Keynote talk from the E2.0 Summit in Paris, February 2015, laying out our thinking on how to create capability-driven goals and measures for Digital Transformation, such that change can become a gradual, everyday activity owned by managers and teams at all levels of the organisation

1. Towards the Quantified Organisation?
E2.0 Summit, Paris, February 2015
@LeeBryant

2. Our core team has pioneered the use of
social technology inside large firms since
2002, and we now work with corporate
clients to assist in developing new forms
of organisational structure and practice
to help create agile, responsive and
adaptable 21st Century firms.
POST*SHIFT

3. the state of E2.0 today?
photo by @DionHinchclife

4. #SocB iz
the state of E2.0 today?

5. #SocB iz
#DigitalTransformation
the state of E2.0 today?

6. labels don’t matter: this is where the magic happens

7. “Communications tools
don't get socially interesting
until they get
technologically boring.”
Clay Shirky

8. after the shift: what is beyond the ESN adoption plateau?

9. digital transformation: becoming a C21st business

10. social tech -> new org forms -> new ways of working

11. Wider Market
changing market dynamics demand new capabilities
ecosystem
organisation
Market composition
Customer behaviour
Technology
Products
‣ Cambrian explosion of startups
‣ Software is eating the world
‣ Rapid emergence of high scale markets
‣ Speed to scale is crucial
‣ Platforms and ecosystems
‣ Experience versus features
‣ Collaborative consumption
‣ Everything as a service
‣ Empowered customers
‣ Trust is the new brand
‣ Mass-customisation
‣ The attention economy
‣ Faster diffusion of innovation
‣ Ubiquitous collaboration
‣ Connectivity in everything
‣ Designing for hackability

12. how do we define and develop these new capabilities?

13. Structure
• Decentralised
• Resilient
• Adaptive & Emergent
• Networked
• Service-oriented
Culture
• Open
• Customer-centric
• Innovative
• Experience-led
• Passion & purpose
Practice
• Agile & Iterative
• Data-driven
• Collaborative
• Task-focused
• Podular
how do we define and develop these new capabilities?
“As a sales organisation we need
to offer an integrated experience
(not front-ends to a set of
separate silos working apart)
to grow key account value”

14. these dynamics also offer new ways to create value
Internal
Realm
Liminal
Spaces
Ecosystem
Internal Teams
External teams
new models:
‣ IoT, connected devices,
data and platforms
‣ everything as a service
‣ customer co-creation
and open innovation
‣ startup incubation and
ecosystem development

15. what capabilities do we need to operate new biz models?

16. Structure
• Decentralised
• Resilient
• Adaptive & Emergent
• Networked
• Service-oriented
Culture
• Open
• Customer-centric
• Innovative
• Experience-led
• Passion & purpose
Practice
• Agile & Iterative
• Data-driven
• Collaborative
• Task-focused
• Podular
what capabilities do we need to operate new biz models?
“As a hardware maker we need to
offer in-product software upgrades
(which extend the life of the
product and add new functionality)
to be more competitive”

17. In short: what kind of org do we need to be tomorrow?

18. social / digital can help grow new structures & capabilities

19. and they can help reduce hierarchical bureaucracy

20. but how can we measure transformation progress?

21. our current thinking on a capability-driven model

22. Is this another change programme? (no!)

23. crash diets (like change programmes) rarely sustain

24. ‘quantified self’ continual improvement works better

25. human sensor networks and the quantified organisation

26. transformation is about small changes, loosely joined

27. there is no perfect ‘target operating model’ end-point

28. this needs ‘sense & respond’ not ‘predict & control’

29. Laloux: organisations have an ‘evolutionary purpose’

30. let’s get transformation actions onto the weekly agenda

31. yes, it is true that we are still dancing with dinosaurs

32. yes, it is true that we are still dancing with dinosaurs

33. but firms want to be more agile and able to change

34. we need to find relevant organisational health measures

35. and guide our tech and change actions towards them

36. and guide our tech and change actions towards them
Recommended actions for
digital transformation:
‣ tailored to different domains
of the business: strategic,
process & use case levels
‣ closely aligned to existing
business strategy priorities
‣ oriented towards creating
identified future capabilities
‣ organised in sprints and
iterative mini-projects

37. transition strategies are important to make progress

38. transition strategies are important to make progress
Some basic advice:
‣ develop and support your
coalition of change agents
‣ start with fixed org. chart
points and build new agile
structures around them
‣ create protected spaces for
new networked structures
‣ devise workarounds for
planning, evaluation,
procurement, HR and other
fixed processes

39. maybe will see the emergence of quantified org apps?

40. in summary

41. in summary
An outline for capability-driven digital transformation:
1. Understand how changing market dynamics impact the biz
2. What organisational capabilities do these require?
3. Express capabilities as ‘agile user stories’ for the org
4. Define what success looks like and find relevant measures
5. Give each manager, each team oversight of their structure
6. Separate ‘what’ and ‘how’ in targets - let teams decide ‘how’
7. Align E2.0 and change efforts to develop these capabilities
8. Involve everyone in organisational self-awareness / change
9. Develop your guiding coalition and align on purpose
10. Do -> observe -> think; sense and respond; rinse and repeat

42. thank you

43. CONTACT US
info@postshift.com
FIND US
Our blog: www.postshift.com/blog
SlideShare: http://www.slideshare.net/Postshift
Twitter: @Postshift
POST*SHIFT

44. https://www.flickr.com/photos/certified_su/229016531
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image credits