and the next day. Good morning and welcome to our webinar called Accelerate Digitalization and Optimize Value Creation. First of all, thank you very much for taking the time this morning. We hope you are comfortable and have coffee within reach and ready to hear about Implement's Strategy Execution Framework for Digitalization. If you have any comments or questions during the webinar, we will be happy to address those, but it's difficult to do that when we have the webinar, so we will get back to you via email afterwards. But just post any questions or comments you may have in the chat. Also, we will record the webinar and after the webinar, you will receive an email with a link to the recording and you will also get the slides so we have something to re-watch or share. Before we get started, we would like to introduce ourselves. With me is Lukas Hall and my name is Henrik Wieland. And we're both consultants within Implement's Digital Transformation Practice and we focus on Project Management and Project Implementation. And we are here because we are curious about the gap between strategy and execution capability. So the gap that we see between what organizations are setting out to accomplish at what they are actually capable of realizing. And we're here to share our experience and talk about some of the best practices that we have learned over the course of many projects. Many companies experience challenges in realizing the full potential of digitalization. They experience the gap between the ambition and the IT delivery capabilities. And in this webinar, we will explore the challenges and how different parameters must be in place and must be considered to optimize the digitalization efforts. The agenda of today is this. First, we will look to some of the challenges that we see hindering companies realizing the full benefits of IT projects and which are often creating the gap between business ambitions and IT delivery capabilities. And after that, we will dive into our strategy execution framework for digitalization. This is a framework that is based on Implement's strategy execution model, which we have then adapted and adapted and adjusted to fit the digitalization based on experience and best practices. And finally, we will explain how our approach of using the framework can help analyze the situation and help pinpoint areas of improvement in the organization. So let's look at the situation today and why this is an important topic. Many studies over the years have shown that successful transformations are difficult and projects are difficult. And for instance, we have a study from Harvard Business Review that shows that less than 22% of transformation projects fail to meet the expectations of all stakeholders. And when it comes to IT projects, the average benefit shortfall, the study shows, is 24%. And Implement have made a study that shows that less than 9% of organizations are doing a comprehensive analysis of the benefits that you're actually trying to achieve with projects. So there might be a link also from that to the ability to realize benefits. So the studies have shown this over many years and it's a persistent problem. And even though the numbers might, for your organization, might not exactly be as the studies show, there's no doubt that this is expensive. It's expensive. It's expensive. It's expensive both when it comes to resources, but also in missed opportunities. And when it comes to any other normal way of the way we operate our business, we would never accept numbers like this. Of course, transformations and projects are one-offs and it's complex endeavors and there are many elements involved, moving parts, etc. Excuse me. Both when it comes to developing the strategy and to running the strategy and to run the strategy and to run the projects. So there's a lot of uncertainty and risks, but many of the factors are actually within the span of control of the company. So why accept these kind of numbers when it comes to digitalization? Let's look at where the problems are. So we have listed eight of the challenges that we typically see in companies that leads to or hindering the fulfillment of the full potential and creating this gap between ambition and delivery capabilities. And the first challenge is low transparency and an unclear link between the strategy and the portfolio. So often we see that there lacks an overview of the projects that are actually ongoing and also the projects that are coming up. And that also leads to a lack of understanding across the organization around prioritizations, why some projects are the project that are chosen over others and the project are chosen over others and you risk by that that you are misaligned between the project portfolio and the strategy you're actually trying to accomplish or to fulfill. The next problem is the lack of long-term roadmap shared between business and IT, which makes it difficult to proactively collaborate around the roadmap. It's hard to manage the resources that you need, both when it comes to the skills you need, for the projects and the projects and the projects and the projects and the projects and also the volume you need to execute in a speedy manner. And this leads us to the third challenge, which is that often we see that many resources are spread across too many projects and that especially go for key resources. And apart from being stressful for the individual, it actually also have a negative effect on the impact that the person has on the individual project. If you're familiar with the project, and if you're familiar with implements project methodology, which is called half double, you will know that we actually recommend that key participants do not get allocated to more than two projects at a time for exactly that reason. And lack of prioritization and unclear prioritization and maybe resources that are spread too thin can make it difficult to prioritize. And that leads to the next problem, which is that there's often an imbalance between the resources spent on run, grow and transform projects. So projects run are the projects that are needed to keep the lights on the existing business and grow is growing the existing business where transformation is