MSc Management Leading through Digital Disruption Assignment Sample
Introduction
In this report, the Procter and Gambler changes that have been adopted to transform into e-commerce as digital transformation. The gaining of digital business agility, the digital-ready culture, development of leadership style with the help of Goleman’s leadership model will be shown in the report.
The effectiveness of the change plan to transform into digital with the emergence of e-commerce will be shown by implementing the various models.
Task 1- The case of Change
Company overview
The organisation chosen for the case of changes is Procter and Gambler. Procter and Gamble is a multinational American consumer goods corporation headquartered in Ohio. It was founded in the year 1837 diversifying products into personal health care products. Beauty and grooming, home care, and family, and baby care products (Shi, 2021).http://MSc Management Leading through Digital Disruption Assignment Sample The food of snacks and beverages are also distributed in the market.
Procter and Gambler recorded $83.1 billion in sales which make them focus on 65 brands from 100 brands in 2014. The company manages and operates easily earning 95% of profit focusing on personal health care and food product line. The company with changes in shopping habit have transformed into e-commerce that has brought digital transformation.
The company has reported sales of $3 billion from the online channel (Verhoef and Bijmolt, 2019).http://MSc Management Leading through Digital Disruption Assignment Sample The moving of consumers to online buying of groceries has let the company transform digitally. The company operates in the global market partnering with Amazon, click and collect for ordering online and collecting from stores. The company partner with online channels to display the products for fulfilling the consumer demands.
Explain the reason the company is digitally transforming
The company is digitally transforming to e-commerce as the consumer package goods demand for online shopping has increased to almost 64%. In 2020 due to the pandemic, the CPG online sales have increased to $501 billion.
Procter and Gambler have increased a 50% spike in e-commerce sales and an 8% total increase in revenue (Muheem et. al. 2021). http://MSc Management Leading through Digital Disruption Assignment Sample
During the pandemic, the consumer shopping preferences changed alongside the buying habit for hygiene products increased enhancing the e-commerce demand for the company.
The main objective of the company is to digitally transform into e-commerce with more cost-effective multi-category manufacturing sites. The geographic strategic location automating and digitalising the sites to bring flexibility and cost minimisation for better distribution of the products online (Johnson et. al. 2019).http://MSc Management Leading through Digital Disruption Assignment Sample
The company has its own e-stores to retain online customers effectively digitalising. Also bringing high technology for inventory management, and manufacturing sites automation to fulfil the customer demands online post-pandemic.
The company is utilising machine learning algorithms to bring the right product into the virtual stores and to the physical stores on time. It is to help the company gain product availability information to manufacture, store and take an actionable real-time distribution for fulfilling the demand of customers.
Task 2- Gaining Digital Business Agility
Companies need to develop digital business agility as it helps to quickly respond to the threats of the business and capture new opportunities with digital technology utilisation before the rivals notice the changes (Saputra et. al. 2022).http://MSc Management Leading through Digital Disruption Assignment Sample
Digital business agility has three main pillars consisting of hyperawareness, decision-making with information, and fast execution. These are not technology but technology enables capabilities that will help make quick responses to the changes.
Figure 1 Digital Business agility
(Sources: Wade, 2022)
Digital Business Model
Hyperawareness: This is the process of getting the employee insights sensing what is going on within the enterprise. The process is to retain data of customers, and competitors and analysing the changes in the marketplace. With the help of hyperawareness, the company can take the initiative of retaining the customer marketplace data for tracking the demand.
The changes are required within the manufacturing sites, and inventory management to compete and adopt the marketplace changes (Prikladnicki et. al. 2019). http://MSc Management Leading through Digital Disruption Assignment SampleWith the help of technology, the data of the employee insight and the current value chain problems can be identified with customer dissatisfaction data.
With the help of IoT, the data can be exchanged and connected with other devices and systems over the internet to collect the problems of the customer as opposed to the product deliveries.
