Beware of "Low-hanging fruits" that DX sage companies "never do" Series: Takashi Ono's remarks on "DX" | Business + IT

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    Beware of "Low-hanging fruits" that DX sage companies "never do"

    Serialization: Takashi Ono's remarks on "DX"

    DX (Digital Transformation) X, which company do you think of as the company that is doing the best transformation? There are companies in Japan and around the world that have achieved X based on their excellent strategies. On the other hand, unfortunately, there are many companies that cannot succeed due to "bad efforts". In fact, companies that can be called DX sages have a common point. This time, let's delve into this law, which corresponds to "Chapter 0" if there is a DX cheat sheet.

    Takashi Ono, Representative Employee of Japan Management Consultancy Group GK

    Takashi Ono, Representative Employee of Japan Management Consultancy Group GK

    Engaged in management consulting for over 33 years at Accenture, Headstrong Japan, Roland Berger, KPMG FAS, etc. He is involved in numerous projects such as formulating growth strategies, supporting the creation of new businesses, and planning and designing operational strategies to realize them. In recent years, he has focused on supporting digital transformation (DX), innovation creation, and M & A.

    1. X is the X of change
    2. DX for disruptive innovation
    3. The wise man does not think from digital technology
    4. Find "value to present" with QCDS etc.
    5. Beware of "Low Hanging Fruits"
    6. Can humans only see what they know?
    DX (Digital Transformation) X, Fujifilm is one of the companies that are doing the best in transformation. There are many things to learn as a corporate strategy that we continue to replace our business portfolio by responding well to changes in the environment for digital cameras. Qantas, Australia's national flag, has long been able to generate more revenue than passenger transport from new businesses. It utilizes FFP (so-called mileage program) customers as "resources" and is expanding its business to various fields such as insurance. In retail and consumer goods, the negative impact of online purchasing called "Amazon effect" has been pointed out, but store-based retail giant Wal-Mart has countered the Amazon effect by fusing online sales and store sales. It is progressing rapidly. On the other hand, many companies have been in trouble after spending decades far from X. It is often found in many department stores, newspapers, regional banks, apparel and other industries, regardless of the east or west of the ocean. These companies should have felt the change in the environment and made some efforts and hardships, but unfortunately, no matter how much they continue to make "bad efforts", there is little to be gained. No matter how much inwardly biased reforms are made, such as setting irrelevant goals that do not stick to customers and improving operational efficiency, it is useless. I now feel that the DX that many companies are working on has similar concerns. Last time, I mentioned that it is necessary to raise the viewpoint to escape from this "bad effort of streaks", and innovation is necessary for that purpose.Serialization list

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    As for the definition of innovation, I introduced the ones of Pabit and Drucker last time, but let's share the "disruptive innovation" of the late Professor Kristensen in terms of raising the perspective of DX efforts. Disruptive innovation is the entry into new markets or the creation of entirely new markets (also known as non-consumable markets) through technological innovations and new business models. Familiar examples would be digital cameras, which have significantly reduced the film camera market, and smartphones (and which have reduced the digital camera market). Another type of disruptive innovation is the "low-end type." This is to seize the existing market with low-priced, low-performance, low-quality products and services (compared to existing ones). It can be said that low-cost carriers and conveyor belt sushi were also disruptive innovations at first. Although the two approaches are different, the common point is the presentation of new value (by the way, the overwhelming low price is also a new value). In order to raise the perspective of DX through innovation, it is necessary to think about what kind of new value DX will offer (to customers and consumers). There is no doubt that the "new normalization" of society and lifestyles that make use of digital technology is the reason why many companies are driving DX. There is no doubt that this new normalization is a major reason (in some cases, the biggest reason) even for the Xs of the three companies mentioned at the beginning. There is no doubt that it is necessary to make good use of digital technology in DX, and "digital technology that your company should consider" will be introduced in consulting companies and IT service companies that support DX, books and catalogs that explain DX, etc. Will be many. Certainly, in order to realize DX, it is indispensable for engineers to understand these digital technologies and then promote design and development. However, if you start thinking about the value to be presented from these digital technologies, there is a risk that the perspective of consideration will not be fully raised. Often there is a tendency to argue about "where to use digital technology", resulting in a lack of a broader view of value. Last time I mentioned that many companies are exhausted by vague instructions such as "try something with AI" from the top of the organization, and confirmed that the use of digital is a "means" for "X". bottom. There is no doubt that digital technology is an essential element of DX, but it is not the purpose of using digital technology. Recognize and understand that presenting new value in a world where digital technology has become new normal, and thinking about growth strategies and barriers to entry based on it, and thinking from the use of digital technology are completely different things. It is necessary to do. It can be said that this lack of recognition and understanding is the biggest reason why many companies' DX efforts are at a standstill. DX needs to think not from digital technology, but from innovation, that is, the presentation of new value. [Next page] Find "value to present" with QCDS etc.

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