Chapters
DIGITAL
TRANSFORMATI
ON
Kevin de Boer
,Inhoudsopgave
CHAPTER 1: THE FIVE DOMAINS OF DIGITAL TRANSFORMATION.............2
CHAPTER 2: HARNESS CUSTOMER NETWORKS...................................... 4
CHAPTER 3: BUILD PLATFORMS, NOT JUST PRODUCTS......................... 10
CHAPTER 4: TURN DATA INTO ASSETS................................................ 13
CHAPTER 5: INNOVATE BY RAPID EXPERIMENTATION.......................... 17
CHAPTER 6: ADAPT YOUR VALUE PROPOSITION................................... 19
CHAPTER 7: MASTERING DISRUPTIVE BUSINESS MODELS.....................20
, CHAPTER 1: The five domains of digital
transformation
Customers, Competition, Data, Innovation, Value
Powerful new digital technologies drive dramatic changes in customer behavior.
Once started, the digitization of a product, interaction, or medium becomes
irresistible. The old business model is invalidated, inflexible and unable to adapt,
the ‘dinosaur’ business gets wiped out.
Five domains of strategy that digital is changing
The impact of digitalization is big because it changes the constraints under which
practically every domain of business strategy operates. Digital technologies
change how we connect and create value with our customers. The relationship
is much more two-way: customers communication and reviews make them a
bigger influencer than advertisements or celebrities, and customers dynamic
participation has become a critical driver of business success.
The competitive assets may no longer reside in our own organization; rather,
they may be in a network of partners that we bring together in looser business
relationships. Digital technologies have changed our world most in how we think
about data. The biggest challenge today is turning the enormous amount of data
we have into valuable information. Digital technologies are also transforming the
ways that businesses innovate. Digital technologies enable us to continuous
testing and experimentation, processes that were inconceivable in the past. They
also force us to think differently about how we understand
and create for the customer. What customers value can
change very quickly.
Across these five domains, digital technologies are
redefining many of the underlying principles of strategy
and changing the rules by which companies must operate
in order to succeed.
Customers
The first domain of digital transformation is customers. Customers were seen as
aggregate actors to be marketed to and persuaded to buy. In the digital age, we
move towards a world best described by customer networks. Customers are
dynamically connected and interacting in ways that are changing their
relationships to business and to each other. Their use of digital tools is changing
how they discover, evaluate, purchase, and use products and how they share,
interact, and stay connected with brands.
Competition
The second domain is competition: how business compete and cooperate with
other firms. Traditionally, competition and cooperation were seen as binary
opposites. We are now moving to a world of fluid industry boundaries, one where
our biggest challengers may be asymmetric competitors – companies from the
from outside our industry that look nothing like us but that offer competing value
to our customers.
Data
DIGITAL
TRANSFORMATI
ON
Kevin de Boer
,Inhoudsopgave
CHAPTER 1: THE FIVE DOMAINS OF DIGITAL TRANSFORMATION.............2
CHAPTER 2: HARNESS CUSTOMER NETWORKS...................................... 4
CHAPTER 3: BUILD PLATFORMS, NOT JUST PRODUCTS......................... 10
CHAPTER 4: TURN DATA INTO ASSETS................................................ 13
CHAPTER 5: INNOVATE BY RAPID EXPERIMENTATION.......................... 17
CHAPTER 6: ADAPT YOUR VALUE PROPOSITION................................... 19
CHAPTER 7: MASTERING DISRUPTIVE BUSINESS MODELS.....................20
, CHAPTER 1: The five domains of digital
transformation
Customers, Competition, Data, Innovation, Value
Powerful new digital technologies drive dramatic changes in customer behavior.
Once started, the digitization of a product, interaction, or medium becomes
irresistible. The old business model is invalidated, inflexible and unable to adapt,
the ‘dinosaur’ business gets wiped out.
Five domains of strategy that digital is changing
The impact of digitalization is big because it changes the constraints under which
practically every domain of business strategy operates. Digital technologies
change how we connect and create value with our customers. The relationship
is much more two-way: customers communication and reviews make them a
bigger influencer than advertisements or celebrities, and customers dynamic
participation has become a critical driver of business success.
The competitive assets may no longer reside in our own organization; rather,
they may be in a network of partners that we bring together in looser business
relationships. Digital technologies have changed our world most in how we think
about data. The biggest challenge today is turning the enormous amount of data
we have into valuable information. Digital technologies are also transforming the
ways that businesses innovate. Digital technologies enable us to continuous
testing and experimentation, processes that were inconceivable in the past. They
also force us to think differently about how we understand
and create for the customer. What customers value can
change very quickly.
Across these five domains, digital technologies are
redefining many of the underlying principles of strategy
and changing the rules by which companies must operate
in order to succeed.
Customers
The first domain of digital transformation is customers. Customers were seen as
aggregate actors to be marketed to and persuaded to buy. In the digital age, we
move towards a world best described by customer networks. Customers are
dynamically connected and interacting in ways that are changing their
relationships to business and to each other. Their use of digital tools is changing
how they discover, evaluate, purchase, and use products and how they share,
interact, and stay connected with brands.
Competition
The second domain is competition: how business compete and cooperate with
other firms. Traditionally, competition and cooperation were seen as binary
opposites. We are now moving to a world of fluid industry boundaries, one where
our biggest challengers may be asymmetric competitors – companies from the
from outside our industry that look nothing like us but that offer competing value
to our customers.
Data
