ilona simpson - making an impact through digital
TRANSCRIPT
REAL AND RELEVANT
MAKINGAN
IMPACTTHROUGHDIGITAL ILONA SIMPSON
CIO IN RESIDENCE, SENIOR ADVISOR & VENTURE PARTNERARIADNE CAPITAL
3 MARCH 2016
ABOUT: ARIADNE CAPITAL
• VENTURE CAPITAL & ADVISORY• START UPS
• INVESTMENT, NURTURE, SUPPORT• INVESTORS
• ENTREPRENEURS BACKING ENTREPRENEURS• CORPORATES
• SPEED TO MARKET / NEW PRODUCT LAUNCHES
ABOUT: ILONA SIMPSON
• CORPORATES• PORSCHE, DHL, ASTON MARTIN• SERVED ON 2 EXCOMS
• IT AND MANAGEMENT CONSULTING• ACCENTURE, SCHICKLER
• START UPS• BUILDING: VC FUNDED DIGITAL START UP• MENTORING: UCL ADVANCES, VIRGIN START UP• INVESTING: ONLINE FRAUD PREVENTION
EXECUTIVE SUMMARY
• THE ESSENCE OF DIGITAL• WHY DIGITAL MATTERS• HOW IS IT CHANGING THE OPPORTUNITY• THE MYTHS• THE TRUTHS• WHERE TO START• EXAMPLES• KEY TAKEAWAYS
THE ESSENCE OF DIGITAL
source: IESE Business School
THE ESSENCE OF DIGITALWHY DID THEY DO IT? BECAUSE THEY COULD!
source: IESE Business School
THE ESSENCE OF DIGITAL
THE ESSENCE OF DIGITAL: CONSUMERISATION
TECHNOLOGY ABSORPTION
THE ESSENCE OF DIGITAL: CONSUMERISATION
DEFENCE & GOVERNMEN
TENTERPRISE CONSUMER
TECHNOLOGY ABSORPTION
traditional
THE ESSENCE OF DIGITAL: CONSUMERISATION
DEFENCE & GOVERNMEN
TENTERPRISE CONSUMER
TECHNOLOGY ABSORPTION
with consumerisation of IT
traditional
DIGITAL VERSUS IT
DIGITAL: KEY PRINCIPLE
DIGITAL: THERE IS NO SUCH THING AS AVERAGE CUSTOMER
Digital workplace based onpersonas
JTBD and… personas!Designing the car with the customer in mind…
WHY DIGITAL MATTERS (1)DAVOS 2016: “DIGITALISATION HAS REACHED US ALL AND CHANGED EVERYTHING”
WHY DIGITAL MATTERS (2)
WHY DIGITAL MATTERS (3)
HOW DIGITAL IS CHANGING THE OPPORTUNITY (1)
2000
100 STAFF1M USERS
$10M RAISED
TODAY
10 STAFF10M
USERS$1M
RAISED
?
1 ENGINEER1M USERS$0 RAISED
source: a16z
HOW DIGITAL IS CHANGING THE OPPORTUNITY (1)
“The battle between every startup and incumbent comes down to whether the startup gets distribution before the incumbent gets innovation.”
