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GENERATING DIGITAL IMPACT
Digital business models need advanced operating models
DESIGN • TRANSFORM • RUN LEAN DIGITALSM
Report
Research findings indicate that harnessing the full power of digital technologies requires a reimagination of operations through a holistic architecture that marries technology, process re-design, and advanced organizational structures catering to process specific differences.
TABLE OF CONTENT
1. Introduction ........................................................................................................................................................................................4
2. When the focus is today: Managing risk, ensuring compliance, and cutting costs............................................................. 5 Risk and compliance ......................................................................................................................................................................... 5 Cost ...................................................................................................................................................................................................... 5
3. Preparing for tomorrow: Customer satisfaction, growth, agility, and innovation ................................................................8 Customer satisfaction and growth .................................................................................................................................................8 Agility and innovation .......................................................................................................................................................................8
4. Conclusion: Towards a digital future powered by advanced operating models ..................................................................13
5. Methodology .................................................................................................................................................................................... 14
INDEX OF FIGURES
Figure 1: % of respondents across functions stating that the risk and compliance challenges are among the “top 3” for their company ................................................................................................................................................................ 5
Figure 2: Impact of operating model initiatives on functional areas considered most important for the risk and compliance challenges .......................................................................................................................................................6
Figure 3: % of respondents across functions stating that the cost challenge is among the “top 3” for their company ...................................................................................................................................................................... 7
Figure 4: Impact of operating model initiatives on functional areas considered most important for the cost challenge ...............................................................................................................................................................8
Figure 5: % of respondents across functions stating that the growth and customer satisfaction challenges are among the “top 3” for their company .............................................................................................................................9
Figure 6: Impact of operating model initiatives on functional areas considered most important for the growth and customer satisfaction challenges .................................................................................................................................. 10
Figure 7: Ability of functional areas to impact growth and customer satisfaction .............................................................. 11
Figure 8: % of respondents across functions stating that the agility and innovation challenges are among the “top 3” for their company .............................................................................................................................................................. 12
Figure 9: Ability of functional areas to impact innovation and agility .....................................................................................13
GENPACT | Report | 4DESIGN • TRANSFORM • RUN LEAN DIGITALSM
Introduction
Behind the biggest success stories of digitally enabled businesses – from Amazon to Uber to GE’s Industrial Internet – there is another story: business process operations agilely engineered to learn and scale in an unprecedented way. Yet the story most often told is oriented toward the front-end customer interface. Our analysis shows that middle and back offices are equally important in securing successful customer journeys and extracting value from markets at scale. What is more, insufficient emphasis on operating models – on Intelligent Operations – likely holds back some of the revolutionary power of digital technologies, especially in companies where legacy systems and processes constrain the creation of new, compelling business models. In a separate research [ www.genpact.com/leandigital ] we estimate that almost $400 billion, out of the roughly $600 billion representing digital budgets, will be spent on efforts that ultimately return insufficient impact. One key issue is the widespread inability to design and execute transformation programs that consistently align interventions with business outcomes. The consequence is significant extra effort, overly complex and vast scope of work, frequent delays, and insufficient ROI. Only by knowing where to focus digital efforts can enterprises maximize client value while minimizing waste.
This requires practical solutions that use lean management principles along with the power of advanced digital technologies, and a discovery process that involves design thinking. The combination helps prevent the digitization of broken processes by restricting interventions to the most significant sources of impact, and thereby avoids the bias towards small, tactical improvements that offer only incremental benefits.
This analysis of data provides an unprecedented view of “what” (functional areas and related processes) to focus on “how” (technology, process, organization)
to implement it. The research it is derived from, which was conducted by an independent research firm commissioned by Genpact, examined the potential of advanced operating models—including radically improved uses of technology—to address strategic enterprise challenges across a defined set of industries: manufacturing, high tech, healthcare, life sciences, consumer goods, and banking and financial services. As part of this research, interviews were conducted with almost 1,000 senior executives in North America and Europe. While individual responses may not reflect the strategic direction of the C-suite as a whole, it is obviously important to understand the perspectives of these executives, many of whom effectively “run” their companies, and to listen to the ways in which they articulate strategy in terms of operational execution.
