William Confalonieri

DIGITAL DISRUPTION. IT’S NOT COMING…
IT’S ALREADY HERE.
TECHNOLOGY IDEAS EXCHANGE PROGRAM
11 AUGUST 2015
MELBOURNE
William Confalonieri
Chief Digital Officer
Deakin University
wconfalonieri @ LinkedIn
Content
①
Understanding the disruptors
②
Impact on Financial Services and Super
③
The Quest for the Digital DNA
④
The new IT Leader
Content
①
Understanding the disruptors
②
Impact on Financial Services and Super
③
The Quest for the Digital DNA
④
The new IT Leader
DIGITAL: MASSIVELY DISRUPTIVE TIMES AHEAD
Image credit: science.nationalgeographic.com
TECHNOLOGY DRIVERS
CULTURAL DRIVERS
THE AGE OF IMPATIENCE
1.
Always on
2.
Speed and ease
3.
zero friction
4.
Rapid take-up
GENERATIONAL DRIVERS
MILLENNIAL expectations
1. Beautiful and usable
2. Personalised and optimised
3. Consistent and seamless
4. Hyper social
5. Natural, emotional interfaces
DIGITAL INNOVATION IMPERATIVES
ENVIRONMENTAL DRIVERS
UBIQUITOUS TECHNOLOGY
1. Hyper connectivity
2. ‘Mobile everything’
3. Context-aware, location-aware
DISRUPTED MARKETS & SECTORS
“If the rate of change inside an
institution is less than the rate of
change outside, the end is in sight.”
- Jack Welch
Chairman and CEO of General Electric. During his tenure at GE,
11
Extinction Street is filling at fair pace…
Deloitte Digital. © 2014
Many waves of disruption
Collaborative Economy
3D Printing
Manufacturing, supply chain and
retail disruptions
Holoworld
Driverless vehicles
Content
①
Understanding the disruptors
②
Impact on Financial Services and Super
③
The Quest for the Digital DNA
④
The new IT Leader
Pressure Points
Demand for:
• extremely personalised service
• customised information, education and advice
• memorable and simplified digital experience
Vanilla service would no longer suffice
Vulnerabilities
A financial Service Organisation is vulnerable to disruption
if it suffers of:
• redundant intermediaries
• limited access
• broken trust
• wasted assets
• complexity
Factors Driving Innovation
• Streamlined Infrastructure
• Automation of High-Value Activities
• Reduced Intermediation
• The Strategic Role of Data
• Niche, Specialised Products
• Customer Empowerment
Impact of the Shared Economy
Personal loans, currency exchange and insurance are
three sectors that are vulnerable to high competition from
the collaborative economy.
A new business for the Tech Giants
• Banks will find some of their services being cherrypicked by the new tech giants: Apple Pay, Paypal,etc
• Research suggests that by 2020 smartphones will be
more use to pay for things than credit or debit cards.
Investment Management Trends
• Robo-advisors are improving accessibility to
sophisticated financial management and creating
margin pressure, forcing traditional advisors to evolve
• The scope of externalisable processes is expanding,
giving financial institutions access to the new levels of
efficiency and sophistication
Investment Management Trends
Some well funded new players in the Robo-Advising space:
• FutureAdviser
• Betterment
• Wealthfront
• Financial Guard
• SigFig
• Jemstep
• Nutmeg
Content
①
Understanding the disruptors
②
Impact on Financial Services and Super
③
The Quest for the Digital DNA
④
The new IT Leader
ORGANISATIONAL IMPERATIVES
PRE-EMPTIVE DIGITAL DISRUPTION
• Businesses must reconsider their strategies in the context of this new digital landscape.
• Digital innovations are impacting core business processes, workforce enablement,
delivery models, customer experiences and, most importantly, established business
models.
• Organisations are being forced to pre-emptively disrupt from within, or risk being
unprepared for and unable to respond to external disruptions.
• Technology enables the movement from digital transactions to digital relationships.
•
We can know and treat our students, on a massive scale,
as unique individuals again.