Likewise, with the IoT, the company can be hyperaware of the competitiveness for bringing new changes into delivering the products. With the help of IoT, the company can bring change in the product line and changes in delivering the product inputting effective services for meeting the marketplace demand (Reitz et. al. 2018).http://MSc Management Leading through Digital Disruption Assignment Sample
The market competitors of the CPG are Unilever, Nestle, and PepsiCo. With the hyperawareness regarding the marketplace demand and competition. The data collected from a wide range of internet sources will help analyse the threat and opportunities, and weaknesses of the rivals for a better outcome.
Procter and Gambler can focus on adopting the technology of IoT to analyse the changes in behaviour in work culture and efficient performance. The IoT will help to understand the proper issues of the employees to build a working environment that adjusts the vulnerabilities.
The value chain process and the product delivery issues opposed to the customer problems can be determined tending to solve the problem of distribution with automation of the inventory management (Orvos et. al. 2019). http://MSc Management Leading through Digital Disruption Assignment SampleThe changes in the workforce will increase the performance efficiency minimising the competitiveness with new ideas.
The P & G can reach hyperawareness with IoT gaining digital business agility. As the data will help understand the changes required within the work environment for reducing competition and managing the supply chain, bringing manufacturing changes for production line efficiency.
This IoT technology will mostly help capture the data from the marketplace to make decisions with the changes demanded and preferred by customers in the marketplace. The supply value chain efficiency, while detecting and monitoring the opposed changes in the value chain by customers can be retained for the right business expansion (Wade et. al. 2022). http://MSc Management Leading through Digital Disruption Assignment Sample
E-commerce can be developed with easy access to data for building a flexible manufacturing site to minimise cost. For example, the hyperawareness company will be able to understand the customer dissatisfaction level.
Also, the reason for the dissatisfaction automatically accessing and storing the data for bringing required changes (Koçu, 2018). http://MSc Management Leading through Digital Disruption Assignment SampleIt will help to understand the level of change required to compete and earn a loyalty rate for gaining a competitive advantage. The technology will help process the changes in advance for quick adoption to the right marketplace demand.
Informed decision making: Informed decision making is the process of the company’s ability to make the best decision from a given situation. To do this the data collected from the hyperawareness like P and G customer feedback, workforce problems, and value chain effectiveness must be analysed, scaled, and distributed throughout the organisation.
A company with AI can make fast decisions related to the issue of the marketplace for a better product line (Sandkuhl and Stirna, 2018). http://MSc Management Leading through Digital Disruption Assignment SampleThe company has to make decisions for grabbing better opportunities and mitigating the risk.
The AI technology will help to bring quick outcomes related to effective automation of manufacturing sites optimising the product quality and inventory management. The quick information gathered from the analysis is necessary to bring the changes to make decisions related to effective productivity. Also, supply chain distribution to successfully manage the e-commerce transformation.
The digital dependence on online shopping made the customer more accurate about product availability and data retention has been easily available with AI for better decision making related to business.
The AI with quick access to the data will help make flexible decisions related to the marketplace issues for effective digitalisation of the value chain process for quality e-commerce sales.
With the help of AI technology, the automatic data management task is retained in a fast and accurate manner (Lisca, 2019).http://MSc Management Leading through Digital Disruption Assignment Sample A company with AI can directly analyse the consumer purchasing behaviour, and problems in the marketplace for effective e-commerce services.
The AI will help identify the preferences of customers and changes required in the distribution or product line for effective emerging e-commerce success.
Fast execution: It is about the ability of a company to carry out the plans quickly. Fast execution is important to accomplish the changing need of the customers for effective e-commerce transformation.
The company’s strategies and visual store services are changing and P and G need to adopt technology for fast execution to build an effective e-commerce platform for future sustainability.
Machine learning technology is best to utilise to help fast learn to improve the performance of the company (Xu and Koivumäki, 2019). http://MSc Management Leading through Digital Disruption Assignment SampleWith machine learning, the outcomes can be predicted with historical data retention.