While digital technology will profoundly change how businesses operate in the future, our research indicates that key enterprise priorities at every step in that evolution will continue to be very much
Insufficient emphasis on operating models – on Intelligent Operations – likely holds back some of the evolutionary power of digital technologies, especially in companies where legacy systems and processes constrain the creation of new, compelling business models.
GENPACT | Report | 5DESIGN • TRANSFORM • RUN LEAN DIGITALSM
focused on today—e.g., managing risk, ensuring compliance, and optimizing cost structure—at the same time that enterprises prepare for future uncertainty by ensuring revenue growth, customer satisfaction, innovation, and agility.
The analysis provides insights into the functional areas best placed to address those priorities, and into the material impact of different operating models (radically improved use of technology, process re-design or advanced organizational structures like business process outsourcing and shared services) on those functional areas.
The research makes clear that the indiscriminate application of new technology is not the answer to most important enterprise challenges today. Rather, it is enterprises’ ability to reimagine how processes are run, at scale.
A holistic architecture that harnesses technology, process re-design, and advanced organizational structures, such as outsourcing and shared services and caters to process-specific differences, will ultimately determine whether or not new technology enables them to achieve strategic enterprise goals.
When the focus is today: Managing risk, ensuring compliance, and cutting costs
Globally, executives consider risk and compliance as a top enterprise challenge (see figure 1), but differences exist between industries. Executives in banking, insurance, and capital markets, for instance, consider risk and compliance as particularly critical, whereas their counterparts in consumer goods, high tech, and manufacturing seem less concerned.
*% of executives from the function that state that the functional area impacts the challenge
COMPLIANCERISK
FunctionsFinance
IMP
AC
T O
F F
UN
CT
ION
AL
AR
EA
ON
CO
MP
LIA
NC
E C
HA
LLE
NG
E
IMPACT OF FUNCTIONAL AREA ON RISK CHALLENGE
Procurement
Marketing
Operations
Risk and compliance impact index*
Radicallyimproved use of the technology
Business process re-engineering
Anti-moneylaundering
Riskmanagement
Know your customer (KYC)
Supplierrisk
Supplierrisk
ProcurementMDM
ProcurementMDM
MarketingMDM
Medical and regulatory affairs
42
51 46 34
45 41 38
72
72
82 40 33
Solving the risk and compliance challenge
S U R V E Y I N S I G H T S
by reimagining how companies' processes run at scale and cost effectively
Large % of respondents across functions state that the risk and compliance challenges are among the 'top 3' for their company
But impact on risk and compliance varies by functional area
Genpact (NYSE: G) stands for “generating business impact.” We design, transform, and run intelligent business operations including those that are complex and specific to a set of chosen industries. Founded as a division of GE, we serve hundreds of long-term clients including more than one-fourth of the Fortune Global 500 and employ over 70,000 employees in 25 countries, with key management and a corporate office in New York City.
