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#IASACITO The 2016 Executive Education Roundtable Series.

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1 #IASACITO The 2016 Executive Education Roundtable Series

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3 1.How work gets done across the enterprise 2.The conversion path of data into information into knowledge 3.Processes & work flows that channel & tap into that information 4.The end-to-end customer experience 5.System schisms and architectural abysses 6.Total vendor and consultant footprints 7.Siloed agendas on collision courses 8.Cumulative risk 9.Technology debt—the accumulating cost of deferred tech upgrades and replacement 10.Decision-related cost of change and opportunity costs THE 2016 EXECUTIVE EDUCATION ROUNDTABLE SERIES #IASACITO CIO’s Unique Cross-Enterprise Visibility

4 1.How work gets done across the enterprise 2.The conversion path of data into information into knowledge 3.Processes & work flows that channel & tap into that information 4.The end-to-end customer experience 5.System schisms and architectural abysses 6.Total vendor and consultant footprints 7.Siloed agendas on collision courses 8.Cumulative risk 9.Technology debt—the accumulating cost of deferred tech upgrades and replacement 10.Decision-related cost of change and opportunity costs CIO’s Unique Cross-Enterprise Visibility THE 2016 EXECUTIVE EDUCATION ROUNDTABLE SERIES #IASACITO

5 CIO’s X-Enterprise Conservation/Fiduciary Responsibilities THE 2016 EXECUTIVE EDUCATION ROUNDTABLE SERIES #IASACITO

6 CIO’s X-Enterprise Conservation/Fiduciary Responsibilities THE 2016 EXECUTIVE EDUCATION ROUNDTABLE SERIES #IASACITO 1.Oversight of IT spend 2.Managing architecture compatibility and integration 3.Oversight of total vendor and contractor footprint 4.Managing cybersecurity vulnerability profile 5.Integrated asset management 6.Managing business continuity risk profile 7.Capital planning and investment management 8.Streamlining/rationalizing business processes 9.Ensuring IT and data-related compliance 10.Management of data landscape and analytics capability 11.Management of business solutions development (DevOps) 12.Managing digital governance at C-suite level

7 CIO’s X-Enterprise Conservation/Fiduciary Responsibilities THE 2016 EXECUTIVE EDUCATION ROUNDTABLE SERIES #IASACITO 77%Oversight of IT spend 68%Managing architecture compatibility and integration 59%Oversight of total vendor and contractor footprint 59%Managing cybersecurity vulnerability profile 55%Integrated asset management 55%Managing business continuity risk profile 50%Capital planning and investment management 45%Streamlining/rationalizing business processes 41%Ensuring IT and data-related compliance 41%Management of data landscape and analytics capability 36%Management of business solutions development (DevOps) 27%Managing digital governance at C-suite level

8 CIO’s X-Enterprise Innovation Responsibilities THE 2016 EXECUTIVE EDUCATION ROUNDTABLE SERIES #IASACITO

9 CIO’s X-Enterprise Innovation Responsibilities THE 2016 EXECUTIVE EDUCATION ROUNDTABLE SERIES #IASACITO 1.Educating business leaders on the emerging digital landscape 2.Promoting ongoing collaboration between business units/functions 3.Identifying value opportunities in end-to-end customer experience 4.Identifying/assessing new data analytics capabilities 5.Identifying/assessing emerging tech sources for customer value 6.Managing data & analytics across end-to-end customer experience 7.Driving a vision for the digital future of the business 8.Leading overall enterprise business transformation/change effort 9.Identifying opps. to apply isolated innovations to other areas of bus. 10.Aligning R&D development efforts w/ each other & w/ bus. strategy 11.Managing enterprise innovation process (idea lifecycle) 12.Introducing contemporary management methodologies to business

10 CIO’s X-Enterprise Innovation Responsibilities THE 2016 EXECUTIVE EDUCATION ROUNDTABLE SERIES #IASACITO 55%Educating business leaders on the emerging digital landscape 41%Promoting ongoing collaboration between business units/functions 32%Identifying value opportunities in end-to-end customer experience 27%Identifying/assessing new data analytics capabilities 23%Identifying/assessing emerging tech sources for customer value 18% Managing data & analytics across end-to-end customer experience 18%Driving a vision for the digital future of the business 18%Leading overall enterprise business transformation/change effort 14%Identifying opps. to apply isolated innovations to other areas of bus. 14%Aligning R&D development efforts w/ each other & w/ bus. strategy 9% Managing enterprise innovation process (idea lifecycle) 9% Introducing contemporary management methodologies to business

11 Off Balance THE 2016 EXECUTIVE EDUCATION ROUNDTABLE SERIES #IASACITO Cross-Enterprise Innovation Responsibilities 28% Cross-Enterprise Conservation Responsibilities 72%

12 CIO X-Enterprise Responsibility Assessment Check each action that is currently a routine responsibility handled by you or someone in your IT organization. Add up the number of checks in each section.

