Are business leaders ready for a world of radical transparency?

1. July 2016
The digital emperor
has no clothes
Are business leaders ready
for a world of radical transparency?

2. 2Copyright © 2016 Accenture All rights reserved.
New technologies have raised the
stakes when it comes to trust. Both data
usage and individual/institutional
conduct are subject to increased
scrutiny, and leaders are faced with
three significant transparency
challenges.
What does trust mean in a
radically transparent digital world?
CIOs are struggling to deliver timely,
incremental value at a reasonable cost
83% say trust is the
cornerstone of the digital
economy.
83%

3. 3Copyright © 2016 Accenture All rights reserved.
Digital Ethics
Today’s Leadership Challenges
1. Leaders are not prepared for
radical transparency
60%
60% of employees share
information on their
rewards, salaries, and
opinions of their manager’s
performance on sites like
Glassdoor
Leaders must “walk the talk” to build
collective trust.
• Inspire others
• Visionary capability
• Adaptability

4. 4Copyright © 2016 Accenture All rights reserved.
Digital Ethics
Today’s Leadership Challenges
2. Leaders should go beyond the boundaries
of existing regulations
75%
Nearly 75% of business
executives say that
regulation can help bring
clarity regarding
appropriate use of
personal data
It’s no longer enough to rely on regulators
for clear ethical guidelines.
“Industry [is] moving at the speed
of Silicon Valley, [the] FAA can’t be
moving at the speed of government.”
– Michelle Schwartz, Chief of Staff,
Federal Aviation Administration1
But are they putting this belief
into practice?
Evidence suggests they aren’t.

5. 5Copyright © 2016 Accenture All rights reserved.
Digital Ethics
Today’s Leadership Challenges
3. Leaders must adopt strong digital ethics
to sustain innovation
82%
82% of respondents agree
that a lack of security and
ethical controls on data
could exclude them from
participating in digital
platforms or ecosystems
Rapid response and willingness to
self-regulate help maintain organizational
credibility.
In response to feedback following an experiment
Facebook conducted assessing the emotional
impact of negative news stories on 700,000 users,
the company has provided a detailed overview of
their research process. This transparency is being
hailed as an important step forward for corporate
research ethics.2

6. 6
How can leaders build trust in a world
of radical transparency?

7. 7Copyright © 2016 Accenture All rights reserved.
85% of manufacturing executives expect
human-machine-centric environments to be
commonplace in their plants by 2020
Use digital to break down barriers
Leaders must create a dynamic, adaptive culture to deal with the
speed of digital disruption.
85%
But only 22% have actually implemented
measures designed to realize the potential of a
connected industrial workforce
22%

8. 8Copyright © 2016 Accenture All rights reserved.
Create inside-out transparency
Acting is faster than planning in a digital economy.
85%
Use approaches that can generate dynamic
standards of conduct from the inside out:
• Ethical hackathons
• Micro-action crowdsourcing
• 30-day challenges
Piloting and iterating ethical policies can help organizations
adapt quickly.

9. 9Copyright © 2016 Accenture All rights reserved.
Build “ethical muscle”
Embedding and reinforcing ethical behaviors is an ongoing process.
85%
Build a diverse workforce.
A mix of ages, genders, ethnicities, and
educational backgrounds brings a range of
perspectives to ethical decision making.
Perform regular reviews.
Keep current during the entire life cycle of an
analysis, from data procurement to algorithm
selection to training.
Reinforce ethical behaviors.
Use tools like online coaching, game-based
simulations, and peer communities to continually
encourage ethical judgment.

10. 10Copyright © 2016 Accenture All rights reserved.
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Sources
1. Why Does It Still Take Five Hours to Fly Cross-Country?! Future Tense, May 17, 2015,
http://www.slate.com/blogs/future_tense/2016/05/17/why_does_it_still_take_five_hours_to_fly_cross_country_a_future_ tense_event.html
2. Recode, June 14 2016,
http://www.recode.net/2016/6/14/11923286/facebook-emotional-contagion-controversy-data-research-review-policy-ethics