You are on page 1of 29

Digital (R)evolution: Strategies to

Accelerate Business Transformation


Yuri B. Aguiar [Yuri B. Aguiar]
Visit to download the full and correct content document:
https://ebookmass.com/product/digital-revolution-strategies-to-accelerate-business-tr
ansformation-yuri-b-aguiar-yuri-b-aguiar/
Table of Contents
COVER
FOREWORD
PREFACE

Definition of Work Is Changing


Do Not Ignore the Emotional Component
Ecosystems of Disruption
Hope for the Best, Prepare for the Worst

ACKNOWLEDGMENTS
Chapter 1: Drivers of Change

Brass Ring or Black Hole?


Mechanics of Transformation
Levels of Transformation
On the Ground and in the Trenches

Chapter 2: Focus and Discipline

Brace for Impact


Chapter 3: Idea Incubation

Overcoming the Natural Inclination to Avoid


Risk
You Can't Just Wing It
Inside the Incubator
The QRate Template
Lessons from the Field

Chapter 4: Operational Excellence

Learning from Data


Earning Trust and Building Confidence
Response Time vs. Resolution Time

Chapter 5: Customer-Driven Change

Digital Alchemy
Automated Customer Services
Basic Principles of Transformation
Know Thyself
Real-World Examples and War Stories

Chapter 6: Strategy vs. Execution


A Blend of Science and Sentiment
Setting Strategy

Chapter 7: Hire Captains, Not Kings or Queens

The Kid in the Corner


The Man with Blue Hair
The Receptionist
Neha and Rahul

Chapter 8: Integrated Ecosystems

Making the Case for Collaboration


Don't Make Assumptions
When Life Gives You Lemons…
Communities of Practice
Social and Collaboration Tools
Innovation Targets
Key Success Factors
Great Execution Eats Strategy for Lunch!
Lessons Learned on Execution
Dealing with an Informed and Intelligent
Audience
Dealing with a Knowledgeable Audience
Global Research Use Case
More Lessons Learned: When Business Strategy
Is the Only Driver of Transformation
Using Machine Learning to Solve the
Information Overload Challenge
The Future of Collaboration

Chapter 9: Digital Proficiency and Innovation

Here Come the Robots


A Long and Winding Road
Innovation and the Agility Paradox

Chapter 10: Are You “Digitally Determined” or


“Digitally Distraught”?

Why Digital Transformation Seems Confusing


Agent of Change
Three Fundamental Objectives
Key Strategic Elements and Success Factors
Forging a Transformation Reality
Determined or Distraught?
Tone from the Top
Notes

Chapter 11: Use Case: The Smart City


An Infinite Universe of Moving Parts
Safety First
Six Areas of “Smartness”
Four Stages of Evolution
Note

Chapter 12: Looking Ahead: Runway or Precipice?

Artificial Intelligence
Blockchain
Robotics
Virtual Reality
Big Data
Cloud
Internet of Things
Marketing Automation and Programmatic
Advertising
Don't Get Fooled Again…

Chapter 13: AI: The Elephant in the Room

What Artificial Intelligence Is and Isn't


Adaptive Business Process Transformation
Debunking Myths About Artificial Intelligence
Finding Needles in Haystacks
Will AI Replace Your Employees?
Is There a Difference Between AI and Data
Science?
Skills You Need to Become a Data Scientist
AI is Part of the Emerging DARQ Stack
Notes

AFTERWORD

Data about Digital Transformation


Tools and Techniques
Digital Identity
Note

ABOUT THE AUTHOR


INDEX
END USER LICENSE AGREEMENT

List of Illustrations
Chapter 2

Figure 2.1 Urgent vs. Important matrix.


Figure 2.2 Urgent vs. Important matrix with
examples.

Chapter 3

Figure 3.1 The QRate Model.

Figure 3.2 Actions by audience segmentation.


Figure 3.3 Managing adoption rates through
better issue resolution.

Chapter 4

Figure 4.1 Bottom-up approach to service


quality.

Chapter 9

Figure 9.1 The SMART business and digital


transformation method.

