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Digital Experience & Transformation
Follow the Decision
Build Data Trust
Information Security Officer – 7-Eleven
Data Protection Officer – Research Now
Rick Nietubicz
Course Objectives
• Understand how Information Technology is changing the business
• Understand the complexities of IT
• Understand the challenges of managing IT
• Discover ways to use technology
• Understand the language of IT
Course Topics
• Introduction to Technology
• Cloud Technology
• How to Measure Anything
• Data Privacy & Security
• Internet of Things
• AI and Automation
• Block Chain
• Social Media
• Gaming
Business and Technology
Executives recognize that spending on IT involves decisions that influence how an organization functions and how the company competes.
Challenges of the IT Organization
• How does it fit in organization?
• What is its role?
• What is its purpose?
• How does it operate?
How does IT Fit in the Organization?
Departments have internal and external focus
Customer Facing
• Interface with Client
• Sales
• Client Support
Product & Service Development
• Develop and produce goods and services
• Manufacturing
• Service Development
Delivery
• Delivers and installs goods and services
• Consulting
• Product Support
Administrative
• Supports the organization
• Accounting
• Marketing
Information Technology Purpose
Business utilizes Information Technology Resources for:
• Process Automation
• Communications
• Information Management
• Media and Entertainment
• Education and Training
• Security
Miller’s Law
1. You cannot fix what you cannot see.
2. The first and overriding task of managers and executives is to assure that their subordinates are doing their job.
3. No more important effort can be undertaken by a manager than finding and discovering the 2, 3 or 4 critical tasks in their function.
4. If a manager or executive has to work more than 55 hours per week, the likelihood is extremely high that the executive (or manager) is violating Miller’s Law #2 by doing most everyone else’s job except his/her own and almost assuredly has failed Miller’s law #3.
5. To be effective as a manager, you must be able to state with thoroughness, accuracy, simplicity and clarity what each of your subordinate’s job is and is not (the “is not” is often as important, or more important than the “is”) as well as what the critical tasks are that they must be willing and able to perform to be fully effective.
6. What manager’s do not take on as their tasks is as important or more important as what they do take on.
Function of the Executive
Individual Needs Organization Needs
• Common Purpose Why individuals cooperate?
• MotivationWhy individuals act?
• Effective & EfficientHow well individuals act?
• Communication Develop and maintain a system of communication
• ServicesPromote the securing of the personal services that constitute the material of organizations
• PurposeFormulate and define the purposes, objectives, ends, of the organization
A cooperative system is a complex of physical, biological, personal, and social components which are in a specific systematic relationship by reason of the cooperation of two or more persons for at least one definite end
Process Fundamentals
• There is both operational and process responsibilities, measurements & improvement aspects
• Deming Approach – Plan-Do-Check-Act• Definition (Plan) – Define each process
• Operational (Do) – Record operational logs, reports, & forms
• Management Review (Check) – Management reviews output
• Expected Results (Act) – document process improvement and corrective actions based on expected results
Process
Management Review
Co
rrective Actio
n
Op
eration
al Reco
rds
Processes take input and generate valued output
Input Output
Core Techniques
• You cannot fix what you cannot see.• What is the sentiments of the organization• You need to understand the products, services and jobs
performed by your organization• You need to understand how the products and services
are used by your customers• Organizations must have a purpose that everyone
understands and can apply to their work• Decisions should be communicated in a way that
