Using your best guess, what proportion of data-driven decision-making in your enterprise is focused on reducing errors and what proportion on identifying value-creating innovations?
In today’s reality, where change is accelerating, digital leaders recognize the need to sense and respond to change quickly and to design their business and operating models to be agile. It is no longer enough to be the most efficient organization with the least errors; you also need to be the most innovative and fast at creating value through that innovation.
Decision-making to accelerate digital transformation
Most digital transformation programs have been in progress for many years. Yet, the 2021 CGI Voice of Our Clients reveals that only 20% of executives interviewed are achieving expected results from their investment in digital transformation. Given the importance of digital in today’s society, how can organizations become digital leaders?
The answer is to strategically manage your organization’s digital value chain. Digital leaders intently design, manage and evolve their value chains to achieve the following:
- Instill cultural change, including evolving technology from a support function to being core to the business
- Organize customer- and citizen-centric business models and the enabling architecture in tandem on an ongoing basis
- Prioritize cybersecurity and data privacy, along with sustainability actions
- Pivot the use of data from predicting and planning to sensing and responding
Innovative decision-making for “sensing and responding”
The 2021 CGI Voice of Our Clients also reveals that globally, 75% of organizations cite advanced analytics/reporting as the top innovation investment in the next three years. However, even with advancements in analytics, artificial intelligence (AI) and reporting technologies, gaining trustworthy insights for strategic innovations is still a small fraction of the progress in the value large enterprises derive from advanced analytics today.
To win and be sustainable, organizations need to visualize and simulate decisions enabled by dynamic data and insights. This is what we term “value in motion.” This approach requires enterprises to rethink the mechanics of decision-making in the organization and the enabling technologies.
In our white paper, we discuss the three components of our “value in motion” framework:
- 1. Starting with the decision-making environment
Beginning with the critical decisions (and action scenarios, or choices) and working back to what insights you need, and then the data you need to gain those insights, is key to truly generating actionable insights for decision-makers.
- 2. Accelerating the data-insights-decisions adaptive wheel
Once the strategic decisions are identified, the next step is to continually operate the decisions-insights-data cycle, adding new decisions and data and deriving new insights as required.
- 3. Visualizing and simulating decisions
To truly exploit digital technologies to create value and minimize enterprise risks, you need to visualize your entire enterprise digitally and simulate decisions before actually acting on them in the real world. Here’s where organizational digital twins are the personification of value in motion.
This holistic approach enables organizations to truly identify, execute and realize value-creating innovations to reinvent their businesses for the future. They can improve their operations using insights, and also use insights for identifying and improving innovations.