Internal Audit, Risk, Business & Technology Consulting

The Human(e) Side of Digital

The Human(e) Side of Digital · 1protiviti.com

Contrary to popular belief, digital transformation is not about technology. Rather, it is

about getting your business ready to compete in the Digital Age. In fact, digital leadership is a

state of mind. When you engage your people, educate your workforce, consider new business

models, define a coherent strategy, and develop enhanced technology and data science

skills, the technology will follow. On the other hand, if you choose to lead with technology

and impose that technology on an organisation and workforce that isn’t ready, you generally

end up disappointed.

Introduction

By leading your digital transformation efforts

with people, culture and skills, the technology

will follow. It shouldn’t be the other way around.

However, your people also need to buy in to your

organisation’s digital transformation journey. This

can be a challenge when staff see change bringing

disruption and potentially eliminating roles. In

these situations, it’s important to help your people

understand that the world in which the company

operates, and therefore the company itself, is

changing, inevitably and at an unprecedented rate.

If the company and/or its workforce resists, it will

only hamper the company’s growth and success, the

result of which will certainly be changes — possibly

pushed by key stakeholders. However, as part of

your digital transformation journey, if you focus on

and look after your people, and if you prepare them

for their and the company’s future, then they and

your business will thrive.

Here’s another perspective: It is telling that few, if

any, born-digital companies use the phrase “digital

transformation.” Nor do larger organisations that

have immersed themselves in transformation for

more than a decade and have adopted an ongoing

commitment to innovation. These companies continue

to invest in new technologies, but the behaviours,

mindsets and skills of their employees already are

well-equipped to use, tinker with, optimise and

capitalise on new systems and applications. Innovative

thinking and new approaches are embedded in their

culture and are driven from the organisation’s core. On

the other hand, organisations that have yet to adopt

a mindset for and commitment to transformation

tend to invest more and more in new technologies and

deploy initiatives without addressing core attributes

around people and organisational culture, ultimately

creating a digital “veneer” around the business that

looks promising on the outside but fails to address

shortcomings in this core.

Responsibility for managing the human aspects of

digital transformation, which many are calling the

next industrial revolution, extends to all levels and

functions of the enterprise. Yet many organisations

are failing to approach their digital initiatives in this

manner. Organisations need to undertake what we

call Human(e) Digital Transformation. This approach

focuses on the many people and process elements of

digital transformation that drive success but, in our

experience, are overlooked too frequently.

In this paper, we look at some current and historical

trends that provide key lessons for boards and

management, and identify five keys of Human(e)

Digital Transformation.

http://www.protiviti.com

2 · Protiviti

Five Notes on the Next Industrial Revolution

Given the widespread misperception that acquiring

and implementing advanced technology equates to

genuine transformation, it is important to recognise

several defining characteristics of advanced

technology and its place in the digital organisation:

1. Machines empower humans and ultimately create new roles and new jobs — but also create new challenges.

Although some pundits warn of machines

eliminating massive numbers of jobs, history

suggests that markets continually evolve. Yes,

change will happen and many jobs will go away,

becoming redundant or unnecessary with the

introduction of new technologies. Not every job

will be augmented. Furthermore, these changes

will happen even if the organisation and its people

resist (consider the retail industry as an example).

However, history has shown that on balance,

far more new jobs are likely to be created over

the long term. The optimal use of advanced

technology requires a blend of automation and

people. Artificial intelligence (AI) applications

already have shown amazing benefits in

numerous fields when they are deployed to

augment — not replace — human judgement.

Machines augmented by people will drive growth,

which will lead to the creation of more jobs than

those that are displaced.

This dynamic is not new. Automated teller

machines (ATMs) in the 1970s and 1980s did

not displace bank tellers, whose ranks actually

increased during that period, according to

the U.S. Bureau of Labor Statistics. Instead,

ATMs “produced a significant organisational

transformation,” as tellers began advising

customers on loans, credit card options and other,

more complicated banking services. In addition,

as has been well-documented, the widespread

adoption of personal computers did not eliminate

jobs — on the contrary, they empowered workers

to be more efficient and effective. And the first

digital spreadsheet at the onset of personal

computing in the late 1970s did not eliminate

bookkeepers and accountants. Instead, it made

these professionals more valuable because it

equipped them with a timelier snapshot of

business performance, which in turn strengthened

The Human(e) Side of Digital · 3protiviti.com

1 Prediction Machines: The Simple Economics of Artificial Intelligence, Ajay Agrawal, Joshua Gans and Avi Goldfarb, Harvard Business Review Press, 2018.

