There’s a lot of talk about companies using data and technology to “become digital” and CEOs are increasingly under pressure from shareholders to turn their businesses into technology companies. The last five years have reminded us of the .com boom. As it was in the late 90s the pressure to embrace new technology is all-encompassing, the trick is figuring-out what that means for your company.
Firstly, this is unlikely to be a bubble. A lot of .com revolved around exciting software which just couldn’t run on the low-bandwidth networks and small processors we had. These engineering issues aren’t a problem for data science and the digital technologies behind the change we have now.
Secondly, like “being online”, “digitalising” is a very deceptive statement. The traditional used car industry faces an existential threat from digital transformation. To the vehicle servicing and repair business, it presents new ways to create customer loyalty, cut costs in the supply chain, increase employee satisfaction and reduce dead-time through dynamic pricing.
Thirdly, digital transformation and data science have become catch-all terms to describe an evolving series of changes, technologies and systems.
In nearly seven years of running executive searches in this space, we’ve seen most of the trends and expect much more change in the next seven. For now, three distinct phases are emerging:
Companies which need Enterprise Modernisation:
- These businesses usually have multiple ERP systems, aren’t in the cloud and haven’t really evolved their Operations, Marketing, Product, Finance and Sales processes in years.
- This is the most common type of business we recruit for as only 15% of Global IT real estate is in the cloud (according to Andy Jassy, CEO of AWS)
- The clearest answer often lies in replacing the incumbent Chief Technology Officer for someone with excellent commercial qualities and who doesn’t see their job as purely controlling the cost of technology. This person creates untapped profits by modernising the company and finding the path to digital which best suits the business model and strategy.
Once modernised, the company needs to embrace Digital Transformation
- This often means hiring a Chief Digital/Data Officer to create and deliver a programme of projects to produce a profit from evidence (data) by pushing into adjacent markets and developing new products and services.
- We are also recruiting CTOs, CMOs and CPOs who can ensure that the resources are in place to unlock this value.
- We also add Board Advisors to establish what the digital future of the firm is and how it can be realised.
Fully-digital businesses are securing the most advanced Practitioners and Advisor
- They are seeking constant progress to consolidate their leading positions and create new markets.
Armstrong International is one of the most established headhunters in the digital industry. We have a network-based approach and specialise in recruiting people with a rich track-record of generating new profits by modernising and bringing digital change to established companies.