Transformation

Transformation
Organization, Business, Technology
2018

2
Entering into the digital transformation journey is a hard task. Our ability to adapt to
change is slower than the pace of the technological evolution. Then, the longer we
wait, the more difficult it will become.
Digital technologies and globalization are certainly not the only forces causing this rise
in spread, but also political and economic decisions, global warming, wars.
We need to think much more deeply about what this transformation is, what we really
want and what we value, as individuals, as companies and as a society.
A desire to learn from people, to welcome divergent ideas, to adjust our personal
practices, to open our mind, to think outside the box, to develop our curiosity, to work
collaboratively will be the sustainable advantages to maximize the flexibility of our
organizations model over the second machine age.
We will be then in better shape to implement these ubiquitous changes.

Agenda
3
1. What Is « Digitalization »?
▪ Digitalization
▪ Technology, Endless Troublemaker
2. How Did This Abrupt « Acceleration » Happen?
▪ Internet ➤ Worldwide
▪ Mobile ➤ Real Time & Anywhere
▪ Acceleration
▪ Science Fiction
3. How « Companies » Try To Adapt Themselves?
▪ Industry Trends
4. What Is « Transformation »?
▪ Transformation
5. How To « Get » Transformed?
▪ Roadmap
▪ Your Own Way
▪ Capability
▪ Leadership
▪ Organization
▪ Business
▪ Tools & Data
▪ Sustainable

WHATIS
« Digitalization »
?
4

▪ Digitalization = turning all kind of static and dynamic
Information (sound, text, photos, videos, electric,
mechanic…) into digital data (Bit (0/1)), the native
language of computers.
▪ When things are digitized, they can be stored on a
computer and sent over a network to acquire some
amazing properties.
▪ Computers are doing for mental power what the steam
engine did for muscles power.
▪ Digital concept with computer was developed in the
1960s. The personal computer revolution started in the
early 1980s. Time magazine declared the personal
computer its « Machine of the year » in 1982.
The past decade has witnessed a remarkable run of progress in the area of digital hardware, software and
network. Computers are going to continue to improve and do unprecedented things.
To understand how the nature of technological progress happened, Digitalization must be explained first. It is
on everyone’s lips but everybody is not talking about the same thing.
Digitalization
0,1,0,0,1,1
Processor (brain’s
computer)
BUS
Computer
ConverterInformation
5

The majority of the transformation of today is the fruit of a long work of research and technological innovation.
In late 18th century, the Industrial Revolution hit the business world and the human history by the arrival of
new several developments in mechanical engineering, chemistry, metallurgy that gave powerful machines such
as the steam engine. Now comes another technological revolution: the « second machine age » or «
Industry 4.0 » (Human Substitution (Physical), Mass Production, Automatization, Mass Customization
(Cognitive))
Technology, Endless Troublemaker
6
2005
2010
1959
2006
1977
1983
1988
1990
1996
2001
2003
2004
2007
1980
2011
2017
15th
1837
1885
1950
1970
1994
PRINTING
GUTENBERG
TV
BLACK
TELEGRAPH
CINEMA
1
COMPUTER
APPLE
ST
1COMPUTERCOMMERCIAL
ST
1MOBILE
MOTOROLA
ST
1GTVCOLOR
USB KEY
WEB
1MOBILE
POPULAR
ST
2G
153,6 KBIT/S
WIKIPEDIA
TWITTER
WEB 2.0
LINKEDIN
1BILLION
INTERNET USERS
FACEBOOK
CABLE
FASTER
1IPHONE
ST
TV
DIGITAL
4G1 GBIT/S
1PAD
ST
4BILLION
INTERNET
SMS
USERS
2012
SELF-DRIVING
CAR
3G
56 MBIT/S
2002
2014
VR

ABRUPT
HOW
DIDTHIS
?
« Acceleration »
Happen
7

▪ Network of networks
Standards (communication protocols, data exchange
formats, and interfaces) are created in a collaborative
and open way for which success is measured by the
depth of their acceptance across a vast different
technologies that together form the network.
▪ Worldwide
People can communicate with one another from
different computers and networks. They use Internet to
create communities, to open new economic capacities,
to improve daily tasks, to exchange ideas, to play games.
Internet makes easier the development of innovation
and creativity.
▪ More internet users
In 2017, the number of Internet users worldwide has hit
4 billion meaning that half of the world population are
connected.
The digital progress accelerated in the 1990th century
with the introduction of Internet.
Internet gave computers a worldwide possibility to
communicate to one another.
The true success of Internet is that it is an open
model, which has allowed it to grow rapidly and
made it durable.
Minitel, created in 1982, is considered one of
the world's most successful pre-World Wide
Web online services. In 2007, revenue was still
well over $100 million.
But it was a closed solution and was quickly
cannibalized by Internet. It died in 2009.
Internet ➤ Worldwide
8

▪ Figures
The Internet continues its development essentially
throughout mobile and tablet devices. 50% of all online
activities will be with these devices by 2018.
Mobile is the only way to phone in some emerging
countries due to poor quality of fixed network.
4G wireless digital technologies standard for mobile
phones and data terminals, offers even faster data rate
than 3G with greater spectral efficiency.
Mobile broadband connections are forecast to continue
to grow across all geographies to 6 billion in 2018. This
will be approximately six times the number of fixed
broadband connections.
128 years had been necessary to develop landline
phone at home of a billion people. But only 20 years
were needed to the mobile phone to 6 billion people.
▪ ATAWAD
New Digital transformation enables everybody to
connect to anybody, anywhere in the world, with any
devices (Any Time, Any Where, Any Device).
At the end of the 20th century, the new generation of computing devices, such as mobile and tablet,
combined with more powerful and cheap global technologies communication, created a new acceleration
of modification in our way of life and work.
Companies and people can do things that would have been impossible a decade before.
Mobile ➤ Real Time & Anywhere
9

▪ In 1965, Gordon Moore, cofounder of Intel, did a
prediction that electronic components will increase
twice as much power per dollar every year. Although
they are constrained by the law of physics, Moore’s law
works over time on processor memory, sensor and many
other elements of computer hardware (an exception on
batteries, essentially chemical devices, not digital ones).
▪ It makes computing devices faster, cheaper, smaller,
and lighter at exponential rate.
For many thousands of years, humanity progress followed a gradual upward path, virtually invisible.
A first sudden change happened with the Industrial Revolution.
Technological progress on computers, software, communication network, robots, and other digital equipment
was also gradual for a long time. Then, the past few years, it became sudden and exponential. Moreover,
we are only at the dawn of this evolution.
▪ Digital information is not used up when it gets used, and
it is exceptionally cheap to be reproduced. A copy of a
digital good is exactly identical to the original (see music,
book…).
▪ The digital universe does not respect any boundaries.
Each digital development can easily be combined
together to foster new innovations and so on.
▪ Worldwide communication fosters combination
exponentially.
▪ A central authority (the government or the trains
company) leaded the invention of the steam engine
while an open community, the citizens themselves,
made possible the digital revolution.
In 1996, ASCI Red supercomputer cost $55 million, occupied
nearly than 150 square meters, to score above one teraflop-
one trillion floating point operations per second. In 2011, an
iPad tablet cost $1,000, occupied 0,05 square meters, to do
almost identical peak calculation, with additional features
such as a speaker, microscope, and headphone jack, cameras,
intelligent personal assistant.
The Web is a combination of a protocol of data transmission
network called TCP/IP, a language called HTML, a Browser…
None of theses concepts was particular novel. Their
combination was phenomenal.
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Acceleration
Several key phenomena can explain this recent progress:

Science Fiction
Within the next years, entire societies will be transformed by a pell-mell of technologies, not only the
computer era, that until recently have existed only in science fiction movies.
The Internet of Things (IoT) and Robots have become a powerful force in our life, and its disruptive impact
will be felt across all industries and all areas of society.
▪ 8.4 billion connected things are in use worldwide in 2017, up 31 percent from 2016, and will reach 20.4 billion by 2020.
▪ Virtual Supermarket
Consumers scan the QR code of the product they would
like to buy with mobile. The item is automatically added
to an online shopping cart, and after paying, shoppers
will find a bag of
groceries on
their doorstep.
▪ Augmented Reality in automotive
manufacturer
Car dealers offer in showroom an
exploded 3D view of the braking
system, as well as aerodynamic
insights and powertrain details.
▪ Virtual Reality
Through VR, you can immerse yourself in a digital
experience. The features that VR can bring to the
business market are still to be discovered
(Entertainment, Gaming, Education, Design, Tourism,
Psychology, Shopping, Real Estate…).
▪ Self Driving Car
A self driving car or an autonomous car is a vehicle that
can guide itself without human conduction. This kind
of vehicle has become a concrete reality. The actor
participating in this market are the traditional car-
makers such as BMW, GM, Ford, Renault… But new
brands have emerged such as Microsoft, Tesla, Uber,
Apple, Google… The mixture of technologies to build
such a car (video cameras, GPS,
Maps, Laser, Radar and sonar,
software algorithms…)
associated with others
innovations (battery…) will disrupt the existing map of
the industry around cars. It will also certainly add new
companies that will reinvent new business models.
▪ Blockchain
By allowing digital information to be distributed but not
copied, blockchain technology created the backbone of
a new type of internet. Originally devised for the bitcoin,
this technology has now other potential uses. Security is
one reason they are a good fit. Much of the interaction
on the IoT takes place between robots, often with little
human oversight. Blockchain records offer a necessary
security to avoid information to be manipulated.
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HOW
«Companies»
?
Adapt
Try To
Themselves
12