2 The Inevitable: Understanding the 12 Technological Forces That Will Shape Our Future, Kevin Kelly, Penguin Books, 2016.

3 Ibid.

4 “Seven Jobs Robots Will Create — or Expand,” Daniela Hernandez, The Wall Street Journal, 30 April 2018: www.wsj.com/articles/seven-jobs-robots-will-createor-expand-1525054021.

decision-making.1 Time and again, we see that

jobs tend to be protected in organisations that

embrace changes, not in those that attempt to

protect traditional ways of doing things.

Consider that after chess grand master Garry

Kasparov lost to Deep Blue in 1997, he didn’t

give up the game. Instead, he conceived “man-

plus machine matches in which AI augments

human chess players rather than competes

against them.” In a 2014 tournament pitting

pure-AI chess competitors vs. man-plus-

machine players, the augmented humans won

53 games to the AI application’s 42.2 It’s been

proven repeatedly over time that by allocating

more routinised activities to automation,

employees can focus more on higher-value

work. Machines take the robot out of the

human, enabling humans to do more and

deliver more quickly.

Yet challenges can and do arise. In the examples

above as well as the current wave of digital

transformation, there are accelerated cycles of

innovation and displacement. Skills can become

obsolete and workers can be left behind if they

are unable or unwilling to acquire new skills and

embrace new roles, and if their organisations

fail to support these efforts. For companies,

they face a potential scarcity of needed skills

and resulting war for talent. Thus, investing in

the skills of their people is in the best interests

of organisations. By providing their workforce

access to world-class training, they will help

propel their business forward because, as we have

noted, digital transformation efforts should lead

with people, culture and skills.

2. Consider our last industrial revolution for context.

It is difficult to overstate the magnitude of the

changes to business and society that advanced

technology is driving. Two centuries ago, more

than two-thirds of U.S. workers lived and toiled

on farms; today, automation has eliminated

nearly all of these jobs. Over time, AI and

other forms of technology driving the current

industrial revolution will have a similar impact.

The automation that put farm labourers out of

work created million upon millions of jobs in

new industries and fields.3 This type of labour

shift already is underway: robotic process

automation (RPA) and AI adoption is currently

projected to add up to 50 million jobs by 2030

while also causing more than 75 million people

to switch job roles during the next dozen years.4

Thus it’s fair to project that a long-term effect of

today’s digital revolution will be the elimination

of many jobs and skillsets, but also the creation

of many others.

Truly reinventing the business requires changing the way employees think and act in nearly every task they perform and decision they make. The technology side of creating a digital organisation is vital, but technologies themselves should not be the driver nor the destination. Technology ultimately is an enabler of a strategy, a process — a means to an end. It must be designed to fulfil objectives. Fundamentally, digital transformation is as much about people transformation as it is using technology in new or different ways.

— Jonathan Wyatt, Managing Director,

Global Head of Protiviti Digital

http://www.protiviti.comhttp://www.wsj.com/articles/seven-jobs-robots-will-createor-expand-1525054021http://www.wsj.com/articles/seven-jobs-robots-will-createor-expand-1525054021

4 · Protiviti

3. The pace of technological change will continue to be a challenge.

The speed of technology change and accelerated

cycles of innovation are among the biggest

challenges companies and workers face. Many

employees in need of new skills sense that they

are at risk of being left behind or displaced, and

companies will contend with skills and talent

shortages for some time. From an employee

experience perspective, many workers already

feel overwhelmed by technology disruptions

that have occurred in the past few years —

despite the likelihood that much larger changes

await. From a technology optimisation and

training perspective, organisations are having

difficulties hiring and/or developing the

skills they need quickly enough to maximise

the returns on new technology investments.

Speed is also challenging policymakers. While

more national education systems are being

reconfigured to impart more STEM skills, it

could take 15 to 20 years to eliminate current

skills shortages in certain technology positions.

The message is clear: In this environment,

establishing a clear strategy and approach for

managing people and culture is vital. As part of

this, organisations need to focus on developing

and retaining skills they need. Retention is

particularly vital — companies can spend

extraordinary amounts of money in training,

but if staff retention fails to receive similar

levels of investment and attention, those

investments in training can walk out the door

and thus will be wasted.

This point cannot be emphasised enough.

In a world where most agree there will be a

significant talent shortage for many years to

come, organisations are going to have to create

their own talent pool. As noted earlier in our

paper, it is in the organisation’s best interests

to adopt Human(e) Digital Transformation

practises that will look after its people while

enabling it to address its own potential talent

shortages. This investment in your workforce’s

future will pay dividends.

