The Digital Strategy Guide
The Digital Strategy Guide
In This Post
1. Digital research to share with executives
2. Todays Digital priorities for enterprises
3. How to structure a digital strategy
4. How to conduct Digital Analysis
5. Creating inspiring Digital Objectives
6. Examples of Digital Scope
7. Examples of Successful Digital Governance Models
Nevertheless, after tons of online research I havent been able to find a clear and thorough guide
to creating one!
The purpose of this post is to gather many of the most current planning approaches and share
them in as much detail as possible so that you can be confident about your digital
recommendations and get a strong return on effort out of your planning phase. Its quite long so
long, in fact that you deserve a table of contents (see left). Feel free to skip to the parts that are
most relevant to you. If you find it useful, please share! I would also love to hear your
thoughts, feedback and additions in the comments.
How does Digital impact different business practices (sales, marketing, HR, production,
etc)?
Identifying KPIs like increasing sales, decreasing costs, optimizing production, etc.
Identifying and prioritizing strategic initiatives like creating enterprise apps to help
mobilize the workforce, or optimizing the website to increase lead generation.
Identify KPIs like increasing consumer reach, brand equity, sales, community size,
community engagement %, etc.
common to see heavy CEO involvement in markets where digital disruption causes do-or-die
situations.
customer they can quickly become substitutes. Watch what happens in The Valley their armies
are swiftly encroaching on the mountains.
McKinsey | The Digital Enterprise
These numbers are according to a year-long study by McKinsey stretching across ten industries.
Is that blowing your mind like it blew mine? We spend so much of our digital time generating
revenue and growing our brand but using Digital for cost efficiencies actually makes a bigger
impact on profit!
These types of internal cost-saving applications commonly include:
mobile CRM
production analytics
Many of these enterprise apps are used as an avenue to bypass the user interface on a legacy
system and move straight to a mobile or tablet experience. Not only does this make your
workforce more mobile, but it also allows you to manipulate and display old data in new ways
not to mention the improvement in employee morale.
This movement toward internal mobility is just beginning and is far from over. Fifty-five percent of
companies in an Appcelerator survey ranked mobility at the top or near the top of their priorities
list, and 66 percent plan to create employee-facing mobile applications.
Because this trend is still evolving and the information is often proprietary, the internet seems to
be lacking in case studies and examples. Ill do my best to keep looking for good examples, and
(when appropriate) Ill be publishing my own case study on the UX design I did for AmeriPride
Services using Microsofts Metro UI.
1. Insights and Analysis: understanding the needs and priorities of the people who are at the
core of your digital revolution including your customers, stakeholders, employees and executives.
Analyze internal performance and sales data to understand where the biggest value is.
2. Digital Framework: creating a framework that allows the company to addresses digital goals
and objectives.
Digital Objectives
UVP
3. The Digital Scope: addressing the companys approach to key areas of Digital and outlining
the purpose, objectives and key initiatives and challenges of each channel.
Website(s)
Online Content
CRM
Social
Mobile
ERP
4. Execution & Governance: Prioritizing the plan, taking into account which needs are the most
urgent and important as well as current resources, timelines and budgets.
Project priorities
Project team(s)
This is certainly not a quick little powerpoint presentation that you show your boss but its also not
as far-reaching as a traditional business plan. The truth is, as digital business models become
more agile were forced to create plans that are iterative. Unlike traditional business planning,
looking 3-5 years ahead is rarely realistic and accurate budgeting can be nearly impossible.
Your digital strategy should resemble a framework more than a business plan and should focus
on people, policies and priorities, as digital strategist, Paul Boag, points out in his article on
Smashing Magazine.
A digital strategy needs to focus more on creating policies, priorities and people.
The reason youre investing in digital innovation starts with people, which is why the best digital
plans are a healthy blend of empathy for the customer paired with technical chops.
Keep in mind that this process can apply to smaller business units within an enterprise.
