As said by UK group
chairman: “keep up,
keep curious.”
Reinvent
Take risk to become
leader
What specific changes can David Jones and his
colleagues make to equip Havas to thrive in the
midst of these transformation pressures?
03
A3. Making the changes to thrive in
Transformation
Talent Management
Framework
As the organization is also facing issues
finding new talent which wants to work with
organization and stay with it they need also
poaching by google is also one of the issues
they need to look into using talent
management framework and work
accordingly
Kurt Lewin Model of
Change
Kurt Lewin's model of change can be used
by a corporation to get all of its employees
on the same page, as it was reported that the
company's employees were all on various
pages. Some understood the need for
change and were prepared for it, while
others were not interested.
What is John Winsor’s role in
transformation?
04
John Winsor’s role in the
Transformation
Created a
New Model
Potential of Open Innovation: the
low prices of crowdsourced
campaigns and the opportunity to
maximize social media exposure
would attract clients
Negotiation
Innovated the
Creative process
John Winsor spearheaded the
Victors & Spoils and introduced
an innovative approach to
creative process using the
Crowdsourcing model
John Winsor along with his team
and David Jones also had to
negotiate with and convince the
Top level management for the
crowdsourcing model
01 02 03
Where do you think Havas’
stock market value will be in
three years?
05
Where do you think Havas’ stock market value will be in three
years?
Havas stock might remain stagnant or grow nominally in next 3 years
Stagnant
1. It hasn’t grown much in these many years.
2. It experience “Pump-and Dump” treatment
3. No significant gains on annual returns - not attractive for investors
4. Only pay an annual dividend and not quarterly or monthly
5. Increasing competition
Grow nominally
1. Completely restructured of the organisation.
2. Digital and data centered equipped.
Suggestions
1. Get internal communication correct
2. Need better work environment and conflict settlement mechanism
Key Financials
GIG ECONOMY
INDEPENDENCE FLEXIBILITY
CHALLENGES
MODEST PAY NO BENEFITS NO JOB SECURITY
VARIETY
BENEFITS
A gig economy is a market that relies heavily on temporary and part-time positions
filled by independent contractors and freelancers rather than full-time permanent
employees.

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Group09_Havas_ Change Faster Akshat Shukla.pptx

  • 1. How are digital transformation challenges manifesting themselves in the advertising industry in general and in Havas in particular? 01
  • 2. DIGITAL TRANSFORMATION SHIFTING New channels and ways of working FAST PACED Different modes of consuming media DATA INTENSIVE COMPETITIVE New competitors everyday Customer generates data on a big scale CHALLENGES FOR AD INDUSTRY SHIFTING Testing time is low FAST PACED Multiple media channels DATA INTENSIVE COMPETITIVE Virality is hard to achieve Hard to keep up
  • 3. CHALLENGES FOR HAVAS 03 01 02 04 REVENUE 70% of the revenue was directed from traditional methods RELUCTANCE C-level employees were reluctant to change their practices CLIENT DEMANDS Increase in data size facilitated interpretation of data and subsequent increase in demands ORG. STRUCTURE Keeping digital at the core required a change in architecture of all departments
  • 4. What capabilities does the firm now need to be a leader in the changing advertising landscape? 02
  • 5. CURRENT SCENARIO? Industry Decentralization Eg: Victors & Spoils Changes Simple ads using iPhone on YouTube Value of digital Future focused communication
  • 6. CHANGES FOR EVOLUTION Adapt Digital media is different than TV Internal Communication Team should be on same page Be Curious As said by UK group chairman: “keep up, keep curious.” Reinvent Take risk to become leader
  • 7. What specific changes can David Jones and his colleagues make to equip Havas to thrive in the midst of these transformation pressures? 03
  • 8. A3. Making the changes to thrive in Transformation Talent Management Framework As the organization is also facing issues finding new talent which wants to work with organization and stay with it they need also poaching by google is also one of the issues they need to look into using talent management framework and work accordingly Kurt Lewin Model of Change Kurt Lewin's model of change can be used by a corporation to get all of its employees on the same page, as it was reported that the company's employees were all on various pages. Some understood the need for change and were prepared for it, while others were not interested.
  • 9. What is John Winsor’s role in transformation? 04
  • 10. John Winsor’s role in the Transformation Created a New Model Potential of Open Innovation: the low prices of crowdsourced campaigns and the opportunity to maximize social media exposure would attract clients Negotiation Innovated the Creative process John Winsor spearheaded the Victors & Spoils and introduced an innovative approach to creative process using the Crowdsourcing model John Winsor along with his team and David Jones also had to negotiate with and convince the Top level management for the crowdsourcing model 01 02 03
  • 11. Where do you think Havas’ stock market value will be in three years? 05
  • 12. Where do you think Havas’ stock market value will be in three years? Havas stock might remain stagnant or grow nominally in next 3 years Stagnant 1. It hasn’t grown much in these many years. 2. It experience “Pump-and Dump” treatment 3. No significant gains on annual returns - not attractive for investors 4. Only pay an annual dividend and not quarterly or monthly 5. Increasing competition Grow nominally 1. Completely restructured of the organisation. 2. Digital and data centered equipped. Suggestions 1. Get internal communication correct 2. Need better work environment and conflict settlement mechanism
  • 14. GIG ECONOMY INDEPENDENCE FLEXIBILITY CHALLENGES MODEST PAY NO BENEFITS NO JOB SECURITY VARIETY BENEFITS A gig economy is a market that relies heavily on temporary and part-time positions filled by independent contractors and freelancers rather than full-time permanent employees.

Editor's Notes

  1. John Winsor was the CEO of Victors & Spoils and V&S was the first advertising agency built on crowdsourcing model. John with his team created a platform for thousands of people from around the world to generate creative ideas for ad campaigns and submit their ideas to V&S’s crowdsourcing platform. In 2012 Havas acquired a majority stake in V&S. John Winsor remained CEO of V&S, and also took on the role of chief innovation officer at Havas.