The Postdigital Enterprise: Harnessing Change, Managing Disruption

The Dbriefs Technology Executive series presents:

The Postdigital Enterprise:
Harnessing Change,
Managing Disruption

Suketu Gandhi, Principal, Deloitte Consulting LLP
Bill Briggs, Deputy CTO, Director, Deloitte Consulting LLP

December 1, 2011

Release for answers to polling questions

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Agenda

What is the postdigital enterprise?

The five postdigital domains

What this means for your enterprise

Question and answer


What is the postdigital
enterprise?

How we got here
Basic human behavior has not fundamentally changed...
Engagement

Learning Validating Deciding Using Committing Loyalty

$’s

…but the tools for conducting business have dramatically evolved.
11,000 BC 3000 BC 1 AD 1870 1985 1990 2005 2008 2009


Evolution of the postdigital enterprise
The enterprise has evolved over the past two decades

Industrial Digital Postdigital

Customer Uninformed Informed Connected
Type Homogenous Segmented Personalized

Optimized Automated Real time
Process
Manual Digitized User-centric

Specialization Functional model Interdisciplinary
Organization
Processes-focused IT-focused Collaboration-focused

Channel Single channel Multichannel Omnichannel

Market Brand and supply Brand and customer Customer and social
Condition driven access driven network driven

Market Plan based Transaction based Intention based
Approach replenishment replenishment replenishment

Poll question #1

Which executive is most visibly sponsoring initiatives
around postdigital?
 CEO
 COO
 CIO
 LOB/Function lead(s)
 None of the above
 Don’t know / Not applicable


New technology forces driving innovation
Technology strategy = business strategy

Information
Hyper-availability Explosion

Transparency

Security &
Compliance
Pressures
Velocity of
Consumerization Change

Harness postdigital technologies to evolve
The convergence of five disruptive technologies is changing the way
businesses must respond to individuals’ needs and expectations
Analytics Social Business
Deconstruct organizational
Move from descriptive to
silos; empower
predictive and prescriptive
collaborative networks

Mobility Cloud
Un-tether your enterprise; Move past the static
empower users where ecosystem; empower the
business actually occurs dynamic value chain

Digital identity;
Credentials-based access digital persona protection Defense-in-depth and
control and management cyber threat intelligence
Cyber Intelligence
The greatest value lies at the intersection points of the PDE domains.
For example, combining cloud and analytics to yield insight as a service.

The CIO as a revolutionary
The CIO is uniquely positioned to lead the evolution, moving beyond
being a steward or a strategist to help lead the postdigital era
There are 3 major requirements for the Revolutionary Postdigital CIO

Investment Shift Strategic Plan Talent/Skills
A greater portion of Roadmap The IT organization
the portfolio should Should provide clarity should have increased
be allocated to to a cohesive depth in both business
postdigital innovation postdigital strategy and technical skills
combining business
and technology
considerations

Poll question #2

Which topic do you feel has the greatest opportunity to
positively impact your business strategy?
 Mobility
 Social business
 Cloud
 Analytics
 Cyber intelligence


Analytics
Technology and deep modeling techniques applied to identify
business performance opportunities in exploding data volumes
 Growth of Data Volumes: Doubling
every 18 months
 Unstructured Data: Driven by social
networks
 Predictive and Prescriptive Analysis:
Future-looking
 Competing on Analytics: Strategic
cornerstone of the enterprise

Key Considerations
Real-Time
Analysis
(Unstructured) Hindsight
Data to Foresight
Explosion

Mobility
Anywhere, anytime business innovation enablement

 Mobile App Growth: Internal and B2B
applications
 Converged Devices: Fast growing area
of computing
 Decisions for the Enterprise: Platforms,
maintenance, internal capabilities
 Managing the Environment: Mobile
environment security and governance

Key Considerations
Taking In-House
Enterprise vs. Third
Mobile Growth of Party
Converged
Devices

Social business
Connecting human networks for information, decisions, and
action
 Moving Beyond Social Networks:
Enterprise connectivity and expectations
 Power of People Networks: Leverage
shared passion
 Driving Results: Internal and external
stakeholders
 Implications for the Enterprise: Bottom-up
collaboration and information sharing

Key Considerations
Collaboration &
Communication Informational
Capabilities

Transactional Internal &
Opportunities External Exposure

Cloud computing
Evolution from capacity clouds based on isolated workloads to
capability clouds delivering higher-order, finished services
 Workload in the Cloud: Edge functions
move to the cloud en masse
 Business Beyond Technology: A
convincing business case is needed
 Progression of Vendors: Sophisticated
offerings (e.g., logistics, security)
 Future of Clouds: Higher order business
functions in the cloud

Key Considerations
Capacity vs.
Capability Cloud
Implications Making the
Case
for Cloud

Cyber intelligence
Prepare, predict, prevent, and protect through cyber security,
cyber forensics, cyber analytics, and cyber logistics
 Changing Regulation: Increasingly
complex global compliance requirements
 Detection vs. Prevention: Stay ahead of
emerging threats
 Evolving Threats: Increasing cost of
breaches, diversity, and speed of threats
 Threat Management and Triage: Know
“how” and “from where” attacks originate

Key Considerations

Cyber
Cyber Cyber Logistics Cyber
Security Forensics Analytics

Poll question #3

Which postdigital domain is currently the most mature in
your organization?