For more information, visit http://www.genpact.com/home/about-us/research-institute/advanced-operating-models-studyFollow Genpact on Twitter, Facebook, LinkedIn and YouTube
0 10 20 30 40 50 60 70 80 90
FINANCE
PROCUREMENT
MARKETING
OPERATIONS
RISK
Critical for banking,insurance and capital markets
Compliance a key concern in life sciences and healthcare
Consumer goods, manufacturing and high tech less impacted
% of respondents stating the operating model initiative can have a material impact on the functional area
The solution lies in reimagining how functions are run, through a holistic architecture that harnesses technology, process re-design and advanced organizational structures1
* Risk and compliance impact index combining stated importance of risk and compliance challenges and stated ability of the functional area to address them
(1) Business process outsourcing, shared services or hybrid
Findings drawn from a survey of 912 executives, commissioned by Genpact with an independent research �rm
Top 3 functional areas by industry
Anti-money laundering (AML) and supplier risk management have the most impact across both challenges
15 30 45 60 75 90
Procurement MDM
Supplier risk and performance management
Medical andregulatory affairs
Risk management
Stress testingClinical development
Sourcing/category management
Retirement services
O2C
Auto �nance
Life insurance agency support
Life insurance customer service
P&C commercial underwriting
Actuarial andclaimsanalysis
90
75
60
45
30
15
0
AML
Dodd-Frankcompliance
Basel implementation
Procurement MDM
Loan underwriting and
originationMulti-channel customer management
Multi-channel customer engagement
Marketing automation and campaign management
P2P
KYC and AML
O2C Equipment �nance
P&C agency support P&C personal claims
Marketing analytics
Personal policy admin/underwriting
FP&A
Life insurance originations
Multi-channel marketing and customer engagement
GENERATING RISK AND COMPLIANCE IMPACT
Advanced organizational structures
Supplier risk and performance management
87
82
69
28
28
57
46
40
43
48
46
75
60
54
28
57
45
46
40
41 60
60
48
46
Risk
Large % of respondents across functions state that the risk and compliance challenges are among the “top 3” for their company
Figure 1
GENPACT | Report | 6DESIGN • TRANSFORM • RUN LEAN DIGITALSM
Identifying and focusing on functional areas that disproportionately impact these challenges can improve the odds of success in addressing these challenges. The research reveals that only a few functional areas—such as know-your-customer (KYC), anti-money laundering (AML), and risk management in financial services, and procurement MDM, supplier risk, and performance management in other industries—are considered suitable to address challenges related to compliance and risk.
Impact of operating model initiatives on functional areas considered most important for the risk and compliance challenges
Another research insight is caution about technology-centered excesses. Many respondents did not rate technology, but instead cited advanced organizational structures as the key material lever for improving critical functional areas, such as supplier risk management and life sciences’ medical and regulatory affairs—even though key financial services’ areas had wide technology applicability (see figure 2).
*% of executives from the function that state that the functional area impacts the challenge
COMPLIANCERISK
FunctionsFinance
IMP
AC
T O
F F
UN
CT
ION
AL
AR
EA
ON
CO
MP
LIA
NC
E C
HA
LLE
NG
E
IMPACT OF FUNCTIONAL AREA ON RISK CHALLENGE
Procurement
Marketing
Operations
Risk and compliance impact index*
Radicallyimproved use of the technology
Business process re-engineering
Anti-moneylaundering
Riskmanagement
Know your customer (KYC)
Supplierrisk
Supplierrisk
ProcurementMDM
ProcurementMDM
MarketingMDM
Medical and regulatory affairs
42
51 46 34
45 41 38
72
72
82 40 33
Solving the risk and compliance challenge
S U R V E Y I N S I G H T S
by reimagining how companies' processes run at scale and cost effectively
Large % of respondents across functions state that the risk and compliance challenges are among the 'top 3' for their company
But impact on risk and compliance varies by functional area
Genpact (NYSE: G) stands for “generating business impact.” We design, transform, and run intelligent business operations including those that are complex and specific to a set of chosen industries. Founded as a division of GE, we serve hundreds of long-term clients including more than one-fourth of the Fortune Global 500 and employ over 70,000 employees in 25 countries, with key management and a corporate office in New York City.
