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Strategy, Not Technology, Drives Digital Transformation

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This year’s MIT Sloan Management Review and Deloitte global study of digital business found that digital transformation isn’t really about the technologies. Instead, it stems from how companies integrate them to transform their businesses and how they work.

Explore more findings from the 2015 digital business global executive study and research project: http://deloi.tt/2flnRZ8

Publié dans : Médias sociaux
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Strategy, Not Technology, Drives Digital Transformation

  1. 1. Strategy, Not Technology, Drives Digital Transformation Becoming a Digitally Mature Enterprise Excerpted from the MIT Sloan Management Review and Deloitte Digital Business Study
  2. 2. 2 Deloitte University Press | Becoming a Digitally Mature Enterprise | @DU_Press @DeloitteDigital #DigitalEvolution Copyright © 2015 Deloitte Development LLC. All rights reserved. This year’s MIT Sloan Management Review and Deloitte global study of digital business found that digital transformation isn’t really about the technologies.
  3. 3. 3 Deloitte University Press | Becoming a Digitally Mature Enterprise | @DU_Press @DeloitteDigital #DigitalEvolution Copyright © 2015 Deloitte Development LLC. All rights reserved. The strength of digital technologies—social, mobile, analytics, and cloud—doesn’t lie in the technologies individually. Instead, it stems from how companies integrate them to transform their businesses and how they work.
  4. 4. 4 Deloitte University Press | Becoming a Digitally Mature Enterprise | @DU_Press @DeloitteDigital #DigitalEvolution Copyright © 2015 Deloitte Development LLC. All rights reserved. “How close is your organization to that ideal?” Digital Maturity Levels % Respondents Maturing (7-10) Developing (4-6) Early (1-3) 26% 45% 29% Early Developing Maturing “Imagine an ideal organization transformed by digital technologies and capabilities that improve processes, engage talent across the organization, and drive new and value‐generating business models.”
  5. 5. 5 Deloitte University Press | Becoming a Digitally Mature Enterprise | @DU_Press @DeloitteDigital #DigitalEvolution Copyright © 2015 Deloitte Development LLC. All rights reserved. Leaders need to adapt digital programs in response Challenges change as companies mature Respondents were asked “What barriers are impeding your organization from taking advantage of digital trends? (select up to three)” Ten possible barriers listed. Lack of strategy Too Many Priorities Too Many Priorities Too Many Priorities Lack of Strategy Security Concerns Lack of Management Understanding Insufficient Tech Skills Insufficient Tech Skills EARLY DEVELOPING MATURING 1 2 3
  6. 6. 6 Deloitte University Press | Becoming a Digitally Mature Enterprise | @DU_Press @DeloitteDigital #DigitalEvolution Copyright © 2015 Deloitte Development LLC. All rights reserved. Digitally maturing organizations are much more likely to have risk- embracing and collaborative cultures Leadership is essential in conceptualizing how digital technologies can transform the business Digitally maturing companies are much more likely to have a clear digital strategy Strategy Culture Leadership What separates digital leaders from the rest is a clear digital strategy combined with a culture and leadership poised to drive transformation.
  7. 7. 7 Deloitte University Press | Becoming a Digitally Mature Enterprise | @DU_Press @DeloitteDigital #DigitalEvolution Copyright © 2015 Deloitte Development LLC. All rights reserved. Only 15% of early stage respondents have a clear and coherent digital strategy. That number climbs to 80% among the digitally mature. Digital strategy drives digital maturity
  8. 8. 8 Deloitte University Press | Becoming a Digitally Mature Enterprise | @DU_Press @DeloitteDigital #DigitalEvolution Copyright © 2015 Deloitte Development LLC. All rights reserved. Scope and objectives drive digital strategy Earlier stage companies need more transformative objectives To what extent do you agree that the following are objectives of your organization’s digital strategy? Respondents who answered “Strongly agree” or “Agree” Early Developing Maturing % Respondents
  9. 9. 9 Deloitte University Press | Becoming a Digitally Mature Enterprise | @DU_Press @DeloitteDigital #DigitalEvolution Copyright © 2015 Deloitte Development LLC. All rights reserved. Does your organization have a digital strategy that goes beyond implementing technologies? “I would rather start by rethinking business and commerce and then work backwards. New capabilities make new solutions possible and needed solutions stimulate demand for new capabilities.” - Benn Konsynski professor of information systems and operations management, Emory University
