Digital strategy is a statement about the organisation’s digital positioning, competitors and customer and collaborator needs and behaviour to achieve a direction for innovation, communication, transaction and promotion. This describes facets of exploring the options for digital to ensure that the resulting strategy is realistic, achievable and will deliver a return. Enterprise Architecture needs to be involved in the development of digital architecture. Digital architecture needs to be at the core of the organisation’s wider Enterprise Architecture. Technology generally accelerates existing business momentum rather than being the originator of momentum. Digital is not a panacea. Digital interactions with third parties gives rise to expectations Digital will make weaknesses in business processes and underlying technology very evident very quickly. Iterate through digital initiatives, starting small and focussed, learning from experience.

1. So You Think You Need A
Digital Strategy
Alan McSweeney
http://ie.linkedin.com/in/alanmcsweeney

2. I Want A Digital
Strategy
… And It Must
Include The
Internet of
Things …
… And
Big Data
…
… And It
Must Be
Agile …
What About
Cloud?
Bingo
… And
Innovative…
January 21, 2016 2

3. Be Careful Of The Bumpy Ride On The Hypecycle
• Just because consultants and vendors are all talking about
digital does not mean you should rush recklessly into it
January 21, 2016 3

4. Some Meaningless Slide About Classical Greek
Military Terms
• Originally strategy meant generalship
• Tactics meant the organisation of military forces
• Strategoi (generals) could be punished, exiled or even
executed for failure to use initiative, even if they
succeeded in battle, by soldiers or the assembly
• How many digital strategists face a similar fate?
• How many Chief Marketing Officers and consultants are
made drink hemlock if their digital strategy fails?
January 21, 2016 4

5. General Aspects Of A Strategy
Definition/
Diagnosis
Governing
Policies and
Principles
Action Plans
January 21, 2016 5
Define the circumstances of the issue that give rise
to the need for a strategy
Detail the core objectives of the strategy to address
the circumstances
Expand into a series of co-ordinated and integration
actions to achieve the core objectives
What Success Looks Like And How You Intend To Achieve It

6. Digital Strategy
• Digital strategy is a statement about the organisation’s
digital positioning, competitors and customer and
collaborator needs and behaviour to achieve a direction
for innovation, communication, transaction and promotion
January 21, 2016 6

7. Not All About Digital
• Business priorities
− Keep the business running
− Improve customer service
− Reduce costs
− Increase productivity and efficiency
− Increase revenue
− Develop new and enhance existing products and services
− Find new business opportunities
• An effective and balanced approach to digital can assist with
delivering on business priorities
• Remember that technology generally accelerates existing
business momentum rather than being the originator of
momentum
• Digital is not a panacea
January 21, 2016 7

8. Digital Has Become a Catch-All Term For …
January 21, 2016 8
Enhanced and
extended web
presence, digital
brand awareness and
development
Customer portal,
greater customer
intimacy, greater
geographic reach
Multi-media
and enterprise
content
management
Greater web-
based
transactional
functionalityEnabling
operational
efficiencies and
cost reductions
Greater
enablement of
non-PC web
access such as
mobile
technologies
Multi-channel
information
access
Customer self
service, greater
automation of
web
interactions
Collection and
analysis of web
interaction data
Greater use of
and integration
with social
media
platforms
Direct sales,
ecommerce,
ebusiness
Mobile
selling,
B2B, B2C,
M2M

9. Unrealistic Digital Expectations Have Become A Bit
Of An Elephant In The Room
January 21, 2016 9

10. First Things First
• Know what you mean by digital and have a common
understanding to avoid confusion
• Enables business expectations to be understood and
managed
January 21, 2016 10

11. Digital In Business and IT Context
• Any digital initiatives sit within an overall business and IT
context and their multiple balancing acts between:
January 21, 2016 11
Control Freedom
Reduce Cost Deliver More
Security Openness
Delivery Strategy
Efficiency Responsiveness
Standardisation Customisation
Focus On Overall Organisation Focus On Individual Business Units
Predictability Agility

12. Business and IT Balancing Act
January 21, 2016 12

13. Organisation Business Landscape
January 21, 2016 13
Organisation
Business
Customer
Contractor
Outsourcer
Regulator
Partner
Dealer
Agent
FranchiseeRepresentative
Sub-Contractor
Intermediary
Client
Distributor
Researcher
Shareholder
Collaborator
Counterparty
Retail
Customer
Service
ProviderCompetitor
Supplier
Public

14. Organisation Business Landscape
• Organisations typically operate in a complex environment
with multiple interactions with different communication
with many parties of many different type over different
channels
− External Actors - xActors
• Digital is concerned with new ways of interacting with
some or all of these xActors
• Digital is not just about customer interactions, though this
may be its main focus
January 21, 2016 14

