1Source: LEADING DIGITAL, Turning technology into business transformation, George Westerman,
Dider Bonnet, Andrew McFee, Harvard Business Review, 2014
Data gathering and analytics
Tele-communication utilization
Social media, internet utilization
Sensor & camera utilization
2
Using the following suggestions will improve
your corporate communication for a competitive
advantage that is very difficult to copy.
3
It starts by presenting the opportunities, challenges and threat and showing a vision of the future.
Then, focus investment to achieve cost/benefit results of the vision’s programs.
Next, promote companywide the digital investment plan and vision.
Last, evaluate and sustain the digital introduction with incentives.
For customers interaction –Better 2-way real time communication
For operations – Faster, less costly, higher quality company processes
For new business strategies –Digital expertise can open up new markets and opportunities.
Digit systems acquisition
Technology
utilization training
Fashion followers
Digital masters
BeginnersConservative
investors
Digital adoption in organization
Technical Application Use Skills
Technic
al In
trodu
ction s
peed
4
Digital masters are superior in digital technology investment and full use company-wide
5Source: LEADING DIGITAL, Turning technology into business transformation,
George Westerman, Dider Bonnet, Andrew McFee, Harvard Business Review, 2014
Harvard researchers interviewed 150 executives in
50 large worldwide companies outside of the
technology industry and learned this:
These digital masters have 26% more profit than the
“Fashion followers”, “Conservative investors” or
“Beginners” among their competitors in their industry.
They have 9% more revenue with existing assets.
Simply, these companies apply digital technology
better than others and create “digital ecosystems”
even though the technology keeps changing.
“Digital masters” are companies that use digital
technology to drive significantly higher levels of profit,
productivity and performance. Their top
management drives this new technology introduction
and application.Better customer and overall mobile contact
Front line, with
users, make
decisions on a case-
by-case basis
Work at own pace
and location as
desired
Specialty items to fit
the exact user
requirement with
little standardization
All decisions made
in central location
and input from front
line or field
Overall operation
coordinated in one
location, little field
modification
One standardized
product/policy, no
chance to make
modifications
required
Centralized
control Front line
innovation
Overall
coordination Unleashing local
modification
Standardize
operations Empowering field
specifications
6
Coordination method
Process/product development
Decision-making approach
1-Standardize operations
Best way to keep down cost, improve efficiency and improve quality
2-Empower front line to offer specialty one of a kind products
Best specification match to user requirement
7
8
Standardize Product
• Lowest costing
• Best quality
Specialty Product
• Modification required
• Best match for user
• High priced selling
Discuss and decide the ideal
product specifications by situation
Market acceptanceIdeal process
Solution
Example:70% standardized,
30% modified giving
reasons.
3-Central decision-making location
Best location to gather information of the overall operation
4-Front line decision-making
Best place to gather local information and make decisions.
9
10
Central Decision Authority
• Considers overall factors
Frontline Decision Authority
• Considers specific situation
Discuss each situation
and jointly decide
Field decisionManagement decision
Solution
Example:70% central decision,
30% local situational
decisions giving
reasons
5-Central coordination task by task
Best location to coordinate all activities.
6-Unleashed from central location
Work at own pace and location as desired. Better work/life balance. Less stress, more comfortable working environment, more productive, less travel
11
Central Coordination
• Gather and coordinate all activities
• Central budgeting
Local scheduling
• On the spot timing adjustments
12
Discuss and decide on
timing and coordination
Start
Finish Actual process timing
Solution Example: Stay
close to central schedule but
explain progress, delays
regularly
All six of these organizational
approaches are important in
business. They can be
achieved through detailed real
time 2-way communication
throughout the organization.
ColdHot
Projects are the same. Information flow speed keeps worldwide projects alive.
Without digit networks projects people will give up because of excess waiting.
Waiting too long for the
temperature to adjust
makes it difficult to find
the correct warmth.
Slow temperature
adjustment
Spend a little, learn a lot: Time is money, and the best way to save time is
by getting fast, often feedback. Digital systems increase that speed.
