More Related Content Similar to Forrester Research: How To Organise Your Business For Digital Success - AppD Summit Europe (20) More from AppDynamics (13) Forrester Research: How To Organise Your Business For Digital Success - AppD Summit Europe3. AppD Summit Europe
What You Need To Know To Be An Effective
Digital Leader
Nigel Fenwick, Vice President, Principal Analyst, Forrester Research
AppD Summit Europe
4. @NigelFenwick© 2017 FORRESTER. REPRODUCTION PROHIBITED.
What You Need To Know
To Be An Effective Digital Leader
Nigel Fenwick, Vice President, Principal Analyst
May, 2017
5. @NigelFenwick5© 2017 FORRESTER. REPRODUCTION PROHIBITED.
Source: Starwood Hotels & Resorts
New experiences
change our
expectations and
impact our future
value perceptions
© 2017 Forrester Research, Inc. Reproduction Prohibited
6. @NigelFenwick6© 2017 FORRESTER. REPRODUCTION PROHIBITED.
Experiences must deliver desired outcomes to create
value
Experiences
Shape
expectations
Outcomes
Shape value
perception
8. Source: Forrester Research @NigelFenwick
Experience
Expectation
Perceived Value
The Digital Dilemma
As expectations rise, without changes in experience, perceived value decreases.
9. @NigelFenwick9© 2017 Forrester Research, Inc. Reproduction Prohibited
Solving the digital dilemma
demands a fundamental shift
in how a firm delivers value
& drives revenue
10. @NigelFenwick10© 2017 FORRESTER. REPRODUCTION PROHIBITED.
We need to design
new digital experiences to satisfy desires
Old:
inside-out
New
outside-in
Digital prey Digital predator
12. @NigelFenwick12© 2017 FORRESTER. REPRODUCTION PROHIBITED.
Reporting lines are not critical
Source: Organize Your People For Digital Success – A 2017 Forrester Report
13. @NigelFenwick13© 2017 FORRESTER. REPRODUCTION PROHIBITED.
Many companies follow the money
Source: Organize Your People For Digital Success – A 2017 Forrester Report. Base 237 Executives in companies with more than 249 employees. “Digital revenue”
teams are responsible for revenue directly from digital products and services. Forrester/Odgers Berndtson Digital Business Online Survey.
22. @NigelFenwick22© 2017 FORRESTER. REPRODUCTION PROHIBITED.
Journey Experience
touch points
Discover
Get Support
Buy
Use
Evaluate
Digital/Phone/Inperson
Systemsofengagement
Middleware
Systemsofrecord
Supporting Technology Stack
Use journey mapping to uncover gaps that create
sub-standard experiences and outcomes
23. @NigelFenwick23© 2017 Forrester Research, Inc. Reproduction Prohibited
Research
cars on
tablet
Build Custom
configuration
Test
drive
Compare
models in
showroom
Place
order
Pickup
car
Join
car
club
Share
photos
Configure
Settings in
app
Upgrade
Learn
features in
VR
Service
Design A Holistic Experience
28. @NigelFenwick28© 2017 FORRESTER. REPRODUCTION PROHIBITED.
Sensors
↳Data
↳Analytics
↳AI / ML
↳Insights
↳Outcomes
↳Perceived $
↳Revenue
Emerging Digital Tech Allows Better Outcome
Delivery
29. @NigelFenwick29© 2017 FORRESTER. REPRODUCTION PROHIBITED.
Image source: cerzus69.deviantart.com
› Outcomes: What
are the best
outcomes that will
satisfy my
customer’s
desires?
Identify The Outcomes That Satisfy Desires
30. @NigelFenwick30© 2016 Forrester Research, Inc. Reproduction Prohibited
Scale experiences with AI/ML
Real-time analytics
and machine
learning directed at
helping customers
satisfy desired
outcomes
32. @NigelFenwick32© 2017 FORRESTER. REPRODUCTION PROHIBITED.
Source: The December 2, 2015 “Unleash Your Digital Predator”
Digital businesses shift from linear
value chains . . .
. . . to nimble API enabled
value ecosystems
33. @NigelFenwick33© 2017 FORRESTER. REPRODUCTION PROHIBITED.
* Approximation based on client engagements. Results vary by company and industry.
