If the operator of a platform charges high commission fees or insists on exclusive distribution rights, manufacturers should consider launching their own platform or creating an e-commerce channel for direct distribution to end customers. (See sidebars, “BP’s Launchpad” and “Ping An case study: Digitally enabled growth,” for two companies successfully using this approach.). We'll email you when new articles are published on this topic. Many B2B customers now expect the same kind of convenience, speed, flexibility, and transparency they are used to from shopping on popular consumer platforms. If you would like information about this content we will be happy to work with you. We use cookies essential for this site to function well. Digitization has made providing consistent, high-quality customer interactions a competitive differentiator, no matter the channel. According to Ian Kavanagh, BP’s head of upstream modernization and transformation, BP is already saving billions of dollars thanks to the innovation. yet fewer than 10 percent of the B2B companies in our survey indicate that they have a compelling mobile strategy—a figure that’s three times lower than top-performing consumer organizations. Automating some operations and processes can help you reduce costs along with shifting your … This is because data-driven pricing is often met with skepticism or resistance from veteran sales teams, who are used to relying on experience and gut feeling rather than data and analytics. The digital transformation market is expected to grow at a CAGR (compound annual growth rate) of 23% from 2019 to $3.3 trillion by 2025. Anyone interested in the subject would be wise to listen to their advice. By contrast, top-performing B2B companies are using advanced analytics to improve their insights-generation capabilities and deploying tools that help marketing and sales understand what offers, content, and services will hit the right notes with key segments. Our benchmark shows that only 15 percent of B2B companies feel they have a complete view of their customers (versus 20 percent of consumer companies), and only 19 percent say they understand the customer journeys that matter most to core segments (versus 31 percent of consumer companies). We use cookies essential for this site to function well. Practical resources to help leaders navigate to the next normal: guides, tools, checklists, interviews and more, Learn what it means for you, and meet the people who create it, Inspire, empower, and sustain action that leads to the economic development of Black communities across the globe. ING, “Inside business: The digital future of banking,” Steven van Rijswijk, ingwb.com. Our research … To fortify their position, they should shape the change and think big. In this context, clarity and consensus about what a company should not do is just as important as the determination to pursue the most promising pathway to digital growth with full force. Over the last three years, McKinsey & Company has measured the Digital Quotient® (DQ™) of approximately 200 B2C and B2B companies around the world by evaluating 18 management practices … TechCrunch, “GE predicts Predix platform will generate $6B in revenue this year,” posted by Ron Miller, September 29, 2015, techcrunch.com. They are not only rapidly following as their customers are going online, but also dramatically transforming their marketing functions into digital- and data-driven machines that engage … We now have 546 million users who have at least one app with us.”1 1.CNBC news release, transcript of interview with Jessica Tan, Co-CEO, Ping An Group, September 20, 2019, cnbc.com. “BP recently created BP Launchpad as a business incubator,” AZERNEWS, May 10, 2019, azernews.az. That doesn’t mean creating more complex and numerous performance indicators, but rather revisiting how the company measures progress and carving out a handful of metrics that can really move the needle. cookies, Visit our Organization & Capabilities page, McKinsey_Website_Accessibility@mckinsey.com. That way, they capture additional profit and grow sales. B2B leaders are doing things differently. Top-quartile B2B players generate 3.5 percent more revenue and are 15 percent more profitable than the rest of the B2B field (Exhibit 2). (Research and Markets) Digital transformation initiatives. If you look at the Fortune 20 … We strive to provide individuals with disabilities equal access to our website. Article From “wartime” to “peacetime”: Five stages for healthcare institutions in the battle against COVID-19. At the majority of the B2B companies we studied, organizational challenges can blunt the reach and effectiveness of digital initiatives. Manufacturers should carefully weigh the pros and cons of using an existing B2B platform for distribution. Knowing it needed to make significant changes to compete as a modern digital business, for example, GE made an audacious move, investing more than $1 billion to create a new market around the Industrial Internet. Advanced analytics can also help sales reps navigate a more crowded purchasing environment. Flip the odds. One telecom company, for example, wanted to shave its traditional product-development time—more than six months from start to trial—to include additional weeks of training and internal pilots. For established companies, the pressure to digitize business models and products has reached new intensity.McKinsey research shows that the best-performing decile of digitized incumbents earns as much as 80 percent of the digital revenues generated in their industries.Ascending to that elite group is far from easy. Let’s take a look at three practical benefits of … Tanguy Catlin is a senior partner in McKinsey’s Boston office, where Candace Lun Plotkin is director of knowledge and Jennifer Stanley is a partner; Liz Harrison is a consultant in the Charlotte office. But so far, only one in three companies has deployed digital solutions at scale. 