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The Dbriefs Technology Executive series presents:

The Postdigital Enterprise:
Harnessing Change,
Managing Disruption

Suketu Gandhi, Principal, Deloitte Consulting LLP
Bill Briggs, Deputy CTO, Director, Deloitte Consulting LLP
December 1, 2011
Release for answers to polling questions
 Understand that any data or information provided by you as part of
participating in this Dbriefs webcast (“webcast”) may be used by
Deloitte in connection with this webcast, other studies, or analyses
performed by Deloitte, publications, or in connection with services
provided by Deloitte or otherwise.
 Understand that this webcast is the proprietary property of Deloitte.
 Understand that any such data or information may be disclosed by
Deloitte to related entities or other third parties, including, without
limitation, in publications, in connection with this webcast or such
studies, analyses, or services, provided that such data or information
does not contain any information that identifies you or associates you
with the data or information that you have provided or are providing.
 Understand disclosure of such data or information could be required by
law, in which case Deloitte will endeavor to notify you.

Copyright © 2011 Deloitte Development LLC. All rights reserved.
Agenda
What is the postdigital enterprise?
The five postdigital domains
What this means for your enterprise
Question and answer

Copyright © 2011 Deloitte Development LLC. All rights reserved.
What is the postdigital
enterprise?
How we got here
Basic human behavior has not fundamentally changed...
Engagement

Learning

Validating

Deciding

Using

Committing

Loyalty
$’s

…but the tools for conducting business have dramatically evolved.
11,000 BC

3000 BC 1 AD

1870 1985 1990 2005

2008 2009

Copyright © 2011 Deloitte Development LLC. All rights reserved.
Evolution of the postdigital enterprise
The enterprise has evolved over the past two decades
Industrial

Digital

Postdigital

Uninformed
Homogenous

Informed
Segmented

Connected
Personalized

Optimized
Manual

Automated
Digitized

Real time
User-centric

Specialization
Processes-focused

Functional model
IT-focused

Interdisciplinary
Collaboration-focused

Single channel

Multichannel

Omnichannel

Market
Condition

Brand and supply
driven

Brand and customer
access driven

Customer and social
network driven

Market
Approach

Plan based
replenishment

Transaction based
replenishment

Intention based
replenishment

Customer
Type

Process

Organization

Channel

Copyright © 2011 Deloitte Development LLC. All rights reserved.
Poll question #1
Which executive is most visibly sponsoring initiatives
around postdigital?







CEO
COO
CIO
LOB/Function lead(s)
None of the above
Don’t know / Not applicable

Copyright © 2011 Deloitte Development LLC. All rights reserved.
New technology forces driving innovation
Technology strategy = business strategy
Hyper-availability

Information
Explosion

Transparency

Security &
Compliance
Pressures
Consumerization

Velocity of
Change
Copyright © 2011 Deloitte Development LLC. All rights reserved.
Harness postdigital technologies to evolve
The convergence of five disruptive technologies is changing the way
businesses must respond to individuals’ needs and expectations
Analytics

Social Business
Deconstruct organizational
silos; empower
collaborative networks

Move from descriptive to
predictive and prescriptive
Mobility

Cloud

Un-tether your enterprise;
empower users where
business actually occurs
Credentials-based access
control and management

Move past the static
ecosystem; empower the
dynamic value chain
Digital identity;
digital persona protection

Defense-in-depth and
cyber threat intelligence

Cyber Intelligence
The greatest value lies at the intersection points of the PDE domains.
For example, combining cloud and analytics to yield insight as a service.
Copyright © 2011 Deloitte Development LLC. All rights reserved.
The CIO as a revolutionary
The CIO is uniquely positioned to lead the evolution, moving beyond
being a steward or a strategist to help lead the postdigital era
There are 3 major requirements for the Revolutionary Postdigital CIO

Investment Shift
A greater portion of
the portfolio should
be allocated to
postdigital innovation

Strategic Plan
Roadmap
Should provide clarity
to a cohesive
postdigital strategy
combining business
and technology
considerations

Talent/Skills
The IT organization
should have increased
depth in both business
and technical skills

Copyright © 2011 Deloitte Development LLC. All rights reserved.
Poll question #2

Which topic do you feel has the greatest opportunity to
positively impact your business strategy?