The past data of the customer, demand, and feedback will tend to make fast execution about the changes needed for effective supply chain management for better e-commerce outcomes.
Machine learning is a part of the operation and it will give P & G a view of the trend in the consumer behaviour and operational patterns alongside the support needed to develop the changes required at a fast rate.
It is a significant competitive differentiator that will help the company to effectively execute the progress with analysis of development required from past data. Machine learning also will help to improve the e-commerce services prioritising the changes required for better customer satisfaction levels (Nwaiwu, 2018). http://MSc Management Leading through Digital Disruption Assignment Sample
The initiative of customer satisfaction with change in the manufacturing process and in inventory management as proper execution of work. The workforce with machine learning can retain past data, predict the uncertainties, and develop the weak area for better outcomes. The collaboration, development of the operational process, and utilisation of new skills for customers’ higher e-commerce service levels will be executed quickly via machine learning algorithms.
Task 3 Create a Digital Ready Culture
The digital-ready culture is the ability to embrace the digital channels enabling higher performances while interacting with brands or services. It helps in providing higher performances with innovation and digitally executing the business.
The digital-ready culture is able to build a human and technology relationship with day-to-day opportunities for humans to interact with the digital platforms (Westerman et. al. 2019). http://MSc Management Leading through Digital Disruption Assignment SampleThe digital transformation will be successful with the utilisation of the human workforce which is ready to accept the digital technology.
Technology is the concept that will help to minimise the gap between the human workforce and business operations. The constant dependency of humans on the internet is increasing the interaction to be successful among technology and the workforce to influence one another in terms of effective execution of work.
The digital transformation can be supported with the proper installation of a digital-ready culture where culture will play a vital role to accomplish digitalisation (Çöteli, 2019).http://MSc Management Leading through Digital Disruption Assignment Sample
The human resistance will decrease with digital-ready culture. The first priority is the customer, the creation of collaborative culture, and becoming a digital champion with innovation due to acceptance of digitalisation will be properly shown for better outcomes in P & G.
The P and G must prioritise customer as a company that prioritise the customer needs will effectively be able to create digital-ready culture.
The digital transformation of the P and G is to input technology for better e-commerce services for satisfying the customer need while reducing the complaints alongside automating the supply value chain (Kontić and Vidicki, 2018). http://MSc Management Leading through Digital Disruption Assignment Sample
The company must utilise the technology to retain data and predict the circumstances to prioritise the customer needs with various changes in supply value chain operation for better satisfaction.
The P and G will successfully digitally transform with proper utilisation of technology to fulfil the demand of customers in e-commerce. Furthermore, the creation of collaborative culture is to collaboration with teams from different backgrounds.
It will help to automatically transform the data into an effective decision-making process collaboratively utilising technology (Hemerling et. al. 2018). http://MSc Management Leading through Digital Disruption Assignment SampleThe proper analysis of the area of development will help build a strong relationship among teams to effectively achieve the change in technology.
The focus on customer preferences and the collaboration will help to increase the instilling of a culture of innovation. The technology will be utilised to bring innovation with proper focus on the customer and department collaboration for fast decisions regarding the changes.
The company’s innovativeness installation into the culture will help to initiate a digital-ready culture.
The superior-subordinate collaboration will help to enhance the innovativeness and creative decision-making process achieving a digital champion accepting the technology effectively to execute work (Trushkina et. al. 2020). http://MSc Management Leading through Digital Disruption Assignment SampleIn P and G company the digital champion can be achieved with proper collaboration among departments creating innovativeness for better utilisation of technology.
Task 4 Steer Collaboration
Roles and responsibilities of chief collaborative officer
The chief collaboration role is to oversee the coordination and administration of the team’s business planning, staffing, fundraising, client management, and project coordination. The responsibility of the CCO is to improve team coordination and solve problems for better execution of collaborative work (Tumbas et. al. 2018). http://MSc Management Leading through Digital Disruption Assignment Sample
The CCO has to identify the conflicts and the problems in planning to reduce the failure of performances. The role of the CCO is required to smoothly implement the technology transforming digitally building a strong collaboration culture among departments.