Chapter 10

Figure 10.1 Perception and Truth matrix.

Figure 10.2
DIGITAL (R)EVOLUTION

Strategies to Accelerate Business


Transformation

YURI AGUIAR
© 2020 by John Wiley & Sons, Inc. All rights reserved.

Published by John Wiley & Sons, Inc., Hoboken, New Jersey.

Published simultaneously in Canada.

No part of this publication may be reproduced, stored in a retrieval system,


or transmitted in any form or by any means, electronic, mechanical,
photocopying, recording, scanning, or otherwise, except as permitted under
Section 107 or 108 of the 1976 United States Copyright Act, without either
the prior written permission of the Publisher, or authorization through
payment of the appropriate per-copy fee to the Copyright Clearance Center,
Inc., 222 Rosewood Drive, Danvers, MA 01923, (978) 750–8400, fax (978)
646–8600, or on the Web at www.copyright.com. Requests to the Publisher
for permission should be addressed to the Permissions Department, John
Wiley & Sons, Inc., 111 River Street, Hoboken, NJ 07030, (201) 748–6011,
fax (201) 748–6008, or online at www.wiley.com/go/permissions.

Limit of Liability/Disclaimer of Warranty: While the publisher and author


have used their best efforts in preparing this book, they make no
representations or warranties with respect to the accuracy or completeness
of the contents of this book and specifically disclaim any implied warranties
of merchantability or fitness for a particular purpose. No warranty may be
created or extended by sales representatives or written sales materials. The
advice and strategies contained herein may not be suitable for your
situation. You should consult with a professional where appropriate.
Neither the publisher nor author shall be liable for any loss of profit or any
other commercial damages, including but not limited to special, incidental,
consequential, or other damages.

For general information on our other products and services or for technical
support, please contact our Customer Care Department within the United
States at (800) 762–2974, outside the United States at (317) 572–3993, or
fax (317) 572–4002.
Wiley publishes in a variety of print and electronic formats and by print-on-
demand. Some material included with standard print versions of this book
may not be included in e-books or in print-on-demand. If this book refers to
media such as a CD or DVD that is not included in the version you
purchased, you may download this material at
http://booksupport.wiley.com. For more information about Wiley products,
visit www.wiley.com.

Library of Congress Cataloging-in-Publication Data:

Names: Aguiar, Yuri, author.

Title: Digital (r)evolution : strategies to accelerate business transformation /


Yuri B Aguiar.

Description: First Edition. | Hoboken : Wiley, 2020. | Includes index.

Identifiers: LCCN 2019053582 (print) | LCCN 2019053583 (ebook) | ISBN


9781119619734 (hardback) | ISBN 9781119619741 (adobe pdf) | ISBN
9781119619789 (epub)

Subjects: LCSH: Business enterprises—Technological innovations. |


Information technology—Management. | Strategic planning.

Classification: LCC HD45 .A4768 2020 (print) | LCC HD45 (ebook) | DDC
658.4/06—dc23

LC record available at https://lccn.loc.gov/2019053582

LC ebook record available at https://lccn.loc.gov/2019053583

Cover Design: Wiley/Aaron Aguiar

Cover Image: © imaginima/Getty Images


For Lynn, who taught me resilience

For Aaron and Brandon, who inspire me every day

For my parents, who taught me the value of hard work

For my grandmother, my role model growing up

For family and friends who were always there through the
good times and otherwise
FOREWORD
Waterwheels transformed agriculture and electricity
transformed manufacturing. Today, digital technologies are
transforming everything.

The scope of this transformation is truly astonishing. It's not


surprising that many companies find the challenges of digital
business transformation overwhelming. That's why this book is
so important. It's a practical guide for navigating the rough
waters ahead of us.

This book is also a potent reminder that genuine


transformation is always about people and about providing
tangible opportunities for real growth. Transformation is a
process, and it moves along a fairly predictable path. This book
will help you stick to the path and not get distracted.

From my perspective, transformation enables and empowers


companies to utilize both customer data and performance data
to create new revenue lines that are both vertically and
horizontally integrated. Transformation sets the stage for
creating new business models and new forms of commerce.

