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Digital transformation – from the usage of tools to the creation of new tools Prof. Dr. Reinhard Riedl BFH-Center Digital Society BFH-Zentrum Digital Society

Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

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Page 1: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Digital transformation – from the usage of tools to the creation of new tools

Prof. Dr. Reinhard Riedl

BFH-Center Digital Society

▶ BFH-Zentrum Digital Society

Page 2: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Why bother at all???

Alphabet, Apple, Fabasoft & Co(or US mission driven research)

will give us,what we need!

Page 3: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

TrendsDigital & real ONE WORLD

De-terrorialization(Gov + Law +

Business)

Complexity + Dynamics

Beyondstructures

Technolgyreplaces

organization

Radicallypersonalized It’s about YOU!

5 Trends are changing the world

Page 4: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Higher Productivity

ContinuousInnovation

Personalization

Radical aspectoptoimization

Extreme Organizations

The digitalization rocket will burn5 stages

Page 5: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

New resources improve productivity

Page 6: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Ideate

Devops

Measure

Continuous innovation will replace in partsthe «big things»

Page 7: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

The only big things will be technologiescreated by communities

… as part of sociotechnological movements.

Page 8: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Right product

Right service

Individuallyadapted

Individuallypriced

Radical personalization & discriminationimprove the value for customers / customer value

Platforms rule

Cross-selling cross personalization

Page 9: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Everything and everybody is digitally twinned:machines, men, and actions

Simulation is the name of the new game – even in Democracy!

The «other» return of Wittgenstein:Aspect seeing aspect optimization

https://www.it-production.com/produktentwicklung/nc-simulation-digitale-zwillinge-cnc/

Page 10: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Better:Optimization of operations and value creration

Different:Disruptive business models:information asvalue, dominanceas value, nudgingas value, …

More extremeCoffin cornerbusiness takesoverl

The markets will be transformed

Page 11: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied SciencesCoffin corners turn into borderline sweet zones!

Counter-intuitive:Cockpits!!!

Counter-intuitive:Networks

Page 12: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Extreme competitivity (Swissair style)

Extreme social orientation

Forever startup

Extreme resource optimization

Radical value orientation (exp orgs)

Domains for borderline sweet zones

Page 13: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Hardly anything works without humans –even DAOs living on distributed ledgers are not runsuccessfully without humans …

Page 14: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Competition man against nachine in thediscipline: «fixed context with experience»

ManMachine

Men & Machine

In all situations with defined context andrecorded good practice!

Page 15: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Complexity

Uniqueness

Tasksfor AI

Automated tasks

New tasksfor super-talents

Page 16: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Higher education has to adapt

See e.g. Aoun’s list of key competencies

Technological literacy

Data literacy

Human literacy

Critical thinking

System thinking

Entrepreneurship

Cultural agility

Page 17: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Digital transformation requires

Humans capable of computational thinking• Knowledge of the ICT potential

• Appropriation of ICT tools• Implementation skills

Page 18: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

European digital competence framework

Information & data literacy

Communication & collaboration

Digital content creation

Safety

Problem solving

Page 19: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Basic Digital Skills

Data literacy

Business Trans-

formation Skills

Algo-rithmicSolution Design

Coding

EthicalThinking

Problem solving involves several aspects

Page 20: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Criminal investigations

Forecasts

Security

Strategy work

Mathematics plays a key role in futuredisciplinary work

Page 21: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

They do not only work in baseball,they even improve common sense practice

Purchasing

Organizing

Selecting team members

Search for the missing

… including missing information

Algorithms are key

Page 22: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Designing models

Designing algorithms

Designing the procuration of data

Designing the code

Designing the business

Designing the business optimization

Mathematics is the «design science» supportingcomputational thinking

Page 23: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Valueable applications ofmathematics and computer science

emerge from the DIALOGUEbetween SCIENCE and BUSINESS!

There is no translationfrom science into businessbeyond boundary objects!

Page 24: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Appropriating basic digital tools in business

Managing organizational IT-maturity

Resetting expectations, structures, and narratives

Hype surfing

Cleaning, curating and valorizing data

Using AI & robots in low & high profile contexts

Creating and implementing digital business models

Developing platforms and ecosystems

Crowding and Co-creating

Creating new digital tools

Page 25: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

speed focus

Page 26: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Formal and traditional philosophy are the cornerstones of compütational business thinking

The 11th digital business skill is“identifying options / freedom & looking beyond the horizon”

Page 27: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Some IT departements fail to adapt to the increased innovationspeed of the business departments

Some CTO teams fail to contribute innovation ideas to the business departements

Some business departements fail to exploit data resources

Some management teams fail to understand chances and threatsof technological progress

Some boards fail to set up a proper governance measures

Some countries fail to set up collaboration of government agencies

The reality is highly diverse …

Page 28: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Be careful:Observations may mislead us!

Page 29: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Phase transitions fake stability

We are here!

Page 30: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

Customer bubbles with personalized prices

Twin optimization & augmented intelligence

Globally «curating» platforms

Crowding & floating economy

Super-Hertz innovation

The «liquid phase» will bring the expected …

Page 31: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

I. Basic digitals are mandatory (e.g. ECDL)

II. Permanent learning is a must

III. Recurring changes of tasks are normal

IV. Advanced digital skills are key in higher education

V. The next generation of CIOs will be computer scientists

VI. Disciplinary communities provide identity

VII. Values push exponential organizations

VIII. Companies may lose legitimation

Some implications …

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Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

The vaporized phaseis just speculation

Educated guess:All business models vaporize quickly,

but neither at the same timenor immediately after creation!

Page 33: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

[email protected]

▶ BFH-Zentrum Digital Society

www.societybyte.swiss

Page 34: Digital transformation – from the usage of tools to the ...2440096a-e4a9-4088-bea0-547ed1cdbaa… · Disruptive business models: information as value, dominance as value, nudging

Berner Fachhochschule | Haute école spécialisée bernoise | Bern University of Applied Sciences

▶The WHY: The digital transformation shall be an enablerfor people, disciplines, business, and government!

▶The HOW: We help actors to speed up the appropriation of digital tools!

▶The WHAT:

▶Methods: sustainable design & applied data science

▶Topics: Identity, privacy, and cybersecurity

▶Areas: digital health & smart cities

BFH-Center Digital Society

www.societybyte.swiss