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Capturing Digital Transformation: Path to Digital Leadership

We are living in a Digital Age. A robust Digital Transformation Strategy is today’s organization’s corporate armaments in remaining competitive.

Organizations that have excelled in Digital Transformation have one thing in common that distinguish them from the rest: their mastery of the 4 critical Business Ecosystems.

The 4 Critical Business Ecosystems

  1. Customer Solutions Ecosystem
  2. Operations Ecosystem
  3. Technology Ecosystem
  4. People Ecosystem

To achieve Digital Leadership, we need to master the 4 Business Ecosystems. A Digital Leader’s primary achievement is its ability to orchestrate and integrate the 4 Business Ecosystems. Yet based on the PwC survey in 2018, there are only 10% of the organizations that are Digital Leaders; Digital Leaders who have fully integrated the Customer Solutions, Operations, Technology, and People Ecosystems.

Being a Digital Leader

Digital Leaders view digitization in ways that are far reaching and aggressively innovative.

  • Digital Leaders successfully orchestrate and integrate the 4 Business Ecosystem layers.
  • Digital Leaders create an organizational environment that takes the greatest advantage of the opportunities from digitization.
  • Digital Leaders draw on internal and external partners and platforms to develop the 4 Business Ecosystems.
  • Digital Leaders master the art of integration and orchestration

Digital Leaders align their organizations around clear and coherent overall strategy that is made up of a value proposition and distinctive capabilities. While not all Digital Leaders are adept in each of the ecosystem, they advance their capabilities through the 4 Business Ecosystems.

Taking the 6-Step Approach

Mastering and managing the 4 Business Ecosystems requires following a 6-steps approach.  The 6-steps approach is a strategic journey towards an effective digital transformation.  Taking the step by step approach with deliberate speed will prevent our company from losing the First Mover advantage to competitors.

  1. Making the internal assessment.
  2. Defining your ecosystem vision and value proposition.
  3. Developing the Ecosystem Concept and Strategic Partnership Model
  4. Setting up an Ecosystem Governance, Investment, and Decision Board.
  5. Building the ecosystem capabilities.
  6. Harvesting the value of full ecosystem integration.

The final steps are essential to becoming Digital Leaders as it focuses on strengthening and sustaining the Integrated Business Ecosystem. The 6-step approach is an iterative approach to Digital Transformation Leadership. Essentially, mastering the 6 step approach is short of mastering the 4 Business Ecosystems.

Interested in gaining more understanding on Path to Digital Leadership?  You can learn more and download an editable PowerPoint about Path to Digital Leadership (in Digital Transformation) here on the Flevy documents marketplace.

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About Joseph Robinson

Joseph Robinson is the Vice President of Strategy at Flevy. Flevy is the marketplace for best practices in business management. Learn how the Fortune 100 and global consulting firms do it. Improve the growth and efficiency of your organization by leveraging Flevy's library of best practice methodologies and templates. The documents at Flevy (https://flevy.com) are of the same caliber as those produced by top-tier management consulting firms, like McKinsey, BCG, Bain, and Accenture. Most were developed by seasoned executives and consultants with 20+ years of experience. Flevy covers 200+ management topics, ranging from Digital Transformation to Growth Strategy to Lean Management. You can peruse a full list of management topics available on Flevy here. Prior to Flevy, Joseph worked as an Associate at BCG and holds an MBA from the Sloan School of Management at MIT. You can connect with Joseph on LinkedIn here.

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