For more information, visit http://www.genpact.com/home/about-us/research-institute/advanced-operating-models-studyFollow Genpact on Twitter, Facebook, LinkedIn and YouTube
0 10 20 30 40 50 60 70 80 90
FINANCE
PROCUREMENT
MARKETING
OPERATIONS
RISK
Critical for banking,insurance and capital markets
Compliance a key concern in life sciences and healthcare
Consumer goods, manufacturing and high tech less impacted
% of respondents stating the operating model initiative can have a material impact on the functional area
The solution lies in reimagining how functions are run, through a holistic architecture that harnesses technology, process re-design and advanced organizational structures1
* Risk and compliance impact index combining stated importance of risk and compliance challenges and stated ability of the functional area to address them
(1) Business process outsourcing, shared services or hybrid
Findings drawn from a survey of 912 executives, commissioned by Genpact with an independent research �rm
Top 3 functional areas by industry
Anti-money laundering (AML) and supplier risk management have the most impact across both challenges
15 30 45 60 75 90
Procurement MDM
Supplier risk and performance management
Medical andregulatory affairs
Risk management
Stress testingClinical development
Sourcing/category management
Retirement services
O2C
Auto �nance
Life insurance agency support
Life insurance customer service
P&C commercial underwriting
Actuarial andclaimsanalysis
90
75
60
45
30
15
0
AML
Dodd-Frankcompliance
Basel implementation
Procurement MDM
Loan underwriting and
originationMulti-channel customer management
Multi-channel customer engagement
Marketing automation and campaign management
P2P
KYC and AML
O2C Equipment �nance
P&C agency support P&C personal claims
Marketing analytics
Personal policy admin/underwriting
FP&A
Life insurance originations
Multi-channel marketing and customer engagement
GENERATING RISK AND COMPLIANCE IMPACT
Advanced organizational structures
Supplier risk and performance management
87
82
69
28
28
57
46
40
43
48
46
75
60
54
28
57
45
46
40
41 60
60
48
46
Risk
* Risk and compliance impact index combining stated importance of risk and compliance challenges and stated ability of the functional area to address them
Figure 2
GENPACT | Report | 7DESIGN • TRANSFORM • RUN LEAN DIGITALSM
Cost came up again and again as an important and immediate challenge for enterprises, according to executives across functions (see figure 3).
Procurement executives, notably, reported cost as a greater challenge than other functions.
Understandably, sourcing, manufacturing, and supply chain areas were regarded as having the greatest impact on cost, while insurance property and
30 40 50 60 70 80
FINANCE
PROCUREMENT
MARKETING
OPERATIONS
RISK
Procurement executives, in particular see cost as a key challenge for banking, insurance and capital markets
Cost reduction considered important in life sciences and healthcare across functions
Consumer goods, manufacturing and high tech also worried by the cost challenge
Large % of respondents from various functions state that the cost challenge is among the “top 3” for their company
Procurement executives, notably, reported cost as a greater challenge than other functions.
casualty (P&C) claims were deemed by a majority of financial services respondents to have the highest impact on cost.
Figure 3
GENPACT | Report | 8DESIGN • TRANSFORM • RUN LEAN DIGITALSM
Many respondents considered technology as a material lever to improving key functional areas—but advanced organizational structures have wider applicability in most cases (see figure 4).
Clearly, an effective solution lies in reimagining how functions are run using a holistic architecture that harnesses technology, process re-design, and advanced organizational structures, but caters to process-specific differences.
Impact of operating model initiatives on functional areas considered most important for cost challenge
Large % of respondents from various functions state that the cost challenge is among the 'top 3‘ for their company
But ability of functional areas to impact cost variesSourcing, manufacturing and supply chain, and P&C claims have the most impact
The solution lies in reimagining how functions are run, through a holistic architecture that harnesses technology, process re-design and advanced organizational structures1 but caters to process speci�c differences
Radicallyimproved use of the technology
Business process re-engineering
% of respondents stating the initiative can have a material impact on the functional area
Top 3 functional areas by industry
Advanced organizational structures
* Cost impact index combining stated importance of cost challenge and stated ability of the functional area to address them1 Business process outsourcing, shared services or hybrid
Findings drawn from a survey of 912 executives, commissioned by Genpact with an independent research �rm
by reimagining how companies' processes run at scale
Genpact (NYSE: G) stands for “generating business impact.” We design, transform, and run intelligent business operations including those that are complex and specific to a set of chosen industries. Founded as a division of GE, we serve hundreds of long-term clients including more than one-fourth of the Fortune Global 500 and employ over 70,000 employees in 25 countries, with key management and a corporate office in New York City.
