Digital transformation consulting workshop training course How to create expert analyses, digital road map and strategy? Miodrag Kostic, CMC, CDC Certified digital transformation expert, consultant - Serbia, Belgrade http://www.businessknowledge.biz/ http://www.miodragkostic.com/

1. DIGITAL TRANSFORMATION
Miodrag Kostić, CMC consultant

2. Since 1986 : 17 years of living and working in the USA
Founded “T-gallery” retail stores in NY & Honolulu, USA - 1992
Miodrag Kostic, CMC

3. Owned and operated “Web Consulting Honolulu”, USA - 1998
Clients:

4. 2003-Present: Working for the best companies in the South East European region

5. Since 2019 freelance trainer at “Qatar Skills Academy” in Doha

6. Innovation Management ConsultantCMC - Certified Management Consultant
Digital Transformation Consultant

7. Why digital transformation?
What makes companies undertake
digital transformation?

8. Why did Blockbuster go out of business?
What is “digital disruption”?

9. What was the mission of Blockbuster?
“To provide customers with the most convenient
means of accessing media entertainment”

10. In 50 years, every street in London will be buried under
nine feet of manure – London Times Newspaper 1894
What is preventing
us to see the trends?

11. Path dependant outcome
We are programmed to build loyalty to ideas in which we have invested time

12. Corona virus crisis and
opportunities for
digital transformation.

13. Challenge as opportunity for improvement
CRISIS
CHALLENGE OPPORTUNITY

14. $ 140.25 Billion$ 141.28 Billion
76000 employees2600 employees
Founded 2008
Eric Yuan John D. Rockefeller
Founded 1864

15. Opportunity to change
his business model.

16. What is
DIGITAL TRANSFORMATION

17. What company is this?

18. $ 1.000.000.000.000

19. Digital world exists for over 70 years
Worldwide
Digital Transformation
From 5 computers in 1943 to billions!

20. www.dogshirts.comwww.t-gallery.com
1994 1995
E-commerce sales in 1995
My own digital transformation

21. o Digitization
o Digitalization
o Digital Transformation
— What are the differences?

22. o DIGITIZATION – The conversion of text, pictures, or sound into a
digital form (analog to binary)
o DIGITALIZATION – Use digital technologies to change a business
model and provide new revenue and customer value
o DIGITAL TRANSFORMATION – Use of digital technology and digital
business models to transform and improve services or businesses

23. Digital transformation is the integration of digital technology into all
areas of a business, fundamentally changing how you operate and
deliver value to customers. It's also a cultural change requiring
organizations to challenge the status quo, experiment, and evolve.

24. What is the biggest challenge with
DIGITAL TRANSFORMATION

25. (1) Automation applied to an efficient operation will magnify the efficiency
(2) Automation applied to an inefficient operation will magnify the inefficiency

26. Organizational culture
How you use digital tools and digital business models?

27. How digital transformation
drives business value?
Connectivity
InnovationAutomation
Decisions

28. Rethink Your Business for
the Digital Age!
David L. Rodgers

29. What is B2B
DIGITAL TRANSFORMATION
Using digital solutions to streamline processes
and improve the customer experience

30. To be successful, B2B Digital Transformation must strategically be based on
customer needs. Applying digital solutions merely to use new technology isn’t
effective and can end up being a waste of money and resources.
Earlier B2B Digital Transformations were focused on improving efficiency, recent
transformations have shifted to improving the buyer experience

31. How clients experience your B2B sales process?

32. What sales people say when they have to write reports?
I am wasting my time writing reports in CRM, I should spend that time with customers

33. Case Study – Key account manager on CEBIT Hanover fair
All new contacts written in his agenda – forgotten in one of the restaurants at the fair

34. Case Study – Tourism Industry company from Serbia
Before:
• Clients info on individual Excel sheets
• Different offers sent to the same B2B client
• Preparing weekly reports
• Reports took 3-4 hours to prepare
• Management did not know what's going on
• Huge sales employee turnaround
• Lost client contacts
After:
• Centralized contact list on the cloud
• Complete interaction with clients recorded
• Automated engagement and task creation
• Reports to management in real time
• Sales completely staff focused on clients
• Detailed competition analyses
• All contracts visible at one place
• Increase in B2b sales: 21%
• Missed/misinterpreted contacts: “0”
• Increase in profitability 11 %
• Return on investment period 19 months
Results:

35. Salesforce Drives Customer Success for Sales Leaders
Source: Average percentage improvements reported by Salesforce customers. Salesforce Customer Success Survey conducted from 2017-2019.
Survey respondents were 3,384 Salesforce customers randomly selected. Responses per question vary.
+ 22%
Increase in
Win Rate
+ 39%
Increase in
Forecast
Accuracy
Increase in
Sales
Productivity
+ 35%Increase in
Deal Size
+15%
Increase in
Lead
Conversion
+ 30%
How much was increase in sales after B2B digital transformation?