15. Organisation Business Landscape
Business
Customer
Retail
Customer
Shareholder
Shareholder
Partner Dealer
Outsourcer
Competitor
Supplier
Regulator
Contractor
Service
Provider
Distributor
Intermediary Collaborator
Sub-Contractor
Franchisee
Counterparty
Intermediary Representative Agent
Researcher
Client
Public
January 21, 2016 15

16. Organisation Business Landscape
• Not xActors the organisation interacts with have equal
importance or of equal value
• Each xActor and communications channel has different
characteristics:
− “Distance” from the core of the organisation – composite
measure of value and importance to the organisation
− Volume of interactions
− Complexity of interactions
− Type of interaction – informational or transactional
• Every organisation will have a different xActor and
distance profile
• Follow the value
January 21, 2016 16

17. xActor Data Models
• Build logical data model for each external party to link
possible requirements to required capabilities and
associated processes
• Will be different for each organisation
• Enable identification of current and future interactions,
the impact and data requirements
• Enable effective decisions on costs and benefits of digital
January 21, 2016 17

18. xActor Data Models – Sample For Energy Utility
Post-Pay Customer
January 21, 2016 18

19. Depth And Breadth Of Implementation And
Operation Of Digital Strategy
Customer
Service
Provider
Partner
Regulator
Agent
…
January 21, 2016 19
Number Of Processes Automated
CollaborationsImplemented

20. Digital Strategy And Business Processes
• A key aspect of implementing a digital strategy is the
extension of internal processes to specific parties over
specific channels outside the organisations
• This extension will be phased based on standard delivery
criteria:
− Cost
− Resource
− Amount of change the organisation can absorb
January 21, 2016 20

21. Extended Dimensions Of Digital Strategy
January 21, 2016 21
External Parties
Participating in
Digital
Interaction/
Collaboration Numbers and Types of
Interactions/ Collaborations and
Business Processes Included in
Digital Strategy
Channels
Included in
Digital
Strategy

22. Dimensions Of Digital Strategy
• External Parties Participating in Digital Interaction/
Collaboration – who of the many parties in your
organisation landscape do you interact with digitally
• Numbers and Types of Interactions/ Collaborations and
Business Processes Included in Digital Strategy – which
types of interactions and associated business processes do
you digitally implement
• Channels Included in Digital Strategy – what digital
channels do you interact over
January 21, 2016 22

23. Dimensions Of Digital Strategy
• You cannot realistically achieve work across all dimensions
• The change, cost, risk, resources and time required to implement
digital across combinations is too great
A - External Parties Participating in Digital Interaction/ Collaboration
B - Numbers and Types of Interactions/ Collaborations and Business Processes Included in
Digital Strategy
C - Channels Included in Digital Strategy
A x B x C
• Is just too large a number
• You need to prioritise implementation based on factors such as
value
• You need to be realistic about what can be achieved
• You need to understand the enabling technologies and changes to
existing system needed to make the implementation of a digital
strategy work
January 21, 2016 23

24. Dimensions Of Implementation Of Digital Strategy
January 21, 2016 24
Phase 1
Phase 2
Phase 3 External Parties
Participating in
Digital
Interaction/
Collaboration Numbers and Types of
Interactions/ Collaborations and
Business Processes Included in
Digital Strategy
Channels
Included in
Digital
Strategy

25. Digital Initiative xActor Delivery Radar
• Mapping the
planned and
phased depth
and breadth of
digital
interactions
with xActors
relevant to the
organisation
January 21, 2016 25

26. Organisation Operational Silos
January 21, 2016 26

27. Operational Silos
• There are too many operational units that operate
independently with walls effectively between them
• There is too much lobbing of work over the walls between
operational units with no cross-functional/cross-capability,
end-to-end view and no seamless operation
• When you extend business processes outside the
organisation, you need to ensure cross-functional/cross-
capability operation
• External parties are not concerned with process limitations
caused by a siloed organisation not operating efficiently
• Lack of seamless operation of business processes not
evident (to a lesser or greater extent) to the outside world
January 21, 2016 27

28. Digital Strategy And Business Processes
January 21, 2016 28
Business Processes Within
The Organisation
Digital Means
Extending and
Exposing Business
Processes Outside
the Organisation –
The Organisation Is
being Opened-Up

29. Extending The Organisation’s Boundaries
January 21, 2016 29
Business Processes Within
The Organisation
How Far to
Push the
Boundary
and How
Porous
Should the
Boundary
Be?