transforming the business. And we often see that it creates bottlenecks and you get this gap between the ambitions of both the business and also the business and what IT and what IT and what IT is actually capable of delivering. The next challenge is no strategic impact or no KPI tracking. And in essence, it means that a lot of projects are started, but no projects are ever or rarely stopped again. And of course, if something changes, it might be relevant to stop a project again. The strategy may change, but also maybe you decide to set expectations across the organization. And this is very much linked to the next challenge, which is no standard way of evaluating and executing projects. In essence, it means you don't speak the same language. And often we see to compensate for that, that individual project managers or individual parts of the business are inventing their own mythologies that don't really match up in between. And it creates a lot of misunderstandings and it creates a lot of inefficiencies and a lot of inefficiencies and slowing things down in essence. And the final challenge is limited collaboration and engagement across business and IT, which basically means that business and IT are seen as a client-vendor relationship instead of a partnership, often as a result of some of the other challenges. And it slows down execution. And we often see that either the business side, if they don't get what they actually are wanting out of IT, that they go externally or they create their own capabilities internally, which is what we call shadow IT, or worst of all, actually, that they miss out on some of the digitalization capabilities. So let's move on to introducing the framework. As you may have noticed, many of the challenges are interrelated. So lack of privatization can lead to resources being spread to things and bottlenecks, etc. So we need a framework that addresses how different parameters are linked together and must be considered in order to optimize your digitalization efforts. So once you have formulated a business strategy and a digitalization strategy, you will end up at some point with a lot of initiatives and a roadmap of those. And here you look at the portfolio of projects and the capability to prioritize is a key capability, a strategic capability. On project level, the focus is on efficient execution. But it's also actually on creating a two-way street so that you're actually to get learning loops back into the system and learn in your portfolio of prioritization and in your resource management, etc. So in essence, this is a dynamic system. And if you look at our framework, we are bridging the gap between strategy and execution and at the same time improve and balance the capabilities that you need in order to optimize value creation. The framework has two domains. The framework has two domains. The first domain is doing the right projects. And this is where you manage your projects and portfolio in a transparent manner and prioritize and reprioritize, etc. And the second domain is doing the projects right, which is about executing with focus and momentum. And if you want to bridge the gap between your strategy and the value, you need to be good in both domains. And the first domain is doing the right projects at the same time. If you want to bridge the gap between the same time. If you look at what each of these domains consist of, we have some parameters here or capability areas. And the first one is portfolio management, which is about the transparent overview and where you establish a rhythm where you evaluate and you prioritize your projects so that you ensure that they help actually meeting the strategy you are trying to accomplish. Resource management is about making sure you have the right number of resources, so matching demand and supply and making sure that we have the resources in place when they are needed in order to secure speed in your delivery. Project management is about making sure that we execute efficiently. So it's about creating a shared way of working, a shared language. And we often see that different ways of working hinders transparency and speed. And it's really important that you create standard tools and that you are sharing the best practices that have proven to work in the organization in order to ensure that you get speed and focus in your execution and that you measure how it works with frequent pulse checks. So you ensure that your projects are actually realizing the benefits that you are setting out to realize. The next area is about capability building, which is basically making sure that we have the right skills we need both now and in the future. And our focus is very much on project management skills because these skills are very, or capabilities are very important, both when it comes to the efficiency of execution, and also the quality of what we get out in the other end. And then finally we have governance and performance which are binding the two domains together with a data-driven approach where you measure and take decisions on your KPIs and that the management, the steering groups, etc. are speaking with one voice. And underneath this, you will have leadership and change management to ensure that the projects you are doing are actually creating the impact that you are setting out to do and expecting from your projects. A final comment about the framework is that it's really to be considered an ecosystem. So you need to understand how each of the parameters work and also how they impact each other. without a good way of executing projects, for example, without a good way of executing projects, for example, and reporting your projects to the portfolio and it gets difficult to prioritize, it gets difficult to allocate resources and things are simply slowing down. So you risk, if you're not managing this in the right way, to get into a kind of vicious circle, which you are likely able to break if you're focusing and using a framework like this. Now I would like to hand over to Lukas who will go into a little bit explaining how we use the framework. Thank you, Henning. So yeah, you might be wondering how does it actually look when you use this framework and I'm going to tell you a little