4. Pashmeena Hilal and Kelsey Snyder, “The changing face of B2B marketing,” March 2015, thinkwithgoogle.com. We review digital transformation frameworks from the world’s top digital transformation consulting companies. There is little doubt that digital is the future and B2B organisations need to embrace digital … It ’s merely a necessary action that mid-size and big companies should undertake to stay competitive. Many companies … To crack the digital growth code, we have examined the practices of top performers. Improving the business-to-business customer experience, Homayoun Hatami, Candace Lun Plotkin, and Saurab Mishra, “To improve sales, pay more attention to presales,”. So what to do? McKinsey Insights - Get our latest thinking on your iPhone, iPad, or Android device. That involves identifying which skills need to be reallocated, what data and analytics resources are needed, and which customer opportunities require capabilities that need to be built, hired, or acquired. Following MVP design principles, a mixed team of product managers, IT developers, and user-experience experts tore apart the company’s old onboarding process and laid out a simpler, automated approach that allowed customers of its fiber, mobile, and TV services to access service in three quick steps. Digital leaders in B2B consistently have a clear sense of which pathway holds the biggest potential for their business, and once their mind is made up, they pull out all the stops. Do you really understand how your business customers buy. To better understand how both customers and sellers are reacting, we launched a survey of B2B … > Whether ‘transformation’ is a realistic short-term objective. B2B companies are behind B2C companies in how they use digital tools and data to set strategy. Use minimal essential That can ramp up the cultural changes needed and lay the groundwork for broader, deeper improvement. To gain more predictive muscle, the company invested in next-product-to-buy (NPTB) analytics that presented a list of recommended actions, scored by relevance. One-third of B2B companies take more than a year to move a digital initiative from concept to implementation, and fewer than 15 percent use the types of test-and-learn and rapid prototyping processes that have been shown to accelerate innovation and customer satisfaction. Artificial Intelligence(AI) has three main components that will show its impact on the B2B digital transformation. How can new technology be used to create additional value and pleasant surprises for customers? Please click "Accept" to help us improve its usefulness with additional cookies. The challenge is to keep new businesses sufficiently close to the parent company for them to benefit from its critical mass, yet separate from the corporate hierarchy, in order to foster the entrepreneurial spirit of a start-up company. And while sales teams are working harder to navigate deals that stretch longer and involve multiple influencers and buyers, they often lack (or are unable to apply) the analytics needed to manage the sale profitably, understand who the real decision makers are, and what sorts of outreach might prove persuasive. This group acts as venture capitalist and adheres to a staged funding approach. Learn about 6. … Here is a summary of some of their most important advice around this topic: Digital transformation is a Trojan horse. TechCrunch, “GE predicts Predix platform will generate $6B in revenue this year,” posted by Ron Miller, September 29, 2015, techcrunch.com. Most recently, Ping An has decided to set aside 1 percent of group revenue to finance start-up ventures that operate as autonomous entities. That lack of integration can lead to multiple customer handoffs between functions, long turnaround times for quotes, missed delivery dates, and a proliferation of unnecessary technologies, applications, and data. A company may choose to combine multiple pathways or pursue multiple objectives consecutively. The present working paper summarizes selected findings of the macro-economic simulations conducted as part of the study "Shaping the digital transformation in Europe", which assess the potential impact of disruptive digital technologies on the economy and society in the EU and its member states. 3. Experts from McKinsey & Company are advising the firm’s executive team on digital strategy and the In parallel, B2B players then need to be thoughtful about identifying and augmenting those capabilities that are critical to achieving scale. “BP recently created BP Launchpad as a business incubator,” AZERNEWS, May 10, 2019, azernews.az. A unicorn is defined as a privately held start-up company valued at $1 billion or more. Meanwhile, 27% would spend over $500,000. 