30. Digital Creates User Expectations
• Understand, manage, control and deliver on the expectations
January 21, 2016 30
           
• Digital reduces the expected and tolerated latency and the
asynchronicity of communications between the organisation
and external parties
           
        
     
  


31. Digital User Expectations
January 21, 2016 31
First time problem
resolution or response to
request
Support is available
whenever it is needed
All information is accurate
and available online all the
time
Products and services can
be ordered and their
delivery tracked
Access is available from
anywhere at any time
Proactive
notifications
Range of channels and
functions affects decision to
do business
Demand multi-channel
experience
Simple, consistent,
easy to use
Provide advice and
assistance
Loyalty and
rewards
Immediate access
and response

32. Be Careful These User Expectations Do Not Explode
In Your Face
January 21, 2016 32
First time problem
resolution or response to
request
Support is available
whenever it is needed
All information is accurate
and available online all the
time
Products and services can
be ordered and their
delivery tracked
Access is available from
anywhere at any time
Proactive
notifications
Range of channels and
functions affects decision to
do business
Demand multi-channel
experience
Simple, consistent,
easy to use
Provide advice and
assistance
Loyalty and
rewards
Immediate access
and response
 








33. Expectations Of Digital
• Don’t let your digital strategy be crushed by the weight of
internal and external expectations
January 21, 2016 33
User
Expectations
Business
Expectations

34. Digital Strategy is All About Connectivity And
Integration
January 21, 2016 34
Connectivity
Between
External Parties
and the
Organisation
Connectivity
Between
Business
Functions
Connectivity Between
Applications and Data

35. Digital Enablement Technology Iceberg
January 21, 2016 35
In Order to Extend and Expose
Capabilities and Business
Processes Outside the
Organisation …
… You Will Need a Substantial Amount
of Enabling Technology, Systems,
Resources and Supporting Processes
and Organisation Change
Successful Digital Operations Require
Investment and Commitment

36. Digital Strategy And Business Processes
• Extending and exposing existing possibly siloed and functionally
not integrated business processes outside the organisation may
uncover problems with their operation
• Digital interactions with third parties gives rise to expectations
of:
− Velocity
− Responsiveness
− Accuracy
− Completeness
• Digital will make weaknesses in business processes and
underlying technology very evident very quickly
• Failure to deliver expectations will affect the success of the
digital strategy
January 21, 2016 36

37. Operational Silos – Breaking Through The Walls To
Enable Cross-Functional/Cross-Capability Working
January 21, 2016 37

38. Digital Strategy And Business Processes
• You need to break through the organisation barriers
preventing cross-functional/cross-capability business
process operation as a pre-requisite for successful and
efficient digital implementation and operation
January 21, 2016 38

39. General Aspects Of A Digital Strategy
Definition/
Diagnosis
Governing
Policies and
Principles
Action Plans
January 21, 2016 39
Define the
circumstances of the
issue that give rise
to the need for a
strategy
Detail the core
objectives of the
strategy to address
the circumstances
Expand into a series
of co-ordinated and
integration actions
to achieve the core
objectives
Why are we doing it?
What gives rise to the need for a digital strategy?
What problems are we trying to solve?
What challenges are we trying to address?
What constraints are we looking to remove?
What are our objectives?
Who are we looking to connect with digitally and how?
What is our long-term digital strategy?
How will be communicate our strategy?
What type of connections are we looking to implement?
How will we measure the achievement of the objectives?
How will the implementation be phased?
What is the schedule for implementation – which parties,
what types of interaction over what channels?
What are the technology, system, resource and
organisation pre-requisites to achieving success?
What are the risks and dependencies?
How can this work be formulated into a realistic and
achievable plan?
What Success Looks Like And How You Intend To Achieve It

40. Fallacies Of Distributed Computing Digital
January 21, 2016 40
• Fallacies of distributed computing are assumptions made by developers of distributed
applications identified by Peter Deutsch at Sun Microsystems
• Assumptions are false and the consequences of making them include some or all of system
failure, increased costs, project delays, reduction in scope or substantial redesign and
rework
• Fallacies apply equally to digital initiatives
• Don’t relearn forgotten lessons the hard way
Fallacy In the Digital World
1.The network is reliable The external network is outside your control. It is inherently unreliable. It has uncertain
performance
2.Latency is zero Latency is pervasive
3.Bandwidth is infinite Assumptions about bandwidth lead to network-intensive applications that lead to poor
and erratic performance
4.The network is secure No it is not. Lack of concern about widespread security threats will leads to weaknesses
5.Topology doesn't change It changes all the time and no one tells you
6.There is one
administrator
There are many administrators and they are not all under your control. In some cases no
one is in control
7.Transport cost is zero Network bandwidth can have significant costs
8.The network is
homogeneous
The digital network is mixed, much of it is outside your control and there are many
pinch points