Industry Trends
The size of the commerce market is growing internationally thanks to the improvements in telecommunication
that reach out and touch more people. Consumers will remain demanding exponentially without geographic
barriers. The ubiquitous shopping became a standard.
Companies are fully impacted. They will have to continue to develop new strategies to create new products
and services, throughout a vast range of online and offline channels.
▪ Industries’ investment in 2018
Convert and exploit Big Data (real-time insights,
prediction…).
Enable a seamless experience across digital channels
(mobiles, tablets…) and physical assets (retail store,
warehouses…).
Reinforce security on various digital (cyber-security) and
traditional channels.
Reorganize collaboration between all units and avoid
work in silos. Collaborate with or acquire external
partners. Develop Agile Organization.
Optimize the process from the source to customers to
supply chain / production to reduce costs.
Drive IT modernization. Integrate new e-Commerce
platform, including Omni-channel and digital marketing
platform.
▪ e-Commerce
By creating a potential market of billions of users, the
Internet is a natural venue to new online businesses,
such as Amazon.com, which in many cases compete
strongly with traditional retailers.
North America is the 3rd strongest e-Commerce region
in the world, behind Asia-Pacific (1st) and Europe (2nd).
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WHAT
?
« Transformation »
IS14

15
The past decade has witnessed a remarkable run of progress in the area of computers, software,
communication network, Artificial Intelligence, robots, and other digital equipment. Until recently, this
progress has suddenly become exponential. This converts science fiction into everyday reality, exceeding even
our recent theories.
In the coming decade, we will be the witnesses of amazing technologies that will continue to transform our
ways of living and working. And there is no end in sight. Disruption has become the new normal.
Digital technologies are certainly not the only forces causing this rise in spread, but also globalization, political
and economic decisions, global warming, wars.
It forces organizations to transformed themselves. Indeed, it means the collaboration between people, process
and technology to help businesses better innovate and compete in a physical and digital world.
Transformation
Transformation is a complex task because it concerns all facets of a company.
It offers a depth and breadth of understanding of customer and Employee usages (Customer Experience, Employee Journey),
and internal operational capabilities (Operational Process) with the help of the huge among of available data (Data / Analytics).
It creates a culture capable of finding innovative ways (Innovation) to more effectively run, grow and reinvent business (Business
Model).
It takes a great IT systems and digital hardware and software tools (Informative System).
It conducts changes to a common vision and trains everybody to this new agile environment (Organization).
It opens minds to develop our adaptation against the unexpected side effect on our ways of living and working (Engagement).
ANALYTICS
CUSTOMER
EXPERIENCE
OPERATIONAL PROCESS
INNOVATIONBUSINESS
MODEL
INFORMATIVE
SYSTEM
ENGAGEMENT
ORGANIZATION
DATA

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HOW
TO
?Transformed
«GET»

17
Many organizations do not know how to start their Transformation. The ability to change our skills,
organizations, and institutions is slower than the pace of technical change. You will translate your vision into
strategic goals with your own ADN (Your Own Way). Then, a roadmap (Capability) will guide (Leadership)
your Organization toward all types of business needs (Business) as well as your future technology
investments (Tools & Data). At last, by maximizing the flexibility of your Organization models, you will be
able to deal with these changes on a long-term basis as your transformation evolves over time (Sustainable).
RoadMap
YOUR OWN WAY
LEADERSHIP
ORGANIZATION
CAPABILITY
SUSTAINABLE
BUSINESS
TOOLS & DATA

In order to bring a real change, top
executives must support and
continuously sell the vision for
transformation internally. You need to
build a dedicated team with a
collaborative approach, responsible for
achieving progress and sustaining
energy across the company.
Leadership
You need to rethink completely your
technology and your Data, the Old
and the New, to support all of your
journeys across your digital channels
and your physical assets.
More than 1 years to start or to
deliver your transformation may lose
the employee engagement and the
business benefit. You must spread out
agile-project-based culture in all of
your employees.
Tools & Data
Organization
Business
« What is a customer, employee, citizen
experience? », « Where does it starts
and end? », should be your first
questions before re-imagining the entire
journey with all of your physical and
digital channels. Successful business
models do not last forever. Companies
must constantly look out for symptoms
of business model change.
Companies
also need to
know where
they start,
how mature
their
transformatio
n profiles are,
and which
current
strategic
assets will
help them to
excel.
Capability
Your Own Way
Transform a company has vastly different meanings for different organizations. Following a
typical model does not guarantee a success. You must define your path with your own DNA.
Sustaining the
momentum of
a
transformation
is critical to
long-term
success.
Iterative
review process
are developed
to measure
progress
frequently.
Sustainable
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Description

CAPABILITYYOUR OWN
WAY
•DNA •Maturity on
- Leadership
- Organization
- Business
- Tools & Data
•Opportunities
•Strategic Asset
•RoadMap
•Executive
Leadership
•Dedicated
Transformation
Team
•Vision
•Strategy
•Innovation
Culture
•Engagement
•Change
Management
•Welcome Any
Other Ideas
•Governance
•Organization
Chart
•Collaboration
between all
units
•Agile-project-
based culture
•Entrepreneurship
•SAFe, Lean,
Kanban, …
•Design Thinking
•DevOps
•Customer /
Employee
Experience
•People Journey
•In Store, Phygital
•Gamification
•Social Network
•Real Time
•Customer
Prediction
•Operational
Capabilities
•Business Model
Review
Smart City
•eCommerce
Platform
•Internet of
Things
•Omni-Channels
Solutions
•Mobile, Real
Time
•Big Data
•Cyber Security
•Cloud vs on
Premise
•IT Modernization
•Artificial
Intelligence
•Rewards
•Monitoring
•Success Criteria
•Continuous Process
LEADERSHIP ORGANIZATION BUSINESS TOOLS & DATA SUSTAINABLE
Key Words