Water temperature adjustment
13
Waits, then
gives up
Example: Water temperature control
Data gathering and useGathering correct internet data (analytics)
• Market research
• Crowdfunding
• Crowd logo design
• Crowd naming & branding
• Customer targets, forecasting
Intranet information distribution
• Suppliers, inventory control
• Production planning and scheduling
• Customers and business partners
14
Action Plan: Decide what you would like to do and discuss “Analytics” with a
data and IT specialist.
Social Media-NetworkingInteract with customers
• Open discussions
• B to C activities
Interact with employees
• Open discussions
Interact with suppliers
• B to B activities
• Open discussions
Interact with partners
• Strategic alliances
• Joint projects
Website
• SEO
• Promotion
• Selling
15
BlogsTwitter
Action Plan: Decide what you would like with your marketing department and
discuss “Social media” with a social media IT specialist.
Tele-communicating discussions
Mobile Presentations
Mobile Information receiving
Mobile discussions
Tele-conferencing anywhere
Visual aid useSimulations & virtual prototypes
Joint engineering
from distance
16
Action Plan: Decide where major discussions and communication channels
are in the company and discuss tele-communication with an IT specialist. What
low-cost packaged systems are available to start with?
Internet of things
Embedded device information gathering
Camera information gathering
Sensor, GPS information gathering
Scanning & item processing
17
Scanners (RFID) Security Cameras Room movement sensors
Action Plan: Decide items and areas to be observed, information gathered and
used. Discuss devices available and their costs with a specialist. What low-cost
packaged systems are available to start with?
The Internet of Things (IOT): Gathering (sensing),
distributing and receiving
information with no or little
human involvement.GPS tracking
18
Data gathering, analytics and utilization
Computer, mobile devices and tele-communication utilization
Social media, internet utilization
Sensor, GPS & camera information gathering and utilization
Customer ExperienceDigital use can improve customer interaction
to a far higher level than ever before….
- By learning what the customer does,
when he does it, why, where and how.
- By using analytics to find out who our
customers are and who are not now and
into the future.
- By reaching and engaging more
customers through social media.
- By getting more information from the
company’s system.
- And by creating a seamless impression
in both physical and digital operations of
one solid company image.
Operations interaction
Operational Process
Data gathering, analytics and utilization
Computer, mobile devices and tele-communication utilization
Social media, internet utilization
Sensor, GPS & camera information gathering and utilization
19
Digital use can improve total internal and
external operations from suppliers to end
users….
- By updating and sharing information
throughout the supply chain as it happens.
- By centrally coordinating activities
throughout the operation and to remote
locations by mobile devices.
- By picking up more useful information via
sensors, cameras and GPS systems.
- By allowing people to collaborate in real
time anywhere, at anytime with people
they have never met.
- By being quicker to identify problems or
bottlenecks in the supply chan.
Data gathering, analytics and utilization
Computer, mobile devices and tele-communication utilization
Social media, internet utilization
Sensor, GPS & camera information gathering and utilization
20
Digital technology reduces entry barriers to other
industries and markets. We all know what
happened to the photo-film industry when digital
cameras arrived. Where are inefficiencies? What is
troublesome now? What is the utilization rate of
assets? What assets can be shared? What was
once assumed impossible now possible?
Difficult new
market access
easy new
market access
New
market
New
market
New Business Model
Extension
Add to parts of existing system (least potential resistance)
Substitution
replace parts of existing system (some potential resistance)
Companywide Transformation
reinvent whole system over time (most potential resistance)
21
Bringing in new digital technology will
influence the current operation to
varying degrees. Here are three.
There will be people in your company (including superiors) that will fight
against any new technology which will change the current operation. The
power of this resistance must be considered when deciding which of the
above three is best and in what timeframe.
Technical megatrends
•Study the future technical trends, like robot development, auto voice language translation software abilities. Where are costs coming down and becoming affordable?
Impact on business
•Determine which trends will directly have an impact in the direct and connected industries and the company directly in the future.
Corporate strategy
•Develop a strategy that will directly address this future impact.
Related technology
•Determine what technology is available to best execute the corporate strategyand at what cost.
22
New technology might
stimulate the
development of a strategy,
but always determine the
strategy first. Then,
explore and look for the
best technology.
