The document discusses the need for organizations to adapt to the proliferation of smart products and services by creating efficient digital teams structured to enhance adaptability and innovation. It highlights the importance of platforms for value creation, collaboration, and customer engagement, emphasizing the shift towards smart service production as a means to sustain growth. The digital leadership framework balances efficiency with adaptability to navigate the challenges posed by a rapidly changing business environment.

1. Paul.Gromball@tmg-muenchen.de1June 2016
Creating the
learning Enterprise
Discussion Paper
Leading
Digital Teams
Building the Platform Organizations

2. Situation:
Smart Products & Smart Service create new value for customers
Smart Products Smart ServicesCustomer
Hardware
Software/
User Interface
Networking/Data/AI
Smart Products Smart Services
+
The emerging Digital Business Architecture

3. 3
Challenge:
The “proliferation” of Smart Products reduces profits which shifts the
fundamental constraint for growth to the Smart Service “production”
Source:Kim, Chan et al: Blue Ocean Strategy, Harvard Business School, 2015
Base: 150 global companies in 30 industries
Initiatives
Revenue Impact
The Profit and growth consequences of Smart Service Bottleneck
Profit Impact
Smart Product Initiatives Smart Service Initiatives
86 % 14 %
62 % 38 %
39 % 61 %
Bottleneck

4. 4
Solution:
Companies need an efficient & adaptive Organization to meet the
challenges of Smart Products and Smart Services
3
Build an efficient & adaptive Organization
Fast changing and
inter-connected market environment
Business Sphere of Activity
Smart Products Smart ServicesCustomer1 2
Reshape
the portfolio
Sustain innovation
in R&D

5. 5
Digital Leadership Framework
Digital Leadership balances Efficiency with Adaptability
Management-
driven hierarchy
Digital Team Platform
Leadership driven network
Smart Products Smart Services
Mastering the
Slide Control
Digital Leadership
as…
Typical Digital Team areas:
• High degree of creative work
• Global business areas
• Cross-boundary work
• Large basic processes
• Areas with knowledge gaps
Efficiency & Excellence Adaptability & Innovation

6. 6
The Digital Team Activity Sphere
Customer Opportunities and cross-functional Use Cases are
the focus of Digital Team Value-Creation
A) Customers with opportunities B) Cross-functional Use Cases
Project
Management
Innovation
Management
Business
Process
Management
Topic –
specific
Networks
Expert
Networks
Information
Management
Stakeholder
Management
Management
& Reporting
Councils,
Boards,
Committees
Smart
Products
Smart
Services
Customer
Reshape
the portfolio
• sustaining Leadership
• building competitive Position
• exploring strategic Options
Sustain innovation
in R&D
• Strengthen Pipeline
• R&D 2.0 Model
• R&D Collaborations

7. The Digital Team Live Cycle
Building the Digital Team Organization in Waves
7
Customer Opportunities
& Use Cases
Building
& Operating

8. Creating the Digital Team Platform
The Value Ecosystem
8
Job
Sub-Jobs
Workstreams
Tasks
Community
Integrator
On-boarding
Launch
Adapt
Optimize
DIGITAL DESIGN
PLATFORM
Designing Primary Activities Managing Support Activities
Team of Teams

9. Primary Activities of Digital Team : Four connected Levels
9
The Digital Team of Teams Structure
1) Job-to-be-done Sphere
2) Sub-Job
3)WorkStream
4)Task
Digital
Team
Lead Link
Rep Link
DIGITAL DESIGN PLATFORM
Roles

10. Support Activities for Digital Teams: Governance
10
The Digital Team of Teams Governance
Governance:
Weekly
Activation
Sessions
Doing Work
in clear
roles
Sensing
Tension
as Challenges
or opportunities
I) Empowered
Execution
to act on tensions
II) Joint Consciousness
on achieving the goals
Job-to-be-done
DIGITAL DESIGN PLATFORM
Tension drives progress
Community
Integrator

11. Community Integration is empowered by the Cloud
11
Community Integration as a Service
DIGITAL PLATFORM
Online-Learning Phase 1: Tuning-in
PLAYBOOKS
Phase 2: Primary Activities Phase 3: Support Activities
Community: Digital Team of Teams
Repository of repeatable best practices and re-usable components
Community
Integrator

12. 12
Digital Teams take Friction out of Smart Service Co-Creation
The Smart Service Network: The Platform
• High adaptability/agility for Customer Signals
• Joint Consciousness of pet owners need
• Mastering Complexity of dynamic value creation
• Network Effects are key growth driver
• Controlled Platform Access for Firm & Customer
• Knowledge/Benchmark Exchange is enabled
• Unity-of-Effort across boundaries
• Global BI synergies for local but common themes
Digitally
Engage Customers
Value Creation: Periphery Value Creation: CustomerValue Creation: Center
Enabling the
Periphery Teams
Smart Talents: Community Integrator
Phase I Phase II
Transformed Value Creation: The Platform Business Model
Smart Service Platform
VALUE UNIT
Touch Points
Enabling the
Center Team
VALUE UNIT
Services
Company Company
Patient

13. 13
The Digital Team Difference
Freeing Resources for value-creating Activities and Growth
Resources
(costs,emailtime..)
Cooperation
Structured Organization
Digital Teams
The Effect on Business Performance
Digital
Transformation
Time-Reduction
30 -50%
Speed
Fast Responses
Reduction of
non-value added expenses
25 -30%
Efficiency
Work Productivity
Additional Value-Creation
by Cooperation between “Boxes”
20 -25%
Growth
Collective Creativity
Limits of Growth: Knowledge Resources
Growth Effect
Source: Morieux, Yves: Six Simple Rules