Simplify, Simplify, Simplify
›10% of business
capabilities differentiate*
›90% of business
capabilities are common
across the industry*
35. @NigelFenwick35© 2017 FORRESTER. REPRODUCTION PROHIBITED.
Replace old business silos with dynamic teams
Account
mgmt
Design/CX
Consulting
Appdev&SI
Infrastructure
Siloed model:
too slow and
uncoordinated
Specialized
services
Customers’ want
outcomes
regardless of silos
Customer
segments/
desires
Persona model:
clusters of experts
focus on outcome
delivery
36. @NigelFenwick36© 2017 FORRESTER. REPRODUCTION PROHIBITED.
To change
culture:
Look at what
your metrics
communicate
Source: “The Key Success Factors Of Digital Business Strategy, 2016” Forrester Report
37. @NigelFenwick37© 2017 FORRESTER. REPRODUCTION PROHIBITED.
To change
culture:
Look at what
your metrics
communicate
Source: “The Key Success Factors Of Digital Business Strategy, 2016” Forrester Report
38. Source: “The Key Success Factors Of Digital Business Strategy, 2016” Forrester Report
40. @NigelFenwick40© 2017 Forrester Research, Inc. Reproduction Prohibited
Source: Microsoft
Incubate Emerging
Technologies
Keeping up with
customer expectations
will be a major driver of
tech investment
41. @NigelFenwick41© 2017 Forrester Research, Inc. Reproduction Prohibited
Source: Rebekka Minkoff
Focus on rapid experimentation
Engineer your
business model to
constantly evolve
with a plug & play
tech architecture
43. @NigelFenwick43© 2017 FORRESTER. REPRODUCTION PROHIBITED.
Beware of setting
expectations
beyond operational
capabilities
Do the new experiences
deliver outcomes easier,
faster?
Do existing business
operations support the
smooth delivery of the
outcomes?
44. @NigelFenwick44© 2016 Forrester Research, Inc. Reproduction Prohibited
Design Holistic
Experiences
Become
Insights Driven
Create
Business
Agility
Move From
Siloed To
Connected
Fuel Customer
Led Innovation
Deliver
Customer
Outcomes
Apply These Six Principles Of
Successful Digital Leadership
To Every Initiative
45. @NigelFenwick45© 2017 FORRESTER. REPRODUCTION PROHIBITED.
What to do next depends on where you’re starting …
Starting out Already on your way Advanced
Map your customer’s
journeys
Identify new ecosystem
partners
Adopt blue-sky thinking
to deliver outcomes
Identify pain points -
save customer time
Data insights create
customer value
Incubate disruptive
startups
Identify operational
gaps
Automate operations Develop new business
models
Measure: Touchpoint
satisfaction,
operational agility
Measure: Journey
satisfaction,
operational productivity
Measure: Lifetime
customer value,
revenue growth
46. @NigelFenwick46© 2017 Forrester Research, Inc. Reproduction Prohibited
Continue to
develop your digital DNA
to design experiences
that deliver outcomes
which satisfy desires.
Editor's Notes Length of session – 50 minutes in total 11.—am to 11:50
10 Q&U
40 mins presentation
Focus on six rules and info on skills Image source: Starwood Hotels & Resorts (http://www.starwoodhotels.com/) Touchpoint – not marginal
Failure can appear between touchpoints
http://orig14.deviantart.net/4fc8/f/2009/220/9/6/the_one_ring_by_todd587.jpg http://orig00.deviantart.net/5986/f/2011/131/6/0/smeagol_wip2_by_cerzus69-d2na32u.png And digital businesses learn to scale great customer experience by building trusted machines. Rolls Royce makes aircraft engines for many of the airlines around the world. They used to sell engines to airlines and supply parts and service. But the advent of digital technology changed the way they thought about their business. By adding sensors to their engines and establishing a way to collect and analyze the data from engines in flight around the world, they were able to detect small changes in engine performance from one flight to the next. Rolls Royce created automated systems that would make recommendations for engine maintenance for ground maintenance crew before the aircraft lands. This allowed Rolls Royce to shift their business model toward selling hours of propulsion instead of engines. The service recommendations trusted machine improves the experience for airlines, who are able to keep their planes in the air and not in the hangar. Source: Microsoft Rerbekka Minkoff http://petugee.deviantart.com/art/Lord-of-the-Rings-Smeagol-409561645 DO NOT CHANGE