Mobility
Social business
Cloud
Analytics
Cyber intelligence
Don’t know / Not applicable

Copyright © 2011 Deloitte Development LLC. All rights reserved.
The five postdigital domains
Analytics
Technology and deep modeling techniques applied to identify
business performance opportunities in exploding data volumes
 Growth of Data Volumes: Doubling
every 18 months
 Unstructured Data: Driven by social
networks
 Predictive and Prescriptive Analysis:
Future-looking
 Competing on Analytics: Strategic
cornerstone of the enterprise

Key Considerations

Real-Time
Analysis
(Unstructured)
Data
Explosion

Hindsight
to Foresight
Copyright © 2011 Deloitte Development LLC. All rights reserved.
Mobility
Anywhere, anytime business innovation enablement
 Mobile App Growth: Internal and B2B
applications
 Converged Devices: Fast growing area
of computing
 Decisions for the Enterprise: Platforms,
maintenance, internal capabilities

 Managing the Environment: Mobile
environment security and governance
Key Considerations

Taking
Enterprise
Mobile

Growth of
Converged
Devices

In-House
vs. Third
Party

Copyright © 2011 Deloitte Development LLC. All rights reserved.
Social business
Connecting human networks for information, decisions, and
action
 Moving Beyond Social Networks:
Enterprise connectivity and expectations
 Power of People Networks: Leverage
shared passion
 Driving Results: Internal and external
stakeholders

 Implications for the Enterprise: Bottom-up
collaboration and information sharing

Collaboration &
Communication

Key Considerations

Informational
Capabilities

Transactional
Opportunities

Internal &
External Exposure
Copyright © 2011 Deloitte Development LLC. All rights reserved.
Cloud computing
Evolution from capacity clouds based on isolated workloads to
capability clouds delivering higher-order, finished services
 Workload in the Cloud: Edge functions
move to the cloud en masse
 Business Beyond Technology: A
convincing business case is needed
 Progression of Vendors: Sophisticated
offerings (e.g., logistics, security)
 Future of Clouds: Higher order business
functions in the cloud

Key Considerations

Capacity vs.
Capability

Cloud
Implications

Making the
Case
for Cloud
Copyright © 2011 Deloitte Development LLC. All rights reserved.
Cyber intelligence
Prepare, predict, prevent, and protect through cyber security,
cyber forensics, cyber analytics, and cyber logistics
 Changing Regulation: Increasingly
complex global compliance requirements
 Detection vs. Prevention: Stay ahead of
emerging threats
 Evolving Threats: Increasing cost of
breaches, diversity, and speed of threats
 Threat Management and Triage: Know
“how” and “from where” attacks originate

Key Considerations

Cyber
Security

Cyber
Forensics

Cyber
Logistics

Cyber
Analytics

Copyright © 2011 Deloitte Development LLC. All rights reserved.
Poll question #3
Which postdigital domain is currently the most mature in
your organization?







Mobility
Social business
Cloud
Analytics
Cyber intelligence
Don’t know / Not applicable

Copyright © 2011 Deloitte Development LLC. All rights reserved.
What this means for your
enterprise
Disruption will require process redesigns
Redesign operational processes to evolve, respond, and stay relevant
Same Thing, New Way

Breakout Capabilities

Postdigital Veneer

Postdigital Disruption

Enable Enterprise
Capabilities
Enhance Current
Operations

Example – a unidirectional
social media campaign

New Operating
Models
New Service
Offerings
New Business
Models
Example – product development
through crowd-sourced R&D
Copyright © 2011 Deloitte Development LLC. All rights reserved.
New expectations can affect operations
The postdigital ecosystem extends beyond customers and employees
Postdigital Operating Ecosystem
New IT
Concerns and
Considerations

Consumers, Employees,
Ambassadors, Partners,
Fans
Vendors

Pundits,
Bloggers,
Competitors

Potential
Customers
/ Investors

Postdigital
Strategy

Mobility
Analytics
Social Business
Cloud
Cyber Intelligence

The postdigital ecosystem
is borderless and limitless,
extending far beyond the
traditional four walls of
your business

Postdigital personae
transcend enterprise,
organizational, and
personal boundaries

Copyright © 2011 Deloitte Development LLC. All rights reserved.
User engagement and user empowerment
Effective postdigital efforts will be driven by user engagement
Interaction
Design

User Research

User Interface
Design

Usability and
Analytics

Expanded
Ecosystem

Understand

Individuals

Boundless
user
environment

Design UserSystem
Interaction

Crowdsourced
R&D
Conceptualize
Solutions

Unstructured
live data

Evaluate and
Refine
Prototypes

Anytime,
anywhere
access

Execute

Solution

Copyright © 2011 Deloitte Development LLC. All rights reserved.
Postdigital scenarios
 As consumers adopt connective technology, they build and
participate in interconnected 24 / 7 networks
The Connected
Consumer