establishes clear guidelines and process for the organization to follow
• Work performed by the organization should be measured
Partnership SegmentActivities
Resources
Value Proposition
Customer Relationship
Channels
Cost Structure Revenue
• Strategic• Coopetition• Joint Venture• Supplier
• Mass Market• Niche Market• Segmented• Diversified• Multi-sided
• Unique• Performance• Customization• Fit• Design• Brand• Price• Cost• Risk• Accessibility• Usability
• Awareness• Evaluation• Purchase• Delivery• After Sales
• Assistance• Self-Service• Communities• Co-Creation
• Physical• Intellectual• Human• Financial• Culture
• Production• Decision &
Problem Solving
• Infrastructure
• Asset Sale• Usage Fee• Subscription
• Lending / Lease• Licensing• Ownership
• Cost driven• Value driven
• Fixed cost• Variable cost
Balanced Scorecard
Vision → Objectives → Measures → Targets → Initiatives
Finance Funds
• Investments
• Assets
• Liabilities
• Debt / Solvency
• Cash Liquidity
Revenue
• Sales / Growth
• Value Margin
• Pricing Strategy
• Recurring vs. one-
time
Cost
• Fixed vs. Variable
• Direct vs. Indirect
• Recurring
• Support
Risk
• Rate of Return
• Resource allocation
• Lease vs. own
Customer Market
• Size / Growth
• Horizontal vs. Vertical
• Segmentation
• Brand / Loyalty
• Value Proposition
Competition
• Number of
competitors
• Value Proposition
• Sales / % of Market
• Growth
Client
• Customer Intimacy
• % of Revenue
• % of wallet
• % of solution
• Demand drivers
• Price elasticity
Partner
• Vendor vs. Partner
• Number of
Participants
• Cost of Switching
• % of total supply
Produce & Service
• Product Leadership
• % of Solution
• Market Position
(Cost, Value,
Innovative)
Process Operations
• Capacity
• Project vs. assembly
vs. customized
• Skill required
• Standardization
Logistics
• % bought vs.
produced
• Just-in-Time
• Single Site vs.
Multiple Site
Distribution
• Channel
• Localized vs. Global
• Client Delivery
• Client Use
• How many steps in
distribution?
Marketing & Sales
• Product Information
• Client Buy Process
• Where does client get
information?
• Ease of purchase
• Who decides
purchase?
Product Lifecycle
• Development
• Support
• Useful life
• Innovation
Growth &
Learning
Human Resources
• Skills
• Culture
• Organizational
• Hiring & Turnover
• Training
Information & Knowledge
• Information Sharing
• Quality
• Consistent Definitions
• Knowledge Base
Automation
• Efficiency
• Repeatability vs. craft
• Integrated vs.
Componentized
• Localized or Remote
Strategy & Planning
• Central vs. distributed
• Integrated vs.
Segmented
• Subjective vs.
Objective
Value Chain Analysis Framework
Primary
Activities
Support
Activities
Firm Infrastructure
Human resource management
Technology Development
Procurement
Management, Finance, Legal,
Planning
Professional development, Employee relations, Performance
appraisals, Recruiting, Competitive wages, Training programs
Integrated supply chain system, Real-time sales
information
Real-time inventory, Communication with suppliers,
Purchase supplies and materials
Inbound
Logistics
Operations Outbound
Logistics
Marketing &
Sales
After
Sales
Service
› Real-time inbound
inventory data
› Location of
distribution facilities
› Trucks
› Material Handling
› Warehouse
› Standardized
model
› Access to real-
time sales &
inventory system
› Order processing
› Full delivery
trucks
› Pricing
› Communication
› Promotion
› Product based on
community needs
› Low prices
› Delivery
› Installation
› Repair
› Greeters
› Customer
service focus
Decision CycleObjective Mechanism
Ownership(Board-of-Directors)
• Oversee Results• Strategic Direction• Oversight• Compliance
• Resolutions• Audit• Enterprise Risk Management
Executive • Establish Organization Purpose• Ensure Cooperation• Align with Business• Establish Priorities
• Goals• Policies• Decision Rights
Management • Define Work• Ensure Organization Efficiencies and
Effectiveness• Establish Control• Enforce Priorities• Allocate Resources
• Services• Procedures• Roles• Projects
Supervisor • Manage Work• Assign Resources• Monitor and Review
• Work Flow• Work Review• Project Plans
Staff(Knowledge Worker)
• Execute Tasks• Maintain Records
