What is the Digital Maturity Assessment? What should you expect?

INTRODUCTION TO DIGITAL TRANSFORMATION

Digital transformation integrates digital technology into all business areas, fundamentally changing how you operate and deliver value to customers. It's also a cultural change that requires organizations to continually challenge the status quo, experiment, and get comfortable with failure.

DIGITAL TRANSFORMATION JOURNEY

1. PLAN: Explore opportunities and set a vision for the future state.

2. DESIGN: Transform the vision into market-ready concepts. Refine concepts and set a plan to operate.

3. IMPLEMENT: Implement the solution. Realize benefits and continue to improve.

WHAT IS A DIGITAL MATURITY MODEL

A digital maturity model (DMM) is a business tool used to assess the current status of certain capabilities that exist within an organization and help them to understand where these need to transform or improve.

How is the DMM used along the digital transformation journey?

• PLAN:

  • Access current state digital maturity.

  • Identify opportunities and define the vision.

• DESIGN:

  • Prioritize capabilities based on business objectives.

  • Assess the impact of the digital maturity of the initiatives on the roadmap.

• IMPLEMENT:

  • Measure the value and impact of digital maturity achieved by the initiative

  • Evaluate process improvement and effectiveness

DIGITAL MATURITY MODEL DIMENSIONS

By asking people across the entire organization to assess the company’s maturity in each of these areas using an online tool, you can identify where improvement is needed and where investment is required. Crucially, the model doesn’t assume ‘one size fits all’ – it has the flexibility to account for differences in vision, strategy, operating environment and business imperatives.

STRATEGY: Focuses on how the business transforms or operates to increase its competitive advantage through digital initiatives; it is embedded within the overall business strategy.

CUSTOMER: Providing an experience where customers view the organization as their digital partner using their preferred channels of interaction to control their connected future on and offline.

TECHNOLOGY: Underpins the success of digital strategy by helping to create,

process, store, secure, and exchange data to meet customers' needs at low cost and low overhead.

OPERATIONS: Executing and evolving processes and tasks by utilizing digital

technologies to drive strategic management and enhance business efficiency and effectiveness.

CULTURE: Defining and developing an organizational culture with governance and talent processes to support progress along the digital maturity curve and the flexibility to achieve its growth and innovation objectives

DIGITAL MATURITY MODEL SUB-DIMENSIONS SCORING

We expect to see a spectrum of views and scoring for each sub-dimension. A CSP may want to present these as aggregated scores, as Figure 5 shows. This is an illustration of company-wide scores for each sub-dimension. Operators must set internal targets for improving scores when the DMM is rerun, most likely in a year.

Having established the organization’s digital maturity across dimensions, an operator can then decide what targets to set and how to use the tool to assess investment decisions. One operator may choose annual improvement targets across all dimensions

and sub-dimensions. At the same time, another may decide that, based on its 2020 vision, it does not need to improve in all sub-dimensions. An operator may set ambitious improvement targets in some areas but only aim to maintain performance in others.

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