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    The Digital Toolkit: What CIOs Need to Survive in the Digital Economy

    Ingrid-Helen Arnold, CIO and CPO, SAP SE

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    Ingrid-Helen Arnold, CIO and CPO, SAP SE

    We all know what the digital economy means – an explosion of data, brilliant new ideas and upstart companies with disruptive concepts winning market share from traditional industries. However, you can have all the great ideas in the world to change business, but these mean nothing if you don’t have the right attributes to survive in this new world. These are the characteristics I see that are absolutely  essential for CIOs to shape themselves and their companies to survive – and thrive – in the digital economy:

    1. The right mindset 2. The right platforms, applications and people 3. The right data

    The right mindset

    All businesses are evolving, and there is pressure on the C-Suite to evolve too. However, those who are clear enterprise technology leaders in the digital economy have already recognized and crossed the digital divide. They both use and offer solutions that are simple, networked and real-time.

    Digital leaders demonstrate a fundamental respect for the consumer. They recognize that we are no longer in a business-to-businessto-consumer market, but that we are now in aconsumer-to-business market. The consumer rules, and this is fundamentally changing  everything. It means giving consumers what they want, when they want it and on whichever channel  they want.

    The new digital leaders are also data-driven. They know that data needs to be real-time, and  that it should not only reflect current reality, but  that it should be able to predict future reality based on current data. These predictive qualities are absolutely essential in  the new digital age. How companies  handle their data will become the most important aspect of their business – even more important than the consumables they sell or the services they offer. Without this, transformation will fail.

    On top of this, data-driven  businesses must be seamless.Consumers don’t want to know how their information arrives on their device – they just want to have  that information. They  don’t want to know  which company in a network is  selling them something – they just want to make that purchase as quickly and as efficiently as possible. They don’t want to struggle through  a series of complicated steps – they want the user interface to be as simple and straightforward as possible.

     

    The right platforms, applications and people

    At SAP, we have a radical innovation  agenda with a clear digitalization focus that we fuel by using our own software products. We implement SAP software before it becomes available on the market as a first customer, ironing out issues for development, and partnering with the business to achieve their strategic goals.We deliver some of our software  in a new way. The SAP Store now markets and sells traditional  ecommerce and digitally native software, content, education and  services direct to the consumer. This will enable us to address the next wave  of exponential growth and expand our addressable market through entry into new areas such as data and content. In order to generate relationships with the next generation of employees, we also orchestrate anopen innovation ecosystem and  run apps challenges with start-ups  and teams from the top universities world wide . To fully embrace  digital, we need new roles such as UX experts, data scientists and cloud architects. By opening up our  ecosystem, we are providing a bridge for people with these new roles to join us.

    The right data

    Continuous innovation relies on agility, and agility relies on good  data. At SAP, we are working hard at getting rid of  modification  and  unused custom code. This is absolutely vital if we want to be agile and be able to consume new innovation as we develop  it. We have a dedicated  team focused  on enterprise data management, because maintaining high quality data within both public and enterprise information management huge issue in today’s world. Now,information is shared across various information.is an important step to achieving private cloud-based platforms is a processes. Planning the right quality impactor hinder the business solutions across the enterprise to be replicated and distributed without causing a detrimental data quality impact or hinder the business processes. Planning the right enterprise information management is an important step to achieving accurate, valid and timely access to information.

    Conclusion

    This increasing digitalization and connectivity is completely changing the IT function. With the sweeping changes that digitalization brings,the challenges for CIOs are increasing exponentially and are not going to go away. However, byensuring they have the right mindset in the C-Suite; the right applications,platforms and people; and that they have good, solid, clean data that ensures agility, CIOs are poised to reap the huge benefits and success that the digital economy offers.

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