The Human(e) Side of Digital · 5protiviti.com

5 Prediction Machines: The Simple Economics of Artificial Intelligence.

6 For more information on this topic, read Protiviti’s series on the Responsible Technology Firm of the Future, available at www.protiviti.com/techbalance.

Another key is to identify ways to empower

new workers. Organisations should focus on

eliminating hierarchy and capitalise on the

skills, knowledge and ideas that new entrants

into their workforce bring. One thing we can

learn from “born digital” companies is that

experience is not necessarily a metric indicating

strong performance in the market. Ideas and

innovations can come from any part of the

organisation, thus the culture should reflect this

dynamic by eliminating perceived barriers that

come from hierarchical levels.

4. Technology implementation also has major effects outside the organisation.

In their book Prediction Machine: The Simple

Economics of Artificial Intelligence, co-authors Ajay

Agrawal, Joshua Gans and Avi Goldfarb emphasise

that AI’s valuable predictive capabilities

come with tradeoffs: “More data means less

privacy. More speed means less accuracy. More

autonomy means less control.”5 From a workforce

perspective, virtual reality applications could

slash travel spending but make employees feel

less emotionally connected with colleagues.

Society is currently adapting, at times fitfully,

to the ways in which advanced technology is

changing traditional notions of privacy. As

most companies become more digital, they

will need to consider and address the broader

societal impacts and unintended consequences of

their activities and offerings, including but not

limited to the impacts on their employees and

culture. This goes to the objective of becoming

a responsible firm when it comes to technology

and transformation — one that is as adept at

corporate governance, social responsibility, risk

management and compliance as it is at technical

innovation and delivery.6

5. The adoption of advanced technology will affect the workforce, and workforce management, in multiple ways.

As the adoption of advanced technology

increases, retraining individual employees needs

to be supplanted by retooling and redistributing

large teams and entire functions. The traditional

build, buy or borrow approach to sourcing talent

is giving way to build, buy, borrow or bot — as

well as partnerships and collaborations with

other companies. Organisations that previously

relied on compensation and benefits as primary

recruiting and performance management levers

now are mapping the employee experience and

career progressions with the precision that

leading marketers detail customer journeys and

their crucial touchpoints. This attention to the

employee experience will need to intensify as the

workforce undergoes more dramatic changes.

http://www.protiviti.comhttp://www.protiviti.com/techbalance

6 · Protiviti

Five Keys to Human(e) Digital Transformation

In our view, successful digital transformations begin and end with people and organisational culture. Addressing these core areas requires business leaders to address a pivotal set of issues (these issues also are addressed in Protiviti’s proprietary Digital Maturity Framework and supporting Assessment Tool — see sidebar), which we review below.

In our experience, it is very difficult to transition from a

low level of digital maturity to a top-performing digital

organisation without addressing people and culture.

The best vision and strategy will not be executed

without the right leaders in place. Furthermore, the

organisation’s strategy cannot be defined and evolved

without the right leaders and people.

Focusing on the following five areas will help

organisations advance their people and culture

toward a Human(e) Digital Transformation.

Retooling the workforce — renovating training programs to be deeper and more agile

In a recent interview, Renault-Nissan-Mitsubishi

Alliance Executive Vice President for Human

Resources Marie-Françoise Dames asserted that one

of her function’s key roles in digital transformation

“is to educate, reassure and embark all employees in

the transformation, for example, by renovating our

training offers and preparing for skilling up.”

For most organisations, renovating their training

programs likely will be an extensive and lengthy

process. Leading companies are designing and

implementing continuous training capabilities,

some of which contain AI functionality, that

support the ongoing upskilling and redistribution

of the workforce. As more, and larger, technology

disruptions occur, business leaders need to determine

ways to scale traditional training programs to much

larger segments of the workforce. In addition, the

mechanisms by which training is delivered must be

streamlined to keep pace with rapidly changing skills

requirements. Business leaders also need to nurture

organisational cultures in which continuous learning

is embraced and rewarded. These activities should

coincide with the swift redefinition of roles, as well

as the redesign of teams and functions.

And finally, there should be no question that

technology and innovation will disrupt human talent.

Organisations need to recognise that transformation

and leadership come from the top, thus the digital

competencies of the leadership team must be

prioritised. Digital capabilities also should be added as

a metric for promoting staff and recruiting new talent.

The key is to focus on retooling, retraining and

redistributing. Ultimately, this approach will benefit

organisations as well as their employees.

