Digital Transformation Game Plan: 34 Tenets for Masterfully Merging Technology and Business

Copyright
Table of Contents
Foreword
Introduction
	O’Reilly Online Learning
	How to Contact Us
	Acknowledgments
Part I. Heightened Customer Expectations and Alignment to Customer Outcomes
Chapter 1. The Simplified Business Model
	Shareholder Value Versus Customer Value
	Identifying Your Simplified Model
		1. Understand Customer Value
		2. Use a Thin-Slice Approach
		3. Have the Correct Measures of Success
		4. Align Everything to the Work
		5. Create Visibility and Transparency
	Key Points
Chapter 2. Understanding Customer Value
	Focusing on Customer Outcomes
	The Impact of Technology on Value and Expectations
		The Value of Peace of Mind
		The Value of Feeling in Control
		The Value of Personalization
		The Value of Lower Transaction Costs
		Evolving to Customer Outcomes
		It Takes Courage to Act
		How to Get Started
	Key Points
Chapter 3. The Thin-Slice Approach to Transformation
	Why Big Transformation Programs Fail
		Broad Transformation Approach
		Biased Decision Making
		Copying Others Rather Than Learning for Yourself
	Implementing a Thin Slice
		Measure the Slice
		Get Everyone in on the Slice
		Arrange Teams Around—and Across—the Slice
		Slice Patiently
		Mixing Thin Slices and Broader Transformation Initiatives
	The Non-“End State”
		Managing Change Fatigue
	Key Points
Chapter 4. Measures and Decision Making
	Customer Value Measures
	Financial Measures
	Individual KPIs
	Improvement Measures
	Putting It All Together
	Key Points
Chapter 5. Aligning Work to Measures
	Cascade Approach
		Cascade Approaches in Action
		Retrofit Current Work
	Prioritization and Governance
		Case Study: Prioritization in Action
		Pivoting to a Simpler Prioritization Model
		Prioritizing at Each Cascade Level
	Putting It All Together
	Key Points
Chapter 6. Visibility and Transparency
	Visual Systems
	Spaces
		Obeya Room
		Program Space
		Team Space
	Reports and Charts
	Walking the Walls
	Key Points
Part II. Building a Responsive Organization
Chapter 7. Organizational Constraints and How to Tackle Them
	Organizational Structures
	Role Obsession
	Death by Compromise
	Evolving Culture
	Key Points
Chapter 8. Functional Constraints
	General Functional Alignment
		The Double-Triangle Model
	Finance
		Annual Cycles
		Operating Expense and Capital Expense
		Business Cases
		Project-based funding
		Functional budgets and planning
		Measuring completion
	HR
		Example Warning Signals: Employee Satisfaction Surveys and the Bell Curve
		Talent Management
	Legal and Regulatory Compliance
		Laws and regulations
		Policy and Procedures
		Standards
		Governance
		Joining the digital transformation early
		Digitization of compliance itself
		Focusing on analysis and remediation
	Key Points
Chapter 9. Letting Data Decide
	Data as a Source of Knowledge
	Data as a Decision Point: Choosing What to Do
		Explore
		Exploit
		Sustain
	Use Data to Create an Intelligent Enterprise
		Data deciding for itself
		Personalized customer experiences
		Make better human decisions
	Key Points
Part III. Building Technology at the Core: A Tech Perspective for Business Leaders
Chapter 10. Technology Concepts Every Executive Should Know
	Technology Excellence Matters
		Internal Software Quality
		Software Design and Technical Debt
		Skilled Engineers
		Business and Technology Leadership
	Growing and Empowering Talent
		Build a Culture of Learning
		Build a Culture of Empowerment
	Continuous Delivery and DevOps
		Continuous Delivery
		DevOps
	Digital Platforms
	Products over Projects
	The Future Shape of the IT Department
		1. Build teams around business capability or customer outcomes
		2. “Two-Speed IT” is not sustainable
	Key Points
Chapter 11. Technology Excellence Matters
	Which IT System Is a Utility Asset and Which Is a Strategic Asset?
		Systems of Record Can Be Highly Strategic
		Legacy Systems Should not Be Treated as a Utility
		Utility Systems Can Become Strategic Due to Changes in the Business Landscape
	Why Internal Quality Matters for Strategic Assets
		High Internal Quality Drives a Lower Total Cost of Development
		Technical Debt Builds Up When Internal Quality Deteriorates
	Technology Excellence Is a Choice
		Adopt Agile Engineering Practices, Beyond Just the Management Practices
	Key Points
Chapter 12. Growing and Empowering Talent
	Build More Core Digital Capability In-House
		Insource Versus Outsource
		Hiring is Effective Only When You Have the Proper Internal Culture
	Build a Culture of Learning
		Create a Safe Environment to Provide Feedback
		Encourage Continuous Feedback
		Create an Environment in Which It’s Safe to Fail
		Don’t Cut the Training and Development Budget
		Learning and Development Is an Important Function
	Build a Culture of Empowerment
		Communicate and Share Information
		Delegate Decision-Making Authority
		Nurture the Sense of Ownership
	Recruit for Potential
	Scaling Digital Talent Through Digital Partners
		The Cost-Driven Approach Is Outdated
		What to Look for in a Digital Partner
	Key Points
Chapter 13. Continuous Delivery and DevOps
	Release Software Features Early and Continuously
		Doing the Hard and Painful Things Early and More Frequently
	DevOps Further Extends the Cross-Functional Team Concept
		DevOps Is a Culture Change, Not a New Job Title
	Four Key Metrics for Success
	Summary
	Key Points
Chapter 14. Digital Platforms
	Modular, API-Enabled Architecture Instead of Monolithic Architecture
		Is This Simply Software Reuse?
		Microservices
	Self-Service Data
	Delivery Infrastructure
		Removing friction
	Legacy System Modernization
		Seven Steps to Modernization
		Evolutionary Architecture
	Key Points
Chapter 15. Products over Projects
	Defining Product Thinking
	The Difference Between Products and Projects
	The Benefits of Product Thinking
	How to Enable Product Orientation
	Challenges when Moving to a Product-Centric World
	Summary
	Key Points
Chapter 16. The Future Shape of the IT Department
	Better Alignment Between Business and IT
	Create an Explicit Strategy to Handle Growing Tech Complexity
	Align Teams with Customer Outcomes, Not Functional Systems
	There Shouldn’t Be Two Speeds
	Focus on Building Teams
	The “T-Shaped” Professional
	The Blurring Boundary Between Business and IT
	Business Leaders Will Be More Involved in Technology Decisions
	Key Points
Final Reflection: The Importance of Leadership
	The Frozen Middle
	Driving Technology Transformation
	Creating Cultures of Experimentation
	Shaping the Future of Work
		How the Work Is Done
		Where the Work Is Done
		Who Does the Work
	New Leadership Traits
	Key Points
Conclusion: Getting Started
	The 34 Tenets of Digital Transformation
Index
About the Authors