 This provides the opportunity for convenient and constant access
to information

 A global consumer products company reported that it has radically
reduced its operational costs (by close to $1 BB) by
‒ Streamlining critical workflows throughout its global organization
The Empowered
Manager

‒ Empowering its managers to make better and faster decisions
with access to real-time social analytics and enterprise data
 Large companies with complex organizational structures are
looking for ways to enable their teams to collaborate more
effectively on critical work streams to remove institutional
roadblocks, accelerate innovation, and increase time to decision

The Engaged
Enterprise

 One of the most remarkable case studies is in the consumer retail
market with a large electronics retailer
Copyright © 2011 Deloitte Development LLC. All rights reserved.
Disrupt or be disrupted
Evolve to stay relevant as expectations, needs, and behaviors change
A slow response invites disruption
A movie rental company
failed to heed to customers’
changing appetite for direct,
instant digital fulfillment

Consumer electronics
retailer failed to
transform workforce
from traditional
salesmen to engaging
customer service
advocates

Static businesses will be unable to
meet new desires and expectations

Evolve now, and you can
disrupt and grow
Online shoe retailer disrupted
the industry by using mobile and
social technology to provide the
flexibility that customers desire
Home improvement retailer
empowers employees with
collaboration tools to share
ideas and leading practices
Innovative car rental service
channeled social technologies
to provide customers the
desired high-touch merchant
experience at a low cost

Postdigital Enterprises will evolve
to harness disruptive technologies
Poll question #4
What is the main factor that will keep you from realizing the
potential of postdigital?







Security/privacy compliance
We are too consumed with “keeping the lights on”
Fragmented investments across the business
Organizational inertia (cultural resistance to change)
Postdigital is not a current priority
Don’t know / Not applicable

Copyright © 2011 Deloitte Development LLC. All rights reserved.
Final thoughts
Shift organizational focus
Prioritize consumers, employees,
and partners

Un-tether your enterprise
Postdigital business is not bound
by physical space

Move past the static ecosystem
Empower the dynamic value chain

Augment traditional research
Access direct insight

Deconstruct organizational silos
Sanction collaborative networks

Harness speed and flexibility
Think big; start small; scale fast

Copyright © 2011 Deloitte Development LLC. All rights reserved.
Question and Answer
Join us January 5 at 2 PM ET as
our Technology Executives
series presents:

Visualization and
Geospatial Solutions:
The Future of Business
Intelligence?
CPE certificates are now available
for immediate download.
Click the Request CPE link in the
lower right hand corner of the
screen.

Copyright © 2011 Deloitte Development LLC. All rights reserved.
Contact info
Suketu Gandhi
Principal, Deloitte Consulting LLP

sugandhi@deloitte.com

312-486-3590
Bill Briggs
Director, Deloitte Consulting LLP
wbriggs@deloitte.com

816-802-7350

Copyright © 2011 Deloitte Development LLC. All rights reserved.
This presentation contains general information only and Deloitte is not, by means of this
presentation, rendering accounting, business, financial, investment, legal, tax, or other
professional advice or services. This presentation 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
business. Before making any decision or taking any action that may affect your business, you
should consult a qualified professional advisor. Deloitte shall not be responsible for any loss
sustained by any person who relies on this presentation.

Copyright © 2011 Deloitte Development LLC. All rights reserved.
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 © 2011 Deloitte Development LLC. All rights reserved.
The Dbriefs Technology Executive series presents: The Postdigital Enterprise: Harnessing Change, Managing Disruption

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The Dbriefs Technology Executive series presents: The Postdigital Enterprise: Harnessing Change, Managing Disruption

