The "trio": Customer Experience, Data-driven business and Employee empowerment.
This 2018 STKI summit presentation outlines the necessary "joined" journey to achieve customer experience transformation.
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Experience
Is now more important than ProductPriceServiceGoods
Customer
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Experience
Is now more important than ProductPriceServiceGoodsEverything
Customer
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Experience
everything.
Customer
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But the bar keeps on getting raised
higher and higher
Customer
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Customers are constantly expecting more
… and constantly disappointed
Customer
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How do we master ever-changing expectations?
It requires empathy and adaptability
Organization’s
value and
processes
Customer’s
value and
processes
Customer
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Source:The Dip by Seth Godin
But despite all efforts,
CX quality has declined in 2017
Customer
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I can do this.
But I can’t do it alone.
Customer
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I can do this.
But I can’t do it alone.
Customer
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Customer
Engagement
Data-driven
Business
Employee
Empowerment
CMO
HR
CDO
Data Officer
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Customer Engagement Initiative Destination
Customer
Maximum
Customer LifetimeValue
It has & always will be about
maximizing CLTV & achieving growth
Customer
Engagement
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CMO / CXO / CCO
CPO
Privacy officer
HR CIO CSO
Service Officer
CDO
Digital Officer
Customer Engagement Initiative Stakeholders
Maximizing customer lifetime valueCustomer
I Assure
privacy & trust
I manage Organizational design,
engagement & commitment
I Build the data platform; execute omni-channel
strategy and manage digital operations
I am part of Service and CX design;
Manage omni-channel strategy
I lead the digital
transformation change
I Build and maintain the
customer data platform
CDO
Data Officer
CEO
I don’t only commit, I
get involved set the
tone for the org.
I lead the CE
Initiative
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CMOV1.0
Cost center
CMOV2.0
Profit &
Growth center
50% of CMOs are expected to lead CX initiatives
Customer
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Marketing/CX budgets worldwide
% of company revenue
Source: Gartner
10%
2014-2015
11%
2015-2016
12%
2016-2017 11.3%
2017-2018
Why?
Customer
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Marketing/CX budgets worldwide
% of company revenue
Source: Gartner
10%
2014-2015
11%
2015-2016
12%
2016-2017 11.3%
2017-2018
Now get results!
Customer
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Marketing/CX Spend:
22%
Technology People
(employees + agencies)
% of the marketing budget
We bought
all this
technology
Now let’s
learn how to
use it
From using the right tools to using the tools right
Customer
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MarTech State of Adoption - Worldwide vs. Israel
Using Predictive
Analytics
Using Marketing
Automation
10%
40%
Source: STKI 2018 (refers to Israeli enterprises)
Using Predictive
Analytics
Using
Marketing Automation
30%
63%
Source: emailmonday MA Statistics, 2017
Customer
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Source: Chiefmartec.com
DO NOT
examine technologies before defining
your own needs
CX technology is changing at the speed of light
Customer
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Source: Chiefmartec.com
DO NOT
examine technologies before defining
your own needs
Customer
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1. Create your own architecture of needs
2. Identify assets & strength areas
3. Prioritize what’s missing
4. Map technologies you need
on what you needCustomer
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1. Create your own architecture of needs
2. Identify assets & strength areas
3. Prioritize what’s missing
4. Map technologies you need
on what you needCustomer
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Define & Manage
customer identities
Define
Value
Design
Value
Deliver
Value
Optimize
Most architectures of needs will look like this:
Customer
Identity
Customer
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Customer Engagement Initiative
Maximizing customer lifetime valueCustomer
Customer
Engagement
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Trek name:
Manage customer identities
Gather data
From internal & external sources
Define Customer ID
Who are your customers?What do you
need to know about them?
Manage customer
Identities
Identify new segments &
micro-segments
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Customer
View 360
Customer data is:
1. Disconnected
2. Delayed
3. Inaccessible
Customer
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CRM Data
Partner
Data
Point-of-sale
Data
Web Data
Mobile Data
Call Center
Data
Device Data
3rd Party
Data
The Customer DataView is complex!
Customer
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This drove the rise of CDPs
Customer Data Platforms
Sources: David Raab
Customer
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What’s in a CDP?
Source: Luma
Source: David Raab
Customer
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2 years ago, we predicted consumers will re-gain control of their data:
STKI Summit 2016
Source: Gigya survey 2017 - The state of consumer privacy and trust
Customer
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GDPR (May 2018) is the EU’s attempt to put
consumers back in control of their online data and
compel businesses to keep that data safe
Customer
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Which one are you?
