Customers are more and more sensing a new world where companies are intricately connected across industries/fields will arrive in the near future, and in order to survive in the new world (in addition to business, technology and data) the power of design will be more significant.
DSO as a Driving Force for Digital Strategy
NTT DATA has launched the DSO (Digital Strategy Office) in 2016 to promote the digitalization of customers and clarified the approach as “5 Digital Driver” to improve the business value of customers. NTT DATA has also defined “6 Focus Areas”*1 which are advanced technology areas that support customers’ digital technology. Among those 6 focus areas, Iot has finally become a reality and has shown some results in 2020.
Additionally, NTT DATA has developed and implemented three strategic/action plans to accelerate the digitization of customers.
Direct Investments: Investments in the digital field jointly with customers and has promoted projects with swiftness.
Strategic Partnerships: Promoted open innovation to collaborate widely with start-up companies, universities and tech giants etc.
Talent Transformation: Trained and developed digital talent and skills in the NTT DATA group
NTT DATA has decided on eight strategic areas for focus investment considering the market environment, technological trends, and areas of strength of NTT DATA group and is now considering investment projects for each area.
Automotive –Connected Car-
In a joint research, Toyota and NTT group are aiming to achieve a connected car/ autonomous driving platform that has been under research since 2015, NTT DATA plays a major role in collection of various data from 5 million vehicles and the research result of development of big spatiotemporal data management infrastructure"
Retail –Cashier-Free Digital Store-
In recent years, labor shortages, soaring labor costs and long working hours have become serious issues in maintaining the stores in retail industry. On the other hand, consumers tend to seek a more convenient and faster purchasing experience with the widespread use of smartphones. NTT DATA has decided to utilize the know-how it has cultivated over the years, such as Omni-channel and EC sites, to provide a cashier-free digital store opening service “Cath & GO”*2 that supports digitization of retail stores. In addition to contributing to operational efficiency such as reducing labor cost, it also contributes to sales expansion by helping the store acquire new data such as consumer’s in store flow lines and integrates it with online data to promote more accurate digital marketing.
NTT DATA is accelerating global alliance to expand digital business globally. The Global Open Innovation Contest (which has been held since 2014)*3 holds selection meetings around the world with challenging themes focusing on regional issues and market needs. It aims to create a new digital business and solve social issues through open innovation by achieving a win-win-win of venture companies x client companies x NTT DATA. Additionally, it has established DSO Silicon Valley base from April 2019 to accelerate the data collection and promotion of information on alliances and analyze the gap of digital business As-Is and To-Be in each industry area in order to enter into a partnership strategically. Through these partnership efforts, NTT DATA has entered into a business and capital alliance with Star Global Consulting Inc., a global consulting firm based in 12 cities around the world, in July 2019.*4 By promoting digital transformation, NTT DATA has significantly taken an approach that quickly embodies not only digital technology but also has provided value to end users and the business feasibility of client companies. By collaborating with Star Global Consulting Inc., which can quickly and comprehensively develop services from strategy, design, development to implementation globally, it is able to provide activities such as incorporating strategy service design into actual business execution and business expansion. NTT DATA has used this to its advantage which has strengths in digital technology.
NTT DATA classifies digital human resources into three categories according to their depth of digital technical knowledge and their involvement in business.
“Digital Core Talent” leading research and development
“Digital Talent: with advanced digital expertise
“Digital Utilization Talent” with advanced knowledge in business and who is able to utilize digital technology
In addition, as a part of DSO’s efforts to develop digital talent, NTT DATA has started deploying innovation program called “Everis Innovation School” developed by the Spanish group company Everis.
In 2019, pilot deployment has already started to some of the organizations and full-scale deployment will start in 2020 aiming to apply and establish creativity and innovation through training.
For all employees: Fostering innovative DNA
For organizations: Change to a culture where all employees take on new challenges
For customers: All employees create a new future together with customers
The Digital Future NTT DATA Draws
Conventional businesses have been completed within industry/ fields, however in the coming digital era, both will be connected across industries via digital technology. It is now a common practice to purchase something on smartphones on the way to work, but who would have imagined this 10 years ago? This is now possible because a new device called a “smartphone” has become a common item in the consumer pocket, and the information processing capability of the smartphone provider has dramatically improved in terms of both hardware and software. Also the delivery method of the product has become more sophisticated and the network speed of exchanging information has drastically improvised. The evolution of such technology will continue without stagnation and will keep changing our world. For example, “sports x communication” may drastically change the way entertainment will be, “electricity x automobiles x factories” will enhance electricity distribution, “automobiles x urban development” may enter the stage of creating the city as Toyota Promotes. In “F&B x logistics”, there is a possibility that the number of restaurants without real stores will increase.
As the digital technology advances, companies will be more connected across industries/fields and new business value and business opportunities will be created. In this new world, there is no doubt, the power of design will play more significant role along with business technology and data.
*1 NTT DATA’s Digital:
*3 Open innovation contest
*4 business and capital alliance with Star Global Consulting Inc.