MODERN RETAIL& BUSINESS MODEL INNOVATION

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A MODEL OF MODERN RETAIL

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It is not the strongest of the species that survives, nor the most intelligent that survives. It is the one that is most

adaptable to change.

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EVERYONE HAS THEIR OWN VIEW ON TRANSFORMATION & CHANGE

Klaus - CEO - Alcoa

WHAT: Tech Innovation

(3D Printing)

WHY: •  Reduction in time to

market •  Reduction in

Experimentation timescales

Jean-Pascal - CEO – Schneider Electric

WHAT:

IOT & Analytics Cloud

WHY:

•  Real time monitoring and optimisation

•  Realisation that data is key •  Partnerships to do the

simple things

Meg - CEO - HP Enterprise

WHAT: Organisational Speed

Automation & Orchestration

WHY:

•  “The future belongs to the fast”

•  Combined Business & IT Strategy

Bernard - CEO - Kaiser Permanente

WHAT:

Business Model Innovation (New Channels)

WHY:

•  Customer Feedback / risk of being left behind

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Vision Ways of working Software

delivery

C U L T U R E

DIGITAL & ORGANISATIONAL TRANSFORMATION THEMES

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THE GAP BETWEEN THE MOST PRODUCTIVE FIRMS AND THE REST IS GROWING

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LEAN ENTERPRISE

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INNOVATION CHATTER

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INTERSECTIONS OF INDUSTRY

Big gaps for Business Model Innovation

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CONSUMER (Retail)

COMMERCE (Financial Services)

CONTENT (Media &

Publishing)

CITIZEN & COMMUNICATES

(Govt & NGO’s)

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INTERSECTIONS OF DOMAINS

Medium gaps for Business Model Innovation

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CONSUMER (Retail)

COMMERCE (Financial Services)

CONTENT (Media &

Publishing)

CITIZEN & COMMUNICATES

(Govt & NGO’s)

SUPPLY CHAIN

DELIVERY

RESTAURANT FOOD

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CAPACITY & SUBSCRIPTION MODELS (D2C)

‘spares’ for Business Model Innovation

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ECOSYSTEMS & IAAS Big openings for Business Model Innovation

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PLATFORMS for Business Model Innovation

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Vision without execution is just Hallucination.

– Thomas Edison

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CLOSING THE GAP

CATCH UP

Disruptors

Everyone Else

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INNOVATION (TO VALUE) CYCLE

Innovation Labs!Intrapreneurship!Geurrilla Clubs!

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CLOSING THE GAP

CATCH UP

Disruptors

Everyone Else

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TECHNOLOGY IS NOW THE BUSINESS

Business

Tech@Core

Tech

Tech

Business

Collaboration

Business

Tech Led Differentiation

Business

Supporting Role

Tech Tech

3rd

Indu

stri

al R

evol

utio

n

4th

Indu

stri

al R

evol

utio

n

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PEOPLE OPEN MINDS STRONG LEADERS

DOUBLE Business Model Innovation

Nextfix 1. SELECT A COMPANY

$10 2. CHOOSE AN AMOUNT

INVEST IN STOCKS

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0.1121 shares 3. BECOME AN OWNER

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OWNERSHIP CHANGES BEHAVIOR

+54%

+33% +26%

+10%

+68%

+107%

Annual Spend

Share of Wallet Price Premium

Tenure

Frequency Of Visits

Referrals

Source: Bain & Company

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GOAL Transform their IPO into a brand engagement event -- a way of saying “thank you” to those who matter most.

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REWARDING PEOPLE WHO MATTER MOST

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PARTING THOUGHTS

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become owners.

Ownership is the world’s first

behavioral currency.

Ownership is the ultimate Like button.

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SUCCESS DEPENDS ON

•  Prioritise based on customer experience – experience matters most

•  Metrics that matter – can you measure, are they the right ones for BMI

•  The right people and vision – is their an open innovation culture?

•  What does your brand say – innovative and an open door?

•  The right platforms/technology – can you experiment fast enough?

•  Failure is ok – but are you learning

•  Time – are your people given time and space to create?

•  Can you win the war for talent on Digital and attract entrepeneurs?

•  Getting out of the building!

THANKS www.thoughtworks.com/retail

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