why enterprise digital strategies must drive it modernization
Post on 14-Jun-2015
313 Views
Preview:
DESCRIPTION
TRANSCRIPT
Copyright © 2014, Intellyx, LLC
1
Why Enterprise Digital Strategies Must Drive IT
Modernization
Jason BloombergPresident
jason@intellyx.com
@theebizwizard
Copyright © 2014, Intellyx, LLC2
About Jason Bloomberg
• President of Intellyx• Global Advisory Firm focused on Digital
Transformation & Business Agility
• Write for Forbes and Wired on Digital Transformation
• Run the Bloomberg Agile Architecture Certification Course around the world
• Buy my newest book, The Agile Architecture Revolution
Copyright © 2014, Intellyx, LLC3
Digital Transformation
What are you transforming?
Digital Transformation = Business Transformation
Customer Experience
Technology
Internal Organizatio
n
All of the Above
Copyright © 2014, Intellyx, LLC4
Optimization Pitfall
Ph
oto
Cre
dit
: Ja
son
Blo
om
berg
The Problem of Local Optima
Copyright © 2014, Intellyx, LLC5
Optimization vs. Innovation
InnovationDisrupt status quo
to allow human creativity to
flourish
OptimizationEstablish
feedback loops that maximize
business outcome
Copyright © 2014, Intellyx, LLC6
Innovativeness
• The ability to introduce change into the business environment in order to achieve a strategic advantage– New products or services– Expand market share– Enter new markets
Ph
oto
Cre
dit
: K
ay K
im h
ttp
s://
ww
w.fl
ickr
.com
/ph
oto
s/ka
yki
m/3
88
33
40
15
2/s
izes/
o/
Copyright © 2014, Intellyx, LLC7
Business Agility
• Responsiveness– Tactical value
• Resilience– Risk mitigation
• Innovativeness– Strategic value
Ph
oto
Cre
dit
: M
aso
nit
e B
urn
htt
ps:
//w
ww
.flic
kr.c
om
/ph
oto
s/m
aso
nit
e-b
urn
/62
73
62
67
39
/siz
es/
l
Ability to respond to change in the business environment and leverage change for competitive advantage
Copyright © 2014, Intellyx, LLC8
Innovation Requires Disruption
• External Disruption– Competitive pressures/new
entrants– Globalization– Regulation
• Internal Disruption– Digital Transformation
efforts– Innovation initiatives
Ph
oto
Cre
dit
: C
harl
es
Wag
ner
htt
ps:
//w
ww
.flic
kr.c
om
/ph
oto
s/ch
azw
ag
s/
Copyright © 2014, Intellyx, LLC9
Disruption Introduces Risk
• Optimization without disruption stifles innovation
• Disruption without optimization is an innovation crap shoot
• Optimize what you can & disrupt what you must P
hoto
Cre
dit
: ep
Sos
.de h
ttp
s://
ww
w.fl
ickr
.com
/ph
oto
s/ep
sos/
Mitigate risk with resilience
Copyright © 2014, Intellyx, LLC10
Resilience
• The ability to respond quickly and efficiently to negative change in the business environment– Managing risk– Bouncing back from
adverse events– Disaster recovery
• Tactical business driver
Ph
oto
Cre
dit
: Jo
e h
ttp
s://
ww
w.fl
ickr
.com
/ph
oto
s/b
itsh
ake
r/1
67
48
02
66
/siz
es/
o/
The opposite of brittleness
Copyright © 2014, Intellyx, LLC11
How do You Manage?
