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Relevance: The Beating Heart of a Living Business

How to achieve growth at a time of unprecedented disruption

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Relevance: The Beating Heart of a Living Business

  1. 1. Achieving sustainable growth through hyper-relevance RELEVANCE: THEBEATING HEARTOFA LIVINGBUSINESS
  2. 2. 68% more likely for relevant com- panies to be recommend to friends and family 25% of customers would cease doing business with irrelevant companies 64% of brand switches driven by lack of relevance lostinpotential revenuein 2017duetobrandswitching intheUSalone $1 trillion
  3. 3. of executives representing the highest- performing organizations agree “customerexpectationsare increasinglyshapedbythemost relevant,real-time,anddynamic experiences.” 90% Those at lower performing companies were 20% less likely to agree ! Highperformers aremorelikelyto understandandact onthesechanges highest- performing organizations “customerexpectationsare increasinglyshapedbythemost relevant,real-time,anddynamic 20% understandandact
  4. 4. of high performers believe their business needs a “muchmoreiterative,dynamic, agileapproachtodoingbusiness comparedtothreeyearsago.”84% agreed that “businessreinventionis requiredtobesuccessfulintoday’s context.” 89% Among lower-performing organizations, 67% agreed ! Highperformerswere farmoreadeptat bridgingthegapbetween knowledgeofwhatis neededtosucceedand achievingit.The knowledge-achievement gapamongother companieswasupto seventimesgreater.
  5. 5. 50% Fivecapabilitysetsdrivehyper-relevance Our research of over 1000 companies finds “high vitality” companies that excel at these five capability sets are: Rewire culture and workforce by infusing a powerful mindset that keeps customers at the core. Target core and disruptive growth initiatives. Design products and services as hyper-relevant platforms. Build, prototype and scale new and innovative experiences. Scale a broad and essential set of ecosystem partners. more likely to report a strong readiness to weather business cycles and disruptions than low vitality companies in their industry. as likely to achieve above- average revenue and profitable growth. TIMES 3
  6. 6. Wecallthesecompanies“LivingBusinesses” They are all dedicated to: Theseorganizationsconsistentlydeliverintelligent experiencesandareengagedinresponsive innovation. Consistentlydeliveringintelligent experiences Engaginginresponsiveinnovation Becominganagileorganism,with operating models that have done away with internal siloes so pertinent knowledge can be accessed when needed, resulting in swift and confident decision-making 1 2 3
  7. 7. About Accenture Accenture is a leading global professional services company, providing a broad range of services and solutions in strategy, consulting, digital, technology and operations. Combining unmatched experience and specialized skills across more than 40 industries and all business functions—underpinned by the world’s largest delivery network—Accenture works at the intersection of business and technology to help clients improve their performance and create sustainable value for their stakeholders. With approximately 442,000 people serving clients in more than 120 countries, Accenture drives innovation to improve the way the world works and lives. Visit us at www.accenture.com Copyright © 2018 Accenture. All rights reserved. Accenture, its logo, and High Performance Delivered are trademarks of Accenture. About the Research In 2017 and 2018, Accenture Research surveyed over 1000 top executives, including 195 CEOs, at companies spanning more than 10 industries and with headquarters in 28 different countries. The survey asked about the extent to which customer relevance is driving their company’s growth outcomes, and also asked respondents to assess their company’s capabilities in terms of becoming and staying hyper-relevant to customers. We used this information to assign each company a “Vitality Score,” and, using both self-reported performance data and public financial data, we developed a model that links Vitality with firm performance. Separately, as part of Accenture’s annual Global Consumer Pulse Survey, we asked over 23,000 consumers, representing 33 countries and commenting on more than eight different industries, about what makes companies and brands relevant to them, We also found out how their perception of a brand’s relevance drives their purchasing behaviors.