The Roadmap to Digitalization – Episode 4: Research Project «Digital Corporate Roadmapping»

Digital transformation or digitalization is widely discussed today. Digitalization offers an abundance of products based on new technologies and technological platforms that possess the capability to reshape business processes, organizational structures and ways of working. This, thus, holds the power to reshape complete business models or even overall market situations.

Numerous magazine and research articles, books and conferences on digitalization cannot disguise the fact (they rather underline) that digitalization still is a novel concept. Decision-makers struggle with the question what this concept means for their department, product or business and which measures need to be taken.

We as a consultancy company are called upon to put a great deal into researching digitalization. We already wrote about findings from a study in our recent episode. Today, we would like to continue introducing you to our research activities.

Research project «Digital Corporate Roadmapping»

For almost all sectors in business opportunities for changeover and redesign are offered by digitalization (e.g. data storage and processing technologies for big data analytics, web-based application platforms for the realization of elaborate cloud strategies, sensors, processing and analytics for predictive maintenance, methodologies for agile [project] management).

But how can organizations put these opportunities into practice? How does an organization start adequately into this comprehensive subject? Which areas of the organization should the CIO put focus on in concrete proposals?

In our research project «Digital Corporate Roadmapping» we would like to identify these areas of concern where companies see the greatest need for action. From this we would like to develop an approach for the coordination and control of digitalization activities in companies, a “digital roadmap”.

We will use the result from the research project to improve and amend our roadmapping approach we presented in our first digitalization blog episode. The approach is primarily intended for CIOs. It is intended to help them to develop concrete options for the digitization of their organization. It will enable them to support the business in the identification of new business models.

As a „digital roadmap“ is only reliable if it comprises practical insights of those involved in digitalization, we will conduct expert interviews – e.g. with CIOs, enterprise architects, demand managers, business developers – with organizations from various sectors (automotive, energy, pharmaceuticals, etc.) within our study. Participants will benefit in two ways:

  • They will receive the complete results of the research project exclusively in written form. This will give them an insight into the developments on this current topic in general and in their respective business sector.
  • We will provide them with the results in a digitalization workshop in detail and discuss with them the implications for their organization.

Works on the study have already started and interviews will begin shortly. Evaluation and publication of the results is expected to happen in March or April 2017. We hope to share some of the results with you in the blog in early summer.

Interested? If you are interested in digitalization and Enterprise Architecture Management or in participating in our research project, please, contact us: sales(at)cti-consulting.de. For further information, please, also visit our website.

The Road to Digitalization – Episode 3: Digital Practice

Digital transformation or digitalization is a widely (and wildly) discussed topic these days. Digitalization does not only offer an abundance of opportunities to reshape processes with new technology. It rather promises to change your company completely based on (data-driven) business models.

While we wrote about the general approach to digitalization and the Smart Scan for application architecture evaluation in the first two episodes, we would like to share some insights from practice with you today.

Market Study on Digitalization

In the above episodes we have already emphasized the importance of business strategy for each digitalization effort. Digitalization used solely as a means of introducing some arbitrary new technology to an organization grossly misinterprets the idea of the digital transformation. Digitalization will only have room for development when it is used to rethink and then reshape one’s business strategy and business model.

In order to get some ideas and directions on how to shape a business model in particular we conducted a study into the ways companies are addressing digitalization these days.

The study was realised by a team of students of the University of Applied Sciences and Arts Hanover (Germany). They investigated 18 German and international companies from various industrial sectors (automotive, engineering, retail). The investigation was based on publicly available material about the companies; with one company an interview was conducted.

Study Results (excerpt)

All companies show that simply selling the product that has been produced for years does not work any more. They both create new products (13 out of 18) and enhance existing products (5 out of 18).

New products are often software services, designed as a platform and offered in the cloud. These efforts direct to the transparency of data:

  • Data from the original products (i.e. from a farmer’s harvester) are gathered, collected in the cloud and made available to the customer (i.e. the farmer) for better planning of work (i.e. the deployment of harvesters or grubbers or the analysis of work based on KPIs).
  • This is supplemented by adding more data sources to the cloud platform (i.e. from seed or fertilizer manufacturers).

Having established a platform like this, enhancements are possible in order to build an eco system of products and services around the original product: One engineering company from the sample usually sells sensors and the like, amongst others sensors for cars and car parks that are used by its customers to build parking management solutions. Data from the sensors are pushed to the company’s own cloud platform where it also offers an app one can use to retrieve the sensor data (e.g. to find a vacant lot).

It seems as if all of the examined companies are still struggling with digitalization, looking for the right initiative to realize and the right overall strategic way to go. In connection with that it is apparent that there is a lot of work to be done “on the inside”: speaking of business processes and data management. Customers will notice quickly if a new app is only some “digital front” or truly provides added value to them.

 

But apart from all digitalization efforts and business model discussions: Merry Christmas and a Happy New Year 2017!

Would you like to know more…? If you’re interested in the big picture, refer to the first episode of our digitalization blogs, for a quick-start check out the second episode. In the next episode we plan to give you an introduction to the innovation phase of our Digital Roadmap approach.

Interested? Please, contact us: sales(at)cti-consulting.de. For further information, please, visit our website.

