When done right, it will result in a business that is more aligned with customer demands and resilient in the fast-moving digital future. Digital transformation is a massive undertaking, especially for larger, established companies. While the article may not offer a particular model per se for digital transformation it does provide you with a classical 2 x 2 metric to identify if you are a Digirati, Fashionistas, Beginners or Conservatives. The idea of not building everything and sourcing externally is not a new idea. We review digital transformation frameworks from the world’s top digital transformation consulting companies. Accenture places vision at the top. We scored frameworks against each value and came up with a total score out of five. MIT researchers have developed a field-tested framework for navigating a digital transformation. This business concept was relevant 30 years ago. “They put together a product where they could look for cars in your area, come up with a set of dealers with the best prices, and because of partnerships, go out and bargain with the dealer so you didn’t have to go do that.”. From there, companies can work to identify their current business model and what their competitive advantages are, then use those advantages to get to where they want to be. Locked Interactive transcript Winners maintain control while they minimize their asset base. That attempt should be focused on the best customers. Even with the help of consultants and a few hundred thousand dollars, don’t expect to roll out these   frameworks quickly. While other DX frameworks touch on shared beliefs and culture, Gartner goes further suggesting the organization be supported by a digital excellence team. I think CapGemini’s digital transformation framework rocks. PwC encourages organizations to create a budget for a pilot project and then scale up funding. The mission of the MIT Sloan School of Management is to develop principled, innovative leaders who improve the world and to generate ideas that advance management practice. We have based our reviews upon these four dimensions. A rigorous, hands-on program that prepares adaptive problem solvers for premier finance careers. The MIT Initiative on the Digital Economy (IDE) explores how people and businesses will work, interact, and prosper in an era of profound digital transformation. Frameworks offer checklists of what needs to get done, and sequence to order what needs doing. Create a startup culture where it is possible to make mistakes and still succeed. The framework is relatively easy-to-use. Overall Gartner’s digital transformation ranked highest for company culture. They call stage one of their DX framework ‘shared understanding’. This time McKinsey talks specifically about designing and building customer journeys. DXC Technologies is the new kid on the block. During each interview, the consultants were shown how to apply the 4Qs to digital transformation and asked to a complete survey. The framework does not reference company culture. Has the company developed the crucial capabilities to reinvent the business? MIT’s DX framework calls value propositions ‘offers’. Source: MIT and Capgemini framework. What sort of digital threats and opportunities does the company face? Work smart with the Thinking Forward newsletter. Digital transformation isn’t a new imperative for business leaders, but COVID-19 has made it more urgent, with companies looking to enhance their agility, speed, and data-driven decision making. “Partnerships were coming into play where companies were seeing that they had to be able to offer more multi-product, integrated experiences.”. PwC tells us digital change should be rooted in “Industry 4.0”. Combine an international MBA with a deep dive into management science. COVID-19 crisis has accelerated the transition to a digital future. Digital Transformation, Value Creation, and Breakthrough Innovation is designed for managers who are instrumental in driving digital transformation, creating new … The research was based on interviews with 157 executives in 50 companies, typically with more than $1 billion in sales. The digital transformation framework has four components. We believe a DX framework should allow you to: We valued customer-centric. According to the McKinsey framework, the 4D’s of digital transformation are Discovery, Design, Deliver, and De-risk. We will evaluate each framework based on its own merits in a moment. Like MIT and Cognizant, this DX framework gives basic business advice. MIT ideas every week. This program also counts towards an MIT Sloan Executive Certificate, which you can earn by completing four programs; three from your chosen certificate track and one completed in person. Value propositions get a mention in EYs framework. MIT’s five building blocks to digital transformation framework begins with operations, not customers. DXC’s DX framework uses customer journeys to identify new opportunities. This piece includes customer insights, an aspect covered by MIT’s five building blocks to digital transformation. “A lot of companies — especially those we call ‘big old companies’ that were not born digital — they were realizing that a lot of these born digital startups kind of had a head start in learning about the customers,” Woerner said. Digital transformation — the use of technology to radically improve performance or reach of enterprises — is a hot topic for companies across the globe. There is a lot of emphasis on customers. Michael is the author of two critically acclaimed books: Serious Play: How the World’s Best Companies Simulate to Innovate and Shared Minds—The New Technologies of Collaboration.A research fellow at the MIT Sloan School’s Center for Digital Business, Michael is a columnist for Fortune, CIO Magazine and MIT’s Technology Review, and is widely published in the business press. Agile + the 4Qs. Step 2 of the Gartner digital transformation framework suggests putting in place the right leadership. Founded in 1974 and grounded in the MIT tradition of rigorous field-based research, MIT CISR helps executives meet the challenge of leading dynamic, global, and information-intensive organizations. This scenario is highly likely and I have personally used this approach to help businesses. Their Digital Customer Experience piece is comprehensive. It is common sense. 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