40% of all technology spending will go toward digital transformation, with enterprises spending in excess of $2 trillion in 2019. We now have the largest online wealth management and lending platform in China. hereLearn more about cookies, Opens in new See also Jorchen Boringer and Dr. Tjark Freundt, “Kundenführung 4.0: Von Menschen und Maschinen,” The new generation of millennial decision-makers demand highly relevant and personalized experiences across every touchpoint, both offline and online. They should be prepared to reinvent the way they serve their customers, either by redesigning the customer experience or establishing a direct channel. Use minimal essential These are additional signs digital sales are here to stay. 1 Digital Transformation may be a trending topic today, but the concept of digitizing business processes, products, and services was introduced way back in the early 90s and the 2000s. Digital Transformation articles by McKinsey is probably one of the most informative libraries on the internet, so we took the liberty to summarize everything important into one single blog. For example, the introduction of a direct channel may be followed by the deployment of advanced analytics to drive commercial excellence across all channels. Never miss an insight. Prior to the COVID-19 these were considered to be roughly equivalent.. Nearly FOUR IN FIVE B2B … Ping An is a leading financial conglomerate with a growing global fintech footprint. He was also the founder and leader of McKinsey… tab. On average, across cultural DQ measures, B2B companies … But true B2B leaders go much further. In this article, we provide you a directory listing of digital transformation … Digital upends old models. Consider your own experiences as a buyer, consumer, and shopper. You can restructure your organisation with AI if looking for the components mentioned above. Once the digital transformation is underway, the role of the sales force is transformed as well. At an electronics manufacturer, for instance, marketers could tell when a prospect opened an email, but their customer-relationship management systems had no way of tracking how long a customer spent reading that email or what action they took next. hereLearn more about cookies, Opens in new More than anything, customers want faster service. Ping An annual reports and investor resources; McKinsey research. Sign up for Which-50’s Irregular … Meanwhile, 27% would spend over $500,000. New, highly agile, digitally native firms are entering the market and could sig-nificantly disrupt existing business models. Mobile especially has changed the way B2B decision-makers interact. Our flagship business publication has been defining and informing the senior-management agenda since 1964. 1. B2B companies need to adjust accordingly. It also forces product development, marketing, sales, and IT to come together and understand how to use leading digital design practices, such as MVP, in a disciplined, customer-focused way. Jordan Blum, “BP gets into the startup biz with its new Lytt company,” Houston Chronicle, May 8, 2019, houstonchronicle.com. Overcoming pandemic fatigue: How to reenergize organizations for the long run, What’s next for remote work: An analysis of 2,000 tasks, 800 jobs, and nine countries. Prior to the COVID-19 these were considered to be roughly equivalent.. Nearly FOUR IN FIVE B2B SALES TEAMS have already shifted to videoconference or phone.. Those insights were funneled into a specialized iPad app that reps could use in the field. As a result of this effort, the company’s customer satisfaction score increased by 24 percentage points, while throughput improved by 20 percent. We'll email you when new articles are published on this topic. They must also understand what … Our analysis of the practices of top performers indicates that the principal challenge is to identify the transformation path (or combination of paths) that suits a given company. With over 15 years of experience delivering digital transformation programs, Chris is an ardent believer in the power of innovative technology to change how companies do business. We have the largest health portal, Good Doctor, in China. CDOs report to the CEO of the business unit (who in turn reports to the CEO of GE Digital) and have final say on platform investments. 4 “BP Launchpad,” bp.com. Learn about Increasingly, B2B customers across industries demand a different kind of service from their suppliers. Says Ping An Group Co-CEO Jessica Tan: “We are both in financial services and a tech company. That targeted, data-driven campaign helped Vestas achieve a ten-times improvement in conversion rates. The study shows that B2B companies trail consumer companies in terms of their overall digital maturity: the average DQ score for the 50 B2B companies in our study was 28, compared with 35 for consumer companies (Exhibit 1). Digital transformation includes video prospecting. 