Thursday, October 17, 2013

17/10/2013: Customer-Activated Enterprise: External & Internal Influencers


In the previous post I covered a few quick ideas that stemmed from the recently published IBM's Institute for Business Value CxO-level study: "The Customer-activated Enterprise: Insights from the Global C-suite Study" (available here: http://public.dhe.ibm.com/common/ssi/ecm/en/gbe03572usen/GBE03572USEN.PDF).

As I noted - this is an absolutely 'a must' read for anyone interested in the future directions for interactions between customer-driven value added activities and enterprise structures and strategies. It subtly, quietly punches beyond the 'ritualistic' tech-saves-us-all hype and into the deeper thinking inhabiting today's C-level offices. This is good. Very good. Less brand futurism, more future-focused pragmatism.

So another fascinating insight (my judgement, of course, as are the comments presented here).


Based on this guide: Chief Executive Officers (CEOs), Chief Finance Officers (CFOs), Chief Human Resources Officers (CHROs), Chief Information Officers (CIOs), Chief Marketing Officers (CMOs), Chief Supply Chain Officers (CSCOs), let's re-weight by removing 'own' functions of the CxOs:

1) Technology Factors (ex-CIOs) score 11 points
2) Market Factors (ex-CMOs) score 8 points
3) Macro-economic Factors (ex-CFOs) score 19 points
4) People Skills (ex-CHRO) score 26 points
5) Regulatory Concerns (ex-CSCOs) score 20 points
6) Socio-economic Factors (ex-CMOs) score 35 points
7) Globalisation (ex-CEOs) score 37 points
8) Environmental Issues (ex-CMOs) score 36 points
9) Geopolitical Factors (ex-CEOs) score 41 points.

So re-weighted prioritisation is:
Top tier priorities:
Top 1: Market Factors (ex-CMOs) score 8 points - Second Priority for CEOs
Top 2: Technology Factors (ex-CIOs) score 11 points - First Priority for CEOs
Top 3: Macro-economic Factors (ex-CFOs) score 19 points - Third Priority for CEOs
Second tier priorities:
Top 4: Regulatory Concerns (ex-CSCOs) score 20 points - Fifth Priority for CEOs
Top 5: People Skills (ex-CHRO) score 26 points - Fourth Priority for CEOs

The CEO position (2013) overlap is provided directly from the chart below:


Note that the CEOs priorities are not that distant from the priorities of the overall CxO suite priorities once we remove actual direct stakeholders in each priority area.

Also note that top 5 priorities today (as outlined in top 2 tiers above) are consistent themes from at least 2006 survey on. This is aligned, in my view, with the shifting nature of strategic transformation drivers and the input of external sources into strategic influence formation at the C-level:


Notice that C-suite influence is proximate in importance to Customers input and Board input. In the future, with partnerships and networks of value-added expected to both expand and deepen, including growth in customer-partnership models, this is likely to change. We can expect more heterogeneity in perceived influencing factors across the C-suite and the rise of key external business partners and non-executive senior leadership roles in contributing to strategic influence formation. I suspect the C-level and Board inputs will be downgraded.

Something to watch… but here's a suggestive sub-trend:

Can you open up the structures without bringing up the roles of key partners and internal non-execs? I don't think so...
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