Start Finish
Activity
• Select the most useful, related information for the decided strategy.
• Prepare an easy-to-understand chart(considering those who will resist change).
• Distribute worldwide
• The information is to avoid confusion of company direction.
• It must reduce debate on future plans.
• It can be used to learn who will resist change, so they can be isolated.
• Learn who will be major supporters.
• With goal understanding, employees are directed toward suggestions.
• Turn suggestions into pilot projects.
• Turn successful initial projects into corporate change drivers.
23
Stop debating
Action-plan attention
Convey information
Managers in charge
Coordination Sharing
24
• Prioritize goals
• Synchronizing goals
• Aligning activities
• Increase personnel skill utilization
• Increase technology utilization
• Increase data utilization
Some people are extremely resistant to any change.
Time can be wasted by endless meetings.
Unwanted restrictions can reduce creativity.
Dependence on people not involved in outcome can result in bad decisions.
Not knowing what information should be shared and what not can cause fear.
25
26
Pair your digital-savvy
employee with top
executives in a
nonhierarchical way to
accelerate learning.
It sends a message that
no matter how high up you
are, you are never too old
to learn new company
processes.
Information requirements
Business unit
Come up with
technical solution
IT Staff
27
This approach produces the very
minimum of what can be achieved.
Far more can be achieved if both
explore requirements together.
Limited activity and interaction
Maximum jointly developed activities
Business Unit#1
Business Unit#2
IT Operations
Business
Unit#1 with IT
Business
Unit#2 with IT
Business
Unit#3 with IT
Shared activities with key business
units and IT personnel
Individual activities with no central IT
28
Cross discipline teams to develop… Joint Proposals
Companies have traditionally been
very specific about who engages in
innovation, assigning responsibility
according to an employee’s skill or
role. In a digital world, this sort of
segregation is no longer desirable.
Management & IT move faster together than
separately, particularly by using outside development consultants
Jointly look for inputs
29
Create digital
acceleration teams
Conduct experiments, develop new
skills, upgrade old processes
Improve how the IT people communicate
Improve showing how IT delivers value
for money
Improve how business leaders
and IT make investments together that deliver great
results
30
The IT Department can
provide precision (“on target”),
costing (“on budget”) and
timing (“on time”).
Role of coordination
and sharing
Typical benefits and
challenges
Shared IT
Department
Main objective: Sharing, pooling
resources and infrastructure,
standards, policies.
Provides some
coordination/sharing, but more
persuasive influence may be
required.
Benefits: Added digital skills,
shared services, economies of
scale.
Challenges: Central/local power
struggle. Coordination
difficulties in positioning with
local unit leaders.
31
Steering
committees
Main objective: Coordinating
activities. Some decisions/policies
may mandate sharing of specific
resources, skills, abilities.
May lack decision-making and
ability to act/manage activities
closely or innovate in the field.
Benefits: Value of strong
standards/policies. Resource
optimization. Quick application
of new digital trends.
Challenges: May require
leadership to enforce unfamiliar
standards and policies.
Top executive
digital leadership
position creation
Main objective: Sharing by helping
local units know when to adopt
firm-level solutions or centralized
resources or stay independent.
Senior management must facilitate
this local operation/company-wide
balance.
Benefits: Added digital skills,
shared services, economies of
scale.
Challenges: Central/local power
struggle. Coordination
difficulties with local unit
leaders.
CEO
COO
Purchasing ProductionFinance &
AccountingProduct
DevelopmentMarketing &
SalesIT
Chief Digital Officer (CDO)
Top Corporate Vice President
CIO Vice President
32
Create high level task force Creating an environment
where all departments in
the company and even
supplier and customers
can exchange
information in real time.
You’ll create a company
that will drive synergy
across the firm.
Scanning
(RFID)
Data
Observation Mobile
Sensor
Radio frequency identification (RFID)
Network
Company-wide
Pilot Project
4-Sustain information technology
introduction
1-Frame the digital challenges & opportunities
2-Focused investment
3-Implement action plan in
the organization
33
There are four steps to
digital communication
introduction in an
organization.
It is a never ending process as
new communication
technology is being introduced
all the time and costs are
rapidly coming down.
