1. Digital Strategy

Question 1

Enginges/drivers of digitalization (4)?

Answer 1

Automation (automate tasks to reduce costs), Control (reduce errors), Empowerment (assisting decision-making) and Interaction (easier communication)

Question 2

Three domains of digitalization, related to the driving forces. Where does digitalization take place/benefit your org?

Answer 2

1 - Operational. Enhancing task efficiency.
2 - Analytical. Better understanding that leads to enhanced decision efficiency.
3 - Collaborative. Sharing, data, info, knowledge to enhance both tasks and decisions.

Question 3

The digital Strategy Pyramid. 4 levels.

Answer 3

1. The bottom/base is resources.
2. Competencies - the cap to use the resources in the best way.
3. Dynamic cap - changing and adapt what you do, to match the changing environment. Only source for long-term competitive adv.
4. Vision.

Question 4

Digital Strategy Fundamentals: Goal, grammar, logic. What are those?

Answer 4

1. The Goal of Digital Strategy is - agility.
2. The Grammar of DS is - Business Models
3. The Logic of DS is - Competitive moves

Question 5

Three influential competitors

Answer 5

1. Incumbents
2. Digital giants (platforms)
3. Tech entrepreneurs

Question 6

What does agility mean in strategy?

Answer 6

It means that you are able to detect threats and opportunities in the environment and adapt quickly. It addresses two somewhat contradictory objectives: stability (operational reliability) and dynamism (innovate, transform, disrupt).

Question 7

Adaptive agility vs entrepreneurial agility

Answer 7

Adaptive is when you aggressively introduce incremental enhancement into current BM, whereas entrepreneurial agility is when you aggressively introduce radical enhancement to existing or new BMs.

Question 8

What 4 components does the BM consist of?

Answer 8

Value proposition, Profit model, Core capabilities and Dynamic capabilities.

Question 9

3 different types of competitive moves:

Answer 9

1. Experiment at the edge - try out new tech and disrupt etc.
2. Collision at the core - changing the way you work with your cores through relationship with giants and tech entrepreneurs, ex autonomous driving in the automotive industry.
3. Reinvent at the root - do something completely different, ex new market and new tech. Heavy investments in digitalization capabilities.

Question 10

Three IT-related Value Disciplines

Answer 10

1. Customer intimacy
2. Product leadership
3. Operational excellence

Cannot be best in all three, must choose where you want to be the leader. Especially since they often conflict both in value proposition and what capabilities are needed.

Question 11

What three factors shape the Business Model?

Answer 11

• Strategic intent, that is based on beliefs about consumer needs, core cap and dominant value discipline.
• The installed platform, that is what digitalization tech and capabilities we have, and others dig-innovations.
• External environment - competitors’ actions, adjacent market BMI, socioeconomic and cultural trends, and consumer needs again.

Question 12

Three levels of BM changes:

Answer 12

1. BM enhancements - incremental
2. MB replication - applying BM in adjacent markets
3. BMI - radical changes are made to one or more of the four BM elements and is applied either into a niche in the current market or in a newly created market.

Question 13

Digital Quotient (DQ) evaluates four major outcomes, which? (related to digital and financial performance)

Answer 13

1. Strategy
2. Culture
3. Organization
4. Capabilities