13 CIO’s X-Enterprise Innovation Responsibilities THE 2016 EXECUTIVE EDUCATION ROUNDTABLE SERIES #IASACITO 55%Educating business leaders on the emerging digital landscape 41%Promoting ongoing collaboration between business units/functions 32%Identifying value opportunities in end-to-end customer experience 27%Identifying/assessing new data analytics capabilities 23%Identifying/assessing emerging tech sources for customer value 18% Managing data & analytics across end-to-end customer experience 18%Driving a vision for the digital future of the business 18%Leading overall enterprise business transformation/change effort 14%Identifying opps. to apply isolated innovations to other areas of bus. 14%Aligning R&D development efforts w/ each other & w/ bus. strategy 9% Managing enterprise innovation process (idea lifecycle) 9% Introducing contemporary management methodologies to business

14 C-Suite Digital Transformation Leadership Gaps 1.No digital strategic vision 2.Not future-focused/anticipatory 3.Lacking accelerated innovation process 4.Deficient digital literacy 5.Siloed rather than mutual decision making Ranking based on CEC assessment of more than 130 companies

15 A Digital Business Vision "A clear and concise description of what our business will be in a future where engagement with employees, customers and markets are increasingly or primarily defined by digital technology, which in turn shapes our product/service portfolio, go-to-market strategy and business model. The vision serves as a focusing point and test for our transformation strategy."

16 A Digital Business Vision "A clear and concise description of what our business will be in a future where engagement with employees, customers and markets are increasingly or primarily defined by digital technology, which in turn shapes our product/service portfolio, go-to-market strategy and business model. The vision serves as a focusing point and test for our transformation strategy."

17 A Digital Business Vision "A clear and concise description of what our business will be in a future where engagement with employees, customers and markets are increasingly or primarily defined by digital technology, which in turn shapes our product/service portfolio, go-to-market strategy and business model. The vision serves as a focusing point and test for our transformation strategy."

18 Digital Business Vision Success Criteria Dr. George Westerman Principal Research Scientist MIT Initiative on the Digital Economy Co-author, Leading Digital: Turning Technology into Business Transformation

19 Digital Vision Success Criteria  Clear enough to be well understood by most employees  Can be summed up in one sentence  Well known at all levels of business  Bought into/adopted by all executive suite  Bought into by majority of leaders across business  Inspiring to the team members  Digital initiatives and strategies can be mapped readily to it  Informed by sustained future focus & leader digital literacy

20 Digital Vision Obstacles 1.CxOs think of digital as IT topic, not business topic 2.The C-suite is too siloed to cooperate on a mutual vision 3.The CIO does not have sufficient influence to push this 4.Executives think that digital is not relevant to our industry 5.We are reluctant to change an outdated or ineffective vision

21 Vision Obstacle Solutions 1.Meet individually with business unit heads to start thought process on digital’s relevance 2.Work with business units that want digital, hoping others will follow 3.Conduct experiments or build prototypes to show digital’s relevance 4.Educate execs on digital in general and raise digital literacy levels 5.Promote my own digital vision to the executive team/business units

22 Your Vision Exercise Critical element of digital business vision for your company: “For our existing customers, doing further business with us will be as easy as it is for Amazon customers to reorder pet food.” + Single biggest obstacle to successful vision: “Our sales and fulfillment processes are not in synch enough to enable a seamless customer experience.” + Key solution to the obstacle: “Streamline customer experience end-to-end by migrating to single system.”

23 Your Vision Exercise Critical element of digital business vision for your company: + Single biggest obstacle to successful vision: + Key solution to the obstacle = 2-minute CEO pitch

24 C-Suite Digital Transformation Leadership Gaps 1.No digital strategic vision 2.Not future-focused/anticipatory 3.Lacking accelerated innovation process 4.Deficient digital literacy 5.Siloed rather than mutual decision making Ranking based on CEC assessment of more than 130 companies

25 D-Suite Assessment

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28 Digital Transformation Leadership Capability Assessment - Vision Check whether you agree, disagree or a neutral on each statement as it applies to your company’s overall C-suite (the majority). ASSESSMENT LINK TO COME

29 Post-Conference Commitment #1  Use CEC on-line assessment to rate C-suite capabilities  Discuss results with IT lieutenants, trusted C-suite peer  Target high impact, achievable gap for IT to help with as “pathfinder”  Develop pathfinder plan  Socialize with CEO, appropriate stakeholders Identify C-suite transformation leadership gaps and plan pathfinder action

30 Post-Conference Commitment #2  Target responsibility that is high impact and achievable  Work out how to execute in sustainable manner  Identify stakeholders, including any actors  Identify IT targets for responsibility  Socialize with IT, stakeholders  Craft pitch for CIO—Description, benefit, rationale for IT, how-to Take on 1 new cross-enterprise innovation responsibility

31 Get in Touch! Rick Pastore, rpastore@cio.com; 1-508-808-8867 CIO Executive Council council.cio.com


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