Your Own Way
Transform a company is complex and has vastly different meanings for different organizations with different sizes. Following a
typical model does not guarantee a success. You must define your own way based on your identity. Your success is tied to your
entire ecosystem of your customers, partners and employees, as well as the interface between these groups and the technology
you choose.
In an accelerated world, you must slow down to think better. Before change can begin, questions must be answered, opportunities
must be discovered, and desired business outcome must be identified. It will give you a direction in your transformation
journey.
The challenge is global, not only technological.
No tool will solve this problem without fully
defined expectations. Strategists and transformation circles
need first to identify what opportunities are to
your business environment and beyond.
Companies also need to know where they start,
how mature their transformation profiles are, and which
current strategic assets will help them to excel.
Every company is different. In a large global
organization, digital competencies may vary by
division, lines of business, functions, business
models, or geographical locations.
The maturity is the first step of the process. Leadership,
Organization, Business, Tools & Data are evaluated
in different aspects. Then, for all of these aspects, goals
are defined in direct line with the vision and strategic
themes. The milestones and steps are proposed to the
organization to show the path to realize the transformation.
In a transformation maturity, a focus can be done on digital.
Capability
Example of Digital Maturity Matrix
« Leading Digital: Turning Technology into Business Transformation
»
DigitalCapabilities
Leadership Capabilities
Fashionistas Digital Masters
Beginners Conservatives
• Many advanced digital features
(social, mobile) in silos
• No complete vision
• Underdeveloped coordination
• Digital culture may exist in silos
• Management skeptical of the
business value of advanced
digital technologies
• May be carrying out some
experiments
• Immature digital culture
• Complete digital vision but may be
underdeveloped
• Few advanced digital features, though
traditional digital capabilities may be
mature
• Strong digital governance across silos
• Active steps to build digital skills and
culture
• Strong Complete digital vision
• Excellent governance across silos
• Many digital initiatives generating
business value in measurable ways
• Strong digital culture
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Leadership
Without the CEO’s engagement and believes, without the ability to articulate direction and offer a convincing glimpse of the «
Promised Land », employees in general will stay « business as usual ». Cultural, organizational, and leadership challenges are the
most important factor that slow the adoption of the transformation. Middle managers will not have enough authority to drive the
transformation across business silos.
In order to bring a real change, top executives must support and continuously sell the vision for transformation internally. They
align people together from different groups to collaborate and to understand why a journey is necessary. CEOs should send clear
messages to the organization early to spark a burning sense of urgency (such as a « Digital year » concept). They will re-
prioritize investments in light of the evolving transformation journey.
Because successful transformation is a strategic activity, it must start at the top of the company.
The senior-most executives must:
▪ Set direction
▪ Build momentum (Put transformation at the top of the agenda)
▪ Ensure that the company follows through
▪ Build a coalition of believers
A powerful coalition among top leaders in the organization is essential but not enough. They must collectively understand the
potential threats and opportunities from digital technologies and the need for transformation.
A key aspect of competing in the digital age is the ability of leaders to be comfortable with certain level of ambiguity when it
comes to digital initiatives.
Top Down
Transformation Team
Partner for the road
For most executives, transformation is brand new, and the desire to change often exceeds the ability to do so. You should find
external supports. However, you will have to make a difficult choice among a pell-mell of strategists. These actors (digital agencies,
Marketing companies, providers, integrator, technology consultants, financing consultants, freelance…) must have a great
understanding in the global transformation ecosystem. Reminder, your transformation process is not only a technologic change.
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A wise approach to partner selection is important, especially
when some actors view technology as tactical software
selling. You should seek partners, not vendors, to be
confident they will also invest in your success.
Flexibility and adaptability skills should also be considered in
your partner selections as your transformation evolves over
time.
Dedicated transformation Team
You need to build a dedicated team, a transformation circle,
responsible for bringing about transformation across the
company. It is about finding a group of people at different
levels throughout the organization to each line of business
who are the players and influencers to pave the way for a
collaborative approach, to achieve progress and sustain
energy.
You may decide to have an executive, such as a Chief Digital
Officer, in charge of building and managing this
transformation team. This executive will form strategic
alliances with other executives such as CIOs and CMOs, who
are the key advocates for a transformation success. They
could also rapidly be your biggest detractors if you do not
consider them.
New Skills
An organization change requires new skills and new ways of
working collaboratively, sometimes remotely and worldwide.
To compound the problem, most companies are chasing after
specific skills, such as programmers, social media analysts,
mobile marketers, cloud architects, data scientists, and digital
project managers. Having the right digital skill is an important
source of competitive business advantage and a key enabler
of transformation.
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You should also be open to catch talent beyond circle of
usual candidates.
Companies are using all of the recruitment channels of digital
technologies (social media, online recruitment agencies) as
well as more traditional routes. However, gaining new skills
can not happen fast enough. Companies need to tap into
multiple approaches, hiring new skills, partnering, acquiring
smaller companies purely for their talent (but it can be risky
to implement) and investing in agile start-ups (incubation).
You also need to empower existing teams to have
everyone at the same digital page. Employees are one of your
biggest assets to succeed your transformation. You should
invest in improving their abilities in technology and business,
as well as leadership and process training.
There is frequently gap between older generations and
Millennial. Companies must promote « reverse mentoring
» to foster understanding, create mutual empathy, and
promote collaboration between disparate generations of
team members. Each team should be qualified to reconstruct
digital touchpoints and invest in new strategies and
technologies because they fundamentally comprehend the
new journey and how to captivate and lead customer
experiences.

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Vision
Employees, customers, and investors must be engaged to
move to the same and clear direction and make the vision a
reality.
• Identify strategic assets to define those that
will remain strategic
Physical (retail stores, distribution networks,
warehouses and depots, products). Combination of
physical and digital assets can often be a keen source of
advantages.
Competencies (functional skills (IT, sales) or know-how
(products, processes, technologies)).
Intangible, by nature often the most difficult to gauge
(brands, reputation, culture, patents, proprietary
technologies).
Data, one of the most valuable digital assets. Companies
can even monetize it.
• Define a clear intent and outcome to facilitate
communication and common understanding
Intent is a picture of what needs to change. Outcome is
a measurable benefit to the company, its customers, or
its employees. Together, they help employees visualize
the future of the organization and help motivate them
to start realizing the outcome.
Evolve vision over time to give enough flexibility to
innovate and build on it.
Transformation starts when a transformative vision is
created, a goal to envision how the company will be
in the disruptive world.
The vision needs to be focused on enhancing
customer experience, streamlining operations, or
combining both to transform business models.
CDiscount, an online retailer, sells its customers data
information to other companies.
Decathlon, a sport retailer, reviews every year a five-year
vision with all of the employees, all over the world.
V I S I O N
V I S I O N
V I S I O N
V I S I O N
V I S I O N
V I S I O N
V I S I O N

Definition
People care about innovation and their
conversations are often around a new gadget or a
revolutionary idea from a cool start-up company.
However, innovation makes also our society
wealthier.
Many experts’ definitions of innovation look like
different first, but are finally similar. They have just
said it in different ways. It makes sense why the
definition of innovation is still misunderstood.
• Definition
The seed of innovation is the ability to turn a bunch of
ideas, a touch of creativity, a hint of intuition, a pinch of
luck, into a novel idea. However, it can compose just a
new idea.
Novel ideas become an innovation when they are
transformed into a new relevant value with a new
positive change on a product, a service, a process, an
organization, a customer, an employee, a way of life or
work...
It must be replicable at an economical cost, must satisfy
a need and produce a tangible new profits and growth
for the organization.
While invention requires the creation of new ideas,
innovation moves one step further and requires
implementation of the invention. Invention is just part
of the process of innovation.
• Type of innovative ideas
Extensive. It consists of small, yet meaningful
improvements that help extend product, service,
business life cycles, and improve profitability: new
perfume, packaging improvements, just-in-time supply
chain enhancements… They can be easily visualized and
quickly communicated.
Breakthrough. It is a big change that gives people
something demonstrably new in the existing
domain. Breakthrough innovation produces a
substantial advantage for a while.
Disruptive. It creates a new category, or transforms an
existing one dramatically, or obsoletes the existing
industry or transforms the way we live and work.
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Innovation

• What can a company do?
Promote innovation from top to bottom as a
competency like leadership, entrepreneurship or ethics,
aligned with corporate strategic goals and vision.
Acquire innovative companies in innovation to help you.
Collect a balanced pipeline of big and small ideas with
digital technologies (social network, mobile, apps…)
throughout innovation challenges (open innovation,
crowdsourcing, competitions, incentives…).
Analyze the trends in the market environment, the
customers’ needs and competitors.
Recombine and transform ideas into practical values for
your organization and business.
Culture of failure and risk tolerance has to be
encouraged. People must be heard, and rewarded for
their initiatives, even failed ones. Failures often yield
feedback that can propel organizations forward.
Be open and curious to new ideas to think outside box.
Reach talent beyond circle of usual candidates whose
expertise is far away from the apparent domain of the
so-called topic. You should have allegiance to your
people but you should be also insurgent to develop
divergent new approaches.
Be inspired by the spirit of start-ups, bringing
continuous innovations into conquering the market.
Other actors went even farther by integrating their own
incubator within their organization as Orange,
telecommunication company, with its Lab. For a start-
up, the objective is to develop for, eventually, become a
very large company in the future.
Develop Labs to test, experiment new ideas, existing or
new potential inventions to help you or your clients
visualize the possibilities and practicalities. Learn more
about collaboration with researchers and support basic
academic research.
Find funding for your innovation investment
(Government’s help, Return Of Investment, software
patents and copyright duration…).
Continuously sustain a culture of innovation in a real-
time competition. Instant messaging, social networking
and ubiquitous wireless communications are the reality.
Create an atmosphere where employees are anxious to
exploit new possibilities.
Leaders should put innovation at the heart of their
organization as a business strategy. It will change
the conversation to create a new dynamism to every
organization.
They have to foster organizational-friendly
cultures that continually renew and change.
There is no simple prescription. It is a composite of
many steps resulting in cultural change within the
organization.
Culture
Google’s driverless car was a direct outgrowth of challenge
that offered a one-million-dollar prize for a car that could
navigate a specific course without a human.
25

• What mistake do companies often make?
When asking for ideas, we invite a lot of noise and
unnecessary work. Every person inside and outside of
an organization has an opinion, suggestion, or idea
about how to improve things. The reality is that most of
these ideas will not be effective in producing positive
results.
The main difficulty is to know which combinations of
them will be valuable. So it is all about the customer’s
perceived value. Coming up with ideas is relatively easy,
fast and cheap, but then those ideas need to be turned
into a real solution.
Far too many companies expect to achieve the highest
levels of innovation while only providing the strategy,
tools, and support for lower-level success, at best.
Many leaders talk about innovation to be a company
value without actually putting the required level of time,
people, budget and support behind it to make it
happen.
Innovation is associated to a product or a technological
platform. And in truth, it is bigger than that. It is the
innovations in organizations and management that
precede product or technology innovations. You
innovate the company before innovating the product.
Work in silo to find, test, and implement ideas.
Keep the old way of doing things, especially in corporate
companies.
Many companies create innovation’s organizations just
to have government financing.
It is difficult to find a backlog of new creators. School
need to be reinvented in order to provide the new
creators of tomorrow.
More and more strategy departments and CEOs have
already selected innovation as one of their strategic
pillars for growth.
However, the implementation of innovative
processes with a positive value can be a long path
to achieve.
Long Path
26

