15.5 Digital transformation

Question 1

Give an INTERNAL example of digital transformation.

Answer 1

Switching to cloud based storage

Question 2

Give an EXTERNAL example of digital transformation.

Answer 2

Digital marketing

Question 3

What is big data?

Answer 3

New data collection, aggregation and visualisation techniques for coping with the volume of data available.

Question 4

What is automated decision making?

Answer 4

Decisions made by a computer rather than a human.

Question 5

What is the difference between algorithmic and AI decision making?

Answer 5

Algorithmic requires a human to input parameters, AI has greater autonomy.

Question 6

List 2 advantages of automated decision making.

Answer 6

1 Greater speed and consistency of decisions

2 AI is capable of more complex analysis in less time

Question 7

What is the main disadvantage of automated decision making?

Answer 7

Errors, either due to computer error or human input error

Question 8

Why does AI undermine current goverance and compliance regimes?

Answer 8

Current regimes are based on the notion of human agency, but this is diminishing with the introduction of automation

Question 9

How has the GDPR curbed the use of automation of personal data?

Answer 9

Profiling individuals based on personal data is restricted under the GDPR.

Question 10

Give three examples of rapidly emerging technologies identified by Ashby.

Answer 10

Blockchain technology
Quantum computing
Robo-advisor technology
Facial recognition systems
Voice recognition
Augmented reality
Self-driving software

Question 11

Why does Ashby believe that a digital transformation strategy is neccessary for organisations?

Answer 11

To embrace new technologies and understand how they impact consumer behaviour.

Question 12

Why do newbusinesses have an automatic advantage over established ones?

Answer 12

They do not need to consider digital transformation - it is inherent to the organisation (e.g. Deliveroo).

Question 13

Ashby identifies 12 pillars upon which the digital economy is built:
1 Knowledge
2 G\_\_\_\_\_\_\_\_\_\_\_
3 Digitalisation
4 Integration and o\_\_\_\_\_ w\_\_\_\_\_\_\_\_
5 Disintermediation
6 C\_\_\_\_\_\_\_\_\_
7 Innovation
8 V\_\_\_\_\_\_\_\_\_\_\_
9 Immediacy
10 P\_\_\_\_\_\_\_\_\_\_\_
11 Molecularisation
12 D\_\_\_\_\_\_\_\_\_

Answer 13

Globalisation
Integration and online working
Convergence
Virtualisation
Prosumption
Discordance

Question 14

Ashby identifies four types of digital risks. What are these?

Answer 14

1 Risk of impact to future profitability
2 Risk of adopting technology too early / irrellevant technology
3 Technology not well understood
4 Risk of digital economy causing immediate dissemination of negative information