MAKING THE CASE FOR DIGITAL TRANSFORMATION
CHRISTINE ASHTON
DIGITAL INFLUENCER
MY STORY
CXO Advisory and Transformation
• CIO/CTO/CDO FBCS, CISSP, C. Sci, C.Eng
•Transforming and scaling IT/IS for global operating models
•Business, culture and IT Transformation to accelerate delivery of Digital Business
• IT strategy to drive commoditisation and innovation (BYO, EAAS, Enterprise Cloud and PAAS)
•Major enterprise system implementations and project turnarounds (ERP, CRM, Infrastructure) to support rapid growth and global restructuring
•Building strategic partner 'market places’ and innovator eco-systems
Passionate about technology as an enabler and business value creator
Cogventive
DOING WHAT WE ALWAYS DID
JUST WON’T GET YOU THERE FAST ENOUGH…..
Gartner Said:
PROGRESS - HOW MUCH ARE COMPANIES MAKING?
Are You there?
Business Sustainability Gap –it happens when the strategy
process gets disrupted
McK Three Horizon Planning
CEOS - WHAT IS THE MOST IMPORTANT FACTOR IN YOUR COMPANY’S ABILITY TO MOVE TO A DIGITALIZED BUSINESS?
Changing industrial era ‘norms’ and ways of working is the ‘path to digital’ bottle-neck, the technology works
6
Business Disruption Is Happening On Multiple Levels
Internal Change
Market
Disruption
7
Digital Readiness - Requires New Business Capabilities
Differentiate andexcite Customers
OperationsRun Efficiently
Re-imagine,Innovateand Disrupt
Internal Change
Market
Disruption
SHIFT RIGHT - BUSINESS BASICS IN A DIGITAL WORLD
Access to real-time resource scheduling to re-direct mobile teams, supply chain and ecosystem resources in real-time
.
Integrated real time view of business to track results of changes and course correct
As it happens visibility into product and customer profitability,daily sales outstanding and inventory
SHIFT RIGHT - BUSINESS TRANSFORMATION IS A MINDSET CHANGE AUTOMATING DAILY ROUTINE TO PIVOT TO DRIVING STRATEGY
Automation
Runningthe Business
Insights
Operations
Deliver Insights
Operations
Predictive Insights
Backward looking
Real-time Insights
Advanced Analytics
Drive Strategy
Operations
Forward looking
Predictive Insights
Real-time
InsightsBackward
looking
The smart companies iterate this E2E cycle to re-balance frequently
Adapted from
WHAT DIGITAL CAPABILITIES ARE WE TALKING ABOUT?
Enablement
Capabilities
Competitive
CapabilitiesTechnical
Capabilities
Adapted from Gartner © 2019 Gartner, Inc. and/or its affiliates. All rights reserved. 609007
External
Facing
Internal
Facing
API
Management
Development
Environment
Hosting
Customer
Analytics
After-Sales
Support
Personalized
Customer Advice
& Engagement
Supplier Sourcing
and Selection
Employee
Experienc
e
Customer
Relationship
Management
Information Products
“Preventative
Maintenance”Ride
Sharing
Campaign
Management
Typically
Business-Led
Products
Typically
Managed by
Corporate IT
Intelligent
Assistant
ERP
eCommerceEmployee
Recruitment
Employee
Collaboration
Manage
Accounts
Product
Security
Distribution
Management
Data
ManagementIntelligent
ERP
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Intelligent ERP is here now - To reinvent businesses
Dynamic Pricing of
Retail Goods
Assisted Procurement& Sourcing
Accelerated Financial
Close
Highly Accurate
SalesFore-
casting
Demand-Driven Replenishment
Smart Delivery Insights
Automatic Invoice
Matching
Data-Driven Logistics
Predictive Maintenance
& Service
This is the current state of planning and may be changed by SAP at any time without notice.
12PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
The Future of Work is about getting to the Yellow– Intelligent and Smart Enterprise Technology is Critical
Intelligent User Experience
Next GenerationAssistants
Insight to action
Exception Management
Intelligent Processes
Next GenerationProcesses
Machine Learning / Intelligent Automation
Robotic ProcessAutomation (RPA)
Adapted from
Priorities
Activity
DIGITAL TRANSFORMATION CAN ENABLE THE RE-ALLOCATION OF BUSINESS RESOURCES TO GROWTH BY “SHIFTING LEFT”
• Fit to Standard and Automation of repetitive tasks
• Reduce costs adopt standard set of solutions and SaaS within an integrated ecosystem
• Resilience - Silent Running’ with security and privacy built in
• Reduce infrastructure costs by effective hosting/ storage options,
• Bill of IT - Transparency across everything
• Data is federated
• Meta product data is king. Leverage data about how your products are used
• Top product and technology talent
• Collaborative approach to suppliers, JVs and start-ups
• State of the art technology and environments that increase the speed of concept to production
• Fast reaction times and data to know when things aren’t working
• Faster time to engage and ability to scale up quickly in the market
• Connect to people, devices, big data, business networks and applications in real time
• Requires real-time decision making and supply chain agility
• Close Business/IT interaction and planning requires an ‘agile approach’ and continuous deployment
EXPERIMENT - Test –out Next generation offerings, 2-4 year horizons
SCALE FAST - Platforms and ecosystems for predictive knowledg and collaboration
Differentiate and excite Customers
OperationsRun Efficiently
Re-imagine,Innovateand Disrupt
COMMODITIZE – variablizecosts , reduce footprint and cannibalize legacy
14PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
SHIFTING LEFT - Bringing The Future Into the Here and Now
Create opportunities to SHIFT RIGHT. Innovate and bring in ‘micro’
business capabilities, change how work gets
done and your culture. Create valuable customer centred
outcomes and innovative services then SCALE & SHIFT LEFT
Use the intersections between your Horizons to introduce new
technologies such as SaaS and predictive analytics that help
you to commoditise the ‘day to day’ anddeal with exceptions
and SHIFT LEFT
Adopting a Multi-threaded strategy to operationalise, differentiate and innovate your business is key to the
success of your ‘digital switch over journey’
CIOs MUST look to create opportunities enabled by technology to create new capabilities
and ways of working jointly with business peers
IN SUMMARY – DIGITAL BUSINESS WAYS OF WORKING MUST HAVES
• Digital Agility is a change in the way the whole company thinks. Determine opportunities and challenge your response to your new reality
• Create digital advocates at all Leadership levels in your organisation.
• Focus on a ‘Customer In’ rather than a ‘Product Out’ strategy - the customer is now the boss.
• De-construct and simplify work – ‘fit to standard’ and ‘As A service’ are the new mindset.
• Look to deliver value in 90-day waves – use any gains to fund innovation to ‘shift-right’
• Actively look for ways to re-inforce entrepreneurial mindsets and behaviors use ‘break-out events’ e.g ideathons, dev jams, customer jams to create proof points
IN SUMMARY –SHIFT LEFT STRATEGY DIGITAL MUST HAVES
• Silent Running – privacy and security built in, easy upgrades and no hardware or technical debt
• Make the case for Shift-Left and use ‘Fit to Standard’ to dismantle legacy and commoditise
• Artificial Intelligence that can help to simplify routine tasks using ‘smart matching’ and alerting
• Invest ONLY where it creates differentiation or something completely new
• Business in Real-time from anywhere is the new benchmark. No-more waiting.
• Continuous improvement of ‘best in class’ capability ahead of demand customers expect it
• Extensibility built in – Integration out of the box, Open APIs, IOT
• Scale built –in – No more re-fits, iterate …..your company depends on it!!