Alex Rampell, www.a16z.com
HOW DIGITAL IS CHANGING THE OPPORTUNITY (2)
ECOSYSTEM ECONOMICS(TM)
HOW DIGITAL IS CHANGING THE OPPORTUNITY (2)
CORPORATE PARTNERS
ECOSYSTEM ECONOMICS(TM)
HOW DIGITAL IS CHANGING THE OPPORTUNITY (2)
CORPORATE PARTNERS
TECHNOLOGY PARTNERS
ECOSYSTEM ECONOMICS(TM)
HOW DIGITAL IS CHANGING THE OPPORTUNITY (2)
GOVERNMENT PARTNERS
CORPORATE PARTNERS
TECHNOLOGY PARTNERS
ECOSYSTEM ECONOMICS(TM)
HOW DIGITAL IS CHANGING THE OPPORTUNITY (2)
GOVERNMENT PARTNERS
CORPORATE PARTNERS
TECHNOLOGY PARTNERS
ECOSYSTEM ECONOMICS(TM)
START UPS
HOW DIGITAL IS CHANGING THE OPPORTUNITY (2)
GOVERNMENT PARTNERS
CORPORATE PARTNERS
TECHNOLOGY PARTNERS
ECOSYSTEM ECONOMICS(TM)
START UPS
EARLY ADOPTERS 225,000
HOW DIGITAL IS CHANGING THE OPPORTUNITY (2)
GOVERNMENT PARTNERS
CORPORATE PARTNERS
TECHNOLOGY PARTNERS
ECOSYSTEM ECONOMICS(TM)
START UPS
INVESTORS: EX FOUNDERS AND EXECS OFHOTMAIL, QUALCOMM, AMAZON,…
EARLY ADOPTERS 225,000
HOW DIGITAL IS CHANGING THE OPPORTUNITY (2)
DIGI
TAL
ENAB
LER
Strategic Value
Financial Value
Network Effects
Vulnerability DISTRIBUTION
Ecosystem Economics™ shifting industry playersConsumer Data sets become prevalentNetwork Orientation at heart of the consumer insight
When partnering with,1) Brings new digital
revenues2) Brings lean operating
system
When acquired,1) Can become2) Can reinforce or gain
a position as industry architect
RentingNot Licensing
Operating system to the industry
ECOSYSTEMS ECONOMICS(TM)
source: Ariadne Capital
THE MYTHS
MYTH #1“YOU WON’T GET FIRED IF CHOOSING …”
Tesla CIO Builds ERPIn-House in 4 Months,
Says No Time forERP Upgrades
MYTH #2DIGITAL IS ABOUT MARKETING AND B2C
MYTH #3DISRUPTION FROM WITHIN …
BUT… WHAT ABOUT IP?
THE TRUTHS
CULTURE
THE TRUTHS: CHALLENGES TO SOLVE
THE C TRIAD
COMMITMENTCOST
CULTURE: MANAGEMENT OF RISK
CULTURE: MANAGEMENT OF RISK
… is an active, vibrant place
that rewards creativity and unconventional
thinking.
CULTURE: MANAGEMENT OF RISK
ESTABLISHED2009
HEADQUARTERS
SAN FRANCISCO
… is an active, vibrant place
that rewards creativity and unconventional
thinking.
CULTURE: MANAGEMENT OF RISK
CULTURE: THINKING OUTSIDE THE BOX
CULTURE: THINKING OUTSIDE THE BOX
COMMITMENT: CHOOSE YOUR BATTLES
COMMITMENT: CEO SPONSORSHIP AND EXCOM READINESS
source:IESE Business School
COMMITMENT: FOCUS ON WHAT YOU CAN CONTROL. CONSIDER ALTERNATIVES
COMMITMENT: WHERE IS THE FUTURE GOING
SecureAnyMobile
COST: CAN WE AFFORD IT?
COST: SAVINGS AT THE EXPENSE OF SERVICE
EXAMPLES
EXAMPLES: SIMPLIFICATION
EXAMPLES: SIMPLIFICATION• Leader Gartner Enterprise
Architecture Tools• Growth pivot 2012• 82 employees• 3,000+ customers
EXAMPLES: GOING DIGITAL
EXAMPLES: GOING DIGITAL
EXAMPLES: GOING DIGITAL
EXAMPLES: OPEN INNOVATION
• Fast "pseudo market" feedback on your R&D.
• Relatively cheap.
• Helps to build a community of interest around your specific product or marketing campaign.
• Can generate some great ideas.
• Applicable to anything.Filmmaker in New Zealand wins crowdsourcing competition
On US National Television on Valentines Day 9PM
KEY TAKEAWAYS
• DIGITAL IS ACCESSIBLE AND AFFORDABLE• ALWAYS WORK WITH PERSONAS• DON’T FALL FOR THE MYTHS• THREE C: CULTURE, COMMITMENT, COST• START BY MANAGING WHAT’S IN YOUR CONTROL• THINK BIG!