36. You’ve got to start with the customer experience
and work backwards to the technology

37. Your road to B2B
DIGITAL TRANSFORMATION
How to focus on customer needs?

38. TREND CARDS

39. Trend Cards

40. The adding of digital capabilities to purely physical
products creates enhanced or completely new products
that add value for the customer. These hybrid products
make up the Internet of Things.
They are data-centered, intelligent, networked, capable of
communicating, flexibly upgradeable and can be
customized on a case-by-case basis.
They have the potential to fundamentally change entire
industries, as they enable new business models and/or
replace existing products.
PRODUCTS AND SERVICES
Hybrid Products
PT1
Products That Think and
Communicate
How can you add value to your customer?

41. http://teddytheguardian.com/
IoT or “Internet of Things”
Domestic company

42. Customer co-creation is a new form of cooperation
between companies and customers.
A highly motivated community of users develops,
manufactures and sells products together with a
company.
The creativity of the group leads to amazing product
ideas, which ultimately translates into
new or improved product or service innovation.
PRODUCTS AND SERVICES
The customer
contributes
Customer Co-Creation
PT8
How can you involve customers to co-create?

43. „Co-Create IKEA“, digital platform
How can you involve customers to co-create?

44. Customer journey covers all points of contact of a
customer in connection with the purchase of a
product or a service - from the first contact
through the phases of the purchase process to
follow-up support.
If these processes are accompanied digitally, valuable
customer data is created.
A structured analysis of this data provides insights
into consumer behaviourur and thus helps
to optimize the use of marketing tools.
CUSTOMER RELATIONS AND MARKETING
Customer Journey
On the trail of the customer
KT1
How can you improve customer experience?

45. Customer journey map

46. Customer journey map

47. Customer journey map
How can you improve your customers experience?

48. CRM systems help to record all interaction points
of a customer relationship and to systematically
evaluate the data obtained.
They provide information about the customer
history (type and scope of the business
relationship, calls, visits, problems, etc.) and thus
contribute to optimal customer care.
The recording of inquiries from potential
customers (interested parties, leads) gives
valuable impulses for further marketing work.
CUSTOMER RELATIONS AND MARKETING
CRM Systems
KT2
Digital Optimization of
Customer Relations
How can you learn more about customers?

49. Ko je vaš tipičan kupac?
Customer persona
How can you help identify your customer personas?

50. Digital marketing measures have the task of
directing visitors to a specific page (presence) on
the Internet.
These include tools such as content marketing,
storytelling, search engine marketing, affiliate
marketing, e-mail marketing, contextual advertising,
website monetization, mobile marketing,
gamification, social media, etc.
The advantage over classic marketing measures lies
in the measurability of the advertising effect.
CUSTOMER RELATIONS AND MARKETING
Digital Presence
Marketing in the virtual world
KT4
Can you tell the story about your company?

51. Who can tell better story about your
company, digital agency or you?

52. The days of static advertising aimed at a
passive audience are over!
Multi-channel activities in the social media launch
campaigns with the aim to achieve a participation of
the recipient (involvement of the customer).
This increases the exposure to a brand and the
acceptance of advertising measures.
The customer becomes a valuable testimonial and
thus an active co-marketer.
CUSTOMER RELATIONS AND MARKETING
Testimonials
The Customer as Co-Marketer
KT8
How can you ask customers for testimonials?

53. Which source is credible, which is not?
Who sells intentionally false information as facts?
The information overload changes – from the access
to information and data to the rating of the credibility
of information sources.
Companies must prove their statements more strongly
than ever. Fairness, sustainability and social benefits
become important criteria for success when defining
the company's reputation.
CUSTOMER RELATIONS AND MARKETING
Credibility and
Reputation
Fact or Fake
How can you provide credible information?
KT 10

54. Documents of any type and format are created,
recorded, stored and managed with IT support.
This means that a large amount of different
information can be efficiently managed and
provided for versatile business processes.
PROCEDURES AND
PROCESSES
Document
Management
AT4
Paperless Office
How can you improve information flow?