  10. 10. 10 Deloitte University Press | Becoming a Digitally Mature Enterprise | @DU_Press @DeloitteDigital #DigitalEvolution Copyright © 2015 Deloitte Development LLC. All rights reserved. Maturing digital organizations focus on building skills Many companies at the early stages lack the ability to conceptualize how digital technologies can impact the business. Digitally maturing organizations are 4X more likely to provide employees with needed skills than less digitally mature.
  11. 11. 11 Deloitte University Press | Becoming a Digitally Mature Enterprise | @DU_Press @DeloitteDigital #DigitalEvolution Copyright © 2015 Deloitte Development LLC. All rights reserved. Digitally maturing organizations are more comfortable taking risks. Business leaders may need to embrace failure as a prerequisite of success. Taking risks becomes a cultural norm How do respondents characterize the culture of their organization? Respondents who answered “Strongly agree” or “Agree” Early Developing Maturing % Respondents
  12. 12. 12 Deloitte University Press | Becoming a Digitally Mature Enterprise | @DU_Press @DeloitteDigital #DigitalEvolution Copyright © 2015 Deloitte Development LLC. All rights reserved. “I have never seen a technology drive change on its own. Culture leads the adoption of technology. Our ability to innovate depends on the impatience of our culture.” - Dr. John Halamka, chief information officer, Beth Israel Deaconess Medical Center in Massachusetts Does your company culture foster digital initiatives?
  13. 13. 13 Deloitte University Press | Becoming a Digitally Mature Enterprise | @DU_Press @DeloitteDigital #DigitalEvolution Copyright © 2015 Deloitte Development LLC. All rights reserved. Among the digitally maturing, 75% say leadership has sufficient skills to lead digital strategy. 90% are confident in leadership’s digital savviness. The digital agenda is led from the top Confidence in Leadership Capabilities by Maturity Level1 1 Percentage of respondents who answered agree or strongly agree. Early Developing Maturing % Respondents Respondents from earlier stage companies are not confident in their leaders’ digital capabilities
  14. 14. 14 Deloitte University Press | Becoming a Digitally Mature Enterprise | @DU_Press @DeloitteDigital #DigitalEvolution Copyright © 2015 Deloitte Development LLC. All rights reserved. Is your organization confident in its leadership’s digital fluency? “You have to be an influential leader in the physical, virtual and augmented worlds. We have to engage people through Twitter and other social platforms. But then also stand in front of 100 people and be authentic. We toggle back and forth between virtual and physical platforms all day long.” - Steve Milovich, SVP of global human resources and talent diversity Disney/ABC Television Group, and SVP of employee digital media at The Walt Disney Company
  15. 15. 15 Deloitte University Press | Becoming a Digitally Mature Enterprise | @DU_Press @DeloitteDigital #DigitalEvolution Copyright © 2015 Deloitte Development LLC. All rights reserved. Businesses will need to up their digital game Employees want to work for digital leaders 83% 85% 80% 81% 79% 76% 72% 50% 55% 60% 65% 70% 75% 80% 85% 90% 95% 100% 21 or younger 22 to 27 28 to 35 36 to 44 45 to 52 53 to 59 60 or Older % Respondents How important to you is it to work for an organization that is digitally enabled or is a digital leader? Respondents who answered “Strongly agree” or “Agree”
  16. 16. 16 Deloitte University Press | Becoming a Digitally Mature Enterprise | @DU_Press @DeloitteDigital #DigitalEvolution Copyright © 2015 Deloitte Development LLC. All rights reserved. What are companies doing? Barriers Lack of strategy Managing distractions Security focus Strategy Customer and productivity driven Growing vision Transformative vision Culture Siloed Integrating Integrated and Innovative Talent Development Tepid interest Investing Committed Leadership Lacking skills Learning Sophisticated EARLY DEVELOPING MATURING
  17. 17. 17 Deloitte University Press | Becoming a Digitally Mature Enterprise | @DU_Press @DeloitteDigital #DigitalEvolution Copyright © 2015 Deloitte Development LLC. All rights reserved. Moving from strategy to business value Most businesses today know they need some level of digital transformation. But where do you begin? And how do you know you’re going about it the right way? ALIGN YOUR DIGITAL LEADERS1 CREATE STRATEGY FOR DIGITAL TRANSFORMATION 2 TURN DIGITAL STRATEGY TO BUSINESS VALUE 3