The Roadmap to Digitalization – Episode 2: Smart Scan for Digitalization

Digital transformation or digitalization is a widely (and wildly) discussed topic these days. Digitalization does not only offer an abundance of opportunities to reshape processes with new technology. It rather promises to change your company completely based on (data-driven) business models.

In our first episode on digitalization we proposed a general process for the creation of the Digital Roadmap. Today we would like to go deeper: How do I quickly analyze my existing IT landscape? How do I identify main strategic directions for my applications? To answer these questions, we propose a “Smart Scan for Digitalization”:

Smart Scan for Digitalization

We often ask our potential customers one question: Do you know you IT landscape, do you have transparency about its components and applications – and have you assessed your applications in terms of business criticality, strategy fit, cloud readiness, etc.? Without a positive answer no digitalization efforts are advised. Only knowledge about the as-is IT landscape allows to derive meaningful strategic options for applications to be incorporated in the Digital Roadmap.

“Smart Scan for Digitalization” is a means to get the above question answered. It comprises four steps:

  1. Capture business capabilities: First, a capability model of your business is created (with the aid of established industry-specific reference models).
  2. Capture application portfolio: The most important and critical of your applications are collected (using standardized Excel sheets or web-based surveys).
  3. Link business capabilities with applications: Linking both information shows which applications support which business capabilities or – put the other way round – which business capabilities depend on which applications to be performed (see an example from the Alfabet Enterprise Architecture Management tool below).digitalization-02-business-support-map
  4. Analyze and evaluate gathered data: Using matrix and graphical report capabilities different strategic options for the applications are identified – it may e.g. be useful to rethink and improve business processes (and their IT support) for core competencies rather than for commodities which in turn could be standardized and/or moved into the cloud.

The results of all steps are collected in an Enterprise Architecture Management tool, e.g. Alfabet or leanIX. This means all information about the IT landscape is stored in one place (single point of truth about the architecture) and is saved in a structured way using a meta model (consistent data).

“Smart Scan for Digitalization” is intended for CIOs to prepare for talks with the business side, especially when it comes to consequences to be drawn from digitalization and recommendations for the business.

Would you like to know more…? If you’re interested in the big picture, refer to the first episode of our digitalization blogs. There will be more episodes in the future. Next time, we’ll present the findings from an investigation we undertook with a school of applied sciences into the ways companies are addressing digitalization these days.

Interested? Please, contact us: sales(at)cti-consulting.de. For further information, please, visit our website.

SUCCESS STORY – Service Portfolio Management with alfabet: First Implementation successfully completed!

First implementation of alfabet’s service portfolio management module at one of our customers is now completed.

The customer manages e.g. the following information in alfabet:
– services and interdependencies between services
– service descriptions
– roles and responsibilities
– service lifecycle
– service costs and cost centers
– service prices for different countries

Interested? Please contact us: info(at)cti-consulting.de

itsm_guidepage

The Roadmap to Digitalization

Digital transformation or digitalization is a widely (and wildly) discussed topic these days. Digitalization does not only offer an abundance of opportunities to reshape processes with new technology. It rather promises to change your company completely based on (data-driven) business models.

But: How are you going to tackle that abundance of opportunities? How do you define your new business models in an orderly fashion? Do you know how your current enterprise architecture supports your business model? And what needs to be done with your enterprise architecture in order to facilitate new digital business models?

These are the questions we would like to discuss in this and some upcoming articles. Today, we start with “the Digital Roadmap”.

The Digital Roadmap

Digitalization involves the danger to start with some quick initiatives (e.g. develop some “fancy” business apps) without taking a look at the big picture: Digitalization is always about business models and company strategy!

In ordert to address that, we use a four-step approach and a joint text document called “the Digital Roadmap”:

  1. Kick-off: Scope the project with the CIO and define first strategic directions
  2. Analysis phase: Evaluate the company’s situation (enterprise architecture, market situation, business processes etc.)
  3. Innovation phase: Collect ideas and develop business models in idea workshops and prepare project proposals for process improvements
  4. Governance: Establish the digital roadmapping process in the company

All activities from the four steps are recorded in “the Digital Roadmap”. All meetings, workshops etc. are collected in a timeline diagram with their (expected) outcome and associated realization projects (see the example below):digitalization-01-roadmap-template

“The Digital Roadmap” allows you to keep track of your “digital” activities, unite ideas from all corners of your company in business models and plan and control projects emanating from these business models.

Would you like to know more…? In the following article we would like to present a methodology for a quick evaluation of your company’s enterprise architecture. Hope, you stay interested and follow the discussion: What are the topics you discuss concerning digital transformation and digitization? Which question do you have when it comes to Enterprise Architecture Management and digitalization? Looking forward to reading your comments!

Interested? Please, contact us: sales(at)cti-consulting.de. For further information, please, visit our website.

CTI is leanIX certified Partner!

certified

CTI has successfully completed the official certification program for leanIX certified Partners.

The bigger part of the IT Management Consulting Team is now certified.

CTI continues it’s strategy to integrate Enterprise Architecture Management knowledge with in-deepth tool know how.

Information about the standard interface between CTI’s Landscape Analyzer for SAP and leanIX is to be found here.

The photo shows several CTI Consultants with the leanIX Partner Manager Dominik Rose at CTI’s office in Kassel, Germany.

certification

 

For further information please visit our homepage.