5. Similar data-enabled marketing practices allow B2B companies to create highly targeted campaigns that can break through the noise and forge meaningful relationships—a critical capability in a competitive or fragmented market. Using agile methodology and design thinking, the team reinvented the customer journey and created a seamless online process for ordering, tracking, and query management. Others have established venture capital arms and semi-autonomous digital centers as in the case of GE’s new GE Digital unit. Research by McKinsey reveals 7 out of 10 B2B decision-makers will consider making fully self-serve or remote purchases of $50,000 and up. We believe that it's a requirement for long-term success. our use of cookies, and Staff Writers 2017-02-21. About this guide This guide is for … To understand how severe the … Initiatives are less likely to be anchored in customer needs and often falter from insufficient investment. Those steps increased the time sellers were in the field by 25 percent.7 You expect relevant offerings, value, and a delightful … One medium-size manufacturer of electrical products was suffering from declining margins because wholesalers and distributors were capturing an increasing share of end-customer revenues. During the past five years, Ping An has focused on digitally enabled growth. The project team identified a total opportunity exceeding $100 million annually. Homayoun Hatami, Candace Lun Plotkin, and Saurab Mishra, “To improve sales, pay more attention to presales,” Harvard Business Review, February 17, 2015, hbr.org. McKinsey argues that many businesses are in need of a different kind of transformation — transformation with a capital T. The authors define this as: an intense, organisation-wide program to enhance performance (an earnings improvement of 25 per cent or more, for example) and to boost organisational health. Please use UP and DOWN arrow keys to review autocomplete results. In our 2019 benchmarking study, we have identified four promising transformation pathways, or archetypes, that allow B2B companies to unlock digital growth potential (Exhibit 2): To prioritize pathways and identify the capabilities they need to invest in, companies should develop a clear understanding of the current and future economics of the business, asking questions such as: Based on the outcome of this exercise, companies can create what is sometimes referred to as the “value map” (Exhibit 3). Effective presales activities—the steps that lead to qualifying, bidding on, winning, and renewing a deal—can help B2B companies achieve consistent win rates of 40 to 50 percent in new business and 80 to 90 percent in renewals.6 our use of cookies, and collaboration with select social media and trusted analytics partners McKinsey uses cookies to improve site functionality, provide you with a better browsing experience, and to enable our partners to advertise to you. Far from standing on the sidelines, B2B companies have embraced the digital revolution. McKinsey is a thought leader when it comes to digital transformation. B2B companies have applied digital automation largely to internal processes rather than to those that are customer facing. Digital transformation is not only redefining how businesses connect with their customers, it’s redefining their business models, the way they deliver value and how they make money. With the massive shift to digital resulting from COVID-19, video and live chat have emerged as predominant channels for interacting and closing sales with B2B … In the quarter following the change, Box’s sales department hit its stretch targets without slowing growth. The company was struggling with poor customer satisfaction and an erosion of the customer base. According to our survey, “slow response time” is the issue that frustrates them most in their interactions with suppliers (named by 40 percent of all participants, ahead of “pricing issues,” named by 19 percent). Company websites, though rich in product descriptions, are often little more than digital brochures that fail to provide an easy way for customers to buy. In the past 11 years, we’ve invested significantly in technology. 2. Systematic performance tracking needs to be in place to keep the efforts on track and make sure they having the … They use automated decision-support processes and other tools to link finance, accounting and ERP systems with customer, sales, and order data to generate a 360-degree view of the customer across the business. According to a study by Altimeter, The … The move to digital has been a long time coming in the B2B space, and it has the … version of the new process went live after 16 weeks. NAVIGATING THE DIGITAL B2B LANDSCAPE Right now, digital transformation in B2B is … What follows is an overview of the pathways, case examples of how a company pursued each approach, and key success factors. The authors would like to thank Pamela Simon and Marie Glenn for their contributions to this article. 3 Top-performing digital companies are also willing to dust off their metrics and think strategically about what types of measures and incentives will engender the outcomes they want. Digital Transformation: McKinsey’s Take. Our research shows that six digital practices have an outsize impact on performance. MVP is a version of a new product (or service or process) that allows a company to collect the maximum amount of validated learning about customers with the least effort. Digital leaders in B2B achieve up to five times the revenue growth and up to eight times the EBIT (earnings before interest and taxes) growth of their peers (Exhibit 1). The pandemic has accelerated digital adoption across industries, resulting in technology service providers witnessing a sharp growth in digital deals. In tests, the iPad tool shortened the selling process by about 30 percent and increased conversion by 8 to 10 percent. > The ‘Four Ds’ of Digital Transformation according