  18. 18. 18 Deloitte University Press | Becoming a Digitally Mature Enterprise | @DU_Press @DeloitteDigital #DigitalEvolution Copyright © 2015 Deloitte Development LLC. All rights reserved. Create an effective strategy for digital transformation via ideation and enablement The “What” and the “Why” Digital Ideation Enablement • Visionary and discovery • Customer/employee engagement • Business case development • Platform and tool analysis • Digital transformation road mapping • Design led strategy • Digital architecture • Bring your own device • Centers of excellence • Application strategy engagements • Security and risk activities • Agile adoption • Mobile app management The “How” and the “When”
  19. 19. 19 Deloitte University Press | Becoming a Digitally Mature Enterprise | @DU_Press @DeloitteDigital #DigitalEvolution Copyright © 2015 Deloitte Development LLC. All rights reserved. Share your thoughts with the hashtag #DigitalEvolution Follow @DU_Press and @DeloitteDigital on Twitter Explore more findings from the 2015 digital business global executive study and research project Download your copy of the Digital Business Study Download
  20. 20. 20 Deloitte University Press | Becoming a Digitally Mature Enterprise | @DU_Press @DeloitteDigital #DigitalEvolution Copyright © 2015 Deloitte Development LLC. All rights reserved. Undertaken by Deloitte in collaboration with MIT Sloan Management Review About the research ‫‏‬2012 ‫‏‬2013 ‫‏‬2014 • Survey of nearly 5,000 business executives, managers and analysts from organizations globally to understand how the digital enterprise is evolving - 39% of respondents were within the U.S., 61% outside U.S. - 129 countries, 27 industries - Organizations of various sizes • Interviewed more than 20 executives and subject matter specialists from a number of industries and disciplines to understand the practical issues facing organizations today • Article published in MIT SMR Summer edition; feature report to be published July 14th 2015 study follows three years of research focused on social business
  21. 21. 21 Deloitte University Press | Becoming a Digitally Mature Enterprise | @DU_Press @DeloitteDigital #DigitalEvolution Copyright © 2015 Deloitte Development LLC. All rights reserved. Meet the authors DOUG PALMER principal in the Digital Business and Strategy practice of Deloitte Digital DAVID KIRON executive editor of the Big Ideas Initiatives at MIT Sloan Management Review, which brings ideas from the world of thinkers to the executives and managers who use them ANH NGUYEN PHILLIPS senior manager within Deloitte Services LP; leads strategic thought leadership initiatives NATASHA BUCKLEY senior manager within Deloitte Services LP; researches emerging topics in the business technology market GERALD C. KANE MIT Sloan Management Review guest editor for the Digital Transformation Strategy Initiative
  22. 22. Follow @DU_Press Sign up for Deloitte University Press updates at www.dupress.com. About Deloitte University Press Deloitte University Press publishes original articles, reports and periodicals that provide insights for businesses, the public sector and NGOs. Our goal is to draw upon research and experience from throughout our professional services organization, and that of coauthors in academia and business, to advance the conversation on a broad spectrum of topics of interest to executives and government leaders. Deloitte University Press is an imprint of Deloitte Development LLC. This publication contains general information only, and none of Deloitte Touche Tohmatsu Limited, its member firms, or its and their affiliates are, by means of this publication, rendering accounting, business, financial, investment, legal, tax, or other professional advice or services. This publication is not a substitute for such professional advice or services, nor should it be used as a basis for any decision or action that may affect your finances or your business. Before making any decision or taking any action that may affect your finances or your business, you should consult a qualified professional adviser. None of Deloitte Touche Tohmatsu Limited, its member firms, or its and their respective affiliates shall be responsible for any loss whatsoever sustained by any person who relies on this publication. About Deloitte Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee, and its network of member firms, each of which is a legally separate and independent entity. Please see www.deloitte.com/about for a detailed description of the legal structure of Deloitte Touche Tohmatsu Limited and its member firms. Please see www.deloitte.com/us/about for a detailed description of the legal structure of Deloitte LLP and its subsidiaries. Certain services may not be available to attest clients under the rules and regulations of public accounting. Copyright © 2015 Deloitte Development LLC. All rights reserved. Member of Deloitte Touche Tohmatsu Limited

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