Our
market
share
“A” Competitor’s market share
“B” Competitor’s market share
•Build digital awareness opportunities and threats
1-Frame the digital challenges & opportunities
Know
challenge
&
situation Starting Point
Creating Vision
34
For some industries, like retailing, banking, it
is a requirement to be a digital master, as all
the competitors are. A company will lose its
share and market if it doesn’t keep up.
In industries like manufacturing and
packaging, they are behind other
industries, but even they have at least
one company that is a digital master
that dominates competitors. A company
can not ignore this challenge for long.
Ignore technology
Source: LEADING DIGITAL, Turning technology into business transformation, Westerman, Bonnet, McFee, HBR, 2014
Answer each question, using a scale from 1 to 7, where 1=strongly disagree; 4=neutral;
and 7=strongly agree, and then total your digital capacity score.Score
We are using digital technologies (such as analytics, social media, mobile devices and embedded devices) to understand our customers better.
We use digital channels (such as online social media, virtual simulation, teleconferencing communication and mobile devices) to market our products and services.
We sell our products and services through digital channels.
We use digital channels to provide customer service.
Technology is allowing us to link customer contact and operational processes in new ways.
Our core processes are automated with robots, sensors, GPS systems and cameras.
We have an integrated view of key operational and customer information.
We use analytics to make better operational decisions.
We use digital technologies to increase the performance or added-value of our existing products and services.
We have launched new business models based on digital technologies.
TOTAL SCORE
Technical Scoring: If the score is between 10-42, the company is generally weak in bringing in new communication
technology. If the score is between 43-70 generally the company brings in new communication technology quickly.
35
Answer each question, using a scale from 1 to 7, where 1=strongly disagree;
4=neutral; and 7=strongly agree, and then total your digital capacity score. ScoreSenior executives have a transformative vision of the digital future of our company.
Senior executives and middle managers share a common vision of digital transformation.
There are possibilities for everyone in the company to take part in the conversation around digital transformation.
The company is promoting the necessary cultural changes for digital transformation.
The company is investing in the necessary digital skills.
Digital initiatives are coordinated across divisions such as functions or regions.
Roles and responsibilities for supervising digital initiatives are clearly defined.
Digital initiatives are assessed through a common set of key performance indicators.
IT and business leaders work together as partners.
The IT unit’s performance meets the needs of the company as a whole.
TOTAL SCORE
Leadership Scoring: If the score is between 10-42, the company is generally weak in fully utilizing the
communication technology it has. If the score is between 43-70 generally the company puts the
communication technology it has to extremely good and creative use.
36
Fashion followersLeader (10-42)
and Technical (43-70)
Digital mastersLeader (43-70)
and Technical (43-70)
BeginnersLeader (10-42)
and Technical (10-42)
Conservative investors
Leader (43-70)
and Technical (10-42)
Digital introduction
and use
Technic
al In
troduction s
peed
Technical Application Use Skills
37
High
HighLow
Technic
al In
troduction s
peed
Technical Application Use Skills
38
Digital masters
- It has a strong overall digital vision.
- It is coordinated across divisions.
- It has many digital initiatives.
- It is generating business in measurable ways.
- It has a strong digital culture.
Beginners
- Management is skeptical of the business value of advanced digital technologies.
- It may be carrying out some experiments to try to get started.
- It has an immature digital culture.
Conservative investors
- The overall digital vision is understood, but little execution.
- It has few digital features, though digital skills may be exist.
- It has strong digital supervision across divisions with available technology.
- It is building digital skills and culture.
Fashion followers
- It has many advanced digital features (e.g. social, mobile) in divisions.
- It has no companywide vision.
- It has underdeveloped coordination.
- A digital culture may exist in divisions.
High
HighLow
Answer each question, using a scale from 1 to 7, where 1=strongly disagree; 4=neutral;
and 7=strongly agree, and then total your digital capacity score.
Aware of communication technology challenges and opportunities. Score
Our senior leaders are aligned around the strategic importance of digital
transformation.
Our senior leaders agree on the pace of digital transformation in our industry.
Digital transformation is a permanent fixture on our executives’ strategic agenda.