•
This new level of potential digital intimacy represents an
immense competitive advantage waiting to be realised …
•
The challenge however is for organisations to pioneer
new engagement strategies
PLACE
M obi l i t y
PACE
Fl exi bi l i t y
FACE
Personal i sat i on
SPACE
Col l aborat i on
External Trends
-Mobile centric
applications
-BYOD mobile device
-Device independence
-Cloud services
-Public cloud storage
-Remote assessment methods
-Cloud based office productivity
tools
Predictions
Gartner predicts that by 2013 mobile
phones will overtake PCs as the most
common Web access device
worldwide 1
Nearly half of all application and web
hosting capacity will be on cloudbased architectures by 20152
Digital innovations offer opportunities
to improve staff retention by providing
more flexible working arrangements
and allowing teams to use their own
devices, such as smartphones,
tablets and home
computers. Companies can in turn
reduce office space and travel needs,
tap into new models – such as using
shared office facilities in locations
where they have small teams – and
explore ways to give staff more
autonomy. 4
External Trends
-MOOCs
-Free online
education
-eLearning
-Digital technologies in campus
based learning
-Industry based content delivery
and certification
- Changes to the University
teaching model
Predictions
Digital technologies will transform
the way education is delivered and
supported, for example through
applications that enable real-time
student feedback, and the way
education is accessed in remote and
regional areas3
Universities will need to rethink the
role of digital channels and third
party partnerships in recruiting
students and delivering teaching and
research programs.3
External Trends
-Changing student profile &
expectations
- Context-aware computing
- e-Identity of staff and students
Predictions
Universities will need to have a clear
strategy and execution around target
student segments and their
specific needs and preferences.3
leading organisations are allowing
consumers to connect, design and
configure products to their unique
personal preferences. 4
External Trends
- Increased collaboration across
universities
- Industry-based research
partnerships &
commercialisation
- Teaching-research nexus
- Relationships with important
international institutions
Predictions
Digital collaboration brings together
informal and formal ways for people
to learn about each other’s
capabilities and backgrounds. 4
Australia will need to deepen and
broaden our relationships across the
community as competition for
influence and access to markets
increase in coming decades. 5
TRACE
Inf ormat i on
External Trends
-Significant growth in
research data
commensurate
with growth in
computing power
- Increasing
Expectations of
research data
transparency
- Self administration
of student
information
Predictions
Big Data is moving from a focus on
individual projects to an influence on
enterprises’ strategic information
architecture1
Another capability inviting
investment is data analytics, due to
the increasingly greater potential to
capture and gain value from
information about customers,
operations and other factors. 4
As digital solutions result in evermore-available data, and analytics
discovers the meaningful patterns
within those data, approaches to
business intelligence are maturing to
change the way that management
responds to information 4
References
1: Gartner Identifies the Top 10 Strategic Technology Trends for 2013, Gartner 2012: http://www.gartner.com/it/page.jsp?id=2209615
2: What’s on the Emerging Technology Roadmap for 2013?, Mark Tonsetic IEC 2012: http://tech.exbdblogs.com/2012/09/18/whats-on-the-emerging-technology-roadmap-for-2013/
3: University of the future, Ernst & Young 2012
4. Digital Disruption Short fuse, big bang, Deloitte 2012
5. Australia in the Asian Century, Commonwealth of Australia, 2012: http://asiancentury.dpmc.gov.au/
*
Five Megatrends at the core of the 2013/5 eStrategy
41
What is Watson@Deakin?
DeakinSync
Personalised, adaptive, all-in-one Hub
SOCIAL MEDIA COMMAND & INNOVATION CENTRE
The SMCIC plays a pivotal role in driving the digital frontier
As part of the LIVE the future: Agenda 2020 Deakin is striving to become the premier university in driving the digital
frontier, requiring us to provide a world-class digital and customer experience.
The SMCIC is a centre of excellence for social media, with the aim of driving a University-wide approach to delivering a
consistent, personalised and engaging experience for our communities, customers, staff and partners. It is a centralised
hub for all things social and is the central driving force behind digital and social interactions.
This unified approach to social media has significant organisation wide benefits.
•
•
•
•
•
•
Uplift social media capability by training staff members.
