| | MAY 20199CIOReview3. Focus on ROI and payback: `Smart-sequence' your initiativesA company's digital strategy has to be more than an array of disparate "random acts of digital." A business-wide digital transformation that delivers ROI requires careful selection and timing of initiatives. We recommend segmenting your digital solutions portfolio into three main categories: those that stabilize your core processes and decisions required by the business; proven off-the-shelf digital technologies that improve the performance of key processes; and breakthrough digital innovations that can differentiate you from your competitors. "Smart-sequencing" involves blending the simple foundational enablers with proven off-the-shelf solutions and select innovation areas to achieve acceptable returns.4. Nurture and develop new capabilitiesEver-changing technology is inevitably going to mean that fewer staff have the necessary skills to use new advances such as machine learning, cognitive planning, and robotics. Business leaders will need to invest in different skills and develop new capabilities to stay ahead.Many leading organizations are establishing Digital Centers of Excellence (DCoEs) to ensure learning is developed cross-functionally and investing in learning platforms with third-party content to train their workforce. In this way, staff can be made aware of new technological capabilities, how they work and how to apply them to various business scenarios. Companies are also investing in new techniques for ideation, solution design, and implementation. These include design thinking concepts, customer journey mapping, and personal development.5. Partner for success: Build an ecosystemSo, you've charted your digital supply chain journey. Now it's time to think about the best way to execute against the plan. One word of advice: avoid the trap of thinking you can do it alone. Nobody in the digital world is completely vertically integrated; no one provider can do all of the things necessary in order to help you become a digital organization. You will need to create an ecosystem of partnerships with tech companies, consulting businesses and academic organizations to successfully deliver on your digitally enabled performance ambitions.Building a digital supply chain strategy does not have to be daunting. Start with your performance ambition. Look for opportunities to improve performance by removing friction in your processes or decision-making. Think about how best to sequence initiatives. Prepare your people and build an ecosystem around you that is invested in your success. The objective of any digital transformation program should be to improve performance
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