41. Objectives Of Digital Strategy
January 21, 2016 41
Digital Strategy
Objectives
Relationships And
Information
Commerce And
Transactions
Content and Management
Marketing and
Communications
Efficiency
Brand
Innovation
Profit
Achieved By
Technology
Processes
People

42. Objectives Of Digital Strategy
• The objectives of a digital strategy are:
− Relationships And Information – manage and maintain relationships with existing
external parties, provide external parties access to information on accounts and
transactions including analysis and reporting, provide personalised experience,
have a consistent message across all channels
− Commerce And Transactions – enable external parties transact online – pay bills,
order and buy products and services in new ways
− Content and Management – provide external parties with current, relevant,
quality, meaningful content with easy access to maintain external party
conversation
− Marketing and Communications – provide external parties with personalised and
customised information and offers on new products and services based on an
intelligent analysis of their likelihood to avail of the offer
− Efficiency – make existing business processes more efficient, remove siloed
operation, implement cross-functional/cross-capability processes that mirror
external party interactions and transactions
− Brand – articulate the organisation brand more effectively
− Innovation – make products and services better, develop new products and
services
− Profit – make more money and/or reduce cost
• These objectives and outcomes of a digital strategy are actualised by
technology, processes and people
January 21, 2016 42

43. Digital Strategy – Some Questions
• What parts of the business make the most margin?
• What parts of the business give rise to the greatest costs?
• What return are existing digital investments currently
providing?
• How can digital investment increase revenue, increase
margin and/or decrease costs?
• What reducible friction do our collaborators hate?
• What is possible to realistically envision and achieve in 1-2
years?
January 21, 2016 43

44. Digital Strategy Must Fit With Organisation Brand
Strategy And Not The Other Way Around
January 21, 2016 44
Core Brand Strategy
Digital Brand Strategy
Digital Channels and Media
Technology, Processes, People

45. Elements Of Brand
• Targeted – being appropriate to the market and product set
• Clear – delivering an instantly comprehensible message
• Desirable – something customers want to have or to be part of
• Unique – differentiated standing out in the crowd
• Meaningful – matching customers’ expectations
• Consistent – across all aspects of the company
• Recognisable – clear, easily identified, repeatable
• Actionable – can be leveraged and supported
• Extensible – supports new products and partners
• Digital must support and enhance this
January 21, 2016 45

46. Beware Of Digital For Its Own Sake
• A potential false promise of a digital strategy is that
content will magically turn into revenue without effort
• The reality is that views does not equal customers
• The digital strategy has to produce revenue from all the
content and functionality
• Need to concentrate resources on the greatest
opportunities to increase revenue and margin and achieve
a sustainable competitive advantage
January 21, 2016 46

47. Beware Of The Illusion of Outcomes
• Outcomes cannot be managed, only influenced
• Outcomes include:
− Sales
− Sales conversion rate
− Revenue
− Profit
− Cashflow
• Outcomes can only be influenced through activities:
− Improved customer satisfaction
− More sales activity
− Greater value for money
• Focussing on digital-enabled cross-functional processes is a key way to
influence outcomes and deliver value
• But digital might generate a lot of activities that do not generate outcomes
January 21, 2016 47

48. January 21, 2016 48
Illusion Of Attempting To Manage Outcomes
Sell More
Products/
Services and
More
Profitably
Generate More
Profit
Identify the Right Customers
Fulfil Orders Correctly and Satisfactorily
Manage Customer Relationships
Be Easy to Do Business With
Be an Organisation Customers Want to Do
Business With
Generate and Maintain High Customer
Satisfaction
Develop and Sell the Right Product at the
Right Price
Digital Activities Outcomes
You cannot force
customers to buy
more products and
services …
… But you can
make it easier for
customers to do so
with an
appropriate digital
strategy

49. Key Digital Design And Operating Principles
• Flexible and adaptable for addition of new features quickly
• Short development cycle for new features
• Ease of static content generation and maintenance with federated and devolved
approach - COPE (Create Once and Publish Everywhere)
• Focus on content and value-added information and function for positive customer
experience – content and usefulness drives usage
• All information available online
• All transactions available online
• Flexible and adaptable for addition of new features quickly
• Short development cycle for new features
• Measure everything
• Integrated messaging across all channels
• Recognise the offline customers
• Digital is not a project – it is an ongoing organisation-wide activity
• Digital is not easy – it is hard
January 21, 2016 49

