Pinnacle Model Archives - Page 4 Of 4

Robotic Process Automation Necessitates Deep Change to Achieve Promised ROI | Sherpas in Blue Shirts

April 11, 2018

Like most businesses today, your company is probably looking at the possible cost and productivity improvements achievable through digital technologies such as Robotic Process Automation (RPA) and analytics. If so, it’s important to understand that digital transformation is a journey of very deep and broad, company-wide change. Through our Pinnacle Model™ research on digital journeys, we at Everest Group assessed the impact on enterprises implementing RPA. Our study finds that, compared to other enterprises, Pinnacle Enterprises™ (companies that achieve superior business outcomes in digital journeys) achieve 4X the ROI compared to other enterprises implementing RPA, higher improvement in operational metrics and higher impact in strategic areas. What makes the difference in RPA outcomes for Pinnacle Enterprises?

Which Enterprises Reap the Best ROI on RPA and How? Everest Group Provides Answers | Press Release

April 10, 2018

Everest Group reports that RPA Pinnacle Enterprises are realizing a 50% improvement in operational metrics through RPA implementation and 30% cost savings through RPA investments.

Everest Group has identified the global enterprises who are leading the way in the journey to adopt Robotic Process Automation (RPA). Nine organizations among 52 Fortune 1000 enterprises assessed by Everest Group have achieved superior business outcomes because of their advanced RPA capabilities and have been deemed RPA Pinnacle Enterprises™ by the firm.

Everest Group reports that as a group these Pinnacle Enterprises significantly exceed other enterprises in three key outcome areas:

Cost impact: Pinnacle Enterprises generated four times the return on investment and three times the resource capacity compared to other enterprises.
Operational impact: Pinnacle Enterprises, on average, have achieved 50 percent improvement in operational metrics through RPA implementation, compared to 30 percent by other enterprises.
Business impact: A significantly higher share of Pinnacle Enterprises have generated “high impact” in strategic areas such as customer experience and time to market.

Everest Group studied the RPA adoption journey of 52 Fortune 1000 enterprises, examining five key capability areas for RPA—vision and strategy, implementation, organization and talent, technology, and resourcing. Everest Group also examined three key types of outcomes—cost, operational, and business. In an analysis of the correlation between capabilities and outcomes, the Pinnacle Enterprises rose to the top.

“RPA is beginning to make its mark on nearly every vertical, and although many organizations are still in the early stages of RPA adoption, those whom we identify as Pinnacle Enterprises are clearly excelling in the adoption journey and reaping superior outcomes,” said Michel Janssen, chief research guru at Everest Group. “By examining what these Pinnacle Enterprises have in common, we are able to glean for other organizations valuable insights on how to succeed, whether they desire to make incremental changes or achieve major transformations.”

***Register for Complimentary Webinar***

Everest Group is hosting a complimentary webinar, “Top 5 RPA Myths Dispelled | Insights from our RPA Pinnacle Model™ Analysis,” on Thursday, April 12, at 9 a.m. CST. During this webinar, Everest Group experts will explain:

What differentiates RPA Pinnacle Enterprises™ from their peers
The implications for RPA adoption in your enterprise
How to begin the journey to drive RPA adoption within your organization

“Our Pinnacle Model analyses show organizations exactly who is succeeding and how,” adds Sakshi Garg, practice director at Everest Group. “One of the most valuable aspects of this research is that we are able to identify ‘journey accelerators,’ which are specific methods organizations can use to accelerate their RPA adoption journey. Armed with clear points of comparison and insightful recommendations, organizations are better equipped to prioritize where to invest their time and resources and plan their own path to the top.”

About the Pinnacle Model

Everest Group’s proprietary Pinnacle Model™ analyses, which include input from executives from leading Fortune 1000 companies, compare internal capabilities to desired business outcomes, such as disrupting the industry, improving customer experiences, increasing market share, and launching innovative products and services. By highlighting what the best—Pinnacle Enterprises™—are doing, these performance studies help organizations plot a journey from their current position to where they want to go, prioritize investments of time and resources for maximum impact, and accelerate change.