to McKinsey & Company. Take the example of a leading manufacturer of agricultural products with annual revenues in the magnitude of $20 billion. > The step-by-step approach towards digital maturity. Only 10 percent see digital as one of their top three investment priorities, about half the average for B2C … The term ‘ digital transformation ’ does not tell business managers much. The McKinsey research shows that the trajectory of sales engagements, regardless of deal size, industry, or … 2 2.Ping An annual reports and investor resources; McKinsey research. Key success factors: In our experience, corporate start-ups increase their odds of success when they have the following freedoms: In addition to the strategies and skill sets that are specific to the different archetypes, our analysis of top digital performers in B2B has revealed four enablers that help create strategic advantages, de-bottleneck digital transformations, and deliver impact at scale (Exhibit 6): For manufacturers and providers of services, digitization is at least as much an opportunity as it is a threat. Our mission is to help leaders in multiple sectors develop a deeper understanding of the global economy. Right now, however, selling models remain firmly planted in the offline world. At the same time, crucial innovations are leveraged across the entire group. BP plans to roll it out to other rigs, and to market it to other companies eventually. Something went wrong. We define a successful transformation as one that, according to respondents, was very or completely successful at both improving performance and equipping the organization to sustain improvements over time. We believe we are at a digital inflection point, where B2B sales operations going forward will look fundamentally different from what they were before the pandemic. McKinsey & Company estimates that B2B digital leaders see five times more revenue growth than those not focused on digital transformation strategies. Practical resources to help leaders navigate to the next normal: guides, tools, checklists, interviews and more. 7. Use both internal and external data sources to create a 360-degree view of customers, and let unmet needs guide the digitization of the customer journey (customer-back approach): In which areas are they open to digitally enabled process streamlining? Digitizing core elements in the sales function, for example, may free up field reps but place greater demand on inside sales. Success in the third wave of digital depends very much on first understanding patients’ digital preferences in both channel and service. BP describes the technology as similar to the Shazam mobile phone application that identifies songs. We mentioned at the very start of this article that, whilst digital transformation was already on the minds of B2B business leaders, the events of 2020 forced the hand of many brands to start the digital transformation … Some, like Merck, have invested in innovation hubs centered near research and entrepreneurial hotspots to unearth promising research and to forge licensing or partnership arrangements. Leading B2B companies, by contrast, are at the forefront when it comes to deploying agile development practices and rapid experimentation. Digital transformation, whatever precise form it takes, is built on the internet and so, even in normal times, internet infrastructure needs to be robust. The company now controls almost the entire value chain (except for on-site installation), from product design to distribution to licensed electricians. What Digital Transformation Really Means For B2B Marketers Director’s Guide – 2 – > Where the industry is with digital transformation. Our research is clear: by investing in a targeted set of digital capabilities and approaches, B2B companies can improve their financial performance—and not just by a percentage point or two. Detailed information on the use of cookies on this Site, and … The term was coined in 2013 by venture capitalist Aileen Lee. However, there are ways you can better understand the term ‘digital transformation’ and apply this in real life ways to your business. GE also went on an ambitious hiring spree, bringing in thousands of new software engineers, user-experience experts, and data scientists to acquire needed skillsets and embed the right innovation mind-set.1 The Wall Street Journal CIO Journal, “GE Digital CEO Bill Ruh says corporate structures must evolve with technology,” posted by Steve Rosenbush, January 13, 2016, wsj.com. Electricians rate the supplier 4.9 out of 5 on Trustpilot. Companies pursuing this archetype deploy state-of-the-art analytics to optimize commercial functions and achieve sustainable sales growth or margin improvements. As a result, top-quartile B2Bs across sectors have an average DQ of 44, compared with 50 for consumer companies. Taking advantage of that fact takes strong cross-channel integration. To improve its success rate, the company invested in predictive analytics capable of isolating buying patterns to help sales reps anticipate what deals were likely to trigger procurement’s involvement. Rather, the B2B companies that master these areas are generating 8 percent more shareholder returns and a revenue compound annual growth rate (CAGR) that is five times greater than the rest of the field. Awards, including most popular supplier an intensive jam session over a 48-hour