digital leaders bootcamp session 1
TRANSCRIPT
ENERGISE2-0.COM
Digital Leadership:
Strategy and Management
Dr Jim Hamill
@DrJimHamill
www.linkedin.com/in/drjimhamill
Vincent Hamill
@VHSocialMedia
www.linkedin.com/in/vincenthamill
www.futuredigitalleaders.com
Programme Overview
Core Theme
We live in an era of Digital Disruption and Digital Darwinism
Core Theme
• The digital and social media revolutions are disrupting a wide range of industries, transforming existing ways of doing things and existing business models
• Many organisations have become, or are in the process of becoming, ‘digital dinosaurs’ due to their inability to adapt
• The changes seen already are nothing compared to what is coming over the next few years. Over 40% of jobs could be replaced by digital technology over the next two decades
Some Quotes
• We are in the early stages of an era of great technological change. Digital innovations are remaking our industries, economy, and society just as steam, electricity, and internal combustion did before them MIT Technology Review, June, 2015
• Digital disruption has the potential to overturn incumbents and reshape markets faster than perhaps any force in history………. an average of roughly four of today’s top 10 incumbents (in terms of market share) in each industry will be displaced by digital disruption in the next five years. Despite these dire ramifications, only 25 percent describe their approach to digital disruption as proactive—willing to disrupt themselves in order to compete Digital Vortex: How Digital Disruption Is Redefining Industries (IMD/Cisco 2015)
Some Quotes
• Digital disruptors are tearing up the rule books, and no industry is immune. In response, firms must take a different approach to digital strategy, embedding digital capabilities into the heart of their business, rather than treating digital touch-points as peripheral add-ons The Digital Maturity Model, Forrester Research (2014)
#adaptordie
• As organisations, we need to transform digitally - using digital technologies to rethink and improve the way we do things in at least three main areas:
– ‘Externally’ - sales, marketing, PR, customer engagement, customer service, customer analytics
– ‘Internally’ - the way we communicate with colleagues and partners; our business processes and systems; becoming an agile, flexible, fast moving ‘social organisation’
– Digitally transform our core business models
The Reverse Strategy Framework
11
If we need to adapt or die, do we have the Digital Leaders to drive
change?
The evidence would suggest not……
While there is a growing recognition of the need for digital change, a major digital skills shortage exists
• Capgemini Consulting/MIT Center for Digital Business - missing digital skills were the key hurdle to digital transformation in 77% of the companies surveyed, (‘The Digital Talent Gap: Developing Skills for Today’s Digital Organizations, 2013’)
• Forrester Research (2014) highlighted a ‘digital execution crisis’. Successful digital business transformation requires the full support of CEOs to drive investment priorities but few CEOs fully understand digital. ‘Many executives report that their firms are woefully unprepared to deal with the digital onslaught’
• Similar findings have been reported in other studies
Digital Leaders
Digital Leadership
As Individuals, We Need To Transform
A new breed of senior executive is required
Digital Business Leaders
• Combine high level business knowledge, experience and understanding with the ability to develop digital transformation strategies fully aligned with and supportive of agreed business goals and objectives
• The confidence and personal skills to drive organisational change
• Are you ready to become a Digital Business Leader?
Readings
Overview
In one sentence ……..
Staying relevant in adigital/social world
Organisation and People NOT Technology
Digital Natives
By 2025, Digital Natives will account for 70% of the global workforce and they will be shooting dinosaurs
21
What is a magazine?
Agenda – Day 1
Time Topic/ Stop and Reflect Exercises
09.00 Digital Disruption: The digital and social media revolutions.Stop and Reflect Exercise 1: Digital Landscape Analysis.
10.30 Tea/Coffee
11.00 ‘External Digital’: Customer engagement; the new rules of sales, marketing and PR; social customer service; inbound/content marketing; big data and predictive analytics; real time engagement as the new marketing; tools and software.
12.30 Lunch
13.15 Stop and Reflect Exercise 2: The Customer Journey.Stop and Reflect Exercise 3: Audit your Customer Engagement Strategy.Stop and Reflect Exercise 4: Develop a Content Plan for your business.
14.45 Tea/Coffee
15.00 ‘Internal Digital’: processes, people, information, technology; building efficient, agile, flexible, data driven organisations; social business; ‘Enterprise Social’ software; analytics.
16.30 Close
Agenda – Day 2
Time Topic/ Stop and Reflect Exercises
09.00 Stop and Reflect Exercise 5: Internal Digital Audit/Benchmark Analysis.
10.30 Tea/Coffee
11.00 Digital Strategy Development: Digital business transformation; developing a digital vision and strategy; KPIs and targets.Stop and Reflect Exercise 6: Develop a Digital Transformation Strategy.