For more information, visit http://www.genpact.com/home/about-us/research-institute/advanced-operating-models-studyFollow Genpact on Twitter, Facebook, LinkedIn and YouTube
30 40 50 60 70 80
FINANCE
PROCUREMENT
MARKETING
OPERATIONS
RISK
Procurement executives, in particular see cost as a key challenge for banking, insurance and capital markets
Cost reduction considered important in life sciences and healthcare across functions
Consumer goods, manufacturing and high tech also worried by the cost challenge
*% of executives from the function that state that the functional area impacts the challenge
IMPACT OF FUNCTIONAL AREA* ON COST CHALLENGE
S U R V E Y I N S I G H T S GENERATING COST REDUCTION IMPACT
Solving the cost challenge
40
35
33
49 49 39
41
44
39
46
51
39
60
56 54 69
58 54 50
43 34 38 53
31 57 40 46
26 41 47 69
32
30
32 48 46P&C personal claims
Manufacturing and supply chain
Sourcing management
Procurement MDM
Transactional procurement
Business intelligence and analytics
Claims processing and adjudication
P&C commercial claims
Personal underwriting
Cost ImpactIndex*
Functions Finance ProcurementMarketing Operations Risk
0 10 20 30 5040 60 70 9080
Actu
aria
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cla
ims
anal
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unt s
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* Cost impact index combining stated importance of cost challenge and stated ability of the functional area to address them
Preparing for tomorrow: Customer satisfaction, growth, agility, and innovation
Driving innovation and customer centricity while managing an uncertain environment with agility are top of the mind for CEOs. However, the leaders who actually manage day-to-day functions of enterprises revealed in their responses that they do not necessarily share the same view or agenda as the CEO.
Figure 4
GENPACT | Report | 9DESIGN • TRANSFORM • RUN LEAN DIGITALSM
While a large percentage of respondents considered growth and customer satisfaction as top enterprise challenges, industry-by-industry analysis and comparison reveals some interesting insights (see figure 5).
Significant differences between executives’ ratings of growth compared with customer satisfaction indicate that many executives in charge of day-to-day operations either do not see the interrelation between these two variables or do not have reliable measures of customer satisfaction. Most banking, capital markets, and insurance executives ranked customer
satisfaction as a top enterprise challenge, but not growth. On the other end, growth was considered a critical challenge by life sciences and healthcare executives; customer satisfaction, not so much. This likely reflects the limited evolution of patient centricity within these organizations. Consumer goods, high tech, and manufacturing, on the other hand, acknowledge the salience of both customer satisfaction and growth uniformly across functions, possibly due to their head start in adopting robust analytical processes that leverage customer insights to fuel growth.
GROWTHCUSTOMER SATISFACTION
FINANCE
PROCUREMENT
MARKETING
OPERATIONS
RISK
Customer satisfaction (though not growth) a key concern for banking, insurance and capital markets
Growth a critical challenge in life sciences and healthcare for finance and operations executives
Consumer goods, manufacturing and high tech most impacted
10 20 30 40 50 60 70
Sizeable % of respondents from most functions state that the challenges are among the “top 3” for their company
Figure 5
GENPACT | Report | 10DESIGN • TRANSFORM • RUN LEAN DIGITALSM
Only a few functions were cited as capable of addressing both growth and customer satisfaction challenges (see figure 6).
Commercial strategy in life sciences; multi-channel marketing and customer engagement in consumer goods, high tech, and manufacturing; and P&C agency support in banking, insurance and capital markets were cited as impactful for both growth and customer satisfaction, and are therefore strong candidates for initiatives addressing these challenges. Interestingly, data-rich compliance and record to report functions weren’t widely considered useful for driving growth and customer satisfaction, indicating that most
organizations are not fully leveraging investments in these areas, possibly due to an inability to convert data to insight at scale.
Interestingly, data rich compliance and record to report functions aren’t considered useful for driving growth and customer satisfaction.
Commercial strategy, multi-channel marketing and customer engagement, and property and casualty (P&C) agency support have the most impact
Figure 6
GENPACT | Report | 11DESIGN • TRANSFORM • RUN LEAN DIGITALSM
Advanced organizational structures were also viewed as materially impacting data-rich marketing areas—even more so than technology—indicating the limitations of technology alone to perform Data-to-Insight-to-Action processes at scale.
While the applicability of advanced organizational structures was widely acknowledged, there were significant differences in the perceived ability of technology and process redesign to materially impact functional areas that address both these challenges (see figure 7).