Extension
The exponential progress has created the emergence
of real, useful artificial intelligence and the
connection of most of the people on the planet via a
common digital network.
These advances have fundamentally changed our
growth prospects, ways of living and have
transformed how physical work is done. Thanks to
technology, we are creating a more extensive world.
This chapter does not promote any philosophical and political ideas. Yet, a company may want to take a
personal role in the future of our society that will be profoundly affected by the exponential progress. It can be
done with a true humanistic vision, or a fear that its own business model will be affected if nothing is done, or
just to improve its corporate image among employees and customers.
• Overall living standard increased
On miscellaneous media, debates and predictions
propose negative outcome of the technological
progress. But when you consider trends over the past
century, overall living standards have increased
enormously worldwide. Costs of fun digital tools have
been decreasing for the last decades. People have more
access to poetry, books, travelling, cooking, painting...
Innovations like mobile are improving people’s well-
being.
27
Commitment
• Productivity increased
Hard labour has been reduced too. Robots have a few
obvious advantages over human workers (no need to
sleep, or coffee breaks, or healthcare). People once
routinely worked more than 15 hours per week. Today,
the average workweek is shorter without decreasing the
productivity. A recent study has showed that the
average American worker takes only 11 hours of labour
per week to produce as much as she or he produced in
40 hours in 1950. Another study indicated that
companies using more IT tend to have higher levels of
productivity and faster productivity growth than their
industry competitors.
• New metrics are needed
However, metrics, that make life worthwhile, are
virtually invisible in the official statistics. They do not
add value to the Gross National Product (GDP). Indeed,
GDP does not measure our sense of humour, nor our
learning, nor our freedom, neither our collaborative
activities.
New economic metrics need to be innovated in order to
avoid looking at the wrong gauges and to make bad
decisions with wrong outputs.

However, the power of exponential digital progress
and the dawning of machine intelligence as well as
the globalization can presage disruptions. If progress
can substitute human workers for machines, people
will be jobless. Our digital infrastructure is also
becoming ever more complicated and interlinked to
manage.
Then, People will be increasingly concerned with
questions about unexpected side effects on self-
worth, family, health values, privacy and freedom,
catastrophic events …
Disruption
• Inelastic demand
An increase in productivity is not exactly matched by an
identical increase in demand to keep everyone just as
busy as they were before. Productivity continued its
upward path as employment bent since the late 1990s.
Less educated workers whose jobs frequently involve
routine cognitive and manual tasks are still eliminated
and others are augmented (highly educated, skill-biased
technical).
• Rapid change
The ability to change our skills, organizations, and
institutions is slower than the pace of technical change.
28
• Severe inequality
Digitization creates winner-take-all markets because
o Goods capacity constraints become increasingly
irrelevant (less people to produce).
o It increases the capacity of a decision-maker that
can make large differences in salary.
o It increases the profits earned by capital owners
and reduces the share of income going to labour.
Disruption Example on Photography Economy
15 people at Instagram created a simple app used by over 130
million customers to share some 16 billion photos. In contrast,
Kodak employed 150,000 people, and even more via the
extensive supply chain and retail distribution channels.
Moreover, Instagram has a market value several times greater
than Kodak ever did. Kodak does not exist anymore.
• Privacy and Data Security
Data security focuses on protecting the data from theft
and breaches. Whereas privacy governs how data is
being collected, shared and used.
o Data Security breach
o Privacy violation
Cambridge Analytica, a political consulting firm, use a breach
to harvest private information from the Facebook profiles of
more than 50 million users without their permission.
Black Mirror, a British series, is coming true in China. Every
citizenships will have a « social credit » scores that rate their
trustworthiness and determine their place in society. Take
care of parents, pay bills on time, …will be rewarded with a
high rating, which can get access to visas to travel abroad or
good schools for children. Beijing aims to have the program
running by 2020. Pilot versions are underway in 30 cities.

• Reinvent schools
Today, the clerks are the computers. Schools should prepare people who guide those computers to do the clerical jobs, use
digital technologies and develop technical skill for all student profiles. Schools must also emphasize self-directed learning,
hands-on engagement, creativity, and multidisciplinary approach to train future workers to adapt.
• Develop entrepreneurships spirit
The economy must invent new jobs and industries. Young companies have created more net jobs than old companies for the
last 30 years. Entrepreneurship should be welcomed and developed, even in huge corporate organization.
In the coming decade, we will be the witnesses of a wave of amazing technologies unleashed that will impact
our economic institutions and intuitions. By maximizing the flexibility of our organization models, we will be
able to deal with these changes.
A willingness to learn from others, to welcome divergent ideas, to adapt our own practices and to have open
minds will be the keys of success for not only policy makers but also our entrepreneurs, and each of us
individually.
Empowerment
29
Voyages-SNCF, digital tourism company, work collectively with 3 start-ups, to develop their initiatives, to get closer to their
agile way of working and to get innovations in order to transform the sector of the Travel sector. Then, they were able to
launch the first French accelerator in 2016.

30
• Create smart cities
There is no absolute definition of a smart city. But the
main mission of a smart city is to create a favourable life
environment (Intelligent Mobility, Park and Recreation,
Air quality, Cultural activities, economical growth, quick
services…) for its citizens, visitors, and companies. Using
data and connected technologies will be an accelerator
of their transformation.
Citizens engage with smart city ecosystems in a variety
of ways using smartphones and mobile devices, as well
as connected cars and homes.
For instance, connected traffic lights receive data from
sensors and cars. They can then adjust light cadence and
timing to respond to real time traffic thereby reducing
road congestion.
It is also a more productive place to welcome talents.
• Search talent differently
Today, search a job and develop your networking are
much easier thanks to the web. However, having the
perfect match between people and job is still
challenging. New ways must be invented to create new
metrics and reduce the disillusion.
• Support basic academic research
• Do smart taxes
Taxes can reduce the amount of undesirable
consequence (health, education…). Economy is changing
and taxes must adapt (companies doing business
remotely, taxes on robot...).
• Welcome any Other ideas…
A company called Knack has developed a series of games that
can detect the players’ creativity, persistence, extroversion,
diligence, and other characteristics that are hard to discern
from a resume, or even a face-to-face interview.
For instance, Internet was the fruit of US Defense Department
research that wanted to build bombproof networks.

• Goals
The company’s most senior executives must design the
governance.
Governance choose mechanisms that give the
appropriate levels of coordination (prioritizing,
synchronizing, and aligning initiatives across the
company) and sharing (using common capabilities and
resources, including people, technology, and data) for
digital initiatives, in line with the company’s structure,
culture, and strategic priorities.
Governance is very helpful for global companies to find
a way to collaborate more effectively across geographic
locations, different units, and specialties.
• Steering Committees
These committees, consisting of some of the most
senior executives in the company, make decisions such
as ratifying policies, prioritizing competing interests, and
killing low-value projects.
• Roles & Responsibilities
Committee can make decisions, but they cannot drive
change. Leaders do that. It is necessary to put in place
somebody in charge of leading transformation, whether
that is a Chief Digital Officer or another leader.
This leader creates an unifying digital vision and
synergies around digital possibilities, coordinates digital
activities, help to rethink product and processes for the
digital age, and sometimes provides critical tools to
resources.
Such a leader should be helped in her or his
responsibilities from committee or digital circle.
Even with a strong, engaging, and clear vision, it is
quite a challenge to conduct the organization’s effort
in a single direction.
Governance helps to steer the company’s activities in
the right direction by figuring out who is in charge
of the transformation and what kind of mechanisms
should be put in place.
It turns a cacophony into a symphony.
31
Governance
Organization

Here an example of an organization chart in 2 phases.
A. First, increase Digital Maturity by adding a CDO
or an equivalent leader
At first, the new role of Chief Digital Officer reorganizes
teams to modernize, optimize, and integrate digital
touchpoints. This affects the roles and objectives of
marketing, social media, web, mobile and customer
service, as well as how these typically disparate groups
work in harmony. The ambition is to make their
businesses relevant in a digital era while growing
opportunities and profits, as well as scaling efficiently in
the process. But work with other business units stay
difficult (politics, culture, silos, conflict on some
activities).
The exact shape of the right organization structure is
not yet clear. No single governance model is
optimal for all companies. Governances are not
statics and must be adjusted over time.
In a complex company with many business units, and
geographic areas, who owns the transformation
can be a very difficult question to answer.
Marketing? IT? Operations? All at once?
Although it is unclear today, there is no question that
the current governance will be dramatically
modified.
B. When a certain level of your Digital Maturity is
achieved in all units, remove the CDO, replace the
CMO, change the role of the CIO and Add a Creative
Director
There are many interconnected factors to consider
when embarking on a transformation journey. So many,
in fact, that overwhelmed organizations are looking to
new CxO titles: Chief Digital Officer, Chief Mobile Officer,
Chief Data Officer... But are these executives really
needed? Is this the answer to the CIO and CMO failing
to collaborate and work effectively? When a company
has engaged his continuous transformation and has
acquired a certain level of digital maturity, it can start to
dispense with a single digital owner. This requires the
profound changes of the existing roles and
responsibilities in order to have a better symbiotic
process between people. The CIO must also participate
to important decisions and must be at the top executive
group.
• Install Project-Based organization
Strong governance processes require an integrated IS-IT
and business approach to conduct projects. Making
business leaders accountable for the financial results of
technology projects is one good way to ensure that IS-IT
and business are in sync.
32
Organization Chart