Digital transformation is necessary for success and survival in


today's economy, since every company can be considered a
technology company and a potential competitor. The explosion
of digital technology has opened the floodgates for new
entrants in every sector of the global economy, putting every
established incumbent and legacy organization at risk.

The prime example of this phenomenon is Amazon, whose


brilliant use of data analytics completely disrupted the retail
industry. There's a harsh lesson to be learned from Amazon's
rise: if existing companies neglect to embrace digital
technology, new entrants will certainly attempt to disrupt their
business models.

The rapid success of Amazon and other digital disruptors has


left many executives in a state of shock. Many organizations
seem overwhelmed by the sheer scale of change they face. From
the perspective of a traditional company, the challenges can
appear insurmountable.

When people feel helpless, they often make rash decisions that
prove untenable over time. In their rush to “do something,”
they make mistakes. Aiming for short-term victories, they
sacrifice strategic goals. Reading this book will help you
overcome whatever natural sense of panic you might be feeling.
This book will help you slow down and thoughtfully consider
the logical steps of business transformation.

From my perspective, the best approach is setting reasonable


milestones and focusing on incremental gains. Establish
measurable and specific key performance indicators (KPIs),
benchmarks or milestones that will guide you gradually toward
success.

Don't just say, “We want transformation.” Instead, decide what


transformation looks like to you and how you will get there.
Develop a plan ahead of time and stick to it—but don't be afraid
to update it as you move along your transformation journey.
Cultivate trusted partners to help you execute. Revisit your
transformation strategy regularly to keep growing far into the
future.

The power of technology is both exciting and compelling.


Helping other people recognize what an effective strategy can
create for them and seeing them getting excited about it—that's
a great feeling.

We all love to read and hear about success stories, where


everything works. This book will help you and your
stakeholders write your own success stories.

Some people ask me, “What's next? What comes after


transformation?” Frankly, I believe the next big challenge will
be answering the same questions that successful, forward-
thinking companies have always been asking:

How can we provide further opportunities for our


employees, our experts, our leaders, and our creative
thinkers to grow and develop?
How can we strengthen the relationship between the
corporation and the people it serves, its employees, and
the larger community?

These basic questions haven't changed—the best companies are


always looking toward the future. What will change, however,
are the ways we work toward achieving our goals, using the
knowledge and resources available to us through digital
business transformation.

This book is an important step toward achieving a better


future, and I am confident that you will enjoy reading it.

CEO, Alphaserve TechnologiesArup Das


PREFACE
We've all heard and read that digital transformation is
changing our lives. But how precisely are we being
transformed? Which aspects of our lives are changing and why
does digital transformation matter? Why should you read this
book? More specifically, why should you read this book right
now?

Digital transformation and digital disruption are urgent


concerns for all of us, all over the world. Together they have
become an inexorable force of nature. Even if your organization
is operating smoothly and hitting its numbers today, I can
guarantee you will experience transformation and disruption in
the near future.

Elon Musk talks about sending people to Mars. On every


imaginable level, the act of colonizing another planet would
profoundly transform human culture. Yet we are already deep
into the process of transforming humanity.

For the past 100 years, we have been shifting steadily from a
culture based primarily on physical labor to a culture based
primarily on intellectual labor. In recent decades, the shift has
been accelerated by the availability of high-speed computing
and broadband communications networks, and by the
emergence of data science techniques that have led to the
development of practical artificial intelligence.

Soon, the knowledge workers who replaced physical laborers


will be at risk of being replaced by AI bots. With alarming
speed, we are transitioning from a carbon-based to a silicon-
based civilization. This transformation is not a trivial matter.

Definition of Work Is Changing


Within an extremely brief span of time, everything we think of
as “work” will be performed by physical or digital robots
(scripts) guided by artificial intelligence. Any kind of repetitive
task that can be automated will be automated. For human
beings, work will become a blend of complex abstract reasoning
and pure creativity. In other words, people will only do work
that machines are incapable of performing.