Growth and customer satisfaction impact index*
Radicallyimproved use of the technology
Business process re-engineering
% of respondents stating the initiative can have a material impact on the functional area
Top 3 functional areas by industry
Advanced organizational structures
P&C agencysupport
P&C commercialclaims
P&C commercialunderwritting
Commercialstrategy
CRM andsales support
Marketinganalytics
Marketingautomation
Multi-channelmarketing
Multi-channelmarketing
65
63
61
25 26 45
57
58
32
23
49
48
50
56 54 69
63 58 46
65 34 45 58
56 56 27 60
52 47 45 56
57
56
64 60 58
* Growth and customer satisfaction impact index combining stated importance of growth and customer satisfaction challenges and stated ability of the functional area to address them
Impact of operating model initiatives on functional areas considered most important for the growth and customer satisfaction challenges
Figure 7
GENPACT | Report | 12DESIGN • TRANSFORM • RUN LEAN DIGITALSM
Many executives in charge of daily running of enterprises, it seems, don’t emphasize agility and innovation as pressing enterprise challenges, albeit with some industry variation—executives from consumer goods, high tech, and manufacturing, for instance, consider innovation important; on the other hand, many executives in the financial sector
AGILITYINNOVATION
0 10 20 30 40 50 60
FINANCE
PROCUREMENT
MARKETING
OPERATIONS
RISK
Surprisingly small % of respondents in financial services state thatthe challenges are among the 'top 3'
Innovation slightly more important for life sciences and healthcare
Consumer goods, manufacturing and high tech impacted more
Executives from consumer goods, high tech, and manufacturing, consider innovation important.
apparently consider neither innovation nor agility to be important enterprise challenges (see figure 8).
Many executives in charge of daily running of the company don’t emphasize agility and innovation as pressing enterprise challenges, with some industry variation
Figure 8
GENPACT | Report | 13DESIGN • TRANSFORM • RUN LEAN DIGITALSM
As a result, only a handful of functional areas—largely from life sciences’ R&D function—are cited by executives as having material impact on both innovation and agility challenges (see figure 9).
Conclusion: Towards a digital future powered by advanced operating models
In our experience, reimagining enterprise processes and harnessing new advanced technologies and analytics with appropriate organizational structures can effectively operationalize a CEO’s agenda. However, it is imperative that, in the euphoria of digital momentum, enterprise don’t digitize the wrong processes, shape their processes into a recursive action-data-insight-action arc, and build-to-adapt
without constraining themselves unduly—and therefore waste billions of dollars of investment and opportunity cost. Executed well, digital transformation bring to life Intelligent OperationsSM that sense, act, and learn from their actions to deliver enterprise-wide impact. A practical implementation approach should consider agile technologies like Systems of EngagementTM, which extend legacy systems of record, along with process-aware data management and analytics applications, and productively harness these through advanced organizational structures.
By using these practices enterprises can generate material impact with the latest technology faster, while avoiding the mistakes of previous IT waves. Digital architecture such as this results in a more rapidly attainable, yet scalable and cost-effective, business platform, built to adapt.
Many executives in charge of daily running of the company don't emphasize agility and innovation as pressing enterprise challenges, with some industry variation
Only few functions seem to impact both innovation and agility challengesLife sciences research, pre-clinical and clinical development have the most impact, possibly neglecting other promising areas
Wherever executives recognize the importance of agility and innovation, they indicate that both technology and advanced organizational structures1 can have material impact
Based on our experience, reimagining enterprise processes can elevate operations and enable them to impact CEO’s agenda
Agility and innovation impact index*
Radicallyimproved use of the technology
Business process re-engineering
% of respondents stating the initiative can have a material impact on the functional area
Top 3 functional areas by industry
Advanced organizational structures
Pre-clinicaldevelopment
Clinicaldevelopment
MarketingMDM
Marketingautomation
Commercialstrategy
Marketinganalytics
* Agility and innovation impact index combining stated importance of agility and innovation challenges and stated ability of the functional area to address them
(1) Business process outsourcing, shared services or hybrid
Findings drawn from a survey of 912 executives, commissioned by Genpact with an independent research �rm
Solving the innovationand agility challengeby reimagining how companies run at scale and cost effectively
Genpact (NYSE: G) stands for “generating business impact.” We design, transform, and run intelligent business operations including those that are complex and specific to a set of chosen industries. Founded as a division of GE, we serve hundreds of long-term clients including more than one-fourth of the Fortune Global 500 and employ over 70,000 employees in 25 countries, with key management and a corporate office in New York City.