55. Effectiveness of document management
software depends on how successfully
you manage your documents

56. The "last mile" to the customer is the biggest
challenge.
Also, a reorganization of logistics models is
conceivable, for example, the collection of goods by
customers in distribution centers (instead of individual
delivery) or the depositing of goods in parked
customer vehicles.
PROCEDURES AND
PROCESSES
The Last Mile
AT10
Digitalization Against the Bottleneck
How can you improve product distribution?

57. How can you improve your product distribution?

58. Data protection and data security are complex topics -
for example:
- Protection against misuse of data (New: GDPR);
- Right to informational self-determination;
- Protection against data loss and data theft;
- Defense against malware;
- Protection against hacking;
- Hedging against an IT failure
Data Protection & Co
My Data Belong to Me
AT11
How do you protect customers data?
PROCEDURES AND
PROCESSES

59. The fine is 4% of
company revenue

60. GDPR

61. Sharing instead of owning (sharing economy), using
instead of buying: a completely changed market
behavior places new demands before companies.
For most industries, business models are changing!
Pushing market boundaries and developing
completely new business models independently is the
central challenge for many companies and an
important opportunity for the coming years.
BUSINESS MODELS AND VALUE CHAINS
Business Model
Innovation
GT2
Innovative Business Models
How can you change the way you work?

62. Business model canvas

63. The goal is always to develop promising, innovative
products, services or business models.
The interaction between internal and external ideas,
technologies, processes and distribution channels
actively involves the corporate environment in the
innovation process.
The involvement of employees, customers, suppliers,
lead users, universities, competitors or other
industries increases one’s own innovation potential.
BUSINESS MODELS AND VALUE CHAINS
Open Innovation
Innovation for All
GT3
How can you get involved in innovation?

64. Innovations are mostly associated with the
development of new technologies or new
(physical) products.
Today, the term innovation also includes the service
sector. Thus, innovative services are provided not only
by traditional service providers, but also increasingly
by the manufacturing industry.
A service innovation occurs when a completely
new service is developed or the process of service
provision is fundamentally changed.
BUSINESS MODELS AND VALUE CHAINS
Innovation of Services
GT4
From Product to Service
Orientation
How can you innovate customer service?

65. - Value Proposition CanvasInnovate your customer service

66. Computer programs that allow multiple people to work
on the same data simultaneously or at different times
make it easier to work in small businesses as well as
across company value chains.
For cross-company solutions, several companies
work with the same software and/or files.
Advantages include the development of synergies,
cost savings, higher efficiency and improved
performance.
BUSINESS MODELS AND VALUE CHAINS
Collaborative Tools
GT8
Tools for Better Cooperation
How can you improve collaboration?

67. Teamwork remains one sustainable competitive advantage
that has been largely untapped!
Why collaboration?

68. For companies and organizations, the permanent
continuing education of employees in the field of
digitalization will be the central challenge.
More and more knowledge is now available at
reasonable prices (sometimes free of charge) and
can be accessed by a wide group of people.
The key resource is not the knowledge itself, but
the ability to link it and create something new.
Collaboration between different disciplines will
rapidly increase in importance.
EMPLOYEES AND CORPORATE CULTURE
Education and Training
Digital Competences
MT8
How can you increase your knowledge?

69. Digital strategy
How to
DIGITAL TRANSFORMATION

70. Creating digital strategy for a client

71. Creating digital road map for a client

72. Creating digital road map for a client

73. Digitalni
trendovi
SWOT &
Impact
analiza
Quick
Fixes
ImplementationDigital strategyEA- Expert analyses
Priority I
Priority II
Priority III
Detailed strategy
priorities
KMU Digital – Digital Transformation process

74. Digital road map for CRM and customer experience
Customer
experience
measured
Customer
loyalty
increased
Customer
service
improved
Positive
R.o.I in
year 2
products
marketing
operations
finance
Create a product range of at
least 50 different menues,
organic, healthy, with nutrition
data, enough fruit and
vegetables
Do not forget food
intolerances and other special
needs (e.g. no pork,
vegetarian)
Patrick
5 weeks of time
Collaborate with
dietologist and chef
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75. Miodrag Kostić, CMC, CDC
www.miodragkostic.com
Thanks 