Depending on the size of your company this may or may not be a company-wide strategy. If
youre a marketing director, you may not be too concerned with the ERP. If youre the technology
officer, you might not be interested in online content. Thats okay.
Also note that this is a process as well as a presentation. After we walk through each phase of the
process well talk about how to craft your deck.
To keep the exercise focused, only analyze the 5 Forces as they relate to the digital business
model. Heres a breakdown of how it works.
Threat of New-Entrants
Think about the start-ups and companies that could become threats. This is where you would
identify those piraas we talked about earlier the many small companies and technologies that
could potentially ruin you at scale.
Threat of Substitutes
What companies, products and services are typically substitutes to you in the marketplace? This
is like identifying your version of the cheap knock-off Ray-Ban sunglasses made in China. Is
digital changing the substitutes game? Be on the lookout for new business models here. For
example, instead of hiring your research firm, companies might be paying a monthly subscription
to survey monkey and DIYing it.
For the digital world, supplier power could mean a few things. I could mean that you consider
what your suppliers are doing digitally but it could also mean that youre considering the power
that your digital suppliers have over you. For example, if youre locked in to a longterm hosting
and maintenance retainer with your website provider, that supplier may have too much power in
the relationship with little accountability for results. This could cause you to consider building
internal web maintenance capabilities to reduce that supplier power.
If youre not confident that the personas you have today are accurate or up-to-date, take some
time to work on them then map their journey.
You can use Journey Mapping to outline the high-level experience of the customer lifecycle, then
break it down into smaller pieces and layer in other components like sales activity, brand touchpoints, and user experience for your website or app.
Heres an example of a journey map I put together for Cornerstones sales people to demonstrate
the sales process, the brands touch-points and the corresponding digital tasks that the team will
need to complete in their CRM and project management software.
Journey mapping is an essential part of your digital strategy because it forces you to empathize
with all of your users and stakeholders both internal and external. It also reduces confusion by
making the process crystal clear.
Forresters report Six Steps to Becoming a Digital Business has some great examples of how
companies are digitally transforming their value chain. Ive included a few in this exercise.
Also keep in mind that this does apply to service businesses just as much as products. Language
like inbound logistics suggests that were only talking about a product business but truthfully
the process is just the same.
Starting with primary activities, take each business unit and break down its strengths and
weaknesses.
Inbound Logistics
Analyze the digital process of procuring goods from suppliers in the value-chain. Where are the
digital strengths and weaknesses? Do you have insight into your order status? Is the overall
process as efficient as it could be?
Embrace dynamic ecosystems, and you can connect your company and your suppliers together
to rapidly and automatically respond to changing conditions. Bosch, for example, is leading a
consortium of German manufacturers to define a standard for dynamic, automated manufacturing
that it calls Industry 4.0. Bosch aims to create Internet-connected, self-optimizing factories that
can automatically adjust to machine downtime or changes in supply of materials or order
demand. This digital ecosystem creates a dynamic supply chain, all the way from raw materials
providers to end consumers. Forrester
If youre a service business, think about the functions that make your deliverables possible. What
are the things you need before you can start creating value for your customers? For example, a
Corporate Litigation Firm needs its attorneys to stay in touch with the latest legal research and
continued education. Evaluate the digital aspects on the front-end of your value chain.
Operations
Again, strengths and weaknesses. Is your operations team happy with their software? Do you
have an accurate read on inventory? A great example:
Mobile operators Telefnica and Telenor created a value ecosystem called BlueVia to connect
ecosystem partners like Electronic Arts, Facebook, Google, Microsoft, and Samsung. BlueVia
opens up the combined data of 460 million subscribers to allow developers to build new services
for consumers and to use Telefnicas billing platform to take payments. Forrester
Outbound Logistics
Evaluate the technology you use in your distribution processes. How are your products and
services delivered to your buyers? Could you make this process easier or more pleasant for them
through the use of technology?
