scott strickland
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10/20/14 1
Achieving CIO and CMO Alignment
Scott Strickland
Ø Company Background
Ø Original Situa5on
Ø Aligning the Roles
Ø Ques5ons and Answer
Agenda
10/20/14 3
Company Background
About D+M Group
Ø A Leading audio/video company
Ø Three large brands Ø 2,000 employees worldwide Ø Products and services marketed in more than 45 countries
Ø Acquired by Bain Capital in 2008
Over 100 Years of delivering great sound have added up to hundreds of innova6ons, thousands of awards, and products in millions of
homes
D+M Group Products
Consumer AV
AV Receivers
CD/DVD/Blu-‐ray players Speakers
Mini Systems
2 channel HiFi
Headphones
Wireless and MulF-‐Room
Ø Dedicated to enhancing life through inspired sound solu5ons delivered any5me, anywhere
Ø Focused on innova5on to meet
the needs of customers in an increasingly digital world
Ø Sold through major retailers
and independents
10/20/14 6
The Original Situation
The Organizations
Marke5ng
§ Regionally / local geography reporFng relaFonships
§ Organized by brand § FuncFonally broad § DiscreFonary budgets § Flexible
RESULTS
Different objec6ves Different measurements
Informa5on Services
§ Global reporFng relaFonships
§ Organized by funcFon § FuncFonally narrow § Fixed budgets § Structured
Different approaches Different 6melines
Example: Shadow IT
Marke6ng is typically the largest source of shadow IT – accoun6ng for up to 35% of what should be IT spend in an organiza6on
Ø Marke5ng accounted for 18% of IT spend at the D+M Group
Ø Shadow IT included
Ø 3rd party hos5ng Ø Servers Ø Development (website, mobile, and
applica5on) Ø Support contracts Ø Cloud soYware contracts
Example: Disconnects and Duplicate Work United States United Kingdom
Impact
Ability to measure Ability to execute campaigns Sustainable, scalable, secure
Bang for the buck Resource efficiency
These Behaviors Align with Studies Why can’t we just get along?
Source: CMO Council (CEB Study 2012)
These Behaviors Align with Studies (II) Why can’t we just get along?
Source: CMO Council (CEB Study 2012)
10/20/14 13
Aligning the Roles
Can We Address It?
Who? What?
When?
Where?
How?
Why?
Who? Why? Build Relationships
Do we ag ree tha t : Ø The cus tomer exper ience i s oYen d r i ven by techno logy?
Ø Our company needs in s i gh t i n to cus tomers? Ø We have a j o in t fi s ca l r e spons ib i l i t y?
Establish Common Ground
What? – Provide the “Art of the Possible” Ø Describe how technology could apply to the organiza5on Ø Build sample scenarios
Ø Jointly select the most promising
Ø Incorporate into the standard project roadmap
When and Where? – Build a Roadmap Ø Priori5ze projects together Ø Provide regular updates
Ø Flex or replace as needed Ø Break projects into phases
Who? - Define Roles C l e a r l y d i f f e r e n t i a t e r o l e s b e t w e e n M a r k e t i n g , t h e
c r e a t i v e a g e n c y , a n d I S
Integration Platform
Data Platform
Common Feature Platform
Messaging and Content
Message Defini5on Brand PosiFoning, CreaFve, Content
CreaFon, Pricing, Campaigns, VOC Programs, Microsites Design,
Channel DefiniFon
Shared Services Content Management System, Call Center Systems, Customer Chat, eCommerce, Mobility PlaSorm,
eMail Campaign Features, Forums, QR Code Delivery
Master Data Customer Master Database, Digital
Asset Management System
“Experiences”
“Capabilities”
Marketing & Agency IS
“Experiences”
“Capabilities”
Marketing & Agency IS
Applica5on and Data Integra5on Legacy Systems External Data Providers
How? - Build a Platform
19
2015 2013 2012 2011
Foundational
Differentiating
Leverage user generated content Establish the brand as a desFnaFon site
Leverage social channels
Conduct focused consumer markeFng Improve eCommerce capabiliFes Provide digital asset management
Create common plaSorm
E s t a b l i s h a s e t o f f o u n d a t i o n a l g l o b a l s y s t e m s t h a t c a n b e l e v e r a g e d t o b u i l d d i f f e r e n t i a t i n g c a p a b i l i t i e s w h i l e
r e d u c i n g o r m i n i m i z i n g c o s t s
Example: Digital Brand Platforms
How? - Create “Bimodal” IT
20
D e v e l o p a s e t o f m e t h o d o l o g i e s a n d a p p r o a c h e s t o a l l o w I T t o d e l i v e r i t e r a t i v e l y a n d q u i c k l y a l o n g s i d e t h e
t r a d i t i o n a l I T o r g a n i z a t i o n
Marke5ng IT Group
Ø Develops iteraFvely Ø Co-‐located Ø Draws from a budget “pool”
Ø Flexes staffing as needed
Ø Uses hybrid resources Ø Sells dreams, not fear
Ø Responds “yes, if”…
How? - Stand Your Ground S t o p a n i m p l e m e n t a t i o n , d e f e r a c a m p a i g n , o r m a n d a t e
a p r o j e c t r e s t a r t i f s h a d o w I T c o n t i n u e s t o o c c u r
Ø Shut down a site and corresponding headphone campaign in Japan
Ø Demonstrated importance of IS engagement and approval
What About The Chief Digital Officer?
Ø Forrester: A C-‐level execu5ve charged with helping a company
transform their IT policies…evolves IT
Ø Russell Reynolds: Oversees the full range of digital strategies and drives change across the organiza5on.
Ø Gartner: Plays in the place where the enterprise meets the customer, where the revenue is generated and the mission accomplished
Is a CDO Needed?
If the CIO understands the new “digital reality” and is doing his/her job, a CDO is not necessary
T h o s e s a m e t h r e e f i r m s a l s o s u g g e s t a C I O ’ s t i m e s h o u l d b e s p e n t f o c u s e d a s f o l l o w s…
Ques5ons?
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