• Attitude• Knowledge – Tacit & Explicit
• Operational Records
© Copyright R.A. Nietubicz 2012-2017
How Work is Organized
Structure
Platform
Product
Program
Project
Process
Parcel
Utilization
Visionary
Effective
Efficient
Control
Agility
Sustainability
Consistency
Accountability
Repeatability
© Copyright R.A. Nietubicz 2012-2017
Who are you connecting• Profile & Purchases (incl. PII Protection)
• Loyalty & RewardsConsumers• Storage and Delivery
• Confidential DataClients• Shared & Appended Information
• ProcessesPartners
• Product and InventorySuppliers• Access to Company Systems
• Contact InformationVendors
• Payroll / Health Employees
• Financial and Operational Information (Across All Systems)Business
Regions
• Americas• EMEA• APACSources
• Profile• Inquiry & Responses• Informational• Data AppendsDelivery
• Mobile• Online• Multi-DeviceSystems• Financial• Operational• HR• eMailCross-Functional Alignment• CRM• Tech• Sales• Client Services• HR• Legal
Digital Model
• Supplier – Produce products and services that are sold through other enterprises
• Omnichannel – Integrated value chain for life events
• Modular Producer – Plug and play products
• Ecosystem Driver – Platform for marketplace
omnichannelEcosystem
Driver
SupplierModular Producer
Digital Transformation Process
Interactions
Content
Product & Services
Support
MetricsMarketing
Sales
Mobile
Website
Social
Connection
Digital
Transformation
Digital Experience Objectives
Product & Services Access TrustBuild trust between
Customers – Business
Customers – Customers
ConnectionHow can you improve loyalty.
InformationWhat do you know about your
customers.
InterfaceTaylor the experience
Educate about your business. Create better ways for customers
to contact you
Marketers are turning to listening platforms
“Survey research and traditional qualitative research
will be displaced by new ways of listening to
consumers and engaging them in a relationship with
the brand.” (Joan M. Lewis, Global Consumer & Market Knowledge Officer, Procter & Gamble)
“We’re shifting away from questioning and towards
listening - blogs, online brand tracking etc. all are
pushing us towards qualitative research.” (Ray Poynter, The
Future Place Blog)
Behavioural data may encompass many sources
What respondents say they do
Sites visited
Purchasing behaviour
Search terms used
VOD & TV viewed
Ad/content exposure
Purchase journey
The future potential is a holistic data set
• Respondent profile and segmentation data• Survey responses for attitudinal • Social media activity - posting, blogging, tweeting linked to panel data• Actual behaviour online and offline (visits and purchases)
BehaviouralAttitudinal
Intentions Demographics
Customer Behavior
Customer Control
Value Chain Analysis Framework
Primary
Activities
Support
Activities
Firm Infrastructure
Human resource management
Technology Development
Procurement
Management, Finance, Legal,
Planning
Professional development, Employee relations, Performance
appraisals, Recruiting, Competitive wages, Training programs
Integrated supply chain system, Real-time sales information
Real-time inventory, Communication with suppliers, Purchase
supplies and materials
Inbound
Logistics
Operations Outbound
Logistics
Marketing &
SalesAfter Sales
Service
› Real-time inbound
inventory data
› Location of
distribution facilities
› Trucks
› Material Handling
› Warehouse
› Standardized
model
› Access to real-
time sales &
inventory system
› Order processing
› Full delivery
trucks
› Pricing
› Communication
› Promotion
› Product based on
community needs
› Low prices
› Delivery
› Installation
› Repair
› Greeters
› Customer
service focus
Attitude, Intention, Demographics, Behavior
Content and choices control
Customer
Activities
6 Questions to Drive Digital Business Model
1. What is the digital threat and opportunity?
2. Which business model is best for your enterprise’s future?
3. What is your digital competitive advantage?
4. How will you connect using mobile and IOT?
5. Do you have the crucial capabilities to reinvent the enterprise?
6. Do you have the leadership to make the transformation happen?
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