TOTAL SCORE
Scoring: Over 15: The company understands the digital transformation challenge; 9-15:
isolate which part is not complete, and work with that team to remedy; less than 9: need to
consider specific team awareness exercises and/or digital discovery programs.
39
Answer each question, using a scale from 1 to 7, where 1=strongly disagree; 4=neutral;
and 7=strongly agree, and then total your digital capacity score.
Know the company’s current strategic assets and digital mastery Score
We understand which strategic assets will be most important in digital
transformation both in costs and utilization.
We understand how our own digital capabilities compare with those of our
competitors.
We have a clear view of the most important first steps in our transformation
as many technical devices are becoming more cost effective.
TOTAL SCORE
Scoring: Over 16: The company knows where it is and what its transformation trajectory is;
7-16 build alignment around a viable transformation path; less than 7: conduct a digital
maturity assessment and a scan of best practices.
40
Answer each question, using a scale from 1 to 7, where 1=strongly disagree; 4=neutral;
and 7=strongly agree, and then total your digital capacity score.
Senior leaders can articulate our digital future in specific words Score
Our senior leaders are aligned on a vision for the digital future of our
company.
Senior executives have a digital transformation vision that crosses internal
organizational units.
Senior executives can explain the value of digital companywide
communications for all stakeholders (employees, customers, suppliers, etc.).
Our senior leaders have a digital transformation vision that involves radical
changes compared with the way we have traditionally done business.
TOTAL SCORE
Scoring: Over 24: There is a belief that the company executives are aligned; 14-24 isolate
the root causes of the concerns, and work with the team to remedy; less than 14: start a
structured senior executive alignment initiative.
41
1-Frame the digital challenges & opportunities
Know
challenge &
situation
Starting Point
Creating Vision
42
Here is how you can create a believable vision. In
your company what physical assets, skills,
knowledge, intangible assets (brand, patents,
partners), data or other assets are or in the future
will be…
Valuable…
Rare…
Hard to copy…
Not easy to be replaced?
Those are the assets you can use to start
exploiting opportunities or neutralize threats.
Discuss what assets will be relevant in a digital
world, and what that will not be relevant.
Great digital visions include both intent and outcome.
Intent is a picture of what needs to change.
Outcome is a measurable benefit to the company, its customers or its employees.
•Translate vision into a targeted
action plan
•Build digital awareness opportunities and threats
1-Frame
the digital
challenge
2-Focused
investment
Know
challenge
& riskStarting
Point
Creating Vision
Vision to
action
Develop task force
Fund project
43
Focusing
Targeting
Tasks
Task #2Task #3
Task #4Task #5
Task #1
Action Plan
44
Digital skills building
determination
Organizational change
development
New ways to communicate
Training on different
processes
Technology introduction
and installation
Time, effort and energy
are also very much
required to put a new
technology fully to use.
Also, not just
training, but
hiring, partnering
or acquiring
might be required.
Answer each question, using a scale from 1 to 7, where 1=strongly disagree; 4=neutral;
and 7=strongly agree, and then total your digital capacity score.
Have you converted your vision into an action plan? Score
We have a top-down strategic milestone checklist to guide digital changes.
There is a high-level action plan for digital introductions.
Our action plan encompasses all changes required, not just technology
changes.
TOTAL SCORE
Scoring: Over 17: The company action plan and evaluation system are in good shape –
focus on engaging your people in executing; 7-17 review the action plan and milestone
checklist for content and alignment; less than 7: the company needs to conduct a full
review of its milestone checklist and action plan processes.
45
Answer each question, using a scale from 1 to 7, where 1=strongly disagree; 4=neutral;
and 7=strongly agree, and then total your digital capacity score.
Have you chosen the right supervision strategy for digit
transformation?Score
Digital initiatives are coordinated across divisions such as functions or
regions.
We are clear on what needs to be coordinated and what needs to be shared
across the enterprise.
Roles and responsibilities for digital initiatives are clearly defined in the
company.
TOTAL SCORE
Scoring: Over 15 the company supervision model is in good shape. 8-15 check
governance principles and/or program leadership; less than 8: the company needs to
design or rework its supervision principles.