• Choose governance and agility
The goal of the governance is to understand and separate the role and responsibility of each unit in order to avoid the typical
« everyone is responsible for the same thing » that slow the actions and decision-making. You must reinforce collaboration
with agility. You need to separate low-value interactions between units that can be automated with the proper degree of
governance. This provides greater agility and speed for each unit to focus on strategic initiatives, with better value.
• Figures
PHASE A. FIRST, INCREASE DIGITAL MATURITY BY
ADDING A CDO OR AN EQUIVALENT LEADER
TYPICAL ORGANIZATION CHART
CEO
C Product OCMO COO CFO
Offline Cust.
Experience
Offline
Marketing
Offline
Store
Supply Chain
Distribution
Store
Operations
Applicative
Infrastructure
Buying
Merchandising
CIO
Credit, Debit
CDO
e-Commerce
Omni-Channel
Online Cust.
Experience
Online
Marketing
Digital Info
System
Online
Merchandising
Digital
Specialist
33
HR Director
Training,
advantages
Recruitment
Retention,
Dismissal
Production
OPEX, CAPEX

PHASE B. WHEN A CERTAIN LEVEL OF
YOUR DIGITAL MATURITY IS ACHIEVED
IN ALL UNITS, REMOVE THE CDO,
REPLACE THE CMO, CHANGE THE
ROLE OF THE CIO AND ADD A
CREATIVE DIRECTOR
CEO
Product
Director
Customer
Director
Operation
Director
CFO
Customer
Experience
Marketing
Omni-Channel
Supply Chain
Distribution
Store
Operations
Buying
Merchandising
Credit, Debit
IS
Director
Infrastructure
Applicative
Data &
Analytics
Creative
Director
Innovation
Labs, Proof Of
Concept
Project
Director
Methodology,
Agility
Project
Management
34
Art, Narrative,
Game design
HR
Director
New Type of
Recruitment
Company
Values
Employee
Journey
Production
OPEX, CAPEX

35
Agile - Project Organization
Agile Definition
Developers learnt how to work with agile methods.
The mere presence of small islands of agility does
not necessarily mean that the company is agile. The
stake is to develop a flexible and innovate
organization to set up its vision and to adapt to the
rapid pace of our society evolution. The agile
concept should be industrialized through the global
organisation in accordance with all types of
frameworks, to create a smooth and seamless path
between CEO and clerks, strategy and delivery,
projects and operations, business strategy and user
stories. Transform a global organization can be a
challenge itself (politics, culture, silos, conflict,
resistances).
▪ What is Agile?
Agile is a philosophy based on an incremental and
iterative approach. Agile encourages constant feedback
from people (customer, user, employee, sponsor, citizen,
executive, …) and prioritizes most important
requirements as quickly as possible. The objective of
each iteration is to produce a working product. While
Agile was traditionally created for software
development, it can be used in many other projects and
industries. It’s important to remember that Agile
Software development was born from the principles of
lean manufacturing and organizational learning.
The advantage of an agile organization is to focus on
flexibility, rapidity, constant evolution. However, it
requests a solid knowledge in methodology to do agility
than a sequential method. If not, it could be running
with heads cut off.
▪ Agile Methodologies/Techniques
Scrum is one of the most popular framework to
implement an Agile process. Sprints, fixed-length
iterations (Timebox), allow the team to deliver software
on a regular basis. The Scrum board is reset between
each sprint and is owned by one specific team.
Kanban, meaning ”visual sign” or “card” in Japanese, is
a visual technique that shows what, when, how much to
produce (To-Do, Doing, Done). It promotes small and
continuous changes. A Kanban board has the same
column-based layout as a Scrum boar, but it requires a
upfront planning.
Lean applies manufacturing principles to software
development, characterized by eliminate waste, amplify
learning, decide as late as possible, deliver as fast as
possible, empower the team, build integrity in, see the
whole.
Rational Unified Process (RUP) is a global
methodology using iterative and adaptive framework.

▪ Test-Driven Development (TDD)
TDD is a test-driven development, relied on repetitive and short development cycles.
▪ Scaled Agile Framework (SAFe)
TDD is a test-driven development, relied on repetitive and short development cycles.
▪ Rapid Application Development (RAD)
RAD puts more emphasis on development than planning tasks.
▪ Traditional Methodology
SAFe is a very structured method to industrialized lean and Agile principles.
▪ Hybrid Approach (Agile and Traditional)
When comparing all frameworks, there is no definitive winner. The best framework depends on the organization itself. The
reality on the ground is more complex. It must combine the principles of Agile or waterfall and adapt the organization to
scale more effectively. There are several methodologies with an Hybrid Approach. SAFe is one of them.
▪ Agile Industrialization and Project-Based Organization
One of a possible approach is to have a Center Of Excellence and factories. COE encapsule the people and the processes
necessary for the Factories to develop solutions in accordance with the Vision and the Strategic Themes of the company.
36

37
More than 1 years to start or to deliver your transformation may lose the employee engagement and the business benefit. Things
just change too quickly. By the time you have approved and launched, it will be obsolete. You must spread out agile-
project-based culture in all of your employees to lead your transformation. Agile approaches with different frameworks (agile
and traditional) help your organization to respond to the business needs through incremental and iterative work cadences. It will
install quick cycle and daily meetings where cross-functional teams address challenges and apply improvements in real-time. With
this approach, stakeholders provide feedback at much earlier stages, avoiding wasted time and effort. You must define a process
to prioritize business outcomes throughout a business roadmap linked to the projects initiative in order to avoid bottlenecks. It
will also kill low-value project.All developments develop solutions in accordance with the Vision and the Strategic Themes of the
company.
Agile IndustrializationCenterOfExcellence
Backlog
Business Map
Epic
Vision
Strategy Themes
Architecture Alignment
UX/UI Release Management
Quality and Inspection
Technical Environment
Partners Management
DevOps
Factories
Program Iteration Program Iteration Program Iteration
Demo
System
Demo
System
Demo
System
Feature
Story Story Story Story Story Story Story Story Story Story Story Story Story Story Story
Traditional
Agile
Executives
Stakeholders
Sponsors
Product
Manager
Program
Manager
Project
Manager
Scrum
Master
Shared Team
Architect
External
Partners
Product
Owner
Agile
Team
Feature Feature

38
▪ Center Of Excellence (COE)
The Center Of Excellence has a bidirectional connection to the business (to design the Epics and Features required to
respond to the Vision and the Strategic Themes), and the Factories (to be aligned to a common direction).
Vision / Strategic Themes
provide the enterprise with the
differentiators going forward
from the current state to a
future state. Customer
Journey, in-store, international
expansion, digital channels
versus physical assets, 360°
customer view, predictive
behaviors… are part of the
strategic themes.
Program Manager
manages the program team according to the goals, needs and
priorities of the organization. PM helps the enterprise to define the
transformation strategy, the vision and the strategic themes.
Product Manager
is the internal voice of the
customer and works with
customers and PO to understand
and communicate their needs,
define system Epics/features,
and participates in validation.
Shared Team
is typically chartered to provide all
tools to assist the agile
development. These resources
may include security specialists,
DBAs, technical writers, IT
operation personnel, UX/UI
Designers... They cannot be
dedicated full-time.
Architect
is an individual or a small cross-discipline
team that truly applies system thinking. They
define the overall architecture for the system,
they help provide strategic technical direction
that can optimize business outcomes.
Program Iteration
is a 10 weeks cadence-based
interval for building and validating a
full set of features. A PI helps to
synchronize multiple agile teams
and partners with the business
values.
Backlog
Business Map
Program Iteration
Epic
Feature
Story
Vision / Strategy
Themes