Retooling the workforce — renovating training programs to be deeper and more agile Treating culture as an asset

Fostering external relationships and deploying new labour models

Managing continual change Managing the employee experience

01

02

0304

05

protiviti.com The Human(e) Side of Digital · 7

Assessing Digital Maturity

Successful digital transformation comes from adopting a balanced approach, combining strategy, people, culture,

organisational change, development of new skills, technical expertise and data science. All of these areas must be addressed

— if any component is missing or lagging, digital transformation efforts will not succeed. As we have noted in this paper, digital

transformation is not about technology — it’s about getting your business ready to compete in the digital age.

We have conducted extensive research into what it takes to be a leader in the digital age. We have defined five levels of digital

maturity, as summarised below. Our Digital Maturity Assessment Tool helps organisations identify areas requiring focus in

order to advance on their digital journey.

Key attributes of a digital leader

Through our proprietary Digital Assessment Tool, Protiviti enables you to measure your organisation’s overall digital maturity and initiate

efforts to transform the core so that you can continuously innovate across your enterprise. Our Digital Assessment Tool is structured around

36 capabilities at which we believe digital leaders excel. These include a number of capabilities centred on the organisation’s people and

culture, specifically:

• Corporate and management culture

• Human resource management

• Workplace collaboration

• Physical workplace

This tool delivers detailed insights, based on our extensive global research, into what makes a Digital Leader exceptional. In addition

to rating their organisations on our Digital Maturity scale, users can consider the information being presented and how it reflects both

their organisation’s strengths and areas for improvement.

To learn more and take a complimentary self-assessment, visit Protiviti.com/Digital.

Digital Skeptics

All organisations are digital to some extent, and this includes Digital Sceptics. These organisations tend to

react to what is going on around them and are seen by many as laggards.

Digital Beginners

Beginners are embracing change and having success implementing new technologies. Often, digital

transformation activities are best characterised as a collection of point solutions.

Digital Followers

Followers know what it takes to succeed in the digital age and have a clear strategy for execution. They make

quick decisions and are able to focus attention when needed to deliver change. The strategy, once delivered,

will bring transformation to some aspects of the core of the business.

Digital Advanced

Advanced organisations have progressed their digital transformation efforts further, and have transformed

the business to the core, where necessary, revisiting business models that may have served them well over

the years. There is a recognition that digital is a way of thinking and not just process automation. Advanced

organisations are embracing the latest technology to achieve very high levels of automation throughout their

business, reducing their cost base significantly and introducing hyperscalability.

Digital Leaders

To Digital Leaders, this all comes naturally. They have all the attributes of an advanced business and have

proven repeatedly that they know what it takes to innovate and disrupt, resulting in a brand associated strongly

with innovation. Leaders are altering customer experience paradigms and rethinking traditional business

models. As a result of this disruption, they are growing fast and stealing market share from the incumbents.

http://www.protiviti.comhttp://Protiviti.com/Digital

8 · Protiviti

Fostering external relationships and deploying new labour models

The growing use of advanced technology is disrupting

most facets of traditional talent management

approaches, including the skills that are needed, the

speed at which workforces need to be scaled up and

down, the sources from which skills are sourced, and

the platforms organisations rely on to source talent.

Addressing one talent challenge may give rise to new

issues. How, for example, will companies manage the

growing compensation gaps and differing employee

experiences between employees with extremely scarce

and valuable skills (e.g., data scientists) and employees

whose roles are most likely to change due to the

adoption of new technology? What sorts of external

relationships and partnerships will provide access to

new sources of talent? How will traditional benefits,

such as health insurance coverage, be handled as the

use of freelancers and contingent employees increases?

As business leaders address these questions, innovative

organisations are beginning to access the requisite

talent and replace the traditional labour model with

more flexible approaches, often involving partnerships

and collaboration with other organisations.

The use of contractors, contingent employees and

similarly flexible staffing mechanisms has surged

to the point at which it has now earned its own

catchphrase: the “gig economy.” Today, slightly more

than a third of the U.S. workforce currently consists of

freelancers; by 2027, it’s possible that the majority of

the workforce will be freelancing.7 This development

suggests many companies are striving to establish and

manage more complex talent ecosystems that extend

beyond their traditional boundaries.

Although the rapid growth of the gig economy is

a relatively new development, the model is part

of a concept that arose nearly three decades ago

when organisational behaviour and management

expert Charles Handy introduced the “Shamrock

Organisation,” a framework for organising the

workforce of the future into three categories (or

“leaves” of a shamrock):

1. Full-time, employees who form the company’s

“professional core”

2. A “flexible labour force” consisting of interim

professionals and part-time staff

3. A “contractual fringe” consisting of contractors

(individuals and firms)8

7 “4 Predictions for the World of Work,” Stephanie Kasriel, World Economic Forum, 5 December 2017: www.weforum.org/agenda/2017/12/predictions-for-freelance-work-education/.

