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Organisational Principles for 
Digital Collaboration 
David Terrar | Founder & CXO – Agile Elephant | @DT on Twitter 
Ente...
Organisational Principles for 
Digital Collaboration
Organisational Principles for 
Digital Collaboration
Organisational Principles for 
Digital Collaboration
Agenda 
• Business is changing: 
– the current landscape 
– the Digital Enterprise Wave 
• Why organisational change? 
• U...
Hang on - can you explain 
this new digital landscape?
January 1995 
"Move bits, not atoms."
Your business model 
is under threat!
The Digital Enterprise Wave 
ride it 
or go under!
Infrastructure 
Connectivity 
Internet 
WiFi 
3G & 4G 
Human Factors 
Entrepreneurship 
Crowdsourcing 
Millennials 
Econom...
The Digital Enterprise Wave
The Big Shift 
Cloud Social Mobile
The Digital Enterprise Wave
Emerging Technologies 
Big Data & Analytics 
Internet of Things 
3D Printing 
Artificial Intelligence
The Digital Enterprise Wave
“Business as Usual” Thinking 
Point Social Media Solutions 
Siloed Communities 
Lack of Integration 
Legacy Systems of Rec...
The Digital Enterprise Wave
We need “Digital” Thinking 
Digital and Social inside and out 
Business Model Innovation 
Systems of Engagement 
Design Th...
McKinsey 7 “S” Model 
Strategy 
Skills 
Structure 
“Shared 
Values” 
Staff 
Hard Systems 
Systems 
Style 
Soft Systems 
 ...
The Digital Enterprise Wave
Why organisational change? 
• The evidence is mounting – to make digital 
truly work change is necessary 
• The key is cha...
A Team-Based, Flat Lattice Organization 
• Fairness to each other and everyone with whom we come in 
contact 
• Freedom to...
checks and balances to ensure 
accountability, transparency and honesty
Hierarchy - Wirearchy 
taking responsibility individually and collectively 
rather than relying on traditional hierarchica...
Organisational Change 
• It’s not about changing the org chart – many 
structures will work 
• It is about mind-set and va...
Total Value 
Created 
Bottom line = value creation 
Increase 
Revenue 
Average Sale £ 
Sales Volume 
Reduce Costs 
Churn 
...
Five distinct 
social collaboration ambitions
Establishing your Digital Thinking 
Strategy 
Skills 
Structure 
“Shared 
Values” 
Staff 
Hard Systems 
Systems 
Style 
So...
Strategy 
© Simon Sinek - https://www.startwithwhy.com/
Structure 
• Information flow must be fast and pervasive 
• You must streamline decision making 
• Faster time to market 
...
• One of the largest bookmakers in the UK 
• 80 year old company undergoing a major culture 
shift 
• Adopting a lean star...
Systems 
• Fast reaction time to important information 
• Old processes & practices must be replaced 
(and that’s not easy...
Staff 
• Must be on board 
• Supported by management at all levels 
Gallup State of the Global Workplace: 
 Worldwide, ac...
Skills 
• Understand the new policies 
• Know what’s expected of them 
• Know how to operate the new systems
Style 
Digital Taylorism Open, Good for All
Shared Values 
• Go back and find your “why” 
• Ask “what’s in it for me?” at all levels 
• Focus on benefits for all 
• L...
Leading Digital
Four Level of Digital Mastery
Digital Mastery by Industry
What is your level of Digital Mastery? 
- generate 9% more revenue 
- create 26% more profit 
- 12% higher market valuatio...
Who should be involved? 
• Top Management, the C-Suite - essential 
• Engaged employees – essential 
• IT/the CIO – connec...
with 
Winners Of The 2014 Groundswell Awards 
(Business-To-Employee Division) 
Atos "Journey to Collaboration" / Zero emai...
Key recommendations?
Key recommendations? 
• Revisit your business model 
• Revisit your value proposition 
• Pilot, but in an area where there...
References 
http://en.wikipedia.org/wiki/Nicholas_Negroponte 
http://en.wikipedia.org/wiki/Being_Digital 
http://www.capge...
David Terrar 
Agile Elephant | techUK | EuroCloud UK 
p: +44 (0)1727 866309 
m: +44 (0)7715 159423 
e: david@theagileeleph...