Advice for CCO to increase collaboration
The CCO needs to cultivate an openness to offer solutions to problems and two-way communication for solving problems while making effective decisions. Transparency while working in the organisation will help mitigate the risk of conflicts among the team members.
The monitoring of the performances is very important for CCO to bring effectiveness in executing the work (Kratzer et. al. 2018). http://MSc Management Leading through Digital Disruption Assignment SampleThe motivation for judgment-free idea sharing is very important to implement as a CCO for better free flow of innovativeness and creativity within the workforce.
The CCO also requires a proper plan for rewards and benefits to consider to maintain harmony among teams. The best employee award and commission for teamwork must be initiated for better team outcomes. The CCO must initiate weekly meetings and performance appraisals for a collaborative decision-making process to reduce conflicts.
Task 5 Develop your leader’s
Two appropriate Goleman’s style leaders within an organisation to support digital transformation are given below:
Democratic leadership: It is the leadership that will be suitable for P and G company as the team members are equally provided the chance to participate for the collaborative decision-making process.
The workplace will be very flexible and leaders will frequently hold meetings to discuss everyone’s opinions and retain creative ideas from teams (Campion, 2018).http://MSc Management Leading through Digital Disruption Assignment Sample For digital transformation, the leader of the democratic style is effective to bring new opinions. Furthermore, make collaborative decisions to reduce the risk of failure while executing the digital transformation.
Coaching leadership style: The Coaching leadership is suitable as it will help to provide one-to-one guidance rather than focusing on group outcomes.
The personal goals and personal skills are prioritised by this type of leader that will help P & G company to grow in terms of development of individual work performance and gaining the desired outcomes (Price-Dowd, 2020).http://MSc Management Leading through Digital Disruption Assignment Sample The leader that uses this type of style is very empathetic and provides openness to improvement encouraging to gain future success.
The proper support from the leader will help the team to utilise the digital technology to perform effectively. This style completely focuses on individual development and needs that will help bring technology and human interaction better.
This style will motivate the employees and develop individual that wants to improve their skills for better growth in their career (Boyle et. al. 2018). http://MSc Management Leading through Digital Disruption Assignment SampleThe utilisation of this leadership style will encourage better collaboration increasing the support of employees towards digital transformation.
Figure 2 The Grow Model
(Sources: Grow Model, 2017)
The technique of the growing model will be beneficial to implement to develop the leadership style of the leaders. The growth model will help to understand the leader’s position and what is the goals of the leader to accomplish changes required as part of the option to achieve the goal.
The changes to consider to achieve the goal with the existing skills will help to grow as a leader (Karlsen and Berg, 2020).http://MSc Management Leading through Digital Disruption Assignment Sample The analysis of the four stages of goals, reality, options, and what will be done differently will tend to show the right direction of developing the leadership styles to lead a team in P & G company.
Conclusion
From the above discussion, it can be stated that the digital transformation is important to implement with proper utilisation of strategy for making the culture ready to work on the technology.
The case of change of P & G focused on e-commerce as a digital transformation to achieve better ways to provide services online consisting of digitalising the manufacturing sites and managing an effective supply value chain. With the help of technology, the company has been shown various growth achieved and leadership styles to choose for better digital transformation.
The company is also shown the CCO roles to consider and steps to implement for effective outcomes in implementing technology. The analysis has shown that proper utilisation of technology needs a ready culture and collaboration strategies to grow digitally.
References
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Online
Wade et. al. (2022), Digital business agility. [Online]. [Accessed through]: https://www.imd.org/research-knowledge/reports/workforce-transformation2/
Grow Model, (2017). [Online]. [Accessed through]: https://www.performanceconsultants.com/grow-model
