Transforming revenue growth and capturing value depend on attention to four areas as strategic playbooks are implemented, McKinsey researchers write. The authors describe an automotive parts manufacturer that realized it could glean data necessary to capturing value by standardizing reports and analysis from existing systems rather than waiting for an all-inclusive solution to be built.
Classic maturity models used to measure the life stage of an organization are outdated in modern times as they are too static to provide a meaningful understanding of a business, Barry O'Reilly writes. He instead suggests companies establish clear objectives, create KPIs for assessing hard-to-measure outcomes and map goals to monitor business growth.
Taiwan is driving change in its commercial sector through smart upgrades in major industries that involve artificial intelligence, big data and the internet of things, May Lee of the Ministry of Economic Affairs said at a Department of Commerce forum. At the same event, K.W. Chien of FamilyMart said, "the decisive match point in the retail market lies in the degree of understanding the needs of consumers" now that consumers can get so much product information online.
Fifty-two percent of big investors reported they would put more trust into a company that aligned ESG goals with executive compensation, based on Edelman's Trust Barometer. In addition, 84% reported that maximizing shareholder returns is no longer a primary goal, as companies focus more on issues such as global warming, cybersecurity, diversity and inclusion.
Food production accounts for 30% of all greenhouse gas emissions globally, according to David Nabarro, professor of global health at the Imperial College London, but the complexity of food systems makes it difficult to change. Nabarro suggests companies start with smaller efforts, saying, "Start anywhere, but follow it everywhere."
Digital transformation is driven by showing value to employees, as this is what encourages them to adopt new technologies, according to Rajdeep Ghosh, lead for the Digital Centre Of Excellence at Dr. Reddy's Labs. The digital transformation at Dr. Reddy's was championed by people who adopted a culture of change that made them more accepting of new processes, he says.