8 The Age of Unreason, Charles Handy, Harvard Business School Press, 1989.

Contractual Fringe

Individuals and organisations

Paid for results, not time

Can only exercise control by specifying results

The Professional Core

Well qualified

Get their identity and purpose from their work

Will work long and hard but expect rewards

Flexible Labour Force

“Hired help” division

Typically not looking for a career or promotions

Part-time, or temporary, work is often a choice

https://www.weforum.org/agenda/2017/12/predictions-for-freelance-work-education/https://www.weforum.org/agenda/2017/12/predictions-for-freelance-work-education/

The Human(e) Side of Digital · 9protiviti.com

By organising their extended workforces into

three categories, as outlined in Handy’s Shamrock

Organisation, organisations can better position

themselves to address two significant issues:

1. Hiring, developing and managing each labour pool

in an optimal manner; and

2. Understanding and harnessing technology’s role

in simultaneously supporting, challenging and

shaping each labour pool.9

Although the concept of business agility has existed

for years, technological breakthroughs and other

digital transformation initiatives are increasing

the need for talent management agility. These

approaches require capabilities relatively few

organisations currently possess; as such, they will

require new types of collaborative models with

talent-management firms, educational institutions

and other external partners to help plan and manage

the transition. For example, as the Prediction

Machines authors note, AI-centred transformations

will create a growing need to “determine where your

business ends and another business begins.”10

Managing the employee experience

In recent years, leading companies have notched

impressive gains in the attention and precision with

which they manage employee engagement and the

overall employee experience — for sound reasons.

Engaged employees can lead to more loyal customers.

An IBM executive recently told the Harvard Business

Review that employee engagement “explains

two-thirds of our client experience scores — and a

five-point bump in client satisfaction on a particular

account translates to a 20% spike in revenue.” The

company deploys personalised learning platforms,

Net Promoter scores to measure employee-related

offerings, and sentiment analysis on internal emails

(to guide workforce improvements).11

As companies compete for scarce technology skills,

a best-in-class employee experience will serve as a

recruiting and retention edge as well as a driver of

exceptional customer experience. Establishing and

sustaining exceptional levels of employee experience

will require ongoing attention and innovation amid

continuing technology-driven disruptions to job roles

and responsibilities.

Managing continual change

Changes that accompany the implementation of a

new technology can be stressful for employees whose

responsibilities are affected as well as for those who

worry about what may be coming down the pike.

Frequent and carefully crafted communications

from company leaders help ensure employees are

fully informed of and engaged in what is expected of

them throughout such changes. This also helps drive

successful change.

In particular, it is important to consider the unique

characteristics of changes resulting from advanced

automation. These changes often target a workforce

segment — highly educated knowledge workers with

sizeable incomes — that has been less affected by other

recent workplace disruptions (e.g., the outsourcing and

offshoring of lower-level back-office roles).

9 The Labour Model for Finance in the Digital Age, Robert Half and Protiviti, www.protiviti.com/sites/default/files/united_states/insights/labor-model-for-finance-digital-age-roberthalf-protiviti.pdf.

10 Prediction Machines: The Simple Economics of Artificial Intelligence.

11 “Co-Creating the Employee Experience,” Lisa Burrell, Harvard Business Review, March-April 2018: https://hbr.org/2018/03/the-new-rules-of-talent-management.

http://www.protiviti.comhttp://www.protiviti.com/sites/default/files/united_states/insights/labor-model-for-finance-digital-age-roberthalf-protiviti.pdfhttp://www.protiviti.com/sites/default/files/united_states/insights/labor-model-for-finance-digital-age-roberthalf-protiviti.pdfhttps://hbr.org/2018/03/the-new-rules-of-talent-management.

10 · Protiviti

Additionally, when roles are reconfigured, the

organisational and process knowledge of employees

who previously filled those roles must be identified,

stored and redistributed.

An undeniable effect of digital transformation is

job disruption and, in some cases, displacement.

Employees will soon be expected to transition to

new roles much more frequently. “In the coming

years, our relationships with robots will become

ever more complex,” author Kevin Kelly notes. “…

No matter what your current job or your salary, you

will progress through a predictable cycle of denial

again and again.” The author’s “Seven Stages of

Robot Replacement” progress from outright denial,

to grudging acceptance that a bot can handle routine

portions of the job role, to the realisation that an

employee had better skill up in order to take on a new

role. Kelly argues that this progress may ultimately

lead to greater (new) job satisfaction and a deeper

sense of personal fulfillment.12

The changes required to navigate that progression

successfully will stretch employee minds and

organisational change management capabilities.

