Digital transformation requires companies to undergo a fundamental re-think of their entire business and value chains. It involves shifts in corporate culture, processes, infrastructure, and business models. Leaders must change their mindsets from short-term performance to long-term adaptability and incrementally test changes while keeping customers' needs central. Digital transformation is a marathon, not a sprint, and requires executive buy-in to invest in the necessary technology infrastructure and cultural changes.

1. Digital Transformation =
Business Transformation
Goals, Challenges, and How to Truly
Make Change

2. Digital Transformation is Today’s
Industrial Revolution

3. The Need for Digital Transformation
November 2017 Digital Transformation = Business Transformation with Mike Renner | Flywheel Associates 3
• In today’s climate, with change
and disruption of industries
being commonplace, companies
have no choice but to undergo
a ‘digital transformation.’
• But defining what it takes to
specifically evolve a business
is often ill-defined and
challenging.

4. What’s Causing Inertia?
• Many business leaders are
struggling, which stems from a
lack of understanding around:
a. What’s fundamentally impacting their
business
b. Fear as a result of this lack of
understanding
c. Resistance to change, specifically in
assessing and measuring financial
performance
4November 2017 Digital Transformation = Business Transformation with Mike Renner | Flywheel Associates

5. #StrategicMomentum

6. Transformation Requires a Re-Think
• What companies need to realize is
that this transformation involves
an entire re-think of the business,
and it starts with a fundamental
analysis of their value chain:
– Is it being disrupted? How? Why?
– Where are there new opportunities?
– What will it cost? How long will it
take?
6November 2017 Digital Transformation = Business Transformation with Mike Renner | Flywheel Associates

7. Understanding the Shift
November 2017 Digital Transformation = Business Transformation with Mike Renner | Flywheel Associates 7
• The five key elements to Digital Transformation, which are
borrowed from the Industrial Revolution:
• Each tenet needs to be evaluated and reconsidered in the context
an organization’s business goals and dynamics to set the course
for the appropriate transformation.
A difference in
methods and
processes
A shift in
corporate culture
Investment in new
infrastructure
Investment in
capital with an
expectation of
return
Reordering of
value chains
2 3 4 51

8. Digital Transformation is a Business
Transformation

9. #StrategicMomentum

10. The Transformation Framework
• A digital transformation starts with a detailed assessment of
where you are:
a. What is happening in your value chain?
b. What technology or other dynamics are driving those changes?
c. What are the threats and opportunities, given the assessment of the assets
that you have of your business today?
d. Are you willing to cannibalize your business to take advantage of those
opportunities?
10November 2017 Digital Transformation = Business Transformation with Mike Renner | Flywheel Associates

11. Using Data to Fuel Transformation Strategy
• By doing this analysis, you will
actually identify some tangible
actions where you can ask:
– What's the value of doing this?
– What is the cost of doing this?
– What's the return?
– How long does it take to get that
done?
• If you don’t do this introspection
and analysis, you won’t have a
framework to help you move
forward.
11November 2017 Digital Transformation = Business Transformation with Mike Renner | Flywheel Associates

12. #StrategicMomentum

13. Shifting Business Operating Assumptions
November 2017 Digital Transformation = Business Transformation with Mike Renner | Flywheel Associates 13
• It can no longer be about the near-term performance of
investments.
• You need a long-term view, and implicit in that is redefining your
goals.
• With the continuous change in markets and in customer behavior,
the goal should be about reducing the incremental cost of
detecting and responding to change, in order to be successful.

14. #StrategicMomentum

15. It Starts at the Top
• This transformation also requires
a mindset, cultural, and behavioral
shift – starting in the C-Suite.
• It involves a shift in how you
evaluate business performance
(traditionally ROI based on 18-24
months) and the way you work.
15November 2017 Digital Transformation = Business Transformation with Mike Renner | Flywheel Associates

16. Where to Begin...
16November 2017 Digital Transformation = Business Transformation with Mike Renner | Flywheel Associates
Mindset
Incrementality
Mindset
• Change from short term to longer term
with the goal of identifying, detecting,
and responding to change within the
organization. This ultimately will create
predictability.
Customer-centric
alignment
Change the way you
work

17. Where to Begin...
17November 2017 Digital Transformation = Business Transformation with Mike Renner | Flywheel Associates
Mindset
Incrementality
Customer-centric
alignment
Incrementality
• It’s almost impossible to transform
an entire business in one fell swoop.
Start small with a few things to start
you on that path.
Change the way you
work

18. Where to Begin...
18August 2019 Digital Transformation = Business Transformation with Mike Renner | Flywheel Associates
Mindset
Incrementality
Customer-centric alignment
• It’s critical to keep a pulse on what
customers need and connect those
activities to necessary, seamless
processes within an organization.
Although activity may occur in silos
within your business, everything you do
is connected in the eyes of the
customer.
Customer-centric
alignment
Change the way you
work

19. Where to Begin...
19November 2017 Digital Transformation = Business Transformation with Mike Renner | Flywheel Associates
Mindset
Incrementality
Change the way you work
• Delegation, accountability, and
responsibility also change within an
organization given the rapid and
continual evolution around customer
needs and behaviors. This overall
behavioral change isn't something that is
taught – it is caught.
Change the way you
work
Customer-centric
alignment

20. Digital Transformation: Other
Considerations

21. Technology Matters
• Invest in the right digital
infrastructure to even have a digital
business.
• This requires the executive team
getting oriented around the goal of
the investment, which is about
protecting the business in the long
term.
• But then you really have to start on
a very incremental basis.
21November 2017 Digital Transformation = Business Transformation with Mike Renner | Flywheel Associates

22. Integration is Key to the Experience
• When helping other organizations
go through this transformation,
create model that you can set up
and operate.
– Involve those who are impacted by
the changes so that they actually
experience it.
22November 2017 Digital Transformation = Business Transformation with Mike Renner | Flywheel Associates

23. It’s a Marathon, Not a Sprint
November 2017 Digital Transformation = Business Transformation with Mike Renner | Flywheel Associates 23
• As an executive, you need to
see this as a marathon vs. a
sprint.
• Think of your strategies in
segments because each
business and their
corresponding market will
have its own cadence.

24. Tune in to STRATEGIC MOMENTUM PODCAST to hear from more guests like Mike!
About Mike Renner
As CEO of MPRE Digital, a digital
transformation consultancy, Mike Renner
focuses on bringing digital products, customer
experience, and data/analytics to the core of
his clients’ businesses. Mike has over 20 years
of executive management experience leading
technology services and consulting
companies that focus on aligning everything
within a business to create exceptional value
around technology.
Resources:
● Connect with Mike on LinkedIn

25. To learn how we can create momentum for your
business, contact us at info@flywheelassociates.com
STRATEGICMOMENTUM.CO/EPISODES/8

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