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Outside-In The Secret was published in early 2010. Now in its 5th revision this is the story of those companies apparent 'magic' and their tricks for achieving success. This key note was delivered at the iCMG's 6th Architecture World Conference in Bangalore.
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AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
Steve Towers
www.bpgroup.org | www.towersassociates.com
OUTSIDE-IN - THE SECRET OF THE 21ST CENTURIES LEADING COMPANIES
www.bpgroup.org
What is the Secret and
Who are the companies?
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
www.stevetowers.com
www.bpgroup.org
www.bp2010.com
www.towersassociates.com
www.oibpm.com
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
www.stevetowers.com
www.bp2010.com
www.towersassociates.com Outside-In:
The Secret of the leading 21st Century Companies
• Outside-In The Secret – what is it?
• Who Are the Leading Companies?
• What is it that they are doing?
• How are they doing it?
• Can we do it also?
• Where should we start?
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
Outside-In The Secret – what is it?
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
Who Are the Leading Companies?
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
What is it that they are doing?
First let‟s review quickly what they don‟t do
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
We have inherited an industrial legacy
What shape are our organisations in?
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
The Pyramid
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
CEO
Marketing Sales Customer Service
Operations Finance
Our organisations all look the same...
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
CEO
Marketing Sales Customer Service
Operations Finance
Processes wend and meander their way around these
rigid structures...
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
CEO
Marketing Sales Customer Service
Operations Finance
And hey ho – we nearly forgot the customer!
Now where do they go?
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
What‟s Missing?
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
What they are doing and
What they know and act upon is different
The reason we are doing work is to deliver product and service to the customer (through that we create the profits)
The rules of work have changed forever as a consequence of the „always on world‟
It is NOT about what the customer wants
The imperative is to reconfigure everything we do around the needs of the customer – simply put not everything should look like a manufactory
The Customer Experience is the process
And it is all about what causes the work we do, rather than the effect
It is essential to manage Customer Expectations
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
The Always on World of the 21st century - 1998
Source BBCworld
The Always on World – It has all happened in the last 13 years! Mapping the Growth of the Internet
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
Source BBCworld
The Always on World of the 21st century Now it is anytime, any place anywhere
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
Over 40 years of launching new products and services, we have striven to listen very carefully to what our customers think they want and then set about giving them something that is often very different, but always a little better. If your business proposition is innovative, your ultimate goal has to be, “The customer always thinks that we are right.”
It is NOT about what the customer wants
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
The needs of the Customer
have changed forever
Inspiration:
Udayan Banerjee
CTO,
NIIT Technology (India)
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
It‟s a Copernican Moment
Copernicus - 19 February 1473 – 24 May 1543
He died 467 years ago
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
How are they doing it?
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
Understand & Develop Successful Customer Outcomes
TOOLS
Layer 1:
Who is the
Customer?
Layer 2:
What is the
Customers
current
Expectation?
Layer 3: What is the
process the customer
thinks they are involved
with?
Layer 4:
How does
what
We do impact
Customer
Success?
Layer 5:
The Successful
Customer
Outcome – what
does the
customer really
need from us?
The primary purpose of crafting Successful Customer Outcomes is create a fundamental focus for a
process, set of processes or indeed complete enterprise strategy. The SCO extends way beyond legacy
inside-out thinking to create an actionable strategic and operational objective for the entire organisation.
CRAFTING THE
SUCCESSFUL CUSTOMER OUTCOME
Understanding the real Customer Need
The One liner
SCO:
One line
statement that
explains the
actual SCO
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
The Causes of Work
Break Points
Business Rules
MOT
BR
Action the Causes of Work
Moments of Truth
BP
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
MOT
MOT MOT
MOT MOT
MOT MOT MOT
Any interaction with the CUSTOMER
is a
MOMENT OF TRUTH
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
MOT
MOT MOT
MOT MOT
MOT MOT MOT
And every
MOMENT OF TRUTH Ripples and reverberates through the organisation
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
MOT
MOT MOT
MOT MOT
MOT MOT MOT
And
MOMENTS OF TRUTH Create complexity, cost, wastefulness and failure
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
MOT
MOT MOT
MOT
MOT
MOT MOT
MOT THE CAUSE OF WORK
THE EFFECT
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
Can we do it also? Yes we can!! It’s child play….
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
However…. Where should we start?
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
Where should we start?
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
You gotta start where you are! Once commitment is made the transition is rapid
Functional
Trans Silo
Enterprise Wide Execution
“The Customer Experience is the Process”
6-12
months
Examples include: Gilead, Allied Pickfords, Tesco, State Farm, Emirates, China Mobile
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
Integrating at the enterprise level?
Process - the Beginning and
the End
Where does the process start and finish?
What IT systems support the process?
Are our processes and systems aligned to
achieve the Successful Customer Outcome?
The Successful Customer
Outcome
What is it and how can it reshape our processes
and enterprise?
Process Points of Failure
Moments of Truth | Breakpoints | Rules
What and Where are they?
What business are you (really)
in?
Can you deliver a compelling 21st century
Enterprise?
Take-aways for you to think on
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
Motivation
Inspire
Inspire
Explore
Handhold
Experience
Reflect
Evangelise
I deserve
something
special
VG Online
VG Online
Book
Online Welcome
Preference
& Personalization
Optimised Touch
Medical Exam
Space Suit
Fitting
Training
The Launch
Sign-Up
The Virgin Galactic Customer Experience
A unified Enterprise
offering
VG Astronauts
Live Feed
FAQs
VG Club
Share All Level Access
All Level Access
All Level Access
Blog
Video
The Club
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
The Customer is the Centre
Live the life of your customer. Become a customer.
Do business with your company from the outside.
Scott Struminger, FedEx's SVP of IT
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
Questions?
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org Source: Fanzine
April 2011…
The upcoming transformation of our
society presents one of the greatest
business opportunities of the next
100 years.
This will require patience as well as
perseverance; to anticipate what‟s
next and plan for that situation as
well as taking advantage of what‟s
immediately before you.
Our efforts in this field are part of
our strategy for this future.
What‟s yours?
Thank you.
Now it shouldn’t seem like magic anymore ;-)
AW 2011 BP Group Conference - July 2011 © BPGroup – All Rights Reserved www.bpgroup.org
Steve Towers
www.bpgroup.org | www.towersassociates.com
OUTSIDE-IN - THE SECRET OF THE 21ST CENTURIES LEADING COMPANIES
What is the Secret and
Who are the companies?