50. Security And Privacy
• Implementation of digital
strategy needs to have external
party security and privacy as a
fundamental design and
operating principle
• Privacy and security represent a
trade-off
• More security means greater
cost and greater inconvenience
for external parties
− Need to balance costs and
inconvenience
• Different views on the:
− Perceived risk of a security breach
− Relative weight/importance of
privacy
• Steps to implement external
party privacy and security
− Analyse security risks
− Analyse security requirements and
trade-offs
− Develop a security plan
− Define a security policy
− Develop procedures for applying
security policies
− Implement the technical strategy
and security procedures
− Test the security and update it if
any problems are found
− Maintain security
January 21, 2016 50

51. Scope of Digital Strategy
January 21, 2016 51
Digital
Vision,
Strategy
and
Culture
User
Experience
Content and
Process
Technology
Platforms
Data,
Services
and
Operational
Systems

52. Digital Overlap With Customer Experience Strategy
January 21, 2016 52
Digital
Strategy
Digital
Customer
Strategy
Customer
Experience
Strategy
Digital
Technical
Strategy
Digital
Operations
StrategyBusiness
Strategy
Tools
And
Systems
Processes
People

53. Customer Experience
• Digital is largely about third-party/customer experience
• Third-party/ customer experience needs to be at the heart of
digital programme
• Management cite limitations from inflexible technology, siloed
organisations, and insufficient investments as the biggest
obstacles to delivering the best possible customer experience
January 21, 2016 53
Stated Obstacle % Identified
Limitations of inflexible technology and application infrastructure 29%
Difficulty regularly tracking performance measures and customer feedback 24%
Don't have a consolidated, accurate, 360-degree customer view across all touch points 23%
Siloed systems that prevent us from easily sharing information or supporting continuous
processes across touch points
18%
Siloed organisations/ conflicting key performance indicators (KPIs)/incentives between
different channels/ business units
27%
Lack of money allocated to customer experience initiatives 27%

54. Customer Experience Survey Results
• Oracle surveyed more than 1,300 senior executives across
18 countries in North America, Latin America, Europe, and
Asia Pacific to assess:
− The financial impact of the customer experience
− The challenges businesses face delivering great customer
experiences
− The types of programs and initiatives that have been most
effective in delivering results
− Where businesses are investing to improve the customer
experience
• An independent market research firm – worked on behalf
of Oracle to conduct online interviews with 1,342 global
senior executives from a wide variety of industries in
August and September of 2012
January 21, 2016 54

55. Europe Customer Portal Survey Key Findings
January 21, 2016 55
Average potential annual revenue lost as a
result of not offering a positive, consistent,
and brand-relevant customer experience
Formalised Customer Experience Program:
Are still assessing or planning with no active
implementations
Have one or more active implementations
36%
42%
Biggest Obstacles:
Lack of money (31%)#1
Siloed organisations (25%)#2
#3
15%
In the next two years, European companies will
invest in:
28% Integrated customer view across all channels
27% Business and customer analytics solutions
26% Loyalty management system
Most Successful Customer Experience Projects:
31% Implementing a technology to improve customer service
28% Building a training program/incentives for employees
27% Implementing an SLA with any customer contact
Average planned increase on customer experience
technology spending in the next two years
Difficulty tracking performance/customer
feedback (24%)
Consider their CX initiative advanced20%
18%
18%

56. The Perception Chasm - Businesses and Customers
Are Worlds Apart
January 21, 2016 56
49% 89%But …
44% 86%While…
of executives
believe customers
will switch brands
due to poor
customer
experience
of customers say
they have switched
because of poor
customer experience
of executives
believe customers
are willing to pay
for great customer
experience
of customers say
they are already
doing so
Business executives underestimate the importance
of the customer experience on customer behavior
Executives Underestimate The Risk and Opportunity

57. Digital Operational Technology Layers
January 21, 2016 57
Customer Access and Interaction
Content Aggregation and Management
Extensions to Existing Systems/Data Integration
Operational Systems
Analytic Systems

58. Operational/Technology Component Layers
January 21, 2016 58
Layer Function
Customer Access and Interaction Presents information and functionality to external
parties of agreed types across agreed channels and
access mechanisms
Content Aggregation and
Management
Provisions and manages static and dynamic
information to external parties
Implements COPE (Create Once and Publish
Everywhere)
Extensions to Existing
Systems/Service and Data
Integration
Provides direct access to core data and functions of
operational systems
Operational Systems Existing (and possibly new) business systems
Analytic Systems Provides data analytics and campaign management
facilities

