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Digital Capabilities and Competencies

Digital capabilities and competencies

As you embark on a digital transformation, what digital capabilities and competencies do you need? 

The applicability and the magnitude of which digital capabilities are necessary depends on whether a corporation is a business to business (B2B) or business to consumer (B2C), the sector it operates in, and the intensity of the use of digital channels and transactions.

Here are the digital capabilities and competencies required to succeed in the enterprise transformation.

Summary of Digital Capabilities and Competencies:

Leadership:

  • Establish the need for a digital transformation.
  • Communicate the strategic intent of going digital and define a strategic blueprint.
  • Support the digital endeavors with funding, executive support, and ongoing involvement.

Culture:

  • It is not about doing digital, but thinking and being digital.
  • Customer centricity, data-driven decision making should not be a buzzword, but an ethos to live by.
  • The hiring, the reward structure, and governance should foster and promote the digital culture.

Business Strategy, Structure, and Operations:

  • Digitally enabled products and services.
  • A simple business structure and nimble operational footprint.
  • New digitally inspired products and services.
  • Flexible business structure and integrated digital business models.
  • Enablement of entire value chain – from supply chain to the demand chain to be digitally mobilized and enabled.
  • Measurement and benchmarking.

Marketing:

  • Integrated marketing planning.
  • Proactive Social Media Management.
  • Brand Ambassadors and Advocates.
  • ROI-driven Marketing Spending.

Customer-Centricity:

  • A 360-degree view of the customer.
  • Mobile enablement. A mobile and touch oriented interface design.
  • Forget multi-channel silos, but focus on an omnichannel solution to customer interactions and transactions.
  • A thorough understanding of the client value streams and the bottlenecks involved in the process. For example, value streams such as Prospect to Customer, Search to Purchase, Issue to Resolution, Research to Enjoyment, Prospect to Advocate are important to consider and act on.
  • Beyond process and technology, customer-centricity is a result of mindset and culture of the people. Hence, customer-centric training and change management are essential.

Data and Information:

  • Leverage data, internal and external, to drive decisions, enable interactions, and facilitate transactions.
  • Global content management.
  • Strategic, tactical, operational, and decision analytics.

IT and Infrastructure Landscape:

  • Embrace the cloud.
  • Adopt processes like DevOps and Scaled Agile to respond quickly.
  • Capability-driven Road mapping.
  • Rationalized and optimized application portfolio.
  • Platform orientation and API driven development.
  • Information and Cybersecurity as an integral part of the software, hardware, networking, and infrastructure.

Did we miss any essential digital capabilities and competencies? How does your enterprise measure up on these capabilities and competencies?  Drop us a line.

Please also consider a digital business capability model that outlines a business capability list for digital transformation, which can be an integral part of an overall digital business architecture.

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