• Each Line of Business/Division has its own goals & business outcomes
• LoB Management drives toward optimizing those outcomes
• Maximize shareholder value/profit/revenue
• Better-Faster-Cheaper, then repeat
Ph
oto
Cre
dit
: Ken
ny L
ou
le h
ttp
s://
ww
w.fl
ickr
.com
/ph
oto
s/kw
l/
Copyright © 2014, Intellyx, LLC12
The Problem with Better-Faster-Cheaper
• Digital BFC pushes technology to its breaking point
• Technology team must focus on dealing with failure
• Resilience becomes top priority• Requires holistic view of organization because
weakest link could be anywhere
Ph
oto
Cre
dit
: Fr
its
Ah
lefe
ldt-
Lau
rvig
htt
ps:
//w
ww
.flic
kr.c
om
/ph
oto
s/h
ikin
gart
ist/
Copyright © 2014, Intellyx, LLC13
Recipe for Agility
Copyright © 2014, Intellyx, LLC14
Mistake #1: Focusing Digital on Technology
• Easier than changing organization & culture• Leads to “tone deaf” Digital efforts
– Unresponsive Mobile– Social Media that put off or anger customers– Customer “service” snafus
Copyright © 2014, Intellyx, LLC15
Mistake #2: Shifting Digital Away from IT
• Leads to Digital efforts disconnected from IT
• ‘Legacy’ systems of record act as limitations
• No effective cooperation between Digital & IT (CDO & CIO for example)
• Leaving legacy behind moves organization away from business agility
Ph
oto
Cre
dit
: Eri
k Pit
ti h
ttp
s://
ww
w.fl
ickr
.com
/ph
oto
s/ep
itti
/
Copyright © 2014, Intellyx, LLC16
There is no Shortcut!
• Common wrong turns– Migrating legacy apps to
the Cloud– Big Data strategies without
a coherent strategy for collecting new information
– Mobile app interfaces to existing Web apps
• Remember, Digital Transformation isn’t about the Digital, it’s about the Transformation!
Ph
oto
Cre
dit
: Jo
sep
h B
rem
son
htt
ps:
//w
ww
.flic
kr.c
om
/ph
oto
s/exc
itin
gso
un
ds/
99
08
05
28
65
/siz
es/
l
Copyright © 2014, Intellyx, LLC17
Organizing for Innovation
• Move from high connectivity to low connectivity– Provide flexible technology– Autonomous, self-
organizing teams– Teams must cut across
organizational silos
Ph
oto
Cre
dit
: M
elis
sa M
arq
ues
htt
ps:
//w
ww
.flic
kr.c
om
/ph
oto
s/m
elis
sam
arq
ues/
Copyright © 2014, Intellyx, LLC18
Problems of Organizational Silos
• Every line of business, department, functional area has its own requirements, its own way of doing things
• Must invest in specialized technology for narrow purposes
• IT must integrate everything, increasing cost, complexity, & brittleness
Ph
oto
Cre
dit
: D
oc
Searl
s, h
ttp
s://
ww
w.fl
ickr
.com
/ph
oto
s/d
ocs
earl
s/5
50
01
18
47
5/s
izes/
o/
Copyright © 2014, Intellyx, LLC19
Silos on Top of Silos
• Organizational silos– Lines of business,
departments, geographic locations, etc.
• Application silos– Different apps for
different departments• Infrastructure silos
– Various data centers & rooms, heterogeneous platforms, & Cloud!
Ph
oto
Cre
dit
: C
al D
elli
ng
er
htt
ps:
//w
ww
.flic
kr.c
om
/ph
oto
s/cs
treetu
s/3
38
12
85
19
9/s
izes/
o/
Copyright © 2014, Intellyx, LLC20
It’s Time to Take Down the Silos!
Ph
oto
Cre
dit
: S
avan
nah
Riv
er
Sit
e,
htt
p:/
/ww
w.fl
ickr
.com
/ph
oto
s/5
10
09
18
4@
N0
6/
Copyright © 2014, Intellyx, LLC21
Better Way to Manage
• Build cross-organizational teams• Understand when to
optimize and when to innovate
• Embrace disruption• Encourage resilience• Give people the tools
they need and get out of their way
Ph
oto
Cre
dit
: Ph
ilip
Leara
htt
ps:
//w
ww
.flic
kr.c
om
/ph
oto
s/p
hill
eara
/
Jason Bloomberg
President, Intellyx
jason@intellyx.com
@theebizwizard
Thank You!
top related