Organisational principles for digital collaboration - keynote at Enterprise 2.0 SUMMIT London
Organisational principles for digital collaboration - keynote at Enterprise 2.0 SUMMIT London
Organisational principles for digital collaboration - keynote at Enterprise 2.0 SUMMIT London
Organisational principles for digital collaboration - keynote at Enterprise 2.0 SUMMIT London
Organisational principles for digital collaboration - keynote at Enterprise 2.0 SUMMIT London
Organisational principles for digital collaboration - keynote at Enterprise 2.0 SUMMIT London
Organisational principles for digital collaboration - keynote at Enterprise 2.0 SUMMIT London
Organisational principles for digital collaboration - keynote at Enterprise 2.0 SUMMIT London
Organisational principles for digital collaboration - keynote at Enterprise 2.0 SUMMIT London
Organisational principles for digital collaboration - keynote at Enterprise 2.0 SUMMIT London
Organisational principles for digital collaboration - keynote at Enterprise 2.0 SUMMIT London
Organisational principles for digital collaboration - keynote at Enterprise 2.0 SUMMIT London
Organisational principles for digital collaboration - keynote at Enterprise 2.0 SUMMIT London
Organisational principles for digital collaboration - keynote at Enterprise 2.0 SUMMIT London
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Organisational principles for digital collaboration - keynote at Enterprise 2.0 SUMMIT London

Explaining the current digital landscape as the Digital Enterprise Wave, ride it or go under. Stop thinking business as usual. Start thinking digitally - design thinking, business model innovation, digital inside and out. Any org structure will work, but you need to change the culture, empower your people and encourage the right behaviours. Then some recommendations of how to do it, where and how to start.

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Organisational principles for digital collaboration - keynote at Enterprise 2.0 SUMMIT London

  1. 1. Organisational Principles for Digital Collaboration David Terrar | Founder & CXO – Agile Elephant | @DT on Twitter Enterprise 2.0 SUMMIT | 26 November 2014 Driving Business Value
  2. 2. Organisational Principles for Digital Collaboration
  3. 3. Organisational Principles for Digital Collaboration
  4. 4. Organisational Principles for Digital Collaboration
  5. 5. Agenda • Business is changing: – the current landscape – the Digital Enterprise Wave • Why organisational change? • Using Digital & Social tools - How do you create value? • How do you establish your Digital Thinking? • What do you need beyond Digital capability? • Why bother? • Who should be involved? • What are the key recommendations?
  6. 6. Hang on - can you explain this new digital landscape?
  7. 7. January 1995 "Move bits, not atoms."
  8. 8. Your business model is under threat!
  9. 9. The Digital Enterprise Wave ride it or go under!
  10. 10. Infrastructure Connectivity Internet WiFi 3G & 4G Human Factors Entrepreneurship Crowdsourcing Millennials Economic Outsourcing Offshoring Low cost
  11. 11. The Digital Enterprise Wave
  12. 12. The Big Shift Cloud Social Mobile
  13. 13. The Digital Enterprise Wave
  14. 14. Emerging Technologies Big Data & Analytics Internet of Things 3D Printing Artificial Intelligence
  15. 15. The Digital Enterprise Wave
  16. 16. “Business as Usual” Thinking Point Social Media Solutions Siloed Communities Lack of Integration Legacy Systems of Record Business as Usual
  17. 17. The Digital Enterprise Wave
  18. 18. We need “Digital” Thinking Digital and Social inside and out Business Model Innovation Systems of Engagement Design Thinking
  19. 19. McKinsey 7 “S” Model Strategy Skills Structure “Shared Values” Staff Hard Systems Systems Style Soft Systems  Integrates “hard” and “soft” business systems in a structured way  “technology neutral”  Includes employee engagement  Proven approach  Especially useful for lessons in managing major change
  20. 20. The Digital Enterprise Wave
  21. 21. Why organisational change? • The evidence is mounting – to make digital truly work change is necessary • The key is change of Mind-set and Culture • I worry about some current thinking on organisational structure…. • We need “Evolution not Revolution!”