As part of this, there should be a recognition that

in many instances, robots/automated processes

will be much better than humans at performing

certain tasks, including higher-end roles and

activities. However, automation also creates

new requirements, including but not limited to

enhanced quality assurance processes, analysis/

review skills over exception handling, and

other needs. These opportunities for increased

performance and efficiency should be embraced

by organisations as they plan to transition certain

personnel to other roles. At the same time, there

are roles and responsibilities that may never be

replaced by automation (e.g., hands-on roles such

as nurses).

12 The Inevitable: Understanding the 12 Technological Forces That Will Shape Our Future.

The Human(e) Side of Digital · 11protiviti.com

Treating culture as an asset

Organisational culture has always represented an

integral component of the employee experience.

As innovation becomes a strategic priority and

embedded in the core of more companies, culture

will need to be managed — and overseen at the board

level — in a new light. Organisational culture should

be constructed and nurtured to function as a critical

part of the company’s overall value proposition — a

key enabler of Human(e) Digital Transformation and a

driver of continuous innovation.

There is mounting evidence that frontline employees

tend to be less committed than leadership-level

employees to culture-building and transformational

change initiatives. As noted recently in the

Harvard Business Review, “When employees don’t

understand why changes are happening, it can be

a barrier to driving ownership and commitment

and can even result in resistance or push back. And

employees’ resistance to change is a leading factor

for why so many change transformations fail.”13 Yet

transformation must be embraced organisationwide,

not just at the top levels of the company. As noted in

a recent CIO article, “Company culture affects both

the effectiveness and speed of digital transformation

across an enterprise.”14

Consider also the oft-cited quote from Peter Drucker,

“Culture eats strategy for breakfast.” Culture is

a potent source of strength or weakness for an

organisation and, good or bad, is almost always at

the root of reputation and financial performance

outcomes. For innovation to reach its full potential in

the digital era, a culture that emphasises innovation

must also encourage diversity, collaboration,

empowerment, continuous learning, ingenuity,

change enablement and team performance.

Everyone across the organisation must recognise

that, if the business is to achieve sustained

innovation excellence, innovating must be integral

to their job. To that end, organisations need to

measure and reward innovation so that it becomes

a core competency that drives priority-setting,

resource allocation, talent acquisition and leadership

development. This type of approach helps ensure the

entire workforce shares a commitment to innovation.15

13 “Don’t Just Tell Employees Organisational Changes Are Coming — Explain Why,” Morgan Galbraith, Harvard Business Review, 5 October 2018: https://hbr.org/2018/10/dont-just-tell-employees-organizational-changes-are-coming-explain-why.

14 “The Real Challenge for Digital Transformation Is Not Your Technology,” Steve Weston, CIO, 31 July 2017: www.cio.com/article/3211893/careers-staffing/the-real-challenge-for-digital-transformation-is-not-your-technology.html.

15 Board Perspectives: Risk Oversight, Issue 102, “Sustaining an Innovation Culture in the Digital Age,” Protiviti: www.protiviti.com/sites/default/files/united_states/insights/board-perspectives-risk-oversight-sustaining-innovation-culture-digital-age-issue102-protiviti.pdf.

http://www.protiviti.comhttps://hbr.org/2018/10/dont-just-tell-employees-organizational-changes-are-coming-explain-whyhttp://www.cio.com/article/3211893/careers-staffing/the-real-challenge-for-digital-transformation-is-not-your-technology.htmlhttp://www.cio.com/article/3211893/careers-staffing/the-real-challenge-for-digital-transformation-is-not-your-technology.htmlhttp://www.protiviti.com/sites/default/files/united_states/insights/board-perspectives-risk-oversight-sustaining-innovation-culture-digital-age-issue102-protiviti.pdfhttp://www.protiviti.com/sites/default/files/united_states/insights/board-perspectives-risk-oversight-sustaining-innovation-culture-digital-age-issue102-protiviti.pdf

12 · Protiviti

In past decades, the ATM, personal computer and

digital spreadsheet were seen as potential agents of job

destruction. In reality, they were not, although they

did influence redistribution of jobs. Instead, those

now quaint forms of advanced technology proved to be

agents of role reconstruction and job creation.