“GDPR is a huge
headache”
“GDPR is a
creative opportunity”
The last mile of personalization
Customer
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Define & Manage customer identities
Tag Mng. Systems
GoogleTag Manager,Tealium
Channel-related data
Web, Mobile, chat, voice…
Voice of the Customer
Qualtrics, Nemala, OpinionLab
Sensor/Location data
Internal data gathering
technologies:
Transactional data
CRM, Core systems…
Social identity Mng.
Gigya (SAP), Janrain
DMP 2nd and 3rd party data
Oracle – BlueKai, SF – Krux,
eXalate…
Social Listening
Tracx, Buzzila, SF Radian6…
External data gathering
technologies:
AdTech/Paid media data
Data Warehouse
Big Data
Data Lake, HDFS,NoSQL
DMP: Audience Data
Oracle,Adobe, IDX, Exposebox
EIM: Information Management
Informatica, IBM…
CIM: Customer Identity
Management
Gigys (SAP)
DMP 1st party data
Oracle BlueKai, Mapp, SF – Krux…
Data Management
technologies:
CDPs (Customer Data Platforms)
POS (Point of Sale) data
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Customer
Engagement
Employee
Empowerment
Data-driven
Business
This takes us to the
Data Initiative
CMO
HR
CDO
Data Officer
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“Those who control the data,
control the future.
Not just of humanity,
but the future of life itself.”
-Yuval Noah Harari
Data-driven
Business
Data
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The State of Data & Analytics (Forbes)
53% 25% 5%
Already
adopted big
data analytics
Rely on
analytics for
decision making
Operationalize
Insights
We all want to be data-driven
But 95%of us aren’t
Data
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Data initiative destination
Enable the organization to become
data-driven on all initiatives
Data
Data
Data-driven
Business
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Data Initiative
CDO: Data Officer
CIO CAO:Analytics
Officer
DPO : Data Protection
Officer
Stakeholders:
CMO &
Other LoBs
I build the platform and
the access roads to it
I accelerate
analytics tools and
methodologies
I rely heavily on Data
and operationalize
insights
I lead the “Data-
Driven Business”
Journey
I assure privacy and
regulations
Data
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Data Initiative
Enabling a Data-Driven businessData
Data-driven
Business
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Trek name:
Plan data strategy
Design a data
architecture
Set data principals
Set a process for
ideation & prioritization
Align with constant
technology changes
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ODS
First, you need an
architecture!
And it should fit
constantly changing needs
Data
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DWs aren’t suitable for
streaming data, real time
analytics, large volumes
of messy/complex data,
ad hoc requirements.
Data Lakes aren’t
suitable for structured
reporting, they lack
maturity, sometimes
security and integration.
They require a lot of data
preparation work.
Data LakeDW
Data
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The Logical DW Architecture
Source: R20 Consultancy
Data
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How much data freedom is ok?
Data
Lake
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What is constantly changing?
Technologies
Your needs
“This is my data
architecture for
the next 5 years”
Data
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Trying to leverage common data technology architectures
while knowing it is a moving targetData
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That’s why your perfect data innovation lab
is in the cloud
Data
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Plan data strategy: Players
Aman (Eternity)
Accenture
B-Pro
Biyond
DataCube
Deloitte
Hilan-Nesspro
KPMG
MatrixBI
Nogamy
Taldor
Yael Group (Actiview)
And more…
Data Architecture Planning Providers*:
* Alphabetic order, not a ranking
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Trek name:
BuildTrust
Examine Anonymization
Techniques
Establish Data Gov.
Organization & tools
Protect data in
context
Implement data
management processes
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Data Governance: one word – many meanings
https://www.sas.com/content/dam/SAS/sv_se/doc/Presentation/sas-gdpr-seminar-30-november-jim-nielsen.pdf
Data
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Many data-related roles and duties (“jobs”)
Data
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Data
Custodian
DPO Data
Protection
Officer Data
Steward
Data Owner
Data
Registrar
CDO Chief
Data
Officer
Director of
Information
Flow
CAO
Analysis
Officer
Size of circle: STKI’s
prediction for
actually having this
role in Israeli
organizations
Data
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Obstacles for Data Initiative Success
Culture
Data
Literacy
70%
35%
Data Skills
30%
Dirty
Data
45%
Data
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Data
“I love cleaning
data”
- Said no one, ever.
