Talent 3.0: Solving the digital leadership challenge — a global perspective
Christopher Nadherny, Dana Wade, Jonathan Harper and Grant Duncan
July 2010
Innovations in mobile technologies and social media and a dramatic increase in digital activity in markets around the world have elevated digital as a key pillar of the commercial strategies of a growing number of companies, regardless of industry. The macro challenge for companies is to successfully harness the disruptive power of digital through the innovation of superior business models and modes of customer interaction and its transformative power by enhancing existing processes.
Spencer Stuart consultants held extensive interviews with 50 senior general management, marketing and e-commerce leaders from companies representing a wide range of industries and geographic regions. These discussions illuminate the organizational and talent challenges companies face as they embrace more technology-driven business models and suggest ways leaders can make sure their organizations are prepared to compete in a more digital world.
Read the full study on the digital leadership challenge:
The study also highlights 10 surprisingly consistent practices that successful organizations embrace. These include:
- Building a comprehensive digital strategy that is shared broadly and repeatedly across the organization. A well-articulated digital strategy that supports the core strategic drivers of the business will assist the organization in identifying and prioritizing new business opportunities and anticipating emerging competitive threats.
- Embedding digital literacy across the organization. Digital success ultimately will be measured by the seamless integration of Web 2.0-and-beyond technologies across most business activities and processes.
- Renewing focus on business fundamentals. Your company, your employees and your product or service are fully exposed, for better or for worse. The best digital strategy will not compensate for poor product quality or frustrating customer service.
- Embracing the new rules of customer engagement. The customer is in control, now able to buy products or services online anytime and anywhere, with more information than has ever been readily available. Organizations should strive to listen and inspire and ensure that digital interactions with customers are respectful, relevant and responsive.
- Understanding global differences in how people access and use the Internet. Winners in digital will prioritize geographic opportunities when executing digital initiatives and building teams, and localize programs to account for differences in culture, competition and lifestyle needs. Local dynamics will increasingly serve as a source of experimentation and breakthrough creativity.
- Developing the organization’s analytical skills. Data is becoming the currency of success in a technology-driven world. Tomorrow’s winners will be those able to extract and apply insights from data to stake out a distinctive market strategy, find the best customers and charge them the right price, provide exceptional customer service and create relevant marketing programs that drive customer behavior.
- Focusing on the customer experience. Placing the customer at the center of strategic and tactical decision making allows companies to break down organizational silos and overcome persistent operational and resource issues that can impede technology-driven initiatives.
- Developing leaders with skill-sets that bridge traditional and digital expertise. Experienced senior executives who did not grow up in a digital world must be willing to invest the time to learn about digital technologies and the opportunities they present, while up-and-coming digital leaders need to broaden their experience and build classic business management capabilities.
- Paying close attention to cultural fit when recruiting digital leaders. Organizational cultures that promote innovation and collaboration, minimize functional and business silos, and focus on the customer are more likely to thrive in a digital world. Companies need to find and empower leaders who can advance digital objectives, given the pace, values, intensity, structure, decision-making process and role of digital in the business, and are willing to jolt an entrenched culture when necessary.
- Understanding the motivations of top talent. The simple reality is that the best digital talent is still in short supply and much more mobile than other functions. Organizations optimize their ability to attract top digital talent with: a clear digital strategy; overt C-level sponsorship; an entrepreneurial culture that values experimentation and creativity; and a reporting structure that empowers leaders with digital skills.
Read the full study on the
digital leadership challenge.