Today, many change efforts within legacy companies

are viewed as technology-first efforts; they should

not be. Instead, organisations need to understand

that effective digital transformation starts at the

human core of their organisation — where people

and organisational culture drive at least 90% of

transformational success. By facing these challenges

head on from this perspective, organisations will

move from “transformation mode” to becoming

digital and innovative at their core. They will become

Digital Leaders, possessing all the attributes of an

advanced business and understanding what it takes to

innovate and disrupt, resulting in a brand associated

strongly with innovation. They will accelerate their

growth and begin stealing market share from the

incumbents.

In Closing: Advances and Innovations Need to Be Faced Head On

The Human(e) Side of Digital · 13protiviti.com

ABOUT PROTIVITI

Protiviti is a global consulting firm that delivers deep expertise, objective insights, a tailored approach and unparalleled collaboration to help leaders confidently face the future. Protiviti and our independently owned Member Firms provide consulting solutions in finance, technology, operations, data, analytics, governance, risk and internal audit to our clients through our network of more than 75 offices in over 20 countries. 

We have served more than 60% of Fortune 1000® and 35% of Fortune Global 500® companies. We also work with smaller, growing companies, including those looking to go public, as well as with government agencies. Protiviti is a wholly owned subsidiary of Robert Half (NYSE: RHI). Founded in 1948, Robert Half is a member of the S&P 500 index.

ABOUT PROTIVITI DIGITAL

We are living in a time of unprecedented change, one that is exciting for those embracing the opportunities technology and digital capabilities present. However, many are finding it difficult to come to terms with the pace of change and are struggling to cope in this digital age.

Most organisations feel compelled to make significant changes to remain relevant and compete effectively in their markets. Some organisations are more aware than others of the need to embrace change and have established strategic transformation programs in response to the risks presented by innovative disruption. Still, many organisations are getting left behind.

Protiviti, drawing on our deep competencies in technology, business process, analytics, risk, compliance, transactions and internal audit, helps companies transform for the future, manage the risks that disruptive innovation presents, and embrace opportunities that new and emerging technologies present.

http://www.protiviti.com

PROTIVITI GLOBAL MARKET LEADERS

ARGENTINA

Pablo Giovannelli+54.11.5278.6345pablo.giovannelli@protivitiglobal.com.pe

AUSTRALIA

Garran Duncan +61.3.9948.1200 garran.duncan@protiviti.com.au

BAHRAIN

Arvind Benani +973.1.710.0050 arvind.benani@protivitiglobal.me

BRAZIL

Raul Silva +55.11.2198.4200 raul.silva@protivitiglobal.com.br

CANADA

David Dawson +1.647.288.4886 david.dawson@protiviti.com

CHILE

Soraya Boada +56.22.573.8580 soraya.boada@protivitiglobal.cl

CHINA (HONG KONG)

Albert Lee +852.2238.0499 albert.lee@protiviti.com

CHINA (MAINLAND)