39
▪ Factories
Factories deliver user stories iteratively, within short period of 2 weeks in order to create a continuous collaboration
between the delivery team and the business people.
Scrum Master
helps the self-organizing team
achieve its goals. SM is a part-
time role assume by an agile
team member, project manager,
or other individual.
Product Owner
is responsible for defining Stories and
prioritizing the team backlog. PO validates that
the Story meets acceptance criteria and has
the appropriate acceptance tests, and that is
otherwise meets its Definition Of Done. PO is a
full-time job assume by a business owner or
a representative of the business (Proxy).
Team (5 to 9)
are cross functional group of
individuals who have the ability
to define, build, test, deliver a
high-quality solution and
produce a demo every 2 weeks
within a scrum organization.
Backlog
Epics, Features are used to describe the larger
intended behavior. Features are broken into
Stories to constitute the product backlog.
Stories are not requirements; they are short,
simple description of small piece of desired
functionality, usually told from the user’s
perspective and written in the user’s language.
Scrum of Scrums
meeting continuously
coordinate dependencies of
the Factories and provide
visibility into progress and
impediments.
Sprint
provides a valuable increment of new functionality, accomplished
via a constantly repeating pattern: plan the iteration, commit to
some functionalities, execute the iteration by building and testing
stories, demo the new functionalities, hold a retrospective, and
repeat to the next iteration (2 weeks).
The last sprint of the program increment ( ) is to finalize the
unfinished Stories (if required) and align all teams’ development.
Daily
Scrum
Product
Backlog New
Functionality
Sprint
Agile
Team

40
▪ Causes of poor IS-IT and business relationship
What is clear is that they both have completely different
modes of operation. Much of the tension relates to poor
alignment of metrics and accountability. Their both
responsibilities are different.
IS-IT may be seen as a cost center incented to mitigate
risk, and prioritize security, governance and control
while business is responsible for revenue, growth and
expanding opportunity.
IT and Business Collaboration
IS-IT do not understand business, and are too expensive
or too long to deliver, slow digital initiative due to data
security, quality assurance and other service-level
agreements. IS-IT under pressure to execute quickly and
sometimes beyond their abilities, may provide systems
that do not meet the business needs. Projects can end
badly in multiple ways, including removal of their
technologic authority within the company. They become
a repairing shop.
Business are not discipline in their requests, are
impatient, have unreasonable expectations, insist to
make things in their own ways, focus on digital gadget
instead of real business needs. Business users,
becoming more technically proficient, may think to be
the best expert to guide their ways. They bypass IS-IT
assistance and decide to work with external digital
companies. In some companies, CMOs spend more on
IT than their CIO counterparts. Unfortunately, when
Business units work without IS-IT, the technological
system will fail to deliver a seamless customer
experience. This will also create risk on data integration
and security. Alternatively, it will growth delay and cost
in delivering solutions.
Whether it is social, mobile, print, kiosk, online, in-
person, or through a myriad of other marketing,
sales, service, and loyalty channels, many of these
touchpoints are not necessarily well integrated
internally. Yet, customers only see one brand.
Whenever there is friction in the transformation
process, it is largely due to the quality of the
partnering between IS-IT and Business.
In many companies, the relationship seems to be
more like a trouble marriage than a smoothly
functioning partnership. Chats are full of conflict, and
little collaboration takes place.

41
▪ Fixing the IS-IT and Business relationship
CMOs and CIOs must share ownership of goals and
outcomes. Instead of business providing the
requirements and IS-IT delivering the technology, people
from both sides should work together to propel your
business forward. Through transparency around roles
and responsibilities, both sides can make smoother
decisions. It is part of the governance structure.
At the executive level, it is important to recognize that
while they each hold different metrics, their incentives
need to be adapted.
You should balance self-advocacy with prioritized
workloads to improve efficiency and reduce bottlenecks.
Success will look different depending upon the
objectives of each team.
Projects, especially with new technology, should be
managed with agility to have quicker feed back of the
business so IS-IT can rectify problems.
IS-IT should participate in every meeting to understand
objectives and to provide inventive but realistic
solutions, timelines, and costs.
The CIO should get a respected seat at the executive
table.
Business leaders should be accountable for the financial
results of technology projects.
▪ Chief Digital Officer
At first, this role is essentially to solve the important
digital challenges companies face. To succeed, the CDO
needs to promote collaboration between business and
IS-IT. If you hire such a profile, you will do it carefully
because you want to avoid having new responsibilities
overlapping with the existing scope of your CIO and your
CMO. You do not want to have yet another silo that will
add frictions.

Customer experience is one of the primary catalysts
for businesses placing substantial investment in
transformation. Customers do not separate their
online experiences from their physical experiences
(Phygital). They see products and services as a
whole. With multiple media support, a customer
becomes a « Cust’Actor », able to interact with the
brand and to consult personalized information.
▪ Customers search for objective advice and compare,
want to engage with brands that care, share feedback
openly, good or bad. Millennial (born after 1980s)
begin to have a very important impact on the retailers’
decisions. They are at ease with technologies. They want
everything, at once. They use mostly a mobile through
Internet.
▪ Marketing’s primary role has changed. Whereas it has
traditionally focused on executing marketing
communications campaigns, it is now spending more
time listening for market and customer signals and
responding in real time.
▪ To deliver a differentiated customer experience
in large organization
Spend time understanding how customers interact with
products, services, channels, brand, infrastructure, and
employees.
Use digital technologies to increase customer
engagement (investment).
Put customer data at the heart of the whole customer
experience with special and proactive offers,
personalized deals and design predictive marketing
campaign.
Work to seamless align the physical and digital
experiences, not replacing the old with the new, but by
leveraging valuable existing assets.
▪ Client Engagement
Customer Engagement is the emotional connection
between a customer and a brand. To establish solid links
between customers, companies do not have no choice
but to equip themselves with innovative listening
devices.
42
Business
Customer Experience
Heart Of Digital

▪ Gamification
Gamification is the activity to deliver fun and addicting
elements found in games. It can be used to further
engage customers and employees, to recruit top talent,
to build brand loyalty, to create better employee
training programs…
▪ Design Thinking
Design Thinking is a process for creative problem solving
on gaining a deeper understanding of design principles
of human psychology, technology and society. It helps
organizations learn faster. It focuses on 5 steps, Empathy
(be the customer), Define (analyze information from
Empathy step), Ideate (generating a lot of ideas to think
outside the box), Prototype (some Proof of Concept),
Test (test the complete product).
▪ Delivering an efficient Customer Experience is a
complex task because
Customer expectations increase substantially.
Integrating new digital channels into existing operations
can be organizationally challenging.
The company must also keep its brand’s vision.
Customer oriented does not mean customer drive.
Decathlon, international sport brand, keeps
organizing its shops for sport users only, even
during the « back to school » period that
welcome tons of parents buying clothes at
good price for their children.
« If we follow our clients‘ needs, such as
parents, we would sell jeans and Playmobils
today… Customer is not always right ».
Suddenly companies can no longer count on
consumer ignorance to protect their margins.
Companies look at the consumers’ mind, how they
use screens in each country, and also the associated
behaviours across all screens to understand what is
happening and how to optimize the User Experience
(UX) or Customer Experience (CX), the User Interface
(UI), and constantly improve the conversion rate and
the customer satisfaction.
▪ Web Analytics
Measure traffic of a web site such as conversion rate (%
visits into orders); time spent; bounce rate (% quitting
after seen only one page); number of pages visited; A/B
Testing (page performance comparison page on several
versions)…
▪ Search Engine Optimization (SEO)
Set of « best practices » to improve constantly the
positioning of a site in search results with criteria of
indexation.
W e b S i t e
43
Website Optimization

▪ Mobile
Smartphones and tablets (« Responsive Design » to
adapt web sites to the size of the screen, « Mobile
Friendly » to optimize navigation for mobile).
▪ Accessibility
Accessibility to people with disabilities (help also for
intuitive navigation at large).
▪ Performance
A good load of speed gives a positive impact on the
referencing and the traffic of the web site.
▪ Code Quality
Good structure of the code CSS and HTML facilitate
better research throughout search engines and take
advantage of all the features of a site whatever are the
browser and the operating system; the World Wide Web
Consortium (W3C) is helping to propose international
standards for the World Wide Web.
Website optimization is now a relatively mature
technology and it is still the most important digital
asset for most companies.
However, it is now starting to decline in importance
as customers choose to review and evaluate their
suppliers using other channels, such as social media
and mobile.
▪ Social media journey is the ability to monitor social
traffic, to trial social initiatives, to engage directly with
social contacts, to grow a social presence, to influence
decision-making.
▪ Long road to be completely adopted
Many companies hesitate to organize their customer
touchpoints around social while return on investment is
unclear. They employ too small teams able to provide a
fast response to problem social requests, to add positive
comments, and to use social as an alternate channel for
company news.
Meanwhile, other companies, dependent on the
younger generation, have been quick to put social at the
center of their customer engagement strategies.
44
Social

