Week 6 Digital Transformation Flashcards
(24 cards)
Define Digital Transformation (2)
Integration of digital technologies into an organization’s operations
Fundamental change in how the organization operates and delivers value to customers
4 purposes of digital transformation
expands market reach, generates new revenue streams, Reduced costs, enhances customer experience
Send Owl, Pixie Faire, Vessi and Nike, shopify are examples of what aspect of digital transformation
expanding market reach
How does digital transformation help small firms (2)
reach customers outside their geographic region
compete with larger firms as
every firm that has a web presence is reduced to the same size
Expanding market reach through digital transformation can help all firms how? (1)
extends a firm’s operating hours to 24/7
How does digital transformation generate new revenue streams (3)
facilitated exchanges between consumers and producers e.g., Uber and airBnB, Wattpad
social media marketing
direct download of digital products
How does LOreal Skin Genius App
mobile application combines personalized assistance- with digital experience, leveraging an AI-powered assessment of the customer’s unique skin care needs using a selfie. It also prompts customers to reflect on and explore skin improvement goals).
Example of digital transformation reducing costs via reduced travel and communication costs
(video conferencing)
Example of digital transformation reducing costs via improved customer service
CRM software systems
Example of digital transformation reducing costs via reduced printing and mailing costs
(email, digital printing and faxing)
Example of digital transformation reducing costs via reduced advertising costs
(social media)
Example of digital transformation reducing costs via automation
(automated processes)
How did McDonalds self-Serve kiosk help the business (3)
People order more food
Guaranteed that customers see the upselling options
Staff is redistributed to the kitchen
3 things leadership needs to demonstrate in digital transformation age
an openness to the possibilities (both positive and negative) that the new technologies can create for the organization
a willingness to engage with their employees in the search for innovative solutions
a commitment to data driven management practices
the enduring principles of good leadership changed in the digital age
no
2 things leadership needs to be successful in this digital age
a deep understanding of the needs of the customer throughout the organization
a flat, cross-functional organizational structure
turbulent business environment: changing customer tastes and preferences
beyond ‘meat’ burger, zero-proof alcohol
turbulent business environment: industry boundaries are blurring eg
, is Uber a transportation company or an IT company?
turbulent business environment: continual disruption eg
trade tariffs between Canada and the United States while USMCA is still in force
turbulent business environment: declining fortunes of major multinational corporations
earnings growth of major MNEs has been declining for some time
what is THE PRODUCTIVITY PARADOX
productivity growth in advanced economies has been slowing for
some period of time in spite of the increasing diffusion of digital technologies
What challenges does leadership have around distributed and flexible workplace
a blend of in-office, remote, and on-the-go workers and distributed around the world
Are there concerns digitalization is widening or closing performance
and income gaps across firms and workers
widening
command and control type hierarchical organizations being replaced
by organizations that are: (4)
customer-centric
innovative
data-driven when it comes to decision making
collaborative