12.30 Lunch
13.15 Digital Strategy Implementation: key success factors; people, technology, organisation, culture, project management, overcoming resistance to change; the role and characteristics of a successful Digital Business Leader.Stop and Reflect Exercise 7: Develop an Implementation Plan.
14.45 Tea/Coffee
15.00 Measuring Digital Performance and Organisational Impact: the 6Is approach; performance KPIs and measurement toolsStop and Reflect Exercise 8: Digital Business Performance Measurement.
16.30 Close
Session 1Digital Disruption
Digital Disruption
• Disrupt or be disrupted
• Why now? - the convergence of disruptive technologies
• Three main impact areas
– External digital
– Internal digital
– Business model
• Will your industry/company be disrupted? How big will the impact be?
• Examples
• Stop and Reflect Exercise 1: Digital Landscape Analysis
Why now…..?The convergence of disruptive
technologies
Convergence of Disruptive Technologies
Convergence of Disruptive Technologies
Social Media + Mobile + The Cloud + Big Data + Gen C
= The End of Business as Usual
The Connected Customer
Enterprise Social
The Connected Customer is also the Connected Employee
Ain't seen nothing yet……..
50bn to 70bn connected devices by 2020
Ain't seen nothing yet………
Rise of the robots/intelligent machines
Summary Table
FSB Digital Disruption Report
Stop and Reflect Exercise 1
Digital Landscape Analysis
• Undertake a Digital Landscape Analysis for your organisation or organisation of your own choice
• Summarise the main threats and opportunities
Supporting Videos
- see online community
Implications and Examples
What do the following products and companies have in common?
In Common?
In Common?
Digital Dinosaurs
All have become (or could become) Digital Dinosaurs due to their failure to adapt to Disruptive Technologies
What Does HMV Stand For?
(HMV) Hopelessly Misplaced Vision
Rearranging Deck Chairs
Who Will Be The Next Dinosaur?
Who Will Be Next?
MOOCs
The Future of Education
Spot the Dinosaur
The Future of Higher Education
‘Terminal Degrees’ – the Economist
‘If universities were to face the same conditions over the next 10 to 20 years that daily newspapers faced
over the last 10 to 20, then revenues would fall by more than half, employment in the industry would drop by
nearly 30% and more than 700 institutions would shut their doors.’ (Economist, 2014)
No organisation too big to fail, nor too small to succeed
Digital Darwinism
A further 70% on current list will fail within the
next decade
Do we need to adapt or die?
Few industries are immune from the threat of digital disruption
Business Model Innovation
More Examples
• Tourism and hospitality – digital has revolutionised the customer journey – Dreaming, Planning, Booking, Experiencing, Sharing; also impact of the collaborative economy Airbnb
• Retailing - ‘showrooming’
• Business Services – impact of Free Agent on bookkeeping/ accountancy profession; Hourly Nerd
• Construction – Win Sun recently produced 10 basic houses in a day, at an average cost of less than £3,000, using a giant 3D printer and “ink" made from recycled waste
• Agriculture – Field Scripts, a Big Data and predictive analytics development based on a database of 50 billion soil observations and 10 trillion weather-simulation points.
• Taxis – Uberfy or be Uberfied
Disruption
How many industries has this company/product disrupted?
Employment Impact
Rise of the Robots
Will you be disrupted?
Should you transform ?
Most affected……….
No industry is immune….
The robots are coming
Will your industry/company be disrupted?
Deloitte Australia, ‘Short fuse, big bang’
Will your industry be disrupted?
Industry Disruption Potential
Short fuse, big bang: Industries with less than three years
to adapt and transform themselves or face watching up to
50% of their business perish - finance, retail, professional
services, arts and recreation, real estate and media,
information and communication technology
Short fuse, small bang: Industries with a lot less to lose in
the way of digital disruption, but there is still a limited window
in which they can act to mitigate potential damage -
construction, wholesale trade and the hospitality industry
Industry Disruption Potential
Long fuse, big bang: Industries that will experience
profound change, losing a lot if they don’t metamorphosis.
Over time, we will see each area being delivered in
fundamentally different ways - transport, government,
education and health
Long fuse, small bang: The final category includes
manufacturing and mining, which Deloitte says have the
least potential for digital technologies
The Digital Vortex
Four out of ten industry incumbentswill be disrupted within the next five years
The Digital Vortex
Currently Reading
Digital Leadership Challenge
Towards the future….
Bob Dylan (Mashed Up )
Come gather 'round people
Wherever you roam
And don’t criticise
What you can't understand
Your sons and your daughters
Are beyond your command
Your old road is
Rapidly agin‘
Then you better start swimmin’
Or you'll sink like a stone
For the times they are a-changin’