#dbs2016 thrive in the digital era with it transformation
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© 2016 Information Services Group, Inc. All Rights Reserved.
© 2016 Information Services Group, Inc. All Rights Reserved.
Sridhar Vedala, Partner, ISG
Thrive in the Digital Era withIT Transformation
© 2016 Information Services Group, Inc. All Rights Reserved.
Reality: New Business Models are Driving Digital Disruption
What is Driving Digital Disruption New Technologies?
TAXI
@
BusinessModels
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Characteristics of a Digital Enterprise
Back End:Efficient
Operations
Front End:Terrific
CustomerExperience
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Technologies, Practices & Operating Models
Key Digital Disruption Trend:Universal Adoption of Digital Practicesand Technologies
Innovators
Laggards
Majority is Transforming
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Airlines
Understanding the Transformation Journey of the Majority:ISG’s Interaction with CXOs to Evaluate theImpact of Digital on IT
Automotive
Pharma
Insurance
Trains
Nuclear Energy
Fertilizer
Banking
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Enterprise Digital Transformation Journey:Three Main Areas
1 Business Transformation
Digital Transformation Journey
Business-IT Collaboration2
IT Transformation3
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1. Business Transformation Initiatives
Map customer journey to implement digital solutions to engage and capture customer data and insights
Engage with customers across all touchpoints byimplementing omnichannel solutions
Process simplification and standardisation Asset optimisation and cost savings through sensors and
big data Straight through processing through automation
Enhance Customer Experience
Enhance Customer Experience
Transform Business Processes
Transform Business Processes
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1. Business Transformation Initiatives
Implementation/piloting of big data solutions Fundamental rethinking of existing enterprise data
models Flexible integration of external data feeds
Anticipate Business Volatility
Transform Business Processes
Achieve competitive advantage Reach new customer segments Grow revenues by cross-selling
New Channels of Revenue/ Access to Customers
Enhance Customer Experience
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2. Business-IT CollaborationIT Organizations are Moving from theirTraditional Roles to Drive Business StrategyBusiness Focus
CFO
CEO
Business Stakeholder
s
COO
CMO
Traditional Model
Infrastructure
Incidents
Resources
Cost
IT Projects
CIO &
IT Org
Enterprises are increasingly choosing tech-savvy CEOs
CIOs are reporting to business leaders rather than CFOs
CIOs are now integrally associated with business strategy
CIOs are focusing on change initiatives
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IT organizations are moving away from being technology creators to technology consumers to enable business value
Organization wide change management to adopt new operating models
Organization Change
Management
Workforce Reinvigorati
on
2. Business-IT Collaboration Initiatives
Relook at enterprise architecture to design business aligned architecture
New operating models (agile) & organizational structure for effective collaboration and value creation
Enterprise Architecture
Operating Models
Project Portfolio
Prioritization
Overall Program
Management
With a holistic view of enterprise, IT is playing a critical role in project portfolio prioritisation and program management
Service Orchestratio
nBusiness-IT Alignment
Change Managemen
t
Program Managemen
t
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Achieve run cost savings to invest in change
Improved time to market
Standardisation and simplification
Automation
Agile
Cloud Delivery Models
Enterprise security Effective
governance Integration and
collaboration Optimum resource
utilization
Governance, Service
Integration & Management
Enterprise Security
3. IT Transformation Initiatives
Business agility and flexibility
Low cost of ownership
Align with enterprise architecture
Transparency for decision making
IT as a Business
Engage with Technology Ecosystems
Use-case Scout
Innovation Labs
Technology led business innovation
Competitive advantage
Steering the complex ecosystem of start-ups
Operational Efficiency
Service Defined
Enterprise
GovernanceInnovation Enabler
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Summary and Q&A: What is Your Digital Transformation Journey?
Transform Infrastructure
Transform IT
Transform Business
Strategy & Planning
Implementation & Integration
Business Innovation
Migrations & Adoption
Service Design & Governance Service
Brokering
Native Applications
Establish Explore Activate Apply
Business Value
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