the challenge of digital - iiba dutch · thesis they know digital by training and intelligence. by...
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The Challenge of Digital Transformation
Help Business Analysts understanding the digital induced TRANSFORMATION and a “change management” way forward.
Joep WijmanWijmanCoaching BVIIBA conference, Bunnik 14 November 2017
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Thesis
They know digital by training and intelligence.
By trade they understand strategy, (IT)governance and processes.
Their role and attitude is change agent.
They operate at the interface of Business and digital technology.
(To-Be) BA-scope: company strategy, culture, people, structure & tasks.
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Business Analysts … are the Masterminds and Facilitators
… of digital Transformation:
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Analogue meets digital …
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Combined, the 10 largest tech companies have acquired 50 AI companies in the last 5 years, targeting facial recognition startups, chatbots, chip makers, and more.
Convergence
of mega-trends
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What’s going on really …
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… recent rapid adoption and application of artificial intelligence algorithms are changing blue and white color jobs. CB Insights Research Brief 6 October 2017
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Bottlenecks in moving toward mature digital transformation(MIT Sloan Management Review summer 2015)
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What enables Digital Maturity?Digital maturity goes beyond technology and is about reshaping your organization to adapt to any change that comes along in a digital environment.
Digitally maturing companies:
Make digital core to their business.
Look far ahead when setting strategy.
Are better able to scale their experiments enterprise-wide.
Create an environment that enables digital maturity.
Cultivate a culture that supports change and attracts talent.
Those not receiving digital development opportunities are at risk of leaving.
Commitment and leadership are required.
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MIT Sloan – Deloitte Research Report summer 2017
Only 25% of companies would rate themselves as digitally mature.
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Recap Digital TRANSFORMATION
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Digital: qualifier; adjective; TRANSFORMATION: core/essence; noun. Clear Purpose is decisive.
WEF 4th Industrial Revolution Digital Context:
▪ instant information access allowing unfiltered real time response and reinforcing networking.
▪ Internet & social media: everybody has a voice. Digital is an equalizer!
Digital Transformation:
▪ Business: marketing + innovation + manufacturing & supply chain.
▪ Consumer: online, real time, share, informed, no limits time/geography.
▪ Government & society: the rules of the game and interaction in flux.
Key words: connected, shared, networked.
UBIQUITY, the ground is moving: how to lead and manage change.
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Example Philips Personal Care case
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World’s 1st
personalized 3D printed shaver
The only beard trimmer with a laser guide
A mix of foundation and always on activities, with more effective smaller peak activities
But not yet a digital strategy
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Coat-rack for cohesion
Source: ALIGNING THE ORGANIZATION FOR ITS DIGITAL FUTUREMIT SLOAN MANAGEMENT REVIEW summer 2016
Outcome
Implement
Sustain
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Coat-rack for governance of digital transformation
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Source: Mobilizing Collective Ambition—How Effective Top Teams Lead Enterprise-Wide Change; Doug Ready ICEDR Forum—Stockholm May 22-25, 2000
Double the business by 2020
Move to Digital Context & Health Tech
Exec Digital Sponsor leading digital strategy, transition & capability
development
Transition Leadership
Team developing integrated digital
roadmaps; build and
implement digital engagement, proposition
and technical
product/service
Categories ( Category Leaders) running and
building (digital) business
Digital
engagement &
accelerators
GrowthWinning tomorrow
through superior insight
CollectivismDeveloping
processes that build cohesion
CompetitivenessWinning today
through superior performance
Collective Ambition
Orientation: doing
Ideology: being
IndividualismEncouraging
independence and entrepreneurship
Accelerate! & Health Tech
Horizon 1
Horizon 2
Horizon 3
Budget rule of thumb: chop off top-down
Horizon 3
Horizon 2
Horizon 1
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Transformational ChangeThe Leadership Job — Mobilizing Collective Ambition
2.Building
Connectivity
1.Shaping
the Agenda
3.EmbeddingCapability
Big and bold commitments
in the midst of uncertainty to reinvent the business rather than just improve it.
Apps, social media channels etc. initiatives still leave the
legacy business in place.
Without a transformation
of the core—the value proposition, people, processes, and systems that
are the lifeblood of the business—any digital initiative is likely to be a
short-term fix.
Leadership decisions:
▪ Where the business should go
▪ Who will lead the effort
▪ How to “sell” the vision to key stakeholders
▪ Where to position the firm within the digital ecosystem
▪ How to decide during the transformation
▪ How to allocate funds rapidly and dynamically
▪ What to do whenText source: Digital McKinsey February 2017
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What does this mean for the Business Analyst Prioritize . . . Capabilities into a short list of Key Success Drivers
Analyze . . . Capability gaps against your Ambition
Galvanize . . . The organization into action
-----------------------------------------------------------------------
Our organization’s Collective Ambition Agenda is shaped.
Key Success Drivers have been prioritized.A KSD is an initiative which is paramount (“make or break”) to achieve the Strategic Agenda
Capability Gaps have been identified.
-----------------------------------------------------------
Great start . . . but now the real work begins!
Often our strategies and change initiatives fail due to our organization’s
lack of capability and will to implement and sustain the change.
Change agent & facilitator role
Analytical
role
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Business Analyst supports Management
MindsetWalking the talk with consistent
behavior
MobilizationResource commitments &
people investments; identify blockers and remove them
MeasurementRelevant individual and organizational
performance measures based on (tomorrow’s) KSD’s (not yesterday’s)
that assess progress
Mechanisms for RenewalEmbedded processes
that continue the journey
MeaningShared understanding of Collective Ambition,
KSD’s and needed change through commitment and dialogue
The Building Blocks of Organizational Capability — The 5-M’s
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Embedding Organizational Capability
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Meaning Mindset Mobilization Measurement Mechanisms for Renewal
KSD1PC/Category level
KSD2PC/Category level
KSD3PC Change level
KSD4Operations level
Organizational Capability — The 5-M’s
Key
Su
cces
s D
rive
rs
Game changing innovation, e.g. Compete against blade by introducing a new hybrid technology – mechanical cutter “’thin as a blade’’ Shimmer that is superior in shaving longer hairs and styling.
New service models, e.g. Digital marketing, Apps
Change mindset & behavior, e.g. Build entrepreneurial mindset & behavior
Operations capability build up, e.g. To enable low volume/high mix production pilot and build knowledge with 3D metal printing, sensors and smart robotics.
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Change Management: a birds eye overview
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Sustained perfor-
mance improvement
and increased capa-
city for continuous
change
=
Perceived need
to change
Commitment to a new
vision of the future
Initial Mindset Change
XX
Business projects owned
by line and employees
Process to overcome
barriers to change
Significant improvements
in performance
Capability to change
X X
X
Changes in formal structure,
systems, processes and people
Embedded Learning
X
Effective communication
of lessons learned
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Business Analyst: Mastermind and Facilitator of digital Transformation
CIO and IT Staff:
Help business colleagues understand which digital knowledge & skills need to reside in their function and which they can leave to IT.
Communicate in terms of business activities & outcomes.
Partner with business leaders.
Carve out time and create forums for learning digital.
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BA-role & attitude:
From analysis to strategy to implementation
Steady rock
Mastermind & change agent
Evangelist & Digital ambassadors
Coaches & Teachers
They know digital by training and intelligence.
By trade they understand strategy,
(IT)governance and processes.
Their role and attitude is change agent.
They operate at the interface of Business and ICT.
BA-scope: company strategy, culture, people,
structure & tasks.
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