Reference no: EM133215475

1. In the article Customer Experience in the Age of AI on page 7, the authors mention the 70/20/10 rule. Where 70% of digital transformation involves changing people, 20% is getting the data right, and the final 10% is about technology foundation. Explain how a company can overcome the four (4) impediments listed in the article.

List them (but do not stop there).

Explain how you, as a manager, can either eliminate or manage around the impediments. Use either your own company or choose a real company on which to base your response.

(Note: just as a reminder, an impediment is something that prevents you or makes it more difficult for you to achieve a goal.)

Below from the article:

In the most successful digital transformations of the past decade, we have observed what we call the 70/20/10 rule: Seventy percent of the effort of changing an organi- zation-its processes, ways of working, key performance indicators, and incentives-involves people. Twenty percent entails getting the data right. The remaining 10% is about the technology foundation. This breakdown stems from four impediments. First, most companies are still set up to be product-first, not customer-first, making it impossible for the dozen or so teams that cover channel, market, and product silos to collaborate. The increasingly popular role of chief customer officer was created to solve this problem, to orches- trate the people and moving parts behind the many customer touchpoints. Second, analytics is not infused throughout the business, and no single platform integrates customer data and enables advanced analytics. Third, content is created manually and not tagged for reuse. Finally, agile ways of working, even if common in IT teams, are generally not used by cross-functional teams. Without tools to facilitate teams' rapid experimentation and learning, companies end up with inconsistent, stagnant experiences across channels.

To get started, companies should launch self-governing pods of workers from marketing, operations, analytics, technology, and the commercial functions and invest them with clear goals, budgets, and decision rights. These inte- grated groups should be tasked with developing a limited number of specific experiences that represent breakthrough opportunities to drive revenue and build deeper customer bonds. They should have the tools to measure their day-to- day progress and should work in intensive two-week sprints to develop and test ideas for improving engagement. They should optimize many variables, such as what triggers to respond to, which channel to use, when to reach out to a cus- tomer, what message to issue, and what incentive to offer.

AI can play a progressively bigger role in this effort as more experiments are run and more data is gathered. The pods can use machine learning to determine how to set up multi- variate tests, keep track of everything in motion, and decide when to lock in and scale a test to a broader population.