59. Indicative View Of The Operational/Technology
Components And Interfaces To Realise A Digital Strategy
January 21, 2016 59
External Party-Facing
Web Accessible
Applications
Social Media Platforms
Process, Service and
Data Integration
Core System Interfaces
Core Transaction
Processing System(s)
Other Operational
System(s)
Content Management
System
Master Data
Management
Campaign Management
xRM

60. Indicative View Of The Operational/Technology
Components And Interfaces To Realise A Digital Strategy
• Initial architecture of the overall technology solution to
implement the digital strategy
− Provides a basis for solution design
− Know what needs to be done
− Makes the strategy implementable
− Breaks it down into achievable chunks of work – “eat the
elephant” (in the room)
• Architecture needs to be validated, enhanced and
modified if necessary by detailed design phase
• Business case is for analysis and design exercise to produce
detailed solution architecture and implementation plan
− Review available commercial products and tools available
− Validate costs and benefits
January 21, 2016 60

61. Operational/Technology Layers And Their Components
January 21, 2016 61
Customer Access and Interaction
Content Aggregation and Management
Extensions to Existing Systems/Data Integration
Operational Systems
Analytic Systems
External Party-Facing
Web Accessible
Applications
Social Media Platforms
Process, Service and
Data Integration
Core System Interfaces
Core Transaction
Processing System(s)
Other Operational
System(s)
Content Management
System
Master Data
Management
Campaign Management
xRM

62. Measuring The Return Of A Move To Digital
Benefits Available
Increased Revenue
Improved Sales
Pricing Improvements
Better Segmentation
Faster and Cheaper Acquisition
Increased Spend
Product Groups/ Bundles
Increased Return on Marketing
Spend
Campaign Granularity
Increased Campaign Response
Rate
Improved Service Improved Client Satisfaction
Client Loyalty/ Brand Affinity
Client Tenure/ Retention
Client Referrals
Improved Operating Efficiency
Reduced Operating Costs
Call Optimisation
Service Levels
Capacity
Reduce Marketing Costs
Campaign Cost
Product Catalog Size
January 21, 2016 62

63. Measuring The Return Of A Move To Digital
• Agree and implement a measurement framework and
associated data collection and gauge success of digital
initiatives
January 21, 2016 63

64. Creating A Digital Implementation Statement Of
Direction
• Creating a well-defined statement of direction for a digital
investment involves:
− Defining vision and guiding values for digital exploitation
− Define a business strategy that incorporates the use of digital to
achieve business results
− Defining a digital functionality roadmap/high-level schedule
− Describing a digital reference architecture
− Assessing organisation readiness for digital
− Identifying the skills gaps that need to be filled
− Managing internal and external expectations
− Producing a business case that draws this information together
with identified and quantified benefits
January 21, 2016 64

65. Iterate Through Digital Initiatives
• Iterate through
digital initiatives,
starting small and
focussed, learning
from experience
January 21, 2016 65

66. Digital Functionality Delivery Roadmap
• Defines, prioritises and creates an integrated schedule for
the delivery of digital functions and related required
enabling technologies for a agreed time frame
− Need to agree the prioritisation process
− Roadmap is always subject to constraints such as budget,
resources
− Dependencies can be identified and tracked
− Capability roadmap can be grouped by business area or process
group, external party or channel
January 21, 2016 66

67. Digital Functionality Delivery Roadmap
Year 1
Q1
Year 1
Q2
Year 1
Q3
Year 1
Q4
Year 2
Q1
Year 2
Q2
Year 3
Q3
Year 3
Q4
Business
Domain
External
Party
Channel
Channel
Channel
External
Party
Channel
Channel
Channel
Business
Domain
External
Party
Channel
Channel
Channel
External
Party
Channel
Channel
Channel
Technology Dependencies
Technology Initiative 1
Technology Initiative 2
Technology Initiative 3
January 21, 2016 67

68. Digital Reference Architecture
• Digital Reference Architecture defines a template solution
for the underlying and enabling technology solutions and
components required
• Reference Architecture defines the target end-state
architecture and the set of interim transitional phases
required to enable the delivery of the Digital Functionality
Delivery Roadmap
• Digital Reference Architecture exists within the context of
the organisation’s Enterprise Architecture and other
subsidiary architectures
January 21, 2016 68

69. Digital Reference Architecture In Context
• Enterprise Architecture needs to be involved in the development of digital
architecture
• Digital architecture needs to be at the core of the organisation’s wider Enterprise
Architecture
January 21, 2016 69
Enterprise Architecture
Information and Data Architecture
Information
Systems
Architecture
Solutions
and
Application
Architecture
Business
Architecture
Technology
Architecture
Digital
Architecture
Service and
Integration
Architecture
Security
Architecture