David Cheung+86.21.5153.6900david.cheung@protiviti.com

EGYPT

Ashraf Fahmy +202.25864560 ashraf.fahmy@protivitiglobal.me

FRANCE

Bernard Drui +33.1.42.96.22.77 drui@protiviti.fr

GERMANY

Michael Klinger +49.69.963.768.155 michael.klinger@protiviti.de

INDIA

Sanjeev Agarwal +91.124.661.8600 sanjeev.agarwal1@protivitiglobal.in

ITALY

Alberto Carnevale +39.02.6550.6301 alberto.carnevale@protiviti.it

JAPAN

Yasumi Taniguchi +81.3.5219.6600 yasumi.taniguchi@protiviti.jp

KUWAIT

Sanjeev Agarwal +965.2242.6444 kuwait@protivitiglobal.me

MEXICO

Roberto Abad +52.55.5342.9100 roberto.abad@protivitiglobal.com.mx

NETHERLANDS

Anneke Wieling +31.20.346.0400 anneke.wieling@protiviti.nl

OMAN

Shatha Al Maskiry +968 24699402 shatha.maskiry@protivitiglobal.me

PERU

Marco Villacorta +51.1.208.1070 marco.villacorta@protivitiglobal.com.pe

QATAR

Andrew North +974.4421.5300 andrew.north@protivitiglobal.me

SAUDI ARABIA

Saad Al Sabti +966.11.2930021 saad.alsabti@protivitiglobal.me

SINGAPORE

Nigel Robinson +65.9169.2688 nigel.robinson@protiviti.com

UNITED ARAB EMIRATES

Arindam De +9714.438.0660 arindam.de@protivitiglobal.me

UNITED KINGDOM

Jonathan Wyatt +44.20.7024.7522 jonathan.wyatt@protiviti.co.uk

UNITED STATES

Cory Gunderson +1.212.708.6313 cory.gunderson@protiviti.com

VENEZUELA

Gamal Perez +58.212.418.46.46 gamal.perez@protivitiglobal.com.ve

14 · Protiviti

mailto:pablo.giovannelli%40protivitiglobal.com.pe?subject=mailto:garran.duncan%40protiviti.com.au?subject=mailto:arvind.benani%40protivitiglobal.me?subject=mailto:raul.silva%40protivitiglobal.com.br?subject=mailto:david.dawson%40protiviti.com?subject=mailto:soraya.boada%40protivitiglobal.cl?subject=mailto:albert.lee%40protiviti.com?subject=mailto:david.cheung%40protiviti.com?subject=mailto:%20ashraf.fahmy%40protivitiglobal.me%0D?subject=mailto:drui%40protiviti.fr?subject=mailto:michael.klinger%40protiviti.de?subject=mailto:sanjeev.agarwal1%40protivitiglobal.in?subject=mailto:alberto.carnevale%40protiviti.it?subject=mailto:yasumi.taniguchi%40protiviti.jp?subject=mailto:kuwait%40protivitiglobal.me?subject=mailto:kuwait%40protivitiglobal.me?subject=mailto:roberto.abad%40protivitiglobal.com.mx?subject=mailto:anneke.wieling%40protiviti.nl?subject=mailto:shatha.maskiry%40protivitiglobal.me?subject=mailto:marco.villacorta%40protivitiglobal.com.pe?subject=mailto:andrew.north%40protivitiglobal.me?subject=mailto:saad.alsabti%40protivitiglobal.me?subject=mailto:nigel.robinson%40protiviti.com%0D?subject=mailto:arindam.de%40protivitiglobal.me?subject=mailto:jonathan.wyatt%40protiviti.co.uk?subject=mailto:cory.gunderson%40protiviti.com?subject=mailto:scott.laliberte%40protiviti.com?subject=mailto:gamal.perez%40protivitiglobal.com.ve?subject=

© 2019 Protiviti Inc. An Equal Opportunity Employer M/F/Disability/Veterans. Protiviti is not licenced or registered as a public accounting firm and does not issue opinions on financial statements or offer attestation services. PRO-1019-103135I-IZ-ENG

*MEMBER FIRM

© 2

01

8 P

roti

vit

i In

c. A

n E

qu

al O

pp

ort

un

ity

Em

plo

yer

M/F

/Dis

ab

ilit

y/V

ete

ran

s. P

RO

-09

18

THE AMERICAS UNITED STATESAlexandriaAtlanta

Baltimore

Boston

Charlotte

Chicago

Cincinnati

Cleveland

Dallas

Denver

Fort Lauderdale

Houston

Kansas City

Los Angeles

Milwaukee

Minneapolis

New York

Orlando

Philadelphia

Phoenix

Pittsburgh

Portland

Richmond

Sacramento

Salt Lake City

San Francisco

San Jose

Seattle

Stamford

St. Louis

Tampa

Washington, D.C.

Winchester

Woodbridge

ARGENTINA*

Buenos Aires

BRAZIL*

Rio de Janeiro Sao Paulo

CANADA

Kitchener-Waterloo Toronto

CHILE*

Santiago

COLOMBIA*

Bogota

MEXICO*

Mexico City

PERU*

Lima

VENEZUELA*

Caracas

EUROPE, MIDDLE EAST & AFRICA

FRANCE

Paris

GERMANY

Frankfurt

Munich

ITALY

Milan

Rome

Turin

NETHERLANDS

Amsterdam

SWITZERLAND

Zurich

UNITED KINGDOM

Birmingham

Bristol

Leeds

London

Manchester

Milton Keynes

Swindon

BAHRAIN*

Manama

KUWAIT*

Kuwait City

OMAN*

Muscat

QATAR*

Doha

SAUDI ARABIA*

Riyadh

UNITED ARAB EMIRATES*

Abu Dhabi

Dubai

EGYPT*

Cairo

SOUTH AFRICA *

Durban

Johannesburg

ASIA-PACIFIC AUSTRALIABrisbaneCanberra

Melbourne

Sydney

CHINA

Beijing

Hong Kong

Shanghai

Shenzhen

INDIA*

Bengaluru

Hyderabad

Kolkata

Mumbai

New Delhi

JAPAN

Osaka

Tokyo

SINGAPORE

Singapore