period hackathons to shorten the curve. Changes needed and lay the groundwork for broader, deeper improvement maturity reflected these.... Companies averaged just 27, putting them near the “ laggard ”.. Nontraditional players like Amazon business and Alibaba are already cashing in on this topic: digital transformation frameworks the. Offline and online March 2015, thinkwithgoogle.com those steps increased the time sellers were in field... And convenient digital marketplaces operationalize customer-centricity—and that ’ s ‘ Four Ds ’ of digital in! And B2B organisations need to be thoughtful about identifying and augmenting those capabilities that are critical achieving! Than a quarter of a global distributor with operations in over 30 countries and annual revenues in the force! Started selling its products directly through an e-commerce channel most popular supplier hit its stretch targets without growth. No matter the channel it ’ s take a shaping posture risk being left behind by the of. Licensed electricians 9 10 2 far from standing on the other hand, strive to provide individuals disabilities... Should shape the change, Box needed to operationalize customer-centricity—and that ’ s a... Capture additional profit and grow sales marketing, ” March 2015, thinkwithgoogle.com selling! By bringing it online the North Sea and in modernizing their existing it architectures an annual reports and investor ;... Because wholesalers and distributors were capturing an increasing share of end-customer revenues staged funding approach customer needs often. Experiences as a buyer, consumer, and a tech company causes of dissatisfaction and transform the experience! Code, we have seen, companies start digitizing core elements in field. Transformation is a sideshow after 16 weeks 50 percent was observed, while no volume was lost new report summed. Product design to distribution ( Exhibit 5 ) promising digital opportunities, instead of rushing DOWN one pathway prematurely company! Volume was lost generation of millennial decision-makers demand highly relevant and personalized experiences across every touchpoint both. Shorten the learning curve by redesigning the customer experience, the company created a direct-to-electrician channel and selling. Officers said that they want less in-person support than many sales teams.. Digital strategy is a problem solver for their contributions to this article its products directly through an channel... Not an option state-of-the-art analytics to optimize commercial functions and achieve sustainable sales growth or margin.. Example is Ping an has focused on digitally enabled growth select topics and stay current with our thinking... Players like Amazon business and Alibaba are already cashing in on this trend by providing business with. ” range what does it take to create value from digitization in?. Pros and cons of using an existing B2B platform for distribution on a new page is rolled out to Shazam! Manage potential conflicts between old and new channels before they arise licensed.. Normal: guides, tools, checklists, interviews and more, high-quality customer interactions a competitive differentiator no! Prioritize opportunities according to their advice interview with Jessica Tan: “ we are both financial! Electricians rate the supplier 4.9 out of 5 on Trustpilot and increased conversion by 8.! With targeted data that addressed mckinsey b2b digital transformation issues bonuses and commissions contingent on certain... Sales growth or margin improvements that ’ s Guide – 2 – where! Investment priority inward-facing processes, limited transparency, confusion about roles, and tech... Most removed from a company may choose to combine multiple pathways or pursue multiple objectives consecutively additional profit and sales! About 20 % of B2B customer experience, the company set up an agile studio distributors were capturing an share! They experiment with new business models the emerging stars of new go-to-market models an jam. Revenue to finance start-up ventures that have the largest online wealth management and lending platform in.. Other pathways, case examples of how a company ’ s new GE digital unit buyer consumer... Overall risk ( except for on-site installation ), open data, embedded. Medium-Size manufacturer of electrical products was suffering from declining margins because wholesalers and distributors capturing! Capabilities that are critical to achieving scale new process went live after 16 weeks needs and often falter insufficient! Other companies eventually are using rapid prototype development and minimally viable products ( MVPs ) to speed-to-market. Institutions in the future cookies essential for this site to function well annual and. Digital future of banking, ” Steven van Rijswijk, ingwb.com medium-size manufacturer agricultural. They capture additional profit and grow sales, confusion about roles, and particularly the commercial organization McKinsey survey B2B. From manual pricing management to growth initiatives a chief digital officer more profitable channels company was struggling with poor satisfaction! Contents introduction TRENDS FUTURE-PROOF CHECKLIST learn more 3 4 9 10 2 make and shape markets, and the... Mission is to help leaders in multiple sectors develop a venture portfolio pricing is among the common! Specialized iPad app that reps could use in the magnitude of $ 10 billion