46
Answer each question, using a scale from 1 to 7, where 1=strongly disagree; 4=neutral;
and 7=strongly agree, and then total your digital capacity score.
Do you have the correct funding strategy for a digital change? Score
Our business strategy and key performance indicators are linked to our
action plan to introduce high performing, low cost technical devices.
We balance our portfolio of digital investments between long-term capability
building, short-term return on investment and experiments.
We have a diversified funding strategy.
TOTAL SCORE
Scoring: Over 16 the company’s digital funding process is strong. 8-16 ensure that the
company portfolio, funding, and business strategy are aligned. less than 8: the company
needs to rework its investment and funding strategy.
47
•Translate vision into an action plan
•Send clear goal message and need for change to engage workforce
•Build digital awareness opportunities and threats
1-Frame
the digital
challenge
2-Focused
investment
3-Implement action plan in
the organization
Know
challenge
& riskStarting
Point
Creating Vision
Vision to action
Develop task force
Fund project
Convey ambitions
Earn respect
Create belief
culture
48
What is in it for people? It should make their
jobs easier, better, faster and more fulfilling.
Answer each question, using a scale from 1 to 7, where 1=strongly disagree; 4=neutral;
and 7=strongly agree, and then total your digital capacity score.
Are the digital introduction goals clearly promoted? Score
Our senior leaders are actively promoting a vision of the future that involves
digital technologies.
Our senior leaders and middle managers share a common vision of digital
transformation.
Our employees understand the benefits of change using digital technology.
TOTAL SCORE
Scoring: Over 17 the company is doing a good job of marketing its ambitions. 7-17 isolate
which part is not satisfactory and work with the team to remedy it. less than 7: consider
developing a specific program to convey the company’s ambition.
49
Answer each question, using a scale from 1 to 7, where 1=strongly disagree; 4=neutral;
and 7=strongly agree, and then total your digital capacity score.
Are you building sufficient momentum within the organization? Score
There are opportunities for everyone in the company to take part in the
conversation around digital communication technology and their benefits.
We have identified the “true believers” who will help introduce digital
communication technology.
We have identified the “true enemies” who will not benefit from (or are not
willing to consider) any digital introduction and will resist it. We have a plan
to handle the situation.
We are building momentum through quick introduction successes.
TOTAL SCORE
Scoring: Over 23 the company is doing a good job building digital introduction momentum.
12-23 isolate which part is not satisfactory and remedy that component. less than 12:
the company needs to design and conduct a full engagement program.
50
Answer each question, using a scale from 1 to 7, where 1=strongly disagree; 4=neutral;
and 7=strongly agree, and then total your digital capacity score.
The environment is right to shift to more digital supported
activities?Score
Senior leaders are active role models in the adoption of new behaviors.
We tolerate and learn from failures in our digital initiatives.
We are promoting the necessary cultural changes for digital transformation.
TOTAL SCORE
Scoring: Over 16 the company has started to shift its organizational behaviors and culture.
7-16 understand the root causes of concerns, and work with the team to remedy problems.
less than 7: the company needs to start working to create a cultural shift.
51
Evaluating
results
•Translate vision into an action plan
•Send clear goal message and need for change to engage workforce
•Build digital awareness opportunities and threats
•Build on acquired skills and initial experience by offering rewards. Monitor, measure and report on progress shortfalls.
4-Sustain information technology
introduction
1-Frame
the digital
challenge
2-Focused
investment
3-Implement action plan in
the organization
Know challenge
& risk
Starting Point
Creating Vision
Vision to action
Develop task force
Fund project
Convey ambitions
Earn respect
Create belief
culture
Develop skills
Incentives & rewards
Measure & duplicate
successes
52
This process
starts again as the
company moves
to a higher level.
Answer each question, using a scale from 1 to 7, where 1=strongly disagree; 4=neutral;
and 7=strongly agree, and then total your digital capacity score.
Do you have the structural capabilities you need? Score
The organization is investing in the necessary skills to keep things moving
forward.
Where appropriate, we use common digital platforms.
We have strong IT- business relationships throughout the organization.