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But current DG level of maturity is very low!
Source: Experian’s 2017 global data management benchmark report
18%
26%
39%
17%
Data
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Source:https://www.slideshare.net/inforacer/impdata-gover
Data regulations are kicking in
The DPO reports to the highest management level of your
organisation – ie board level.
The DPO operates independently and is not dismissed or
penalised for performing their task.
Adequate resources are provided to enable DPOs to meet
their GDPR obligations.
https://ico.org.uk/for-organisations/guide-to-the-general-data-protection-regulation-gdpr/accountability-and-governance/data-protection-officers/
$“the U.S. are particularly
well compensated, at
$148,000 median”
https://iapp.org/resources/article/2017-iapp-privacy-professionals-salary-survey-executive-summary/
Data
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New tools based on MLAI are helping with the
tremendous difficult data management task
(data lineage, data catalog, data dictionary, etc)
Data
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Trek name:
Build the data platform
Deploy access roads
to data sources
Prepare data for
analysis
Build logical
data platform
Build physical
data platform
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Data Ingestion Trends:
nogatekeeper
▪ Real time (cdc, kafka) over batch (traditional ETL)
▪ Cloud integration
▪ Metadatatagging of data sets is more important
Data
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• Transformation
• Standardization
• Quality
Preparation in DW is done while ingestions by etl tools
Preparation in data lake is done before analyses:
Hence new category of tools “data preparations”
Data warehouseData lake
no gate keeper
Data
Logical preparation of Data:
• Enhancement
• Tagging
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Optimizing the performance of their company’s big data ecosystem
▪ Building data pipelines to collect data and move it into storage
▪ Preparing the data as part of an ETL or ELT process
▪ Stitching the data together with scripting languages;
▪ Working with the DBA to construct data stores;
▪ Ensuring the data is ready for use;
▪ Using frameworks and microservices to serve data.
Who is doing all of the above?
The Data engineer
https://www.payscale.com/research/US/Job=Data_Engineer/Salary
Data
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Data Lakes
Virtual Data Warehouse
Technologies & services for data platforms
Physical data platform:
Data Warehouse
NoSQL
Logical data platform: Data Preperation
Data Preparation Tools
Virtual DataWarehouse Providers:
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Customer
Engagement
Data-driven
Business
Employee
Empowerment
Now let’s go back
to the CE Initiative
CMO
HR CDO
Data Officer
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Customer Engagement Initiative
Maximizing customer lifetime valueCustomer
Customer
Engagement
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Define customer’s value
Set KPIs to measure
mutual value
Map out Personas
Define organization’s
value
For each persona
Trek name:
DefineValue (for organization and for customers)
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•בת אישה32
•שיווק מנהלת
•סרטים אוהבת
•מחברים המלצה
•יחסית יקר
•רועשת מוזיקה
בחנות
•של פרסום
מתחרה
•ונקייה יפה חנות
•מגולח לא מוכר
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•בת אישה32
•שיווק מנהלת
•סרטים אוהבת
•מחברים המלצה
•יחסית יקר
•רועשת מוזיקה
בחנות
•של פרסום
מתחרה
•ונקייה יפה חנות
•מגולח לא מוכר
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Value
The going currency in
the customer/company
relationship. A mutual
perception of
appropriate derived
value is the one and only
condition to the
continuation and
fruition of the
relationship.
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Richard Thaler
2017 Nobel prize winner for economics
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Design Journeys
By using co-creation &
creative methodologies
Trek name:
DesignValue, craft amazing customer experiences
Focus on a sub-journey &
pilot it
(“Entrance-Value-Exit” capsule)
Create a mission team
(per sub-journey)
Analyze journey design
& orchestration
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Excellent
Consistent
Precise
Stands out
In line
Simple Made to
fit Flexible
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Trek name:
DeliverValue (activate journeys)
Document journeys
Set rules and triggers
Orchestrate
touchpoints across
channels
Automate journeys
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eCommerce
platforms
Hybbris, Magento,
Nopcommerce
Multi-channel messaging platforms
Personalization
Maxymizer (Oravle),
Optimizely…
Engagement
Channels:
- Voice
- Web
- Mobile
- eMail
- Social
- Chat
- Video
- ChatBots
- Social
- AR/VR
- Etc…
Engagement &
Gamification
Walkme, GameEffective,
PlayBuzz
Content Marketing
Kapost, Contently, Oracle,
Taboola, Outbrain…
Marketing automation
Oracle,Adobe,
Salesforce, SAS, IBM…
Trek name:
DeliverValue (activate journeys)
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Bots platforms and products in Israel
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Global leader
Marketing Automation Platforms in Israel:
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The channel divide
Source: Christine Moorman, CMO Survey 2017
Channel strategy is extracted from the
CX strategy
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Source: chatbots.org (Thanks,Amit Kama!)