about how to get started with this sort of assessment. So usually when we use the framework, we use it to evaluate the current state of maturity on each of the five parameters of the framework. We then evaluate where and assess where you want to be in a future state, what level of maturity you want to reach. And we then define what are the gaps between the current state and the future state and what initiatives can help us close the gap. But to go a little more in depth about what this might look like, we take the as is assessment or current state assessment where we assess the maturity that is currently in the organization. We do this by conducting semi-structured, thorough interviews, by reviewing documents, processes, tools, and then we align what we found with the relevant stakeholders that we all share the same idea of where we are currently. We will then try to assess what is the desired future state. Once again, we need to do this together with relevant stakeholders. We have a series of workshops which contains exercises and tools that will help us collaborate on uncovering where the desired future state is. Once that's done, we would like to get an idea of what are the gaps between now and the future. These gaps can be both complex, they can be simple, they can be technical, and they can be change management oriented. And more often than not, they are related to some of the issues that Henrik mentioned earlier. Once we've aligned on what the gaps are, we need to start to formulate what kind of initiatives will help us close the gap and reach the desired state. When we formulated and aligned the initiatives, we put them into a roadmap so that it's easy to see where we are, where we're supposed to be, and how we're going to get there in the foreseeable future. Now, a few words on the maturity levels of the capabilities in our model. What you can see here is the different maturity levels divided upon the five capabilities. As you see on the vertical axis, you have the capabilities and horizontal, sorry, that's the other way around. On the vertical axis, you have the maturity levels and on the horizontal, you have the capabilities. What this does is that it gives us a shared language. Like, what does it mean when we say that we are a maturity level five on, sorry, level two on resource management and we want to be a level four? What does it mean when we say that we are a level three and we are very content with being a level three? Another thing which this does is that it helps us track, like you may make an assessment right now stating that you are a level one. And in half a year or so, you might make another assessment, so you might alter your course, you might make corrections or just maintain the course you are at for where you want to be. This is a roadmap, what it might look like. This is a sun ray diagram. On the colored columns, you will see the different capabilities. And on the horizontal axis, you will see a time frame. So the closer you get to the top right corner, the further we are in the future. Each of these dots will represent an initiative. So there can be many dots. And the good thing about this is that it's very flexible and very scalable. So you might have several dots along the time frame in each of the capability areas. But you might also just say, well, we're very content with our project management effort, but we want to do more capacity building. So you might not have any dots at all or maybe have them spread out through time. So what this does is that it helps us steer in the right direction. It helps us see what are the initiatives in the foreseeable future and in the long term to help us reach the goal. Now, what we've made to really get you started is a fast track to the evaluation. This consists of a one hour meeting where we would like to discuss the approach more thoroughly and maybe help you get through some of the tools and what it consists of. After this, we'd like to send out a questionnaire to relevant stakeholders in your company. What this questionnaire is, is it's more of a preliminary maturity self-assessment that will help you uncover where you are currently. And we can use this preliminary assessment in a one or two hour session to discuss, well, you might have an idea of where the shoe pinches and you might be confirmed in that notion, but you might also be challenged. There might be different perceptions to that. We would very much like to discuss it with you. And hear your reflections. And from there, we might be able to discuss whether or not a more deep or thorough maturity assessment is valuable for your organization. This fast track session, we offer free of charge, no cost whatsoever to every participant in this webinar. So if you're interested, please just write in the chat or contact us afterwards and we will make the arrangements and set up the meetings. Thank you. Thank you, Lukas. So let's recap what we have been through today. So the first thing we talked about were the typical challenges we see. And I'm sure that you will recognize a lot of these challenges in your own organization. We discussed our framework, we discussed our framework, how that helps analyze the challenges and understand how the challenges actually can impact each other. We discussed the maturity assessment and how that can actually help build a transformation roadmap. And actually, we are planning to make another webinar in some months where we will focus more on the transformation roadmap and on the improvement initiatives. And share our experience around that part if you are interested in participating. The final thing is the offer of the day, the fast track preliminary approach. As Lukas mentioned to the participants in the webinar, we will offer that free of charge. And I think if you take the self-assessment questionnaire and use that in the organization, I'm sure you will learn something and you will surface something that you would not be aware of anything that you would not be aware of anyway. So at least it could be a good learning exercise that can bring some valuable insight for you. All right. That's all, folks. All that is left to say is thank you and hope to see you again another time. Thank you. Thank you.