FedEx SenseAware exposes data about a packages environment to customers via an app,
allowing them to track the condition of sensitive packages in real time. Extending products and
services with digital technologies makes it possible to take greater mindshare within a customers
ecosystem of value. Forrester
Service
This part of the exercise should focus on what happens after the purchase. What is the
customers service relationship with the brand long term. If they need help, can they get it
digitally? Service is all about your people are you empowering your people with the digital
tools they need? For example, Target is always one of the easiest places to return merchandise
because customers never need to bring their receipt or hassle with store credit. The funds go
straight back to the card you used for your purchase.
Examples:
We are
turning visitors into customers
going from great to irreplaceable
becoming our customers favorite company
This phrase is boiling the plan down to what matters most. Its the idea that everyone wants to
see happen. When your technology or marketing team is in the weeds, this big idea should
remind everyone why their work matters. Imagine yourself saying this to a project manager or a
marketing coordinator whos feeling burnt out or overwhelmed. Is it inspiring and genuinely
encouraging? Does it matter?
If its not coming to you now give it some time. Chances are it will come to you while youre in
the shower or on a long walk with your dog. You can also circle back to this exercise at the end of
your process.
Find or create a mobile tablet app for account managers that gives mobile visibility to current
account data in our inventory management and payment processing systems.
Youre using this exercise to knock out the big buckets. This is the high-level punch list that big
stakeholders like the C-Suite and the Board of Directors will be interested in. This is the digital
strategy that everyone will know and refer to, so be careful about what you put here. People will
come to think of it as gospel. Be sure to remind everyone that sees this that your strategy is a
living/breathing document. Its not the 10 commandments its more like the Bill of Rights.
Sometimes plans need to change. In the digital world, pivoting is the key. This is the plan for now.
3. Digital Scope
Addressing the companys approach to key areas of digital and outline the purpose, key
initiatives and challenges of each objective.
This is where things start to get a little hairy (and potentially exhausting for some audiences). In
your digital scope, youll take a deeper look at each objective you have outlined in your Digital
Base.
I cant tell you exactly what to put in your Digital Scope, so instead Ill try to provide some insights
on the most common objectives and channels.
a) Website(s)
69% of American consumers still say that branded websites are a huge factor in their buying
decisions. Companies are going through website redesigns all the time and chances are you
have one on your list. Having led several large redesigns myself over the last few years, here are
some of the highlights to keep in mind.
Start with content strategy and information architecture before planning technology
Dont over-design: stick to the core principles of good design instead of getting caught up
in the latest design trends
b) Online Content
If blogging is done strategically it can produce astounding results like more leads, larger email
lists, and better search traffic. Here are my best tips on doing content the right way.
Start with an editorial calendar that is informed by keyword research so you get the most
out of every piece of content.
Create long-form articles that add very significant value to the user not just short tips.
Your content needs to be better than every common 500-800 word blog post out there.
Hubspots blog is a great example of this.
If youre serious about your content program you should consider content marketing
software like Hubspot, Contently, Adobe Experience Manager or Kapost. A robust content
program is hard to manage without them.
Dont create content without a CTA. The purpose of your content should be to help grow
your business. You do want your reader to take some sort of action like signing up for a
webinar or requesting an e-book or white paper. Blogging loses its value without these
supplemental pieces of content.
Hire the right person for this. Someone with deep knowledge in the industry accompanied
by digital marketing chops. Pay them well and theyll produce great results.
credible sources
recommended by others
informative
relevant
visually educational
organized
appropriate
Create blog posts and web pages that accomplish these things and youll generally be fine.
Bottom-line
Employee morale
Productivity
Brand Equity
Customer Experience
You could even survey your teams on the impact that your Digital Scope will have on this list if
you want to get buy-in from several departments. Choose the handful of projects that will make
the biggest impact and commit the time, money and resources to get it done.
The
lesson here is to think of your big digital projects like a startup inside of your corporation and treat
the board / c-suite like investors. Empower your teams to make critical decisions as a highfunctioning business unit, not a traditional department silo.