Didier Bonnet Presents #LeadingDigital at the #CDOSummitNYC

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TURNING TECHNOLOGY INTO BUSINESS TRANSFORMATION LEADING DIGITAL CDO SUMMIT NYC APRIL 29 TH , 2015

Transcript of Didier Bonnet Presents #LeadingDigital at the #CDOSummitNYC

TURNING TECHNOLOGY INTO BUSINESS TRANSFORMATION

LEADING DIGITAL

CDO SUMMIT NYC – APRIL 29TH, 2015

Copyright © 2014 Capgemini Consulting. All rights reserved.

Leading Digital Transformation has become

an imperative for organizations

Copyright © 2014 Capgemini Consulting. All rights reserved.

What Do These Great Companies

Have In Common?

Copyright © 2014 Capgemini Consulting. All rights reserved.

Dig

ital C

apabili

ty

Leadership Capability

The DNA Of Digital Masters

The What:

Using digital technology to transform the customer

experience, operational processes and business models

The How:

Successful transformations depend as much

on how firms manage digital transformation than solely on

implementing new technologies

Copyright © 2014 Capgemini Consulting. All rights reserved.

4 Levels Of Digital Mastery

Dig

ital C

apabili

ty

Leadership Capability

FASHIONISTAS DIGITAL MASTERS

CONSERVATIVESBEGINNERS

• Many advanced digital features (such as social, mobile) in silos

• No overarching vision

• Underdeveloped coordination

• Digital culture may exist in silos

• Strong overarching digital vision

• Excellent governance across silos

• Many digital initiatives generating business value in measurable ways

• Strong digital culture

• Management skeptical of the business value of advanced digital technologies

• May be carrying out some experiments

• Immature digital culture

• Overarching digital vision exists, but may be underdeveloped

• Few advanced digital features, though traditional capabilities may be mature

• Strong governance across silos

• Active steps to build digital skills and culture

Copyright © 2014 Capgemini Consulting. All rights reserved.

* Average performance difference for firms in each quadrant versus the average performance of all large firms in the same industry for the 184 publicly-traded companies in our sample

The Time To Act Is Now: Digital Masters Have

Significantly Better Financial Performance

Basket of indicators:

• EBIT Margin

• Net Profit Margin

Dig

ital C

apabili

ty

Leadership Capability

REVENUE GENERATION EFFICIENCY

+6%

Basket of indicators:

• Revenue / Employee

• Fixed Asset Turnover

+9%

-10%-4%

Dig

ital C

apabili

ty

Leadership Capability

PROFITABILITY

% +26%

+9%-24%

-11%

Copyright © 2014 Capgemini Consulting. All rights reserved.

The Time To Act Is Now: Every Industry We’ve

Studied Already Has Digital Masters

Copyright © 2014 Capgemini Consulting. All rights reserved.

BUSINESS

MODEL

CUSTOMER

EXPERIENCEOPERATIONS

Digitally-modified businessCustomer Understanding Process digitization

New digital businessTop Line Growth Worker enablement

Digital globalisationCustomer Touch Points Performance management

The What: Building Blocks Of Digital

Capability

Copyright © 2014 Capgemini Consulting. All rights reserved.

• Identify Strategic

Assets

• Transformative/

Think Big

• Intent and Outcome

• Evolve over Time

• Connect the

Organization

(Wire)

• Encourage

business Use

Cases (Adoption)

• Foster New Ways

of Working (Scale)

• Rethink IT/

Business

Relationship

• Build Digital Skills

• Digital Platforms

• Digital

Committees

• New Digital Roles

• Shared Digital

Units

The How: Leadership Capabilities Turn

Digital Investment Into Digital Advantage

IT/BUSINESS VISION

ENGAGEMENTGOVERNANCE

Copyright © 2014 Capgemini Consulting. All rights reserved.

Digital Masters Create Dedicated Governance to

Drive Transformation

28%

29%

40%

27%

29%

50%

15%

22%

16%

14%

0% 10% 20% 30% 40% 50% 60%

We don’t have any formal governance practices around Digital Transformation

A cross-functional innovation group thatevaluates the business impact of emerging

technologies

A cross-functional steering committee to makestrategic decisions and allocate resources

Dedicated digital leadership roles in differentunits

A dedicated senior leadership role withresponsibility across all digital initiatives

Non-masters

Digital Masters

% of respondents

Copyright © 2014 Capgemini Consulting. All rights reserved.

Sustain the Transformation

• Build Foundation Skills

• Align Incentives & Rewards

• Measure, Monitor & Iterate

Frame the Digital Challenge

• Build Awareness/Understand

Impact

• Know your Starting Point

• Craft Vision & Align Top Team

Focus Investments

• Translate Vision into Action

• Build Your Governance

• Fund the Transformation

Mobilize the Organization

• Signal your Ambitions

• Earn the Right to Engage

• Set New Behavior &

Evolve Culture

Digital Transformation Is A Job For Now…and

CDOs Can Help Accelerate Those Transformations

Copyright © 2014 Capgemini Consulting. All rights reserved.

Digital Technology Will Remain The Endless Agitator Of The Business World

Augmented Reality

Robotics Artificial Intelligence

Sharing Economies Wearables

3D Printing

You Ain’t Seen Nothin’ Yet

Thank you!

Follow us on twitter at:

@GWESTERMAN

@DIDIEBON

@AMCAFEE

@CAPGEMINICONSUL

#Leadingdigital

Or visit our website at:

www.leadingdigitalbook.com