  22. 22. A Team-Based, Flat Lattice Organization • Fairness to each other and everyone with whom we come in contact • Freedom to encourage, help, and allow other associates to grow in knowledge, skill, and scope of responsibility • The ability to make one's own commitments and keep them • Consultation with other associates before undertaking actions that could impact the reputation of the company
  23. 23. checks and balances to ensure accountability, transparency and honesty
  24. 24. Hierarchy - Wirearchy taking responsibility individually and collectively rather than relying on traditional hierarchical status http://wirearchy.com/what-is-wirearchy/
  25. 25. Organisational Change • It’s not about changing the org chart – many structures will work • It is about mind-set and values: – accountability, transparency and honesty – checks and balances – fairness – freedom to encourage, help, collaborate – taking responsibility individually and collectively – empowering employees
  26. 26. Total Value Created Bottom line = value creation Increase Revenue Average Sale £ Sales Volume Reduce Costs Churn Operating Cost • Deeper understanding of customer needs • Conversation with customers increases attachment to business • Increased marketing penetration at lower cost • Faster lead generation & customer onboarding • Faster understanding of product and customer problems • Pro-active customer retention • Fast information movement and higher levels of collaboration drives efficiency • Higher employee engagement drives effectiveness Close link Digital Business Value Creation Depending on the business, the impact of digital transformation will vary – but will drive significant value
  27. 27. Five distinct social collaboration ambitions
  28. 28. Establishing your Digital Thinking Strategy Skills Structure “Shared Values” Staff Hard Systems Systems Style Soft Systems  Integrates “hard” and “soft” business systems in a structured way  “technology neutral”  Includes employee engagement  Proven approach  Especially useful for lessons in managing major change
  29. 29. Strategy © Simon Sinek - https://www.startwithwhy.com/
  30. 30. Structure • Information flow must be fast and pervasive • You must streamline decision making • Faster time to market • New teams, cross functional teams
  31. 31. • One of the largest bookmakers in the UK • 80 year old company undergoing a major culture shift • Adopting a lean start up model • Product teams include people who used to be in marketing, IT, product management • 4-6 week new product cycles • Touch the customer within weeks – used to be 2 years
  32. 32. Systems • Fast reaction time to important information • Old processes & practices must be replaced (and that’s not easy) • New technology, but easy to deploy and use • Digital and social at the heart of the business process and creating value
  33. 33. Staff • Must be on board • Supported by management at all levels Gallup State of the Global Workplace:  Worldwide, actively disengaged employees outnumber engaged employees by nearly 2-1
  34. 34. Skills • Understand the new policies • Know what’s expected of them • Know how to operate the new systems
  35. 35. Style Digital Taylorism Open, Good for All
  36. 36. Shared Values • Go back and find your “why” • Ask “what’s in it for me?” at all levels • Focus on benefits for all • Look beyond shareholder value
  37. 37. Leading Digital
  38. 38. Four Level of Digital Mastery
  39. 39. Digital Mastery by Industry
  40. 40. What is your level of Digital Mastery? - generate 9% more revenue - create 26% more profit - 12% higher market valuation
  41. 41. Who should be involved? • Top Management, the C-Suite - essential • Engaged employees – essential • IT/the CIO – connect to the legacy • Learning/proving by doing - essential • Good outcomes for all - essential
  42. 42. with Winners Of The 2014 Groundswell Awards (Business-To-Employee Division) Atos "Journey to Collaboration" / Zero emailTM program • 76,000 employees now collaborating • Sharing knowledge and expertise through 7,500 purpose built communities • 30% active users posting 10 collaborative notes per week/per user • Better knowledge sharing leads to faster response times and more wins • Reducing response time in some cases from 2 days to 45 minutes • Operational efficiency gains by reducing internal e-mail overload by an average of 60% • Saving an average of 2 hours a day per employee
  43. 43. Key recommendations?
  44. 44. Key recommendations? • Revisit your business model • Revisit your value proposition • Pilot, but in an area where there is measurable business benefit • Learn and adapt • Roll out, bringing everyone with you • Ensure everyone shares the benefits
  45. 45. References http://en.wikipedia.org/wiki/Nicholas_Negroponte http://en.wikipedia.org/wiki/Being_Digital http://www.capgemini.com/resources/transform-to-the--power-of-digital http://www.zdnet.com/examining-the-digital-workplace-in-2014-7000026781/ http://postshift.com/author/lee/ http://www.technologytransformation.com/High%20Perfomance%20Projects.htm http://www.bonkersworld.net/organizational-charts/ http://en.wikipedia.org/wiki/Valve_Corporation#mediaviewer/File:Valve_logo.svg http://thenextweb.com/shareables/2012/04/21/valves-new-employee-handbook-is-as-inspiring-as-the-games-it-makes/ http://www.gore.com/en_xx/aboutus/culture/ http://www.johnlewispartnership.co.uk/about/our-constitution.html http://wirearchy.com/what-is-wirearchy/ http://blog.medallia.com/customer-experience/ceo-top-pyramid/ http://www.ibm.com/smarterplanet/us/en/centerforappliedinsights/article/social_insights.html http://socialbusinessjourney.com/2014/02/25/social-business-cookbook-soft-version-for-all-culture-hackers/ https://www.startwithwhy.com/ http://www.gallup.com/poll/165269/worldwide-employees-engaged-work.aspx http://www.amazon.co.uk/Leading-Digital-Technology-Business-Transformation-ebook/dp/B00NE6MG0Y/ref=sr_1_1?s=books&ie =UTF8&qid=1416926793&sr=1-1&keywords=leading+digital http://www.businessmodelgeneration.com/canvas/bmc https://strategyzer.com/value-proposition-design Not for reading – just for reference
  46. 46. David Terrar Agile Elephant | techUK | EuroCloud UK p: +44 (0)1727 866309 m: +44 (0)7715 159423 e: david@theagileelephant.com w: www.theagileelephant.com skype: david_terrar twitter: http://twittter.com/DT @DT linkedin: http://www.linkedin.com/in/davidterrar blog: http://theagileelephant.com/blog & http://medium.com/@DT innovation | digital transformation | value creation | (r)evolution

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