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Digital Transformation Frameworks

  1. © Operational Excellence Consulting. All rights reserved. This presentation is a collection of PowerPoint diagrams and templates used to convey 20 different Digital Transformation frameworks and models. Digital Transformation Frameworks Diagrams and Templates of Digital Transformation Frameworks & Models
  2. © Operational Excellence Consulting. All rights reserved. 2 Contents 1. Ten Guiding Principles of Digital Transformation 2. The BCG Strategy Palette 3. Digital Value Chain Model 4. Four Levels of Digital Maturity 5. Customer Experience Matrix 6. Design Thinking Framework 7. Business Model Canvas 8. Customer Journey Map 9. OECD Digital Government Transformation Framework 10. Accenture’s Nonstop Customer Experience Model 11. MIT’s Digital Transformation Framework 12. McKinsey’s Digital Transformation Framework 13. Capgemini’s Digital Transformation Framework 14. DXC Technology’s Digital Transformation Framework 15. Gartner’s Digital Transformation Framework 16. Cognizant’s Digital Transformation Framework 17. PwC’s Digital Transformation Framework 18. Ionolgy’s Digital Transformation Framework 19. Accenture’s Digital Business Strategy Framework 20. Deloitte’s Digital Industrial Transformation Framework NOTE: This is a PARTIAL PREVIEW. To download the complete presentation, please visit:
  3. © Operational Excellence Consulting. All rights reserved. 3 The Ten Guiding Principles of a Digital Transformation provides guidance to organizations in defining value, launch and acceleration, and scaling up The Ten Guiding Principles of a Digital Transformation Source: A Roadmap for a Digital Transformation, McKinsey, 2017 1 Stage 1 Defining Value Secure senior management commitment 2 Set clear, ambitious targets 3 Secure investment 8 Stage 3 Scaling up Sequence initiative for quick returns 9 Build capabilities Adopt a new operating model 10 4 Stage 2 Launch and acceleration Start with lighthouse projects 5 Appoint a high- caliber launch team 6 Organize to promote new, agile ways of working 7 Nurture a digital culture
  4. © Operational Excellence Consulting. All rights reserved. 4 Based on the BCG Strategy Palette concept, companies can adopt five different approaches when dealing with environmental changes in the digital age The BCG Strategy Palette Source: Based on BCG ADAPTIVE I can’t predict it, and I can’t change it. CLASSICAL I can predict it, but I can’t change it. SHAPING I can’t predict it, but I can’t change it. VISIONARY I can predict it, and I can change it. RENEWAL My resources are severely constrained. MALLEABILITY UNPREDICTABILITY HighLow High Low HARSHNESS High Low
  5. © Operational Excellence Consulting. All rights reserved. 5 Digital Transformation drives value in businesses in four ways: enhanced connectivity, automation of manual tasks, improved decision making, and product or service innovation Digital Value Chain Model Source: Finding Your Digital Sweet Spot, McKinsey, 2013 Customer experience Product and service innovation Distribution and marketing and sales Enhanced corporate control Digital fulfilment Risk optimization Connectivity with customers, colleagues, and suppliers Decision making based on big data and advanced analytics Innovation of products, business models, and operating models Automation of manual activity, Replacing labor with technology § Seamless multichannel experience § Whenever, wherever service propositions § New digital products and services § Cocreation of new products § Digital marketing with higher return on investment § Digital augmentation of traditional channels § Full straight-through processing and automatic provisioning § Virtual servicing and administration § Improved, real- time management information systems and decision making § Seamless integration into third parties § Improved targeting with customer insights § Embedded/ automated controls and risk profiling
  6. © Operational Excellence Consulting. All rights reserved. 6 The Four Levels of Digital Maturity evaluates how companies are reacting to technological opportunity based on two evaluation dimensions – ‘Digital Intensity’ and ‘Transformation Management Intensity’ The Four Levels of Digital Maturity DigitalIntensity Beginners § Management skeptical of the business value of advanced digital technologies § May carry out some experimentation § Immature digital culture Transformation Management Intensity Conservatives § Overarching digital vision exists, but may be underdeveloped § Few advanced digital features, though traditional digital capabilities may be mature § Strong digital governance across silos § Taking active steps to build digital skills and culture Fashionistas § Many advanced digital features (such as social, mobile) in silos § No overarching vision § Underdeveloped coordination § Digital culture may exist in silos Digirati § Strong overarching digital vision § Good governance § Many digital initiatives generating business value in measurable ways § Strong digital culture Source: Based on MIT Center for Digital Business and Capgemini Consulting