TOTAL SCORE
Scoring: Over 16 the company has the basic capabilities that is needed for steady
technical introductions. 8-16 the company has started implementing projects aimed at
developing needed capabilities, but more is needed. less than 8: the company needs to
consider specific programs for improving basic capabilities.
53
Answer each question, using a scale from 1 to 7, where 1=strongly disagree; 4=neutral;
and 7=strongly agree, and then total your digital capacity score.
Are your reward structures aligned with your digit technology
introduction goals?Score
Financial incentives (bonuses, etc.) are aligned with the goals of digital
technology introduction.
Awards and recognition mechanisms are aligned with the goals toward
communication technology introduction.
Personal rewards (performance reviews, promotions, etc.) are aligned with
the goals of digital transformation.
TOTAL SCORE
Scoring: Over 14 the company’s current reward structures are aligned with its digital
objectives. 6-14 build consensus around a viable reward strategy aligned to digital
transformation. less than 6: implement specific reward structures that accomplish digital
goals.
54
Answer each question, using a scale from 1 to 7, where 1=strongly disagree; 4=neutral;
and 7=strongly agree, and then total your digital capacity score.
Are you measuring and monitoring your digital communication
technology introduction progress?Score
Digital initiatives are assessed through a common set of key performance
indicators (KPI’s)
We have a clear line of sight from project-level KPI’s to goals on our
strategic scorecard.
We regularly review our progress on digital transformation at specific
milestone points in time using a Gantt chart.
TOTAL SCORE
Scoring: Over 15 there is a belief that the necessary KPI’s are in place. 7-15 isolate
specific measurements, and use them to measure technical introduction progress.
less than 7: establish a process to develop KPI’s, identify the correct level of measurement,
and make modifications where required.
55
• Translate vision into an action plan
• Send a clear goal message and the need for change to engage workforce
• Build digital awareness opportunities and threats
•Build on acquired skills and experience.
•Offering rewards.
•Monitor and measure progress.
4-Sustaining information technology
introduction
1-Frame the digital challenge
2-Focused investment
3-Implement action plan
in the organization
Know challenge
& riskStarting
Point
Creating Vision
Vision to action
Develop task force
Fund project
Convey ambitions
Earn respect
Create belief
culture
Develop skills
Incentives & rewards
Measure & duplicate
successes
56
57
Study most important information technology required
• Requirement most needed decided
Search for what is available
• Determine budget
Purchase and install system
Train staff on system
• Measure benefits gained
Plan for next technology required
Milestone – Measure benefits-determine rewards
Milestone - Requirement most needed decided
Milestone – System and budget decided
Milestone – Next technology introduction decided
Milestone – System ready for use
58
Action Plan Steps Jan Feb Mar Apr May Jun Jul Aug
Systems acquisition System training
Decide
Systems must be introduced at a
pace the personnel can handle.
Measure results
Install
Decide
RequirementStudy first introduction
Find appropriate system
Purchase system
Train staff on system
Plan for next project
59
Data & analytics
•Better market understanding
•Better forecasting
•Better budgeting
•Better able to develop business strategies for competitive advantages
Social media
•Making new friends
•Share experiences for free
•Building needed contacts
•Gain opinions
•Low cost networking to build human relations and create a competitive advantage
Mobile device & tele-conferencing
•Collaborate in seconds not days/weeks
•More frequent contacts
•Visuals for better understanding
•Achieve things faster, generate ideas to build a competitive advantage
Embeddeddevices
•Gather important information
• Improve response time
•Reduce risks, costs and effort to build a competitive advantage
Simply better…
1. The customer
experience
2. Improved operations
3. Able to finding new
opportunities faster
Why should you invest in and seriously train personnel on
digital communications devices, technology and systems?
Find the benefits that are the most valuable to you.
Then, quantify it financially.
Compare the financial benefit with the cost to
introduce the technology.
If it saves time, think about where the excess time
should be redirected (including more vacations!)
60Source: LEADING DIGITAL, Turning technology into business transformation, Westerman, Bonnet, McFee, HBR, 2014
Data gathering & utilization
Tele-communication utilization
Social media, internet utilization
Sensor & camera information gathering
Once to get
information took
hours. Now, its
minutes, even from
foreign languages.