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89
Trek name:
Optimize experiences & journeys
Build a lab for
experimentations
Use growth
hacking methods
Analyze
Customer journeys
Analyze
Customer journeys
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Rise in the use of Analytics & Optimization
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OnlineTesting
Oracle Maxymizer,Adobe, Optimizely
Customer Experience
Analytics
SAS,Adobe, IBM, ClickFox
Cross-channel Attribution
Google Adometry,AOL-Convertro,
VisualIQ
Interaction analysis
Glassbox, IBMTealeaf
Campaign optimization
SAS
Optimize experiences & journeys
Netcraft by Elad
Optimization Service Providers:
Customer Experience/ Journey Analytics
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From a semi-manual,
batch process
To an automated,
real-time architecture
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Customer Engagement Technologies
Outlook 2018-2022
Web analytics
BI & Discovery
Identity and Access
Mng (CIAM)
CDPs
Journey Analytics
Digital Analytics
AI-powered
journeys
Optimization of
journeys
Marketing automation
Multivariant testing
Disparate channels
Predictive Analytics
Personalization
(channel specific)
Personalization of
Journeys
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Obstacles for Customer Engagement Initiative Success
Siloed
organization
Change
Mng.
Culture
80%
70%
40%
Skills
shortage
40%
Literacy
25%
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At some point, your journey will
reach a dead end.
It will seem impossible to go on.
The key to proceed will lie in
the hands of your most
important (and least expected)
partner.
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You can’t spell HERO without HR
Sorry, did we say “HR”? we meant CHRO:
Chief Human Relations Officer
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Customer
Engagement
Data-driven
Business
Employee
Empowerment
CMO
HR
CDO
Data Officer
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Employee Empowerment Initiative Destination
Maximize employees lifetime value
for the future organization
CHRO
Employee
Empowerment
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Skills shortage
Siloed
organizations
Low
engagement
Un-coordinated
efforts
>90% of organizations
feel they’re unprepared
for the future. Why?
Agile
Not agile
Wrong culture
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Change the
way we Engage
Change the way
we Measure
Performance
Change the
way we Hire
Change the
way we
Learn
Change the
way we
Operate
Change the way
we
Communicate
CHROs To-Do’s in an employee-driven market:
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Change the
way we Engage
Change the way
we Measure
Performance
Change the
way we Hire
Change the
way we
Learn
Change the
way we
Operate
Change the way
we
Communicate
CHROs To-Do’s in an employee-driven market:
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Employee Empowerment Initiative
Employee
Empowerment
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Trek name:
Build the People Platform
Collect employee data
Create an employee
data platform Unify HR &Talent
processes
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People PlatformTechnology Players
Talent Mng. & HRMS Suites
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Align goals
Set KPIs to measure
performance
Understand organization
goals
Understand employee
goals
Organizational and employees
Trek name:
Align with organization goals
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Managing change
will be one of HR’s
most important roles
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Trek name:
Optimize decisions based on data
Develop hypothesis
Gather missing
data
Invest in managers
data literacy
Develop & validate
analytic models
Grow HR-specific
analytic skills
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People Analytics
8%
Believe their organizations
are excellent in it
Believe using people
analytics is important
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Look familiar?
HROs – be CMOs.
Source: LinkedInTalent Solutions
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Look familiar?
HROs – be CMOs.
Source: LinkedInTalent Solutions
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Matrix + Matrix BI
Opisoft (SQlink)
iProsis (for SAP SF)
Hilan-Ness
Technology providers for people data-driven decisions
People Analytics
service providers:
Oracle HCM
SAP Successfactors
People Analytics
technology providers:
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88% believe that building the organization of the future
is very important. Only 11% understand how.
- Deloitte Human CapitalTrends report 2017
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Source: Deloitte University Press
HROs will design the future organization
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Agile Organizational Design
Source: Josh Bersin, Deloitte
Built for
Efficiency
Built for
Agility
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Quick wins can be dangerous
Long-Term Growth
… If they throw you off the road
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Let’s remember how we started this journey:
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What is at the end of the trio-initiative journey?