Leveraging digital technologies, organizations are adopting four specific behaviors to deliver better business outcomes.
Some principles are easier to adopt than the others. More than three-fourths of the organizations have adopted mass personalization, but a whopping two-thirds are averse to embracing risk.
Most businesses realize the need to cater to the 'segment of one'.
Over three-quarters of the organizations surveyed say they are able to personalize at scale, reducing customer churn and boosting the bottom line.
How businesses are gauging customer preferences
What benefits companies have seen so far
Global OEMs acknowledge the potential returns of personalization and have harnessed the power of technology to add value to their brands.
Today, customers can browse and build their ideal vehicle from scratch in a matter of a few clicks.
Firms are creating multi-layered benefits to delight customers and gain a competitive edge.
Our survey revels that creating exponential value for all stakeholders, and not just reducing costs, is top of mind for organizations.
How organizations have gained from operating on an exponential value business model
The warehouse service ecNOW caters to multiple smaller e-commerce firms, creating huge economies of scale while leveraging existing space and architecture.
Collaboration - within and beyond supply chain networks - is the key to innovation.
Firms that have leveraged their ecosystems to develop new products and services report a significant increase in revenue and access to new markets and talent.
How organizations are leveraging ecosystems
What benefits have companies realized
Japan Airlines created ecosystems with not only other organizations but other industries as well, to boost innovation and deliver additional value at every stage of the customer journey.
The airline has partnered with up to 70 different companies to provide services such as accommodation and shopping.
Playing it safe has its limitations in business. To be ahead of the rest, you need to try something new.
While businesses recognize the need to embracing risk, most are yet to put it in practice.
Organizations’ appetite for risk
Benefits companies have seen so far
The Mississippi Department of Employment Security embraced risk and became the first US government agency to migrate its unemployment insurance system to the cloud.
By doing so, they eased the apprehension around data security and set a precedent for other states.
Lack of leadership has been named as a key barrier to adopting each of the Business 4.0 behaviors. Other obstacles are:
"Mass personalization is probably the next evolution of real customer service."
"We create value for our customers, but it also means we are operating at the front of the value chain rather than competing downstream."
"To cover all stages of the customer journey, we have to create ecosystems with other industries and companies."
"If you want to be ahead of the rest, you need to try something new."