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Digital Enterprise Framework
Digital Enterprise Framework

June 9, 2020

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Globally, the business environment has been disrupted by the emerging need to innovate business models and subsequent processes. Pervasive networking has led to the big data explosion, availability of advanced analytics solutions, and the scalable cloud-based platforms have created a permanent marriage between “Digital” and “Enterprises.” As innovating companies seek to gain competitive advantage, reduce costs, and cater to the changing customer demands – digitization initiatives have played pivotal roles by being the central pillar of business strategy in a modern-day enterprise. It has helped enterprises by consolidating their market positioning, increased customer base, and market share.

 

Digital Maturity of an Organization

Technology prowess has created newer channels for companies to deliver an extended tangible value to its customers. To ensure long term sustainability,
business owners must maintain relevance in this rapidly changing technology landscape.

“87% believe digital technologies will disrupt their industry.”
“44% feel adequately prepared for disruptions projected to occur in their
industry due to digital trends” – According to a report published by Deloitte, a global professional service company.

The Digital Maturity Model is a framework often leveraged by leaders in technology to understand the current state of digital maturity. The digital maturity model enables them to compare themselves with the market leaders and disrupters. It also helps the organization to formulate strategy by channelizing a digital initiative-based roadmap for the future.

 

Maturity Framework for a Digital Enterprise

An aspirational guide to evaluating the digital maturity of an enterprise includes 12 management themes spanned across five major organizational categories –

  1. Technology
    -Eagerness to evaluate newer technologies
  2. Change Management
    -Building digital capabilities through the deployment of agile teams
    -Measuring digital adoption
  3. Strategy and Leadership
    -Making digital strategy the heart of business strategy
    -Driving the digital strategy development process to – Increase digital mind share
    -Identification of key drivers of digitization across businesses lines
    -Endorsing data-driven decision making by – Democratizing data for business users
  4. Execution
    -Subsequent budget allocation for digital projects
    -Constantly evaluation of digital transformation initiatives
    -Granulated approach to drive transformation endeavors
    -Building a digital transformation partner network
  5. Monitoring
    -Tracking and monitoring metrics to determine initiative success and Return on Investment (RoI)

 

Enterprise Personas based on The Maturity Framework

Based on the “Avasant and NASSCOM Digital Enterprise Enabling Survey 2019 and Avasant Analysis” – Digital maturity and mind share across 3
organizations can be categorized into the following types based on exhibited characteristics –

  • Beginner
    -Operates with a familiar legacy perspective
    -Believes its business-as-usual remains relevant to digital
  • Follower
    -Acknowledges the need to adopt digital technologies
    -Drives digital literacy
    -Aims to improve a specific business process through digital
  • Striver
    -Analyzes trends and starts experimenting with various business processes
    -Seeks executive support for new resources and technology
  • Accelerator
    -Supports industry transformation
    -Developed a customer-obsessed culture
    -Is active in researching new methods and technologies
  • Transformer
    -Drives not only the enterprise but leads transformation for the whole industry
    -Does not question historical norms
    -Challenges the status quo

Delivering Digital Transformation

The level to which digital transformation initiatives are driven in an enterprise depends on its business strategy, business model, and business operations. The maturity framework provides a holistic view across all business capabilities and helps organizations to set goals for future initiatives. It also helps the organization to prioritize focused areas which helps in delivering a better outcome, strategically aligned with its digital ambitions.

 

This article is contributed by ARITRO CHATTERJEE, an online volunteer on Chezuba


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