  7. © Operational Excellence Consulting. All rights reserved. 7 The Customer Experience Matrix outlines four kinds of customer experience, based on a company’s capacity for cost-efficiency and effectively interacting with customers, and customizing its behavior toward individual customers The Customer Experience Matrix Targeted Experience Mass Experience One-to-One Experience Niche Experience Real-time and Omni-channel One-way messaging Standard Individual INTERACTION CAPABILITIES CUSTOMIZATION CAPABILITIES
  8. © Operational Excellence Consulting. All rights reserved. 8 The Design Thinking Framework is a human-centered, creative problem-solving process of discovery, ideation and experimentation that forms the backbone of digital transformation Design Thinking Framework Source: Stanford Learn about the audience for whom you are designing, by observation and interview. Who is my user? What matters to this person? Create a point of view that is based on user needs and insights. What are their needs? Brainstorm and come up with as many creative solutions as possible. Wild ideas encouraged! Build a representation of one or more of your ideas to show to others. How can I show my idea? Remember: A prototype is just a rough draft! Share your prototyped idea with your original user for feedback. What worked? What didn’t? Empathize Define Ideate Prototype Test
  9. © Operational Excellence Consulting. All rights reserved. 9 The OECD Recommendation of the Council on Digital Government Strategies highlights several governance dimensions to consider when analyzing and supporting a country’s efforts in public sector digitalization The OECD Digital Government Transformation Framework Source: OECD, 2016 Digital government strategy Institutional framework Co-ordination mechanisms Stakeholder involvement Policy levers Service delivery Monitoring Co-ordination with other strategies Digital Transformation of the Public Sector
  10. © Operational Excellence Consulting. All rights reserved. 10 Accenture’s Nonstop Customer Experience Model shows that driven by new technology, the customer journey is dynamic, accessible and continuous, with evaluation at the center and channels that are always on and always on hand Accenture’s Nonstop Customer Experience Model Source: Accenture Open content/channels Brand controlled content/channels Discover Consider Evaluate Use Purchase PROMISE DELIVERY
  11. © Operational Excellence Consulting. All rights reserved. 11 MIT’s Digital Transformation Framework includes a unique element that guides companies to adopt a new framework of accountability organized around components rather than functions, product lines, or geographies MIT’s Digital Transformation Framework External Developer Platform Accountability Framework Digital Platform Shared Customer Insights Operational Backbone Source: Adapted from MIT
  12. © Operational Excellence Consulting. All rights reserved. 12 McKinsey’s Digital Transformation Framework, called the ‘4Ds of Digital Transformation’, consist of the phases of Discovery, Design, Deliver and De-risk McKinsey’s Digital Transformation Framework Source: McKinsey Quarterly, 2017 Discover DesignDeliver De-Risk Discover: Shape digital ambition, strategy and business case based on insights Design: Reinvent and prototype new capabilities and breakthrough journeys as part of a program Deliver: Activate an ecosystem to rapidly deliver at scale Re-risk: Structure the change program, resources and commercial model to reduce operational and financial risk
  13. © Operational Excellence Consulting. All rights reserved. 13 Capgemini’s Digital Transformation Framework highlights nine elements that should be addressed in a digital transformation process Capgemini’s Digital Transformation Framework Operational Process Process digitization • Performance improvement • New features Worker enablement • Working anywhere anytime • Broader and faster communication • Community knowledge sharing Performance management • Operational transparency • Data-driven decision-making Customer Experience Customer understanding • Analytics-based segmentation • Socially-informed knowledge Top line growth • Digitally-enhanced selling • Predictive marketing • Streamlined customer processes Customer touch points • Customer service • Cross-channel coherence • Self service Business Model Digitally-modified business • Product/service augmentation • Transitioning physical to digital • Digital wrappers New digital business • Digital products • Reshaping organizational boundaries Digital globalization • Enterprise integration • Redistribution decision authority • Shared digital services Digital capabilities • Unified Data & Processes • Analytics Capability • Business & IT Integration • Solution Delivery Source: Capgemini Consulting & MIT Center for Digital Business