▪ For social to work
The key challenge for marketers is to communicate
social benefits to mostly sceptical company decision-
makers.
New metrics have to be developed to measure social
activities (brand’s identity, Service Level Agreement
(SLA) on Customer Service…). Social is essentially « free
» (unlike advertising and other paid media) and it is
now recognized that it can drive positive brand
recognition and consumer purchases.
Companies need to adopt social internally for external
social communications to be effective with an internal
company social media platform to facilitate internal
discussion and provide content.
A light touch is required. Authenticity is a key to
customer approval.
Speed is also the essence, because consumers have
little patience.
Tesco, Grocery retailer, is known for using humour and a
certain irreverence in its social responses.
Social is not the only technology with the potential
to catalyze digital transformation. There are also real-
time and mobile technology trends.
The case for digital customer experience as it stands
today was born through the rapid rise of social media
and pervasive adoption of smartphones.
▪ Mobile-first
Today, mobile is an intelligent tool with multiservice
allowing payment, loyalty, and tickets…
The need to rethink websites, apps, and e-Commerce
from a mobile perspective is often lost in process or
lower in priority than other initiatives like social media.
But companies that do not engage towards an intuitive
mobile journeys will lose customers who became «
mobile-first », such as Millennial.
45
Mobile, Real-Time

Customer Journey
To achieve your desired opportunity, every journey must
consider the broader picture of customer behaviours. The
exact nature of an organization’s digital transformation
depends heavily on the degree to which it engages directly
with the end consumer.
« What is a customer journey? », « Where does it starts and
end? » should be your first questions.
After answering to these questions, you can then re-imagine
the entire journey with all of your physical and digital
channels. Start by making the customer journey as effortless
and gratifying as possible. Make it easy for customers to find,
research, buy, and be delivered from you. Indeed, a disjointed
customer experience causes many abandoning journeys
before customers can complete the desired task.
You concentrate your effort where digital is fundamental. «
Customer-first » touch is mostly digital. Customers start their
journey on your website, move to mobile, search on Google,
open a chat window with communities… In fact, by the time
customers engage with you directly, they have almost done
their pre-purchase decision-making, mostly throughout your
digital channels.
However, you must also follow the complete life cycle of a
product or a service (inventory, traceability, shipping…)
throughout this journey.
At the same time, you must resist thinking about digital in
terms of tools, platforms, QR codes, and all of the widgets
coming next.
46
Any internal department that touches the customer during
the lifecycle must collaborate to align transformation with the
digital customer experience.
People Journey
Employee Journey
Do not forget about your internal stakeholders: your
employees. Engaging employees should be a central part of
your transformation strategy.
Experiences is developed and implemented with the complete
spectrum of users in mind: customers and employees. Every
employee is an internal user, critical to fostering superior
customer experiences.
To mobilize, you ensure that all employees understand the
change. You communicate with all available digital platforms
(video, enterprise social networks, webcasts, and intranets)
and traditional channels as well. If you want engaged
employees, you need to evolve your entire employee
ecosystem (applications, tools, environment of work, and
promotion of innovation…). You should consider that people
might be interested in working where they want, at the hour
they choose.
High quality of employee experience increases personal
investment in the transformation journey outcome. This in
turn impacts both employee recruitment and retention, as
well as the quality of candidates you attract, their
productivity and how well they represent your company
to the external audience.

47
Your employees can communicate as they wish, with a few
friends or hundreds of friends, sharing sensitive information
easily with people inside and outside the organizations.
You need to have a particular attention to resistance to
change. Old habits die hard. People concentrate on their
own priorities and they do not have a holistic view of
company goal. Shifting to new realities takes time. For
example, it is natural for managers to move into a mode of
self-preservation to protect their role and that of the team at
large.
You should facilitate cross-functional work and redefine
formal roles and responsibilities for each person. It is
important to make everyone feel a sense of ownership in the
process for transformation and to avoid typical political
retention.
Citizen Journey
The public sector aims to create a favourable life environment
for its citizens, visitors, and companies.

Let’s face it: transforming operations is « less sexy »
than transforming customer experience. But strong
operational capabilities are indispensable for
exceptional digitally powered Omni-Channel
experiences.
Using digital technology as an opportunity creates a
competitive advantage through superior and
efficient productivity. A transformation of the
customer experience can increase revenue while
the operational process can reduce operation costs.
▪ Digital technologies benefits
Technology makes automation possible that eliminates
unnecessary activity (with robots…) and creates recipe
to help workers (with Enterprise Resource Planning
(ERP)…).
Channel partners (suppliers, intermediaries, third-party
service providers, vendors, workers, or customers) can
share information on a real-time.
Having a better control, companies can launch new
products and experiment them in a sample of stores,
getting rapid feedback on product performance. It can
then reduce delay from design to commercialization (for
example, 5 years in Automotive industry).
It unleashes people from the constraints that once
bound them.
It decreases typical hard operational tasks.
With quicker visualization, engineers identify better a
piece of a machine, which needs to be fixed. It also
allows adjusting changes in workload, machinery
efficiency.
With the integrated real-time data that is today digital
technologies can provide, it helps the company to create
a new metric for tracking and improving supply chain
performance and quality.
48
Operational Process

▪ Stakes
Operational advantage is difficult to copy, because it
comes from processes, skills and information that
operate together as a well-tuned machine.
Today companies, especially large ones and represented
in several countries, are highly automated, but they are
not full of general-purpose robots. They are full of
dedicated, specialized machinery that is expensive to
buy, configure, and reconfigure. However, that can
change in the future whereas the robotics market is on
the cusp of exploding.
Zara, a Spanish clothing retailer, has a complete control over
its value chain. They can move an item from design to the
shelves in 6 weeks while traditional retailers can take 6
months. That speed allows Zara to introduce more clothing
during the selling season.
They have created substantial benefits by digitally linking
every element of their supply chain more closely. Operations
become better orchestrated while workers gain freedom to do
some tasks outside the leashes of paper, desk, and office
hours.
With real-time sales information, they can modify the product
assortment. If designers see that certain colors are selling
better, or customers are buying a round neck instead of a V-
neck, they can quickly redesign it with clear manufacturing
instructions.
49
▪ Internet Of Things (IoT)
IoT is changing the landscape of how businesses gather
data across nearly every industry, including
manufacturing. IoT connects assets to process, system
and people. It can self-diagnoses issues in order to
optimize performance and reduce downtime. It can also
improve worker safety and gain better workforce
management.

Today’s exponential and rapid technological
innovation is continually challenging companies with
opportunities and threats to fundamentally reinvent
the way they do business.
Successful business models do not last forever. Not
paying attention is an even bigger risk.
Companies need a good understanding of their
current business model. They must constantly look
out for symptoms of business model change. They
can then operate defensively or offensively.
▪ Types of impact
Extension. It is the improvement of the performance or
functionality of a product or process without radically
changing it.
Breakthrough. It is the alternative or the replacement
of products or services. Companies may have to
cannibalize their own revenues to survive.
Disruption. It is the reinvention of a substantial
reshaping of an industry structure.
With its iPod (2001) and its iTunes store (2003), Apple
changed the way people listen to, buy, and store music. They
changed the rules of competition.
Digital photography and smartphones made traditional
business models obsolete. Kodak did not change quickly
enough and did not survive. Fujifilm managed the digital
assault by diversifying.
Through Nike+, Nike has extended its current business model
from providing apparel to providing new hardware with useful
add-on services for its customers (Running App,
SportWatch…).
50
Business Model

▪ What happens when the content comes freely?
Sales of music on physical media has continuously
declined since the beginning of the 20th century
whereas total units of music purchased still grow,
reflecting an even faster increase in the purchases of
digital downloads. So how did music disappear? The
value of music has not changed, only the price and the
support device. The total revenues to the record
companies are still down 30%.
▪ Information is costly to produce but cheap to
reproduce
Today’s most advanced automatic translation services
are applications that do statistical pattern matching over
huge pools of digital content. It was costly to produce,
but cheap to reproduce. The digital technology allows
companies to support very important load increases
without having to modify their organization.
▪ Start-ups
Start-up comes to shake up the economic and
competitive order established in domains such as the
transport, travel booking. Indeed, they propose faster
services and cheaper.
51

Technologies are not goals but Tools to get closer to
customer, empower the employees, improve the
internal operational processes, and provide
customer’s data, available in real time, to the people
and machines that need it.
Having a strong Information System is the necessary
prerequisites to succeed your transformation.
▪ Information System (IS) gives tools and processes to
respond to global Business expectations.
▪ Using more Technologies tends to have higher levels of
productivity.
▪ The beginning of the 20th century, companies invested,
less on computer hardware and more on a diversified
set of software and process innovations. For every dollar
of investment in computer hardware, companies need
to invest up to another nine dollars in software, training,
and business process redesign.
▪ However, too many companies confuse digital advantage
with the digital technologies themselves and start their
transformation with the technology instead of thinking
first to deliver greater value to customers throughout
performed operations.
▪ When companies know what to achieve, they can start
to overhaul legacy systems and information that will
make the digital vision a reality.
▪ Only 25% of the IT expense is allocated its
modernization.
▪ A well-structured digital platform
Makes the platform more efficient, less risky, and more
agile to adapt to the business.
Helps to find data in real-time.
Helps to roll out innovation quickly across a large and
geographically distributed company.
Provides clear information to decision makers.
52
Tools & Data
Information System
Information Technology
IT Modernization
Modernizing your Informative System can be a
trouble activity. You have to balance your effort on
maintenance, modernization and new development
among a multitude of application (ERP, CRM,
websites, mobiles…), infrastructures and data.
Having a better control, companies can launch new products
and experiment them in a sample of stores, getting rapid
feedback on product performance. It can