What kind of work will we do? Anything that requires


creativity, imagination, tenderness, affection, empathy, or love.
We will be creators, innovators, inventors, entrepreneurs,
artists, poets, teachers, athletes, gamers, healers, caregivers
and lifelong learners.

This is not science fiction or fanciful thinking. We're no longer


on the cusp of a new era. We are experiencing the opening act
of a fundamental shift. Some parts of the world will arrive at
this future state sooner than others. But this is our shared
destiny, and we need to prepare for it.

That's the big picture, in broad strokes. The rest of this book is
about the details of getting from our present state to our digital
future. This book is neither a roadmap nor a theoretical
treatise. It falls somewhere in between.

I'm perturbed by pundits who make false comparisons between


the digital transformation we're facing today and
transformations of the past. The digital disruption I'm writing
about will shake the foundations of society. It will truly rock
our world and change our lives. Most of those changes will be
for the better. But many of the changes will leave us feeling lost
and confused.

Digital transformation will create millions of new jobs. From a


global perspective, I am optimistic and enthusiastic about our
future. Yet I am also a realist, and I know that transformation
will eliminate jobs and disrupt the careers of people in many
sectors of the global economy.

“A digital tsunami is coming,” says Chetan Dube, a thought


leader in artificial intelligence and the chief executive officer of
IPsoft. “Overall, it's a benign tsunami. But it's like a 100-foot
wall of water coming toward us. It will sweep away many of the
ordinary chores and tasks we do at work. It will remove
drudgery from our lives, freeing us to become our best and
most creative selves. But we cannot simply sit on the beach and
wait for the tsunami to hit us. We must prepare. We must move
to higher ground.”

Do Not Ignore the Emotional


Component
Moving to higher ground requires leaving behind anything that
isn't required for immediate survival. As leaders of
transformation, it's our responsibility to help people overcome
the emotional obstacles they will invariably face as they shed
their old work habits and adopt new methods for achieving
their goals in the modern workplace.

The process of moving from the familiar past into an unknown


future is difficult, to say the least. Ignoring the emotional
component would be a sign of poor leadership, and a clear
invitation to failure.

I had a wonderful conversation with my friend and colleague,


Ben Richards. Ben is the worldwide chief strategy officer at
Ogilvy, and he has vast experience helping major brands that
are grappling with business transformation strategies.

Here's a brief summary of what Ben told me:


Another random document with
no related content on Scribd:
1.E.6. You may convert to and distribute this work in any binary,
compressed, marked up, nonproprietary or proprietary form,
including any word processing or hypertext form. However, if you
provide access to or distribute copies of a Project Gutenberg™ work
in a format other than “Plain Vanilla ASCII” or other format used in
the official version posted on the official Project Gutenberg™ website
(www.gutenberg.org), you must, at no additional cost, fee or expense
to the user, provide a copy, a means of exporting a copy, or a means
of obtaining a copy upon request, of the work in its original “Plain
Vanilla ASCII” or other form. Any alternate format must include the
full Project Gutenberg™ License as specified in paragraph 1.E.1.

1.E.7. Do not charge a fee for access to, viewing, displaying,


performing, copying or distributing any Project Gutenberg™ works
unless you comply with paragraph 1.E.8 or 1.E.9.

1.E.8. You may charge a reasonable fee for copies of or providing


access to or distributing Project Gutenberg™ electronic works
provided that:

• You pay a royalty fee of 20% of the gross profits you derive from
the use of Project Gutenberg™ works calculated using the
method you already use to calculate your applicable taxes. The
fee is owed to the owner of the Project Gutenberg™ trademark,
but he has agreed to donate royalties under this paragraph to
the Project Gutenberg Literary Archive Foundation. Royalty
payments must be paid within 60 days following each date on
which you prepare (or are legally required to prepare) your
periodic tax returns. Royalty payments should be clearly marked
as such and sent to the Project Gutenberg Literary Archive
Foundation at the address specified in Section 4, “Information
about donations to the Project Gutenberg Literary Archive
Foundation.”