  • 1. The Dbriefs Technology Executive series presents: The Postdigital Enterprise: Harnessing Change, Managing Disruption Suketu Gandhi, Principal, Deloitte Consulting LLP Bill Briggs, Deputy CTO, Director, Deloitte Consulting LLP December 1, 2011
  • 2. Release for answers to polling questions  Understand that any data or information provided by you as part of participating in this Dbriefs webcast (“webcast”) may be used by Deloitte in connection with this webcast, other studies, or analyses performed by Deloitte, publications, or in connection with services provided by Deloitte or otherwise.  Understand that this webcast is the proprietary property of Deloitte.  Understand that any such data or information may be disclosed by Deloitte to related entities or other third parties, including, without limitation, in publications, in connection with this webcast or such studies, analyses, or services, provided that such data or information does not contain any information that identifies you or associates you with the data or information that you have provided or are providing.  Understand disclosure of such data or information could be required by law, in which case Deloitte will endeavor to notify you. Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 3. Agenda What is the postdigital enterprise? The five postdigital domains What this means for your enterprise Question and answer Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 4. What is the postdigital enterprise?
  • 5. How we got here Basic human behavior has not fundamentally changed... Engagement Learning Validating Deciding Using Committing Loyalty $’s …but the tools for conducting business have dramatically evolved. 11,000 BC 3000 BC 1 AD 1870 1985 1990 2005 2008 2009 Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 6. Evolution of the postdigital enterprise The enterprise has evolved over the past two decades Industrial Digital Postdigital Uninformed Homogenous Informed Segmented Connected Personalized Optimized Manual Automated Digitized Real time User-centric Specialization Processes-focused Functional model IT-focused Interdisciplinary Collaboration-focused Single channel Multichannel Omnichannel Market Condition Brand and supply driven Brand and customer access driven Customer and social network driven Market Approach Plan based replenishment Transaction based replenishment Intention based replenishment Customer Type Process Organization Channel Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 7. Poll question #1 Which executive is most visibly sponsoring initiatives around postdigital?       CEO COO CIO LOB/Function lead(s) None of the above Don’t know / Not applicable Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 8. New technology forces driving innovation Technology strategy = business strategy Hyper-availability Information Explosion Transparency Security & Compliance Pressures Consumerization Velocity of Change Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 9. Harness postdigital technologies to evolve The convergence of five disruptive technologies is changing the way businesses must respond to individuals’ needs and expectations Analytics Social Business Deconstruct organizational silos; empower collaborative networks Move from descriptive to predictive and prescriptive Mobility Cloud Un-tether your enterprise; empower users where business actually occurs Credentials-based access control and management Move past the static ecosystem; empower the dynamic value chain Digital identity; digital persona protection Defense-in-depth and cyber threat intelligence Cyber Intelligence The greatest value lies at the intersection points of the PDE domains. For example, combining cloud and analytics to yield insight as a service. Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 10. The CIO as a revolutionary The CIO is uniquely positioned to lead the evolution, moving beyond being a steward or a strategist to help lead the postdigital era There are 3 major requirements for the Revolutionary Postdigital CIO Investment Shift A greater portion of the portfolio should be allocated to postdigital innovation Strategic Plan Roadmap Should provide clarity to a cohesive postdigital strategy combining business and technology considerations Talent/Skills The IT organization should have increased depth in both business and technical skills Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 11. Poll question #2 Which topic do you feel has the greatest opportunity to positively impact your business strategy?       Mobility Social business Cloud Analytics Cyber intelligence Don’t know / Not applicable Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 13. Analytics Technology and deep modeling techniques applied to identify business performance opportunities in exploding data volumes  Growth of Data Volumes: Doubling every 18 months  Unstructured Data: Driven by social networks  Predictive and Prescriptive Analysis: Future-looking  Competing on Analytics: Strategic cornerstone of the enterprise Key Considerations Real-Time Analysis (Unstructured) Data Explosion Hindsight to Foresight Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 14. Mobility Anywhere, anytime business innovation enablement  Mobile App Growth: Internal and B2B applications  Converged Devices: Fast growing area of computing  Decisions for the Enterprise: Platforms, maintenance, internal capabilities  Managing the Environment: Mobile environment security and governance Key Considerations Taking Enterprise Mobile Growth of Converged Devices In-House vs. Third Party Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 15. Social business Connecting human networks for information, decisions, and action  Moving Beyond Social Networks: Enterprise connectivity and expectations  Power of People Networks: Leverage shared passion  Driving Results: Internal and external stakeholders  Implications for the Enterprise: Bottom-up collaboration and information sharing Collaboration & Communication Key Considerations Informational Capabilities Transactional Opportunities Internal & External Exposure Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 16. Cloud computing Evolution from capacity clouds based on isolated workloads to capability clouds delivering higher-order, finished services  Workload in the Cloud: Edge functions move to the cloud en masse  Business Beyond Technology: A convincing business case is needed  Progression of Vendors: Sophisticated offerings (e.g., logistics, security)  Future of Clouds: Higher order business functions in the cloud Key Considerations Capacity vs. Capability Cloud Implications Making the Case for Cloud Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 17. Cyber intelligence Prepare, predict, prevent, and protect through cyber security, cyber forensics, cyber analytics, and cyber logistics  Changing Regulation: Increasingly complex global compliance requirements  Detection vs. Prevention: Stay ahead of emerging threats  Evolving Threats: Increasing cost of breaches, diversity, and speed of threats  Threat Management and Triage: Know “how” and “from where” attacks originate Key Considerations Cyber Security Cyber Forensics Cyber Logistics Cyber Analytics Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 18. Poll question #3 Which postdigital domain is currently the most mature in your organization?       Mobility Social business Cloud Analytics Cyber intelligence Don’t know / Not applicable Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 19. What this means for your enterprise
