Designed for Digital Flashcards
(13 cards)
Digital Business Design
Holistic configuration of people, processes, and technology to define and deliver new value propositions and digital offerings made possible by technology.
People = roles, accountability, structures
Processes = procedures, workflows
Technology = infrastructure, applications
Why not Business Architecture?
Architecture is often seen as something buried within the IT-department. Digital Business Design emphasizes the importance of leadership involvement to ensure the company executes business strategy in a digital economy.
Enterprise systems
Organizational wide IT-systems that host processes and data from various business units = 1 system architecture
JPMC: LLM Suite and cloud-bases systems are an addition to their enterprise systems
Matrices
Employees refer to more than 1 leader. Can increase collaboration between silos, but does not support development og evolving digital offerings.
Business silos
Siloed orgs. are effective within silos, not across.
Business Design is not restructuring
Its more than the hierarchical structure = you need to redefine accountability, collaboration, and roles
Advantage: flexibility and speed
JPMC: did so by putting data- and AI-scientists together with SME to deliver digital value. They redefined roles and accountability.
Five building blocks
How organizations become digital across people, processes & technology
Operational backbone: Effective and stable processes and systems (solid and digital core to support innovation and scalability). Done through massive investments in datacenters and cloud-based systems, modern enterprise architecture (LLM Suite, hybrid-cloud infrastructure, Data Mesh)
Digital platform: The ability to implement and reuse new digital components. Done through LLM Suite and Data Mesh architecture
External developer platform: Other organizations contributing to create value. Not done yet, JPMC has focused on internal changes.
Shared customer insights: Understanding customer needs by collecting and sharing data. Done through COACH and LLM Suite to fx PB advisors
Accountability framework: Clear roles and accountability for digital innovation and operations. Done through decentralized AI-experts, SME’s are data owners. Also risk assessment through guardrails and compliance.
Digitized vs Digital
Digitized: Optimizing internal digital processes through technology
Digital: IT solutions expand and innovate to create new value propositions. In JPMC: COACH.
Operational backbone in JPMC
- Cloud-based IT infrastructure through Azure and own datacenters
- Data mesh structure to support data sharing
- Compliance and control through fx human-in-the-loop
- LLM Suite gives access to the same AI-platform
Accountability framework in JPMC
- Decentralized ownership through SME’s who have responsibility for data content in the models and validation. Also through cross-functional teams = accountability is spread rather than solely in IT.
- Central governance through controlled validation and guardrails.
Digital platform in JPMC
Reusable components to build digital solutions quickly and efficiently. Focuses on innovation.
LLM Suite is the central component in JPMC’s digital platform.
- Reusable components (plugins in LLM Suite fx COACH)
- Data and models are accessed through shared platform (LLM Suite) via internal APIs
Scalability
Growing and handling larger amounts of data, without compromising quality or performance.
Fx cloud-based systems with building blocks
General message in Designed for Digital
- Digital business design
- 5 building blocks
- Digitized vs Digital
- Leadership and accountability: digital transformation is not only IT’s responsibility but also top leaders. Need to create new roles and processes rather than restructuring
- Digital transformation takes time