• You provide a full refund of any money paid by a user who


notifies you in writing (or by e-mail) within 30 days of receipt that
s/he does not agree to the terms of the full Project Gutenberg™
License. You must require such a user to return or destroy all
copies of the works possessed in a physical medium and
discontinue all use of and all access to other copies of Project
Gutenberg™ works.

• You provide, in accordance with paragraph 1.F.3, a full refund of


any money paid for a work or a replacement copy, if a defect in
the electronic work is discovered and reported to you within 90
days of receipt of the work.

• You comply with all other terms of this agreement for free
distribution of Project Gutenberg™ works.

1.E.9. If you wish to charge a fee or distribute a Project Gutenberg™


electronic work or group of works on different terms than are set
forth in this agreement, you must obtain permission in writing from
the Project Gutenberg Literary Archive Foundation, the manager of
the Project Gutenberg™ trademark. Contact the Foundation as set
forth in Section 3 below.

1.F.

1.F.1. Project Gutenberg volunteers and employees expend


considerable effort to identify, do copyright research on, transcribe
and proofread works not protected by U.S. copyright law in creating
the Project Gutenberg™ collection. Despite these efforts, Project
Gutenberg™ electronic works, and the medium on which they may
be stored, may contain “Defects,” such as, but not limited to,
incomplete, inaccurate or corrupt data, transcription errors, a
copyright or other intellectual property infringement, a defective or
damaged disk or other medium, a computer virus, or computer
codes that damage or cannot be read by your equipment.

1.F.2. LIMITED WARRANTY, DISCLAIMER OF DAMAGES - Except


for the “Right of Replacement or Refund” described in paragraph
1.F.3, the Project Gutenberg Literary Archive Foundation, the owner
of the Project Gutenberg™ trademark, and any other party
distributing a Project Gutenberg™ electronic work under this
agreement, disclaim all liability to you for damages, costs and
expenses, including legal fees. YOU AGREE THAT YOU HAVE NO
REMEDIES FOR NEGLIGENCE, STRICT LIABILITY, BREACH OF
WARRANTY OR BREACH OF CONTRACT EXCEPT THOSE
PROVIDED IN PARAGRAPH 1.F.3. YOU AGREE THAT THE
FOUNDATION, THE TRADEMARK OWNER, AND ANY
DISTRIBUTOR UNDER THIS AGREEMENT WILL NOT BE LIABLE
TO YOU FOR ACTUAL, DIRECT, INDIRECT, CONSEQUENTIAL,
PUNITIVE OR INCIDENTAL DAMAGES EVEN IF YOU GIVE
NOTICE OF THE POSSIBILITY OF SUCH DAMAGE.

1.F.3. LIMITED RIGHT OF REPLACEMENT OR REFUND - If you


discover a defect in this electronic work within 90 days of receiving it,
you can receive a refund of the money (if any) you paid for it by
sending a written explanation to the person you received the work
from. If you received the work on a physical medium, you must
return the medium with your written explanation. The person or entity
that provided you with the defective work may elect to provide a
replacement copy in lieu of a refund. If you received the work
electronically, the person or entity providing it to you may choose to
give you a second opportunity to receive the work electronically in
lieu of a refund. If the second copy is also defective, you may
demand a refund in writing without further opportunities to fix the
problem.

1.F.4. Except for the limited right of replacement or refund set forth in
paragraph 1.F.3, this work is provided to you ‘AS-IS’, WITH NO
OTHER WARRANTIES OF ANY KIND, EXPRESS OR IMPLIED,
INCLUDING BUT NOT LIMITED TO WARRANTIES OF
MERCHANTABILITY OR FITNESS FOR ANY PURPOSE.

1.F.5. Some states do not allow disclaimers of certain implied


warranties or the exclusion or limitation of certain types of damages.
If any disclaimer or limitation set forth in this agreement violates the
law of the state applicable to this agreement, the agreement shall be
interpreted to make the maximum disclaimer or limitation permitted
by the applicable state law. The invalidity or unenforceability of any
provision of this agreement shall not void the remaining provisions.
1.F.6. INDEMNITY - You agree to indemnify and hold the
Foundation, the trademark owner, any agent or employee of the
Foundation, anyone providing copies of Project Gutenberg™
electronic works in accordance with this agreement, and any
volunteers associated with the production, promotion and distribution
of Project Gutenberg™ electronic works, harmless from all liability,
costs and expenses, including legal fees, that arise directly or
indirectly from any of the following which you do or cause to occur:
(a) distribution of this or any Project Gutenberg™ work, (b)
alteration, modification, or additions or deletions to any Project
Gutenberg™ work, and (c) any Defect you cause.

