Leading an organisation’s digital transformation simultaneously entails driving change within three key pillars of one’s business: intelligence (competitive insights); integration (organisational structure and capabilities); and impact (value creation).
Building on industry cases, David Dubois introduces a framework aiming to help leaders to meet these challenges and successfully drive the digital transformation.
As virtually every industry has, is or will experience significant digital disruptions, the question of how to transform one’s organisation is on top of every CEO’s agenda. Indeed, both academic and industry research show that companies that know how to align digital technology and strategic goals can reap substantial benefits in terms of revenue and profit generation as well as market capitalisations (e.g. CapGemini 2012; Niessing and Dubois 2016)/
In the last two decades, disruptions have taken various forms: from social media platforms empowering customers, to the internet of things, and enabling information generation around one or several objects. Altogether, they gave birth to brand new ecosystems and business models redesigning the competitive landscapes across industries (McKinsey 2014; Brynjolfsson & McAfee 2012).
At their core, the disruptive nature of digital technologies stems from their ability to
(1) significantly reduce information asymmetry between different actors embedded in an ecosystem – typically a supplier and a customer (e.g. a driver and a potential passenger, a lender and a borrower) and
(2) make this information instantaneously and easily accessible.
In the last two decades‚ disruptions have taken various forms: from social media platforms empowering customers‚ to the internet of things‚ and enabling information generation around one or several objects.
For C-suite executives and entrepreneurs alike, leading the digital transformation is often challenging because it involves driving change simultaneously in three key areas of one’s business where digital technologies represent a game changer.
The first is business intelligence, with digital technologies yielding unprecedented amounts of data about business ecosystems from consumers to competitors and collaborators.
The second is organisational integration, as digital technologies bring greater connectivity between people and/or processes.
The third relates to the kind of customer value a company can bring by leveraging digital dynamics.