Facing potential disruption, the client needed to quickly ramp-up its innovation capabilities to compete against digital players attacking its current business model, and explore new digital business models while managing risk.
Under the leadership of the CDO, the client wanted to move from being a slow follower with a risk averse and incremental approach to innovation, to getting real business impact from its digital innovation investments.
Most investments so far had been bottom-up initiatives resulting in a kind of “innovation theater”, temporarily satisfying stakeholders and shareholders, but not generating any larger new revenues or cost savings.
At the same time group financial results had been steadily increasing the last years and with the established P&L and incentive structure it was challenging to get the broad business commitment needed for digital innovation investments.
When the client was unable to find a solution with its default management consulting firms, the client partnered with Konsert to build on niche experience from technology leaders in other industries.
A quick review was conducted to map the current state of innovation capabilities, define the wanted state and set improvement actions to address gaps.
The review created a clear “north star” for the change vision, a future state blueprint and an action plan for how to get there. This was complemented by a case for change with indicative business case and an understanding of the external drivers for chance.
A client-specific digital technology innovation strategy framework was developed, characterized by the ability to systematically make business-driven strategic choices on where and how to innovate in digital use cases and technologies.
The framework created a step-change in actionability and granularity of the digital strategy and enabled a proactive strategic dialogue on digital. It allowed for reallocation of resources to areas with highest future business importance, and it revealed digital skill gaps and an innovation operating model not fit-for-digital.
Based on the requirements set by the new strategy, a scalable agile innovation organization was designed.
The design was infused with learnings from successful tech leaders but customized to the client’s reality.
The organization created a new capability, integrating business, technology and risk/control in one, with a strong pull and commitment from business units. It was equipped with a fast-paced innovation execution model and dedicated and incentivized people.
The organization broke old barriers including a risk averse culture with incremental-innovation-only mentality and bridged digital talent gaps.
The first new innovation units were implemented in top strategic areas and business units with built-up innovation needs. Konsert is ensuring effective and de-risked transformation by supporting the change program and guiding recruitment of top digital talent.