▪ How to fail
Operate in silos  Systems are confusing, duplicative,
and often tied together in complex and unknown ways.
Make it more complex than necessary  Processes
harder to change, harder to test, more prone to fail, and
tougher to restore after it fails.
Have too many third-parts engaged in installing,
evolving or maintaining systems.
Focus on the deployment of technology rather than its
adoption by business users.
Business and IS Department are not in synchronization.
▪ 4 Architectures
A useful approach is to think a platform in term of
architecture, a roadmap explaining the desired
organizing logic of your business processes.
Architecture management breaks up an Information
System into coherent and multiple services (single
behaviour) to move the IS to the right direction from
business to software to infrastructure.
Architects must be identified to be
responsible for the consistent of the 4
architectures: functional architecture
(business view), applicative
architecture (software view),
infrastructure (hardware view), and data (information
view).
Architecture must be reviewed constantly, especially
during all the life cycle of projects, at different layers
(from high level to precise level) to sustain consistency.
When Information Systems are good, they enable to
personalize customer interactions, perform analytics,
optimize internal processes, manage seamlessly
across channels, and have a single view of customers.
Unfortunately, in many large companies, the existing
IT is a mess of spaghetti and hard to be overhauled.
A strong architecture management is then
necessary.
53
Architecture
You need to rethink completely your technology, the Old and
the New, to know how you answer to the needs viewed
during customers, employees, and data journeys.
When you start your technological journey, resist the
temptation to view digital efforts as a new way to execute old
tasks. Today, technology is a great opportunity to completely
rethink how you do everything, making it an integral part of
your business objectives.
Your hardware infrastructure, application architecture, data
approach… should be reviewed. You readjust your UX/UI with
your middle and backend infrastructure. You modernize or
replace your applications of your backend, core system,
websites and mobiles. You connect data with all business
expectations. You revise and optimize your code with a new
programming charter.
You review your cycle of development, Quality Assurance
included. You move systems or data to the cloud, without
compromising security…

▪ Technology investments have traditionally been about the back office (enterprise data and stock management, supply
chain, finances, Human Resources Information System). Now, IS has to take care that an existing front office platforms may
has been acquired with external digital agencies, often in haste, by the marketing department using their operational budget.
▪ When selecting a seamless Omni-Channel platform, it is important to choose a provider that has a big vision for the future of
digital Information Technology (IT) solutions, which includes, in real-time, operation, sales (CRM) and call center.
▪ It is not yet clear exactly who will the next Omni-Channel leaders among a full of software that exist in the world market.
▪ Marketing and IT units need to collaborate closely with the others to ensure that business needs and technical architectures
are in harmony.
Companies exploit the possibilities offered by Omni-Channel Solutions, on cloud rather than on-premise, to
communicate in real-time with customers across many digital and physical shops (online, mobile, point-of-
sale, call center, display advertising, email, social media), devices (smartphones, tablets, laptops and
desktops), and back-end (ERP, 3PL).
54
Kiosk Web Mobile Tablet
Social
Media
Digital Channels
Stores Call Center
Physical Channels
Order (OMS)
eCommerce Platform Point Of Sale (POS)
Product (PIM)
Digital Asset (DAM)
Warehouse (WMS)Transport (TMS)Production (PMS)
Configure Price (CPQ)
Customer
Relationship
(CRM)
Financial (FMS)
Human
Resource (HRIS)
Content
(CMS)
Payment
Distribution
Centers
Retail
Stores
Transport Warehouses3PL Production
Inventory / Fulfilment / Production
Omni-Channel Solution

Social network, mobile, Internet of things, and every
other modern digital innovation generate tons of
data, yielding some astonishing statistics. If this kind
of growth keeps up for much longer we are going to
run out-of-metric system.
By now, most companies recognize that they have
opportunities to analyze this data as new insights, to
raise productivity and business and to make smarter
decisions in real-time (« Big Data »).
Digitization of just about everything (documents, news, music,
photos, video, maps, personal updates, e-mails, geolocation,
social networks, Hashtags, Emojis, tweets, cookies, data from
all kinds of sensors…) is one of the most important
phenomena of recent years.
In the past, traditional database and analytics tools could not
deal with extremely large, complex, and fast moving data.
Now, new tools are able to analyze huge amount of data in
real-time (delegating to different devices, algorithm…). SQL
stays the standard.
Grocery retailers are combining their loyalty card data with
social media information to detect changing buying
behaviours.
Facebook is using face recognition tools to compare the
photos up-loaded with those of others to find potential
friends of yours.
55
Data & Analytics
Data
Analytics
With data, we can formulate theories and assumptions that
we can evaluate to propose processes, concepts, predictions
and solutions, but also understand better the past. When
properly exploited, data can yield an extremely powerful and
accurate indicator of future outcomes.
Cyber Security
As a result of the growth data, people begin to become
suspicious to all companies, which know their private life.
Companies should deal with these concerns to keep a good
image to their clients.
Besides, a numerous hackers attack the computer system of
huge companies to steal information such as bankcards codes.
Cyber-Security is on the main factors of the evolution of the
big data.

The Internet of Things (IoT) or the Internet of everything is the
ability of every devices to connect and transfer data to each
other with a little or no human intervention. The estimated
growth of this new revolution is expected to hit between 26
billion and 30 billion devices by 2020. Then, the data security
will be a major challenge. Then, the best practices must be
deployed on the programming interfaces, on devices, on
connected network (intranet and internet).
Intelligence and security agencies are combining data from
social media, phone calls and texts to track down criminals
and predict the next terrorist attack.
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Artificial Intelligence / Machine Learning
It is a « set of technologies that empower connected
machines and computers to learn, evolve and improve upon
their own learning by reiterating and consistently updating the
data bank through recursive experiments and human
intervention ».
We are at the dawn of this technologies.
AI is more Artificial than Intelligent.
The Turing test (« developed by Alan Turing in 1950, is
a test of a machine's ability to exhibit intelligent behavior
equivalent to, or indistinguishable from, that of a human »)
has not been conclusive yet.
Data Journey
Among the problems facing transformation, data represents
the key to unlocking new customer behaviours and
preferences. Complications arise in not only matching the
mountains of data from social to owned customer, but also to
disparate data sources with multiple architecture types,
locations, international brands and technical protocols.
Business needs reliable and flexible data sharing with partners
and customers, without introducing proprietary protocols that
are difficult to learn except being a data scientist.
During the lifecycle of the data journey, you should find out
which data are critical and which are noises, who owns data
and who should own data, where data are located. So you can
gather deeper learning about the broader customer journey.
The focus is to find a balance between easy-to-use and the
more sophisticated predictive analysis
in a view towards providing a
homogenous experience for the
different people, systems and
applications that need to access
your data.
Collecting customer data is not an
easy task. It can present political
dilemma.

Calibrate reward structures to drive employees’ motivation, productivity. Rewards should not be just financial but also on status,
reputation, recognition, expertise, and privileges.
57
Sustainable
Rewards
Sustaining the momentum of a transformation is critical to long-term success. It requires building new
foundation skills that will make the change possible, aligning reward structures to ensure that employees are
motivated and organizational bottlenecks are removed. You also put in place an iterative review process (agile)
to measure progress frequently.
« You can’t manage what you cannot measure ». Having a proper measurement and monitoring system in place will provide
company with confidence that the investments and the business change are bringing real benefits to company’s organization.
Digital Circles should continue to study the « ultimate customer journey » every « x » months to adapt investments in relevant
digital customer experience strategies.
Monitoring
A transformation is a continuous process. After each transformation realization, « Capability » should be reviewed, to redesign a
new roadmap to transform « Leadership », « Organization », « Business », « Tools & Data », and so on.
Iterative & Incremental

EXPERIENCE
DATA / ANALYTICS
OMNI-
CHANNEL
VISION
CUSTOMER
TECHNOLOGY
OPERATION
BUSINESS
MODEL
PLATFORM
LEADERSHIP
GOVERNANCE
DIGITAL
TRANSFORMATION
NEW
SKILLS
INNOVATION
OUT-OF-BOX
INVOLVEMENT
PEOPLE
ROBOTJOURNEY
If you want to continue this chat, please join
me at:
+1 (514) 430-6581
franck.martin.fm@gmail.com
ca.linkedin.com/in/bahioka09
Bahioka
IN
S
Franck Martin
Transformation
58

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