70. Digital Reference Architecture
January 21, 2016 70
External Party Interaction Zones, Channels and Facilities
Security,
Identity ,
Access and
Profile
Management
Responsive
Infrastructure
Digital Specific Applications and Tools
Internal Interaction Management
Integration
Operational and
Business Systems
Applications Delivery and
Management Tools and
Frameworks
System Development,
Deployment and
Management

71. Digital Reference Architecture
• External Party Interaction Zones, Channels and Facilities – the set of facilities and
applications that are presented to those external parties being interacted with
and the channels used
• Security, Identity , Access and Profile Management – internal and external
security tools and processes
• Responsive Infrastructure – digital application deployment and operating
infrastructure
• Digital Specific Applications and Tools – the portfolio of specific tools acquired to
deliver and operate digital functions
• Internal Interaction Management – the set of internal applications that are used
to manage external party interactions
• Integration – the data, service and process integration layer and associated APIs
• Applications Delivery and Management Tools and Frameworks – set of tools used
to deliver and manage digital applications
• System Development, Deployment and Management – the digital application
development facility within the organisation
• Operational and Business Systems – the existing organisation operational and
business systems
January 21, 2016 71

72. Digital Reference Architecture
• The objectives of a digital (or any reference) architecture are:
− Consistent, personalised and rich user experience across all channels
− Reliable and resilience operation
− Ease of management and administration
− Integration of data and services from multiple sources
− Ease of development and deployment of new services
− Collection of usage information for analysis
• This means:
− Federated operation with support of multiple services
− Ability to unify services for delivery
− Standard and powerful approach to integration
− Management and administration tools
January 21, 2016 72

73. Digital Reference Architecture – Service Catalog
• Services here mean functions/offers accessed by external
parties
• Consider a facility to author and manage functions/offers
and enable access by defined set of external parties
• Link services to xActor data models defined earlier
January 21, 2016 73

74. Digital Reference Architecture In Context
• An enterprise digital strategy exists in a wider organisation and
IT context
− The organisation will have an overall IT strategy to accomplish the
organisation strategy and associated objectives
− The IT function will then need its own internal IT strategy that will
structure the function in order to ensure that it can deliver on the wider
organisation strategy
− The enterprise digital strategy is connected to the overall IT strategy,
the enterprise architecture and the internal IT strategy
− The enterprise digital strategy will be implemented and operated
through an digital architecture that is part of the overall enterprise
architecture
− This context is important in ensuring that the enterprise digital strategy
fits into the overall IT and wider organisational structure
− The enterprise digital strategy exists to ultimately deliver a business
benefit and contribute to the achievement of the business strategy
− The strategy must be translated into an operational framework to
enable the strategy to be actualised
January 21, 2016 74

75. Business
Objectives
Business
Operational
Model
Enterprise
Architecture
Solution
Implementation
and
Delivery
Management
And
Operations
Business
Processes
Required
Operational
Business
Systems
Business
Strategy
Systems
Design/
Selection
Business IT
Strategy
IT Function
Strategy
Digital
Strategy
Required
Operational
Processes
Required
Support
Business
Systems
Systems
Design/
Selection
Digital IT
Architecture
Digital Strategy In Business And IT Context
January 21, 2016 75

76. Organisation Readiness For Digital
• Like all major organisation transformation programmes
implementing digital initiatives will change the
organisation
− Cross-functional and business process changes
− Technology delivery changes
• The organisation must be ready for digital in three ways:
− Be able to deliver digital initiatives that comprise the strategy
− Be able to change itself to enable the implementation and
operation of digital initiatives
− Be able to operate digital initiatives
• Need to assess the current state of the organisation, its
readiness for digital and what is needed to achieve the
desired state of readiness
January 21, 2016 76

77. Organisation Readiness For Digital – Assessment
Framework
January 21, 2016 77
Organisation Readiness For
Digital
Digital Programme
Delivery and Execution
Digital Management and
Governance
Delivery Approach,
Methodologies and
Processes
Delivery Team Roles
Delivery Organisation
Structure and Change
Management
Delivery Transfer to
Production Operations
Digital Operations
Operations Management
and Governance
Operations Business
Process Use and
Management
Operations Team Roles
Operations Organisation
Structure and Change
Management
Operations Service
Delivery and Management
=
=
=
=
=

78. Route To Digital
January 21, 2016 78
Digital Transition
And
Transformation
Digital
Architecture
And IT Strategy
Digital Execution,
Delivery and
Operations
Vision and Guiding
Values for Digital
Exploitation
Business Strategy
Organisation
Readiness For
Digital
Digital Architecture
Digital Capability
Delivery Roadmap
Digital Solutions
Supporting
Solutions
Measurement and
Reassessment
Measurement
Framework
Digital and IT
Strategy