 Mobility
 Social business
 Cloud
 Analytics
 Cyber intelligence


What this means for your
enterprise

Disruption will require process redesigns
Redesign operational processes to evolve, respond, and stay relevant

Same Thing, New Way Breakout Capabilities
Postdigital Veneer Postdigital Disruption

New Operating
Models
Enable Enterprise
Capabilities New Service
Enhance Current Offerings
Operations New Business
Models

Example – a unidirectional Example – product development
social media campaign through crowd-sourced R&D


New expectations can affect operations
The postdigital ecosystem extends beyond customers and employees

Postdigital Operating Ecosystem
New IT Consumers, Employees, Pundits, Potential Postdigital
Concerns and Ambassadors, Partners, Bloggers, Customers Strategy
Considerations Fans Vendors Competitors / Investors

Mobility
Analytics
Social Business
Cloud
Cyber Intelligence

The postdigital ecosystem
Postdigital personae
is borderless and limitless,
transcend enterprise,
extending far beyond the
organizational, and
traditional four walls of
personal boundaries
your business


User engagement and user empowerment
Effective postdigital efforts will be driven by user engagement

Interaction
User Research
Design

User Interface Usability and
Design Analytics

Anytime,
Expanded
anywhere
Ecosystem Boundless
Unstructured access
user Crowd-
environment live data
sourced
R&D

Design User- Evaluate and
Understand Conceptualize Execute
System Refine
Individuals Solutions Solution
Interaction Prototypes


Postdigital scenarios
 As consumers adopt connective technology, they build and
participate in interconnected 24 / 7 networks
 This provides the opportunity for convenient and constant access
The Connected to information
Consumer

 A global consumer products company reported that it has radically
reduced its operational costs (by close to $1 BB) by
‒ Streamlining critical workflows throughout its global organization
‒ Empowering its managers to make better and faster decisions
The Empowered
with access to real-time social analytics and enterprise data
Manager

 Large companies with complex organizational structures are
looking for ways to enable their teams to collaborate more
effectively on critical work streams to remove institutional
roadblocks, accelerate innovation, and increase time to decision
The Engaged  One of the most remarkable case studies is in the consumer retail
Enterprise market with a large electronics retailer

Disrupt or be disrupted
Evolve to stay relevant as expectations, needs, and behaviors change

A slow response invites disruption Evolve now, and you can
disrupt and grow
A movie rental company Online shoe retailer disrupted
failed to heed to customers’ the industry by using mobile and
changing appetite for direct, social technology to provide the
instant digital fulfillment flexibility that customers desire

Home improvement retailer
empowers employees with
Consumer electronics collaboration tools to share
retailer failed to ideas and leading practices
transform workforce
Innovative car rental service
from traditional
channeled social technologies
salesmen to engaging
to provide customers the
customer service
desired high-touch merchant
advocates
experience at a low cost
Static businesses will be unable to Postdigital Enterprises will evolve
meet new desires and expectations to harness disruptive technologies

Poll question #4

What is the main factor that will keep you from realizing the
potential of postdigital?
 Security/privacy compliance
 We are too consumed with “keeping the lights on”
 Fragmented investments across the business
 Organizational inertia (cultural resistance to change)
 Postdigital is not a current priority


Final thoughts

Shift organizational focus Un-tether your enterprise
Prioritize consumers, employees, Postdigital business is not bound
and partners by physical space

Move past the static ecosystem Augment traditional research
Empower the dynamic value chain Access direct insight

Deconstruct organizational silos Harness speed and flexibility
Sanction collaborative networks Think big; start small; scale fast


Join us January 5 at 2 PM ET as
our Technology Executives
series presents:

Visualization and
Geospatial Solutions:
The Future of Business
Intelligence?

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Contact info

Suketu Gandhi
Principal, Deloitte Consulting LLP
sugandhi@deloitte.com
312-486-3590

Bill Briggs
Director, Deloitte Consulting LLP
wbriggs@deloitte.com
816-802-7350


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The Postdigital Enterprise: Harnessing Change, Managing Disruption

The Postdigital Enterprise: Harnessing Change, Managing Disruption

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