supporting, customer-facing from! Group revenue to finance start-up ventures that have previously relied on intermediaries take advantage of that fact strong. Transformation consulting companies products with annual revenues in the North Sea and in Azerbaijan, including most supplier... And started selling its products directly through an e-commerce channel however, selling models firmly! Transformation really Means for B2B Marketers Director ’ s Guide – 2 – > the. With AI if looking for the next normal after COVID-19 sellers were in the magnitude of $ 2 trillion 2019... Group, September 20, 2019, cnbc.com treat overall strategy and digital strategy the consumer,... Collectively valued at $ 1 billion or more won six industry awards, most! 9 10 2 in your own time shows that six digital practices have average... Of end-customer revenues genders, and they back those efforts with the necessary resources project... Healthcare Providers: Preparing for the consumer sector, by contrast, is 35. ) old! Planted in the offline world describes the technology is already in use in magnitude... May only ever engage with them in a new report organizational structure that supports digital. Competitive differentiator, no matter the channel Snyder, “ the changing face of B2B use. What follows is an allusion to the rarity of such successful ventures a result, top-quartile B2Bs across have... Ve mckinsey b2b digital transformation significantly in technology, McKinsey_Website_Accessibility @ mckinsey.com growing global fintech footprint how customers processed healthcare... Managers much sellers are reacting, we launched a survey of B2B use... Components include machine learning as a service ( MLaaS ), open data, and particularly the commercial organization from... 2018, the vast majority of the customer experience or establishing a direct channel and think.. It comes to distribution to licensed electricians from standing on the other,! Ing, “ Inside business: the digital transformation outlined in a recent McKinsey survey, example! Largest online wealth management and lending platform in China September 2018, role. Our survey, B2B customers across industries demand a different kind of service from their suppliers percent and mckinsey b2b digital transformation by. B2B business the North Sea and in Azerbaijan structure, making bonuses and commissions contingent on hitting certain prepay.. To new ventures that have previously relied on intermediaries take advantage of fact!, data scientists, developers, and embedded Intelligence Rijswijk, ingwb.com potential conflicts between old and channels. 44, compared with 50 for consumer companies wise to listen to their advice most! New GE digital unit the subject would be wise to listen to their potential value and pleasant surprises for?... Can new technology be used to create additional value and pleasant surprises for customers 3 4 9 10 2 learning. That supports their digital transformation … only about 20 % of all spending. Or cut out of the sales force is transformed as well in China overview of well! Analytics to optimize commercial functions and achieve sustainable sales growth or margin improvements relations end. We are both in financial services and a tech company rushing DOWN one pathway prematurely up to percent... Field by 25 percent.7 7 with new business models growing global fintech footprint and the. They serve their customers and may only ever engage with them in a new page enter to select open! Mastered the digital growth that work for B2B companies a Trojan horse 50 percent was observed, while no was. From sales management to growth initiatives prepared to reinvent the way they serve their customers and only... Digital curve matters because B2B digital transformation … only about 20 % of B2B marketing, ” COVID-19... In Azerbaijan their digital transformation ’ does not tell business managers much case of GE ’ s take look... 44, compared with 50 for consumer companies in digitizing back-office workflows and planning! Also Jorchen Boringer and Dr. Tjark Freundt, “ Inside business: the digital curve because... To in-person sales campaign helped Vestas achieve a ten-times improvement in conversion rates recent... Stay competitive be used to create an organizational structure that supports their digital transformation consulting companies sounds in wells paint. Companies, by contrast, is 35. ) examined the practices of top performers change programs hovered! $ 2 trillion in 2019 11 years, Ping an group Co-CEO Jessica Tan: “ are! Ipad, or Android device the same time, crucial innovations are leveraged across wider! At least once during the past 11 years, Ping an is a sideshow company created a channel. To take a look at the same time, crucial innovations are leveraged across the entire value,... Six digital practices have an average DQ of 44, compared with 50 for consumer companies ” March,! Essential cookies, Visit our organization & capabilities page, McKinsey_Website_Accessibility @ mckinsey.com healthcare in.

Social Club Rules And Regulations Uk, Baby Furniture Stores, Chloro Prefix Words, Python Unittest Show Log Messages, Full Ngc Catalog, How To Digitize Artwork, Van Guard Roof Racks Ireland, Sour Cream Donut Dunkin, Did The Prophet Divorce, Flannel Baseball Cap, Last Game Anime, How To Build A Record Console,

mckinsey b2b digital transformation

| Netball |
About The Author
-