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Importance of Digital Transformation in Customer Experience

At the PegaWorld event in Las Vegas, customer experience expert and author Blake Morgan shared the 12 elements necessary for any business looking to undertake a digital transformation. Paul Snell reports


Customer experience (CX) is intrinsically linked with the concept of digital transformation. As organisations attempt to meet shifting customer expectations and demands, they need to evolve and adapt internally.  According to Blake Morgan, author and CX leader, there are three main trends forcing organisations into transformation programmes.


  1. The first is the growth of the experience economy. Customers are investing more in experiences rather than things, in part because they want to broadcast the experiences digitally.

  2. Secondly, power is shifting from companies to customers. Bad experiences are exposed more quickly (and more brutally) in public, and companies are on the back foot.

  3. Finally, there is an expectation the connection between the customer and technology should be seamless.


Those companies that have been able to adapt to these changing expectations have seen huge benefits. According to a study by MIT, businesses that embrace digital transformation are 26% more profitable than their peers. 

“We have to evolve to what is going on today, because the alternative is not good,” says Blake. “We have to be the company willing to run toward change, and willing to do things we didn’t think we’d have to.”

As part of the research process for her upcoming book, The Customer of the Future, Blake has identified the 12 necessary components of any digital transformation programme, and shared them with the audience at PegaWorld 2019.


12 crucial elements every digital transformation programme needs to focus on

1. Customer focus

2. Organisational structure

3. Change management

4. Transformational leadership

5. Technology decisions involve the whole c-suite

6. Integration of data

7. Internal customer experience

8. Logistics and supply chain

9. Data, security and privacy

10. Evolution of products, sales and process around delivery

11. Digitisation

12. Personalisation


It feels so good when an experience is personal because most experiences aren't. Companies often have no idea who we are, what we want, or what we’ve bought from them in the past. “If we can be the company that recognises them better, we’ll win,” Blake says.

Sincere thanks to B2B markerting team,

Source article:

Top Reasons Why Companies Are Still Struggling To Achieve ROI With AI

Only 10% of companies obtain significant financial benefits and achive ROI with AI. And they are not alone.



A recent MITSloan survey found that only 10% of companies obtain significant financial benefits and achive ROI with AI. And they are not alone. Gartner has found that 85% of ML projects fail. Worse yet, the research company predicts that this trend will continue through 2022.

Does this point to some weakness in ML itself? No, it points to weaknesses in the way it’s applied to projects. There are many predictable ways that ML projects fail, which can be avoided with proper expertise and caution. And while the mistakes that lead to failed ML projects are easy to make – they can also be easily avoided.

Achieve ROI with AI using These Challenging Scenarios

Enterprises Haven’t Ensured Their Data Is ML-Ready

Most companies are engaged in some form of digital transformation, which means they’re generating data. Companies may feel an impulse to use that data for ML projects. This is triggered by the incorrect perception that ML can pull insights from any information you throw at it.

Machine learning can do remarkable things with data, but it has to be ML-ready or “clean” data. Volume of data isn’t everything. The old saying of: “It can be garbage in, garbage out” is true for ML – just because you have a lot of it, doesn’t mean it’s useful.” 

And there are many ways that data can fail this test. For example, the data might not be representative of your everyday operations. You might leave the sensor on a manufacturing asset running when the machine is off, and thus the data collected becomes corrupted by those periods of inactivity.

In addition, the data needs to be multifaceted enough to achieve ROI that ML can detect meaningful patterns in it.

Perhaps you’d like to use ML to optimize your turbines’ energy consumption and reduce your energy costs and greenhouse emissions. This is one of the top three use cases we’ve seen in the industrial sector since energy represents almost 20% of their output costs. To understand your turbines’ thermal efficiency, you’d need to identify the optimal control parameters that would minimize your turbines’ total fuel consumption. But, if you’re only using a few set data points to build out your ML model, the results won’t resonate. Mastering a complex system based on only observing a few of its elements isn’t realistic.

Knowing whether your data is ready is an art in and of itself. Yet, your data needs to become ML-ready before you proceed with any ML project.

ML Is First Deployed in a Use Case Without a Defined ROI

Machine Learning is an exciting technology to achieve ROI. This leads some companies to embrace the idea that they’ll do something with ML before knowing what that something is. Companies examine current business objectives or recurring issues and assume that ML should be able to take care of it.

Because it’s new and there’s a lot of hype around it, people are trying to jump on the bandwagon.

However, ML isn’t good for absolutely everything.

Among the use cases for ML, there’s a variety of difficulty levels. Some ML business wins can happen after a few weeks of work — others will take longer. Some possible ML applications have never been tried, and, as such, should be regarded as experiments. In certain cases, a problem that might be solved with ML could be solved more cheaply in another way.

It’s important to lay the groundwork to determine the business or operations challenge you are looking to solve. One of the key drivers that trap AI in pilot purgatory is that the project results didn’t warrant the time and effort to scale it further. When selecting an AI use case, determine whether you can answer these questions:

  • Are the benefits and ROI measurable? I.e. cost savings or reduction in carbon emissions.

  • Can the use case be scaled to other similar processes?

By going through this process, you should be able to understand if machine learning is the best way to approach your pressing issues. Often, it will be. But if you throw ML at an arbitrarily chosen problem, there’s no guarantee that it will be worth the investment.


ML Projects Are Entered Into by Teams That Possess Some, but Not All, of the Necessary Knowledge

Machine learning is increasingly becoming democratized. There are many more ML tools than there were even a few years ago, and data science knowledge has propagated. This means that a skilled data scientist can take on a reasonably sophisticated ML project on their laptop.

However, having your data science team working on an AI project in isolation can lead your company down the longest route to success. Unless you’re experienced in its application, you can run into unexpected snags.

And unfortunately, you can also get knee-deep into a project before realizing that you haven’t prepared correctly. It’s imperative to ensure that the domain experts — your process engineers or plant operators — are not sidelined in the process because they understand its intricacies and the context of related data. Unfortunately, companies can get knee-deep into a project before bringing in the right human resources to the table. At this point, the project has to be abandoned, or a consultant has to be called. A lot of companies fall into this trap of treating it as a data science project instead of an operations project.

So, What Do You Do Instead to Achieve ROI?

To review, there are three common machine learning-related issues that we consistently encounter:

  • Using Data That Isn’t ML-Ready

  • When ML Is Chosen to Solve a Random Problem

  • Failing to Collaborate With Operations Staff

The answer to these problems is to do the opposite at every stage. Understand whether your data is ML-ready. Once you’ve made sure, apply that data to ML use cases that produce an impact for your enterprise. Be sure that you have the specialized knowledge required to carry out the project.

If you do this correctly, your machine learning project can avoid the 85% failure rate and can instead be part of the successful 15%. Also, once you get one successful project off the ground, it becomes much easier to expand, doing more and more with ML.

Sincere thanks to Mr. Dudon Wai, article link:

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