  14. © Operational Excellence Consulting. All rights reserved. 14 Gartner’s Digital Transformation Framework enables CIOs and other business leaders to build a successful digital enterprise Gartner’s Digital Transformation Framework STEP 6: Create New Digital Business Capabilities STEP 1: Create the Right Mindset and Shared Understanding STEP 2: Put the Right Leaders in Place STEP 3: Launch a Digital Business Center of Excellence STEP 4: Formulate Digital Strategy to Respond to Opportunities & Threats STEP 5: Find, Develop & Acquire Digital Business Skills & Roles Six-Step Digital Transformation Framework Source: Based on Gartner
  15. © Operational Excellence Consulting. All rights reserved. 15 Cognizant’s Digital Transformation Framework defines four common elements that apply to most companies making digital change in both the B2C and B2B markets Cognizant’s Digital Transformation Framework Source: Cognizant Digital Transformation Framework Digital marketing Omni- channel Customer insight Customer- centric & standard platforms Agile approaches to work Anytime, anywhere, any device Connected products Pay per use Predictive usage Digital collaboration & innovation Digital skills & virtual workforce Dynamic partner ecosystems Digitize the customer experience Digitize products & services Digitize the organization Digitize operations
  16. © Operational Excellence Consulting. All rights reserved. 16 PwC’s Digital Transformation Framework is built on Industry 4.0 (Fourth Industrial Revolution) as the heart of digital change and incorporates data and analytics as the core capability PwC’s Digital Transformation Framework Multilevel customer interaction and customer profiling Industry 4.0 Big data analytics and advanced algorithms Smart sensors 3D printing Mobile devices IoT platforms Location detection technologies Advanced human- machine interfaces Authentication and fraud detection Augmented reality/wearables Cloud computing Source: Adapted from PwC
  17. © Operational Excellence Consulting. All rights reserved. 17 Ionology’s Digital Transformation Framework uniquely positions Technology not as a building block but as the means by which all processes are supported and delivered Ionology’s Digital Transformation Framework Source: Ionology TECHNOLOGY TECHNOLOGY COMPETITIVE ADVANTAGE THROUGH IMPROVED COMMUNICATIONS DIGITAL CAPABILITIES AGILE INNOVATION PEOPLE ENGAGEMENT & CULTURE DIGITAL BUSINESS STRATEGY BUSINESS ALIGNMENT
  18. © Operational Excellence Consulting. All rights reserved. 18 Accenture’s Digital Business Strategy Framework addresses the issues, decisions, actions and investments required in creating a digital business Accenture’s Digital Business Strategy Framework Source: Accenture Digital Operations & Platforms Information & Applications Vision, Opportunities & Outcomes Digital Products, Services & Offerings Innovation & IP Customer Experiences & Workforce Abilities Operating Model & Future of Work Digital Ecosystem & Business Process BusinessModel OperatingModel
  19. © Operational Excellence Consulting. All rights reserved. 19 Deloitte’s Digital Industrial Transformation Framework begins with strategy, which is carried through to redesigning talent models, transforming processes and retooling technology Deloitte’s Digital Industrial Transformation Framework Source: Deloitte Strategy Business model Operating model Capabilities People, process and technology AGILE MINDSET CUSTOMER SUCCESS DIGITAL ADOPTION 1. What is your winning aspiration? 3. What capabilities are needed to win? Which are new versus existing? 5. What business processes, technology, and management systems are required to win? 2. Where do you choose to play, and how will you win? 4. How should capabilities be configured? Where should they be executed? Who has ownership and decision rights?
  20. © Operational Excellence Consulting. All rights reserved. 20 Operational Excellence Consulting is a management training and consulting firm that assists organizations in improving business performance and effectiveness. Based in Singapore, the firm’s mission is to create business value for organizations through innovative design and operational excellence management training and consulting solutions. For more information, please visit