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Digital Transformation:a model to master digital disruption
GhentDearMedia@dadovanpeteghem
We are in Digital Kindergarten :-)
Waves of Digital Disruption
1995+MusicPhotographyVideo Rental…
2010+Print MediaTVTravelHR…
2015+BankingHealthcareAutomotiveRetailEducationTelcoYour industry??…
2020+All Safe havens will be subject to digital disruption…
Average Company Lifespan on S&P 500 Index
1960 1970 1980 1990 2000 2010 2020
60
50
40
30
20
10
0
7060Y
18Y
Your biggest competitor is probably not on your radar.
5 thingsyou can doright now.
From ... ... to
The Business
Digital (at the
sideline)
Digital in the core
2015 2020
TVRadi
o
Prin
t
Billb
oard
s
DM
Digi
tal M
edia
Sale
s
Mar
ketin
g &
Com
mun
icatio
n
Serv
ice &
Sup
port
HR IT
PR &
Ext
erna
l Com
mun
.
R&D
& En
terp
rise
2.0
Digital Transformation
http://techcrunch.com/2015/04/18/you-dont-need-a-digital-strategy-you-need-a-digitally-transformed-company/
Do you have a future 2020 vision on how digital is transforming your
business and how you need to act upon that?
Digital Transformation
www.digitaltransformationbook.com
Transformation MissionThink about our future company's function, markets, customers, competitive advantages, challenges, …
If you would rebuild the company from
scratch, what would it look like?
Ask yourself:What company do you need to be in
2020? Reverse Engineer that vision.
http://thenextweb.com/facebook/2015/05/20/heres-our-first-peek-inside-the-little-red-book-facebook-gives-to-employees/
Facebook Little Red Book
We are not looking for Great Ideas
We are looking for Great Problems(that need solving)
People are not using Uber because of the technology. They are using it because it takes away the hassle.
"Name"
PROBLEM/NEED
EMOTIONS
SOLUTIONFUNCTIONS
CHANGE CURRENCY (benefits)TARGET GROUPS
What problem are we solving and for who?
What are the basic emotions that problem and solution are addressing?
What is the overall solution that would fix this
problem?
What are the benefits and are they strong
enough to have people change their preference?
What are the different functions a customer
would expect this solution to have?
Whom are you addressing with this product or service?
The Problem Transformation Canvas
Disney’s has its own Venture
Capitalist program
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
Organisation Model
• =
“If you can't understand the new world of digital, fire yourself.
Build an executive team that is digital-first. 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 ColonyCEO Forrester Research
The ideal situation
CEOIdeally your CEO is the digital lead
Unfortunately he’s probably
not.
CIO COO CbsOSalesMkt
Do you haveDigital Leadership in your
organisation?
Digital Transformation
So do we need a Chief Digital Officer?
CEO
CIO COO CbsOSalesCMO
Yes, we believe so. Because it is a permanent role. Digital
Disruption will be here forever.CDO
Digital Transformation Team
It's time to move all-in
Start playing on the offenseinstead of on the defense!
