Digital Transformation is most frequently associated with customer facing activities embracing customer intimacy thru more contextualized conversations and self service capabilities. These customer experiences can certainly contribute to top line growth, but sometimes give glimpse to gaps in a companies ability to fulfill demand, quickly and with that same level of information rich interaction.
Some might say that the second wave of transformational value is unlocked with enterprises begin to transform their own operational processes that unlock new opportunities for enterprise productivity and continuous & systemic improvement in performance. This productivity can be unleashed as:
- employee interactions are analytically improved and their technology consumerized
- processes streamlined and digitalized [so that they flow straight through guided by analytics], and
- and with systemic integrated performance management – metering, benchmarking, analytics and reporting
As we embark on the back office digitization, a couple of facets become exceedingly important – from a technical point of view:
- API strategy (democratized, versioned (backward compatible), focused on information [governed], with RBAC
- Next generation compositional process engine (visible design, testable[versioned and simultaneous testing], analytically enabled decisioning, integrable with modern core enterprise HRM/WFM, SFA/CRM, ERP/Finance systems
- Strategic data analytics strategy for multi-form/multi-latency/federated and federable data – both business data and process exhaust
- Systemic monitoring/stream-analytics, logging/forensic analytics, performance intelligence
- A “platform” approach typically focused on operating in the cloud to change the dynamics of information management, configuration not customization, and a broad set of facilities for authorized self service.
This “Back Office” digitization value typically is viewed as a bottom-line productivity improvement, but I have to suggest that without it, the modern enterprise cannot meet the needs of their clients with respect to timely, correct, consistent, informed and correct services.
- Proactive Haptic Sensing [Systemic, Inside & Out]
- Focused identity and strategy = clarity and purpose
- Outside-in assets and capabilities = e.g. not all the smart people work for you, need an ecosystem approach
- 360 Degree optimized product/service portfolio = front office and back office fully integrated for value
- Adaptive Execution = per 1. above, the corporate agility to plan/test, re-align and deliver
- Value Centric Leadership = enabling deep and integrated approach to execution teams, ignoring hierarchy but respecting experience
In effect, to become a 21st century digital enterprise, the executive team must work to functionally couple continuous improvements in both the front office and the back office. The 21st century digital enterprise will need to be re-factored to deliver value in a more agile, appropriate, tested (A/B) way with a 360degree focus [front office, back office and ecosystem].