Impact student decision making during key moments of truth.
Track and measure our product and service offerings by identifying enablers and barriers.
Gain a competitive advantage by utilising our social presence to identify valuable insights about our brand,
products and service offerings.
Build strong brand awareness and consideration and help deliver on Deakin’s promise through its operations with
their social media communities.
Leverage Deakin’s globally dispersed and demographically varied online community to showcase our ‘Worldy’
brand.
Cloud Campus Project
The Cloud Campus Project is coming . More information will be available at this site in July 2015.
Compelling
Consistent
Omnichannel
Delightful
Powerful
Simple
Personal
Inspiring
Digital
Experiences
The ultimate goal …
The objective should be to transform the
digital cacophony into a digital symphony !!!
THE HUGE CONFUSION
The response to DIGITAL DISRUPTION is not
INFORMATION TECHNOLOGY.
The response is DIGITAL TRANSFORMATION.
Technology is the Reason and the Driver but not the Solution.
DIGITAL TRANSFORMATION is not
TECHNOLOGY MODERNISATION.
DIGITAL TRANSFORMATION is the process of acquiring DIGITAL MATURITY.
Altimeter Group released their new report on The 2014 State of Digital Transformation
“The vast majority of people Altimeter interviewed for this report claimed they are undergoing
Digital Transformation, even though most of them don’t know what it is”
“Thinking they are changing but in reality they’re only investing in technology.
That’s not really digital transformation.”
DIGITAL MATURITY CONSIST OF:
The WHAT
DIGITAL PERFORMANCE
It is about TOOLS
Results
(Early) Impact
(Non sustainable) Market Share
(Soft) Reputation
(Short Term) Increased Revenue
+
DIGITAL DNA
The HOW
It is about PEOPLE
Results
Increased Collaboration
Age Alignment
Efficiency, Speed and Performance
Sustainable Digital Intensity
Future Proofing
Ingredients
Ideas
Investment
Pockets of Talent
Ingredients
Vision
Focus/Motivation
Skills/Understanding
Cross Functional Coordination
Structure
Culture
Governance
Incentives
THE ANATOMY OF A MATURE DIGITAL ORGANISATION:
Soft & Beautiful Digital Skin
Adaptive Integrated Systems & Processes
Strong Infostructure Core
The pre-digital approach to Initiatives, Governance, Incentives and
Coordination in general:
Soft & Beautiful Skin
Adaptive Service Oriented Systems & Processes
Strong Infostructure Core
The Ultimate
Digital
Machine
Eyes on the forest,
not on the trees !
CRICOS Provider Code: 00113B
Content
①
Understanding the disruptors
②
Impact on Financial Services and Super
③
The Quest for the Digital DNA
④
The new IT Leader
The New IT Leader
• Technology is now a core part of our life, everywhere and anywhere. Organisations
continue to depend on secure, reliable, efficient and stable platforms, but the traditional
approach to IT will not meet the new digital multidimensional challenge.
Transformational leadership is needed now.
• IT/Digital must help businesses quickly adapt to this new, still forming digital
environment and succeed in the face of rapid, ubiquitous technological change.
• Focus on enterprise strategy and not solely on technology. It is essential that digital
leaders build a culture of sustainable enterprise change, embrace innovation, and take
an outside-in perspective.
The New IT Leader
• The market expects a new breed of digital leader who is focused on enterprise
strategy and not solely on technology. Rather than only implementing
foundational enterprise platforms, the primary focus must be on orchestrating
complex digital ecosystems to deliver premium experiences to customers
• The new mission is to architect digital blueprints, build big data backbones,
establish agile service architectures and orchestrate powerful, complex digital
ecosystems, with the absolute primary goal of delivering premium experiences
and creating competitive advantage
• The new IT function is being called upon to be the innovation engine of the
business – strategic, agile, hyperaware, predictive and bold.
DIGITAL: MASSIVELY DISRUPTIVE TIMES AHEAD
Image credit: science.nationalgeographic.com
Thank you
William Confalonieri
Chief Digital Officer
Deakin University
[email protected]
wconfalonieri @ LinkedIn