  • 20. Disruption will require process redesigns Redesign operational processes to evolve, respond, and stay relevant Same Thing, New Way Breakout Capabilities Postdigital Veneer Postdigital Disruption Enable Enterprise Capabilities Enhance Current Operations Example – a unidirectional social media campaign New Operating Models New Service Offerings New Business Models Example – product development through crowd-sourced R&D Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 21. New expectations can affect operations The postdigital ecosystem extends beyond customers and employees Postdigital Operating Ecosystem New IT Concerns and Considerations Consumers, Employees, Ambassadors, Partners, Fans Vendors Pundits, Bloggers, Competitors Potential Customers / Investors Postdigital Strategy Mobility Analytics Social Business Cloud Cyber Intelligence The postdigital ecosystem is borderless and limitless, extending far beyond the traditional four walls of your business Postdigital personae transcend enterprise, organizational, and personal boundaries Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 22. User engagement and user empowerment Effective postdigital efforts will be driven by user engagement Interaction Design User Research User Interface Design Usability and Analytics Expanded Ecosystem Understand Individuals Boundless user environment Design UserSystem Interaction Crowdsourced R&D Conceptualize Solutions Unstructured live data Evaluate and Refine Prototypes Anytime, anywhere access Execute Solution Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 23. Postdigital scenarios  As consumers adopt connective technology, they build and participate in interconnected 24 / 7 networks The Connected Consumer  This provides the opportunity for convenient and constant access to information  A global consumer products company reported that it has radically reduced its operational costs (by close to $1 BB) by ‒ Streamlining critical workflows throughout its global organization The Empowered Manager ‒ Empowering its managers to make better and faster decisions with access to real-time social analytics and enterprise data  Large companies with complex organizational structures are looking for ways to enable their teams to collaborate more effectively on critical work streams to remove institutional roadblocks, accelerate innovation, and increase time to decision The Engaged Enterprise  One of the most remarkable case studies is in the consumer retail market with a large electronics retailer Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 24. Disrupt or be disrupted Evolve to stay relevant as expectations, needs, and behaviors change A slow response invites disruption A movie rental company failed to heed to customers’ changing appetite for direct, instant digital fulfillment Consumer electronics retailer failed to transform workforce from traditional salesmen to engaging customer service advocates Static businesses will be unable to meet new desires and expectations Evolve now, and you can disrupt and grow Online shoe retailer disrupted the industry by using mobile and social technology to provide the flexibility that customers desire Home improvement retailer empowers employees with collaboration tools to share ideas and leading practices Innovative car rental service channeled social technologies to provide customers the desired high-touch merchant experience at a low cost Postdigital Enterprises will evolve to harness disruptive technologies
  • 25. Poll question #4 What is the main factor that will keep you from realizing the potential of postdigital?       Security/privacy compliance We are too consumed with “keeping the lights on” Fragmented investments across the business Organizational inertia (cultural resistance to change) Postdigital is not a current priority Don’t know / Not applicable Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 26. Final thoughts Shift organizational focus Prioritize consumers, employees, and partners Un-tether your enterprise Postdigital business is not bound by physical space Move past the static ecosystem Empower the dynamic value chain Augment traditional research Access direct insight Deconstruct organizational silos Sanction collaborative networks Harness speed and flexibility Think big; start small; scale fast Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 28. Join us January 5 at 2 PM ET as our Technology Executives series presents: Visualization and Geospatial Solutions: The Future of Business Intelligence?
  • 29. CPE certificates are now available for immediate download. Click the Request CPE link in the lower right hand corner of the screen. Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 30. Contact info Suketu Gandhi Principal, Deloitte Consulting LLP sugandhi@deloitte.com 312-486-3590 Bill Briggs Director, Deloitte Consulting LLP wbriggs@deloitte.com 816-802-7350 Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 31. This presentation contains general information only and Deloitte is not, by means of this presentation, rendering accounting, business, financial, investment, legal, tax, or other professional advice or services. This presentation 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 business. Before making any decision or taking any action that may affect your business, you should consult a qualified professional advisor. Deloitte shall not be responsible for any loss sustained by any person who relies on this presentation. Copyright © 2011 Deloitte Development LLC. All rights reserved.
  • 32. 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 © 2011 Deloitte Development LLC. All rights reserved.