For more information, visit http://www.genpact.com/home/about-us/research-institute/advanced-operating-models-studyFollow Genpact on Twitter, Facebook, LinkedIn and YouTube
AGILITYINNOVATION
0 10 20 30 40 50 60
FINANCE
PROCUREMENT
MARKETING
OPERATIONS
RISK
Surprisingly small % of respondents in financial services state thatthe challenges are among the 'top 3'
Innovation slightly more important for life sciences and healthcare
Consumer goods, manufacturing and high tech impacted more
*% of executives from the function that state that the functional area impacts the challenge
IMP
AC
T O
F F
UN
CT
ION
AL
AR
EA
* ON
INN
OV
AT
ION
CH
ALL
EN
GE
IMPACT OF FUNCTIONAL AREA* ON AGILITY CHALLENGE
25
100
90
70
50
40
10
20
30
60
80
30 35 40 5045 55 60 7065
Marketing MDM
Multi-channel marketing and customer engagement
Marketing automation and campaign management
Marketing analytics
Access and reimbursements
Multi-channel marketing
Contract management
Advertising and promotions management
Compliance
CRM and sales support
Commercial strategy
Manufacturing and supply chain
Medical and regulatory affairs
Clinical development
Research and pre-clinical development
Multi-channel customer engagement
Contract management
S U R V E Y I N S I G H T S GENERATING INNOVATION AND AGILITY IMPACT
FunctionsMarketing
Operations
43
43
37
48 45 63
75
45
47
26
43
25
37 56 27 60
34 57 40 46
29 45 41 60
Data not reported due to small number of responses related to innovation and agility compromising representativeness of the results
Life sciences research, pre-clinical and clinical development have the most impact, possibly neglecting other promising areas
Figure 9
GENPACT | Report | 14DESIGN • TRANSFORM • RUN LEAN DIGITALSM
Methodology
Genpact commissioned a research project conducted by an independent research firm. The goal was to assess the potential to address strategic enterprise challenges through advanced operating models across a defined spectrum of industry sectors (banking and financial services, manufacturing, high tech, healthcare, life sciences and consumer goods).
The findings presented are based on the response of executives selected, based on their ability to materially influence functional decisions, of which over 150 were from finance, about 130 from marketing, about 120 from procurement, about 140 from risk and over 350 from operations. Respondents were asked if operating model initiatives such as radically improved use of technology can materially impact an enterprise function.
We analyzed the data to identify patterns of applicability of operating model initiatives on key enterprise processes across industries. To do so, we
first determined which enterprise challenges were most pressing for the surveyed organizations, by industry and business functions.
We then analyzed which enterprise processes and functional areas helped the most in addressing those challenges.
An impact index for a selected set of challenges was computed for each functional area by taking into account the functional area’s ability to address those challenges as well as the importance of those challenges for the enterprise.
For the most impactful functional areas of operations, respondents rated the ability of operating model initiatives, such as radically improved use of technology, process re-design, and advanced organizational structures, such as business process outsourcing and shared services, to materially impact them.
About GenpactGenpact (NYSE: G) stands for “generating business impact.” We architect the Lean DigitalSM enterprise through a unique approach based on our patented Smart Enterprise Processes (SEPSM) framework that reimagines our clients’ middle and back offices to generate growth, cost efficiency, and business agility. Our hundreds of long-term clients include more than one-fourth of the Fortune Global 500. We have grown to over 70,000 people in 25 countries, with key management and a corporate office in New York City. We believe we are able to generate impact quickly and power Intelligent OperationsSM for our clients because of our business domain expertise and experience running complex operations, driving our unbiased focus on what works and making technology-enabled transformation sustainable. Behind our passion for technology, process, and operational excellence is the heritage of a former General Electric division that has served GE businesses since 1998.
For additional information, contact, technology@genpact.com and visit, www.genpact.com/leandigital
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