79. Digital Organisation CapabilitiesOrganisational
Capabilities for
Digital
Strategy,
Culture, Change
and
Governance
Digital Strategy
Development
Digital (and
Other) Solution
Governance
Organisation
Change for
Digital
Process
Management
Digital
Architecture
External Party
Interaction
Zones,
Channels and
Facilities
Personalisation
Content
Management
Security,
Identity ,
Access and
Profile
Management
Responsive
Infrastructure
Digital Specific
Applications
and Tools
Internal
Interaction
Management
Integration
Operational
and Business
Systems
Applications
Delivery and
Management
Tools and
Frameworks
System
Development,
Deployment
and
Management
Digital Solution
Delivery
Programme
Management
Portfolio
Project
Management
Business
Analysis and
Engagement
Tool Selection
and Delivery
Solution
Architecture
Solution
Delivery
Digital
Operation
Service Delivery
and
Management
Service
Analytics
Organisation
Management
Capacity
Planning
Customer
Experience
Research and
Analysis
Marketing and
Advertising
Design
Usability
Customer
Journey
Management
Analytics and
Insight
Single View of
the Customer
Analysis and
Reporting
Data Collection
and
Management
Customer
Segmentation
and Insight
Digital
Technology
Foundation and
Infrastructure
Infrastructure
Security
Integration
Enterprise
Architecture
Service Delivery
and
Management
January 21, 2016 79

80. Digital Organisation Capabilities
• What the organisation needs to be good at in order to
develop and deliver on a digital strategy
− There is substantial overlap between these skills and those of
other programme delivery
• Framework to measure where you are and where you
need to be
• Develop framework in relation to the digital strategy and
what you intend to achieve
• Use to develop plan to address gaps
January 21, 2016 80

81. Digital Organisation CapabilitiesOrganisational
Capabilities for
Digital
Strategy,
Culture, Change
and
Governance
Digital Strategy
Development
Digital (and
Other) Solution
Governance
Organisation
Change for
Digital
Process
Management
Digital
Architecture
External Party
Interaction
Zones,
Channels and
Facilities
Personalisation
Content
Management
Security,
Identity ,
Access and
Profile
Management
Responsive
Infrastructure
Digital Specific
Applications
and Tools
Internal
Interaction
Management
Integration
Operational
and Business
Systems
Applications
Delivery and
Management
Tools and
Frameworks
System
Development,
Deployment
and
Management
Digital Solution
Delivery
Programme
Management
Portfolio
Project
Management
Business
Analysis and
Engagement
Tool Selection
and Delivery
Solution
Architecture
Solution
Delivery
Digital
Operation
Service Delivery
and
Management
Service
Analytics
Organisation
Management
Capacity
Planning
Customer
Experience
Research and
Analysis
Marketing and
Advertising
Design
Usability
Customer
Journey
Management
Analytics and
Insight
Single View of
the Customer
Analysis and
Reporting
Data Collection
and
Management
Customer
Segmentation
and Insight
Digital
Technology
Foundation and
Infrastructure
Infrastructure
Security
Integration
Enterprise
Architecture
Service Delivery
and
Management
January 21, 2016 81

82. Bringing It All Together
January 21, 2016 82
Dimensions of Digital
Strategy
Digital
Organisation
Capabilities
Objectives
of Digital
Strategy
Measuring
The Return
Of A Move
To Digital
Operational
Layers and
Components
Route to Digital

83. Bringing It All Together
• Use the different facets of digital analysis and impact
assessment described here to generate a comprehensive
and realistic understanding of what digital means, what a
move to digital involves, requires and what it will deliver
January 21, 2016 83

84. Reduce The Risk Of Your Dive Into Digital
January 21, 2016 84

85. Summary
• Remember that technology generally accelerates existing business momentum rather than
being the originator of momentum
• Digital is not a panacea
• Know what you mean by digital and have a common understanding to avoid confusion
• You need to be realistic about what can be achieved
• Follow the value
• You need to understand the enabling technologies and changes to existing system needed
to make the implementation of a digital strategy work
• Digital architecture needs to be at the core of the organisation’s wider Enterprise
Architecture
• Digital reduces the expected and tolerated latency and the asynchronicity of
communications between the organisation and external parties
• Don’t let your digital strategy be crushed by the weight of internal and external
expectations
• Digital interactions with third parties gives rise to expectations
• Digital will make weaknesses in business processes and underlying technology very evident
very quickly
• Iterate through digital initiatives, starting small and focussed, learning from experience
January 21, 2016 85