Section 2. Information about the Mission of


Project Gutenberg™
Project Gutenberg™ is synonymous with the free distribution of
electronic works in formats readable by the widest variety of
computers including obsolete, old, middle-aged and new computers.
It exists because of the efforts of hundreds of volunteers and
donations from people in all walks of life.

Volunteers and financial support to provide volunteers with the


assistance they need are critical to reaching Project Gutenberg™’s
goals and ensuring that the Project Gutenberg™ collection will
remain freely available for generations to come. In 2001, the Project
Gutenberg Literary Archive Foundation was created to provide a
secure and permanent future for Project Gutenberg™ and future
generations. To learn more about the Project Gutenberg Literary
Archive Foundation and how your efforts and donations can help,
see Sections 3 and 4 and the Foundation information page at
www.gutenberg.org.

Section 3. Information about the Project


Gutenberg Literary Archive Foundation
The Project Gutenberg Literary Archive Foundation is a non-profit
501(c)(3) educational corporation organized under the laws of the
state of Mississippi and granted tax exempt status by the Internal
Revenue Service. The Foundation’s EIN or federal tax identification
number is 64-6221541. Contributions to the Project Gutenberg
Literary Archive Foundation are tax deductible to the full extent
permitted by U.S. federal laws and your state’s laws.

The Foundation’s business office is located at 809 North 1500 West,


Salt Lake City, UT 84116, (801) 596-1887. Email contact links and up
to date contact information can be found at the Foundation’s website
and official page at www.gutenberg.org/contact

Section 4. Information about Donations to


the Project Gutenberg Literary Archive
Foundation
Project Gutenberg™ depends upon and cannot survive without
widespread public support and donations to carry out its mission of
increasing the number of public domain and licensed works that can
be freely distributed in machine-readable form accessible by the
widest array of equipment including outdated equipment. Many small
donations ($1 to $5,000) are particularly important to maintaining tax
exempt status with the IRS.

The Foundation is committed to complying with the laws regulating


charities and charitable donations in all 50 states of the United
States. Compliance requirements are not uniform and it takes a
considerable effort, much paperwork and many fees to meet and
keep up with these requirements. We do not solicit donations in
locations where we have not received written confirmation of
compliance. To SEND DONATIONS or determine the status of
compliance for any particular state visit www.gutenberg.org/donate.

While we cannot and do not solicit contributions from states where


we have not met the solicitation requirements, we know of no
prohibition against accepting unsolicited donations from donors in
such states who approach us with offers to donate.

International donations are gratefully accepted, but we cannot make


any statements concerning tax treatment of donations received from
outside the United States. U.S. laws alone swamp our small staff.

Please check the Project Gutenberg web pages for current donation
methods and addresses. Donations are accepted in a number of
other ways including checks, online payments and credit card
donations. To donate, please visit: www.gutenberg.org/donate.

Section 5. General Information About Project


Gutenberg™ electronic works
Professor Michael S. Hart was the originator of the Project
Gutenberg™ concept of a library of electronic works that could be
freely shared with anyone. For forty years, he produced and
distributed Project Gutenberg™ eBooks with only a loose network of
volunteer support.

Project Gutenberg™ eBooks are often created from several printed


editions, all of which are confirmed as not protected by copyright in
the U.S. unless a copyright notice is included. Thus, we do not
necessarily keep eBooks in compliance with any particular paper
edition.

Most people start at our website which has the main PG search
facility: www.gutenberg.org.

This website includes information about Project Gutenberg™,


including how to make donations to the Project Gutenberg Literary
Archive Foundation, how to help produce our new eBooks, and how
to subscribe to our email newsletter to hear about new eBooks.

You might also like