Video: The Truth about Enterprise RPA Adoption | Sherpas in Blue Shirts

March 23, 2018

Chief Research Guru Michel Janssen shares three sneak peeks from the forthcoming report: Enterprise RPA Adoption | Pinnacle Model™ Assessment for 2018. The full report – featuring survey results from several enterprises adopting RPA – will be released soon and will challenge multiple assumptions and myths circulating around the industry today.

After surveying enterprises about RPA adoption across a wide swath of industries, we have finalized the analysis and are about to release a goldmine of data. The new research is full of insights for enterprises looking to take a confident step forward in their journey toward Pinnacle RPA status. In this video, Chief Research Guru Michel Janssen shares three sneak peeks from the forthcoming report: Enterprise RPA Adoption | Pinnacle Model™ Assessment for 2018.

Is Your GIC the Secret Weapon for Digital Enablement? | Sherpas in Blue Shirts

January 26, 2018

You might recall, back in December we identified digital agility as a key 2018 initiative. In that blog, we discussed how you can create business value by making things easy, reliable, and fast for your customers. The question I would ask GIC organizations for 2018: In realizing that goal, are you part of the problem? Or are you part of the solution?

Our research, Digital Maturity in GICs | Pinnacle Model™ Assessment 2018, seeks to answer those questions.

Most GICs started small and expanded over time as they proved their value. Now that most GICs have realized the fundamental benefits of labor savings, quality and process improvement, and – in some cases – business outcome improvement, it’s time for them to look to their next act.

Our central thesis is that a GIC can be a critical driver in building and running new digital competencies. But we want to hear from you about the functions and processes that are getting the most attention and investment. Which digital technologies are you focusing their efforts on? And what capabilities did you deploy to build out these capabilities?

There are plenty of digital surveys that you can participate in, so – why Everest Group’s? Because we take a different approach that results in more meaningful, useful outputs. Our Pinnacle Model™ approach asks questions about what the very best GICs are doing in terms of real impact and then correlate the capabilities required to achieve those results. And we go beyond the online survey, talking with some respondents to understand their journeys – what worked and what didn’t.

With that information in hand, we identify a set of Pinnacle Practices™ that you can consider deploying in your GIC.

Yes, there is a ton of hype around digital; let’s get beyond the headlines and talk outcomes and practices in your GIC.

Take the survey

Everest Group IDs 11 North American Retail Banks That Are Delivering Superior Customer Experiences via Digital Technologies | Press Release

January 23, 2018

These ‘retail banks of the future’ will rely on an ‘ambient fabric’ that connects people and businesses to holistically impact the consumer lifecycle

Everest Group has studied 30 leading North American retail banks and identified 11 Pinnacle Enterprises™ that are leading the way with new “experience first” business models, delivering business results through the effective use of digital technologies.

In its recently published report—“Digital Effectiveness in Retail Banking | Pinnacle Model^TM Assessment 2018: Journey of North American Banks to Build SUPER Experiences”— Everest Group examines how these banks employ digital technologies to provide superior customer experiences, establish stronger customer engagement and produce higher business growth. The assessment focuses on multi-channel digital technologies that are used in consumer interactions – both online and offline.

Digital Banking Pinnacle Enterprises™ have a major competitive edge across a breadth of digital functionalities offered and adoption of channels. The following Digital Banking Pinnacle Enterprises stand out for making a strategic impact through their digital transformation efforts: Ally Bank, Bank of America, Capital One, Chase, Citi, PNC,Suntrust, Wells Fargo and USAA from the United States, and CIBC and RBC from Canada.

Collectively, the Digital Banking Pinnacle Enterprises outperform their peers, delivering:

22 percent higher adoption of online banking platforms
13 percent higher adoption of mobile banking platforms
20 percent higher mobile banking application rankings
3 percent higher growth in deposits
9 percent lower efficiency ratio

“Over the last three years that we have conducted this assessment, we’ve documented an increasing correlation between banks’ digital capability maturity and business outcomes,” said Jimit Arora, partner at Everest Group. “For example, banks with more mature digital capabilities have superior brand standings; their customers express high degrees of trust and strong perceptions of transparency and accountability. Also, banks with more mature digital capabilities have better efficiency ratios, higher staff productivity and larger deposit growth.”

“Everest Group is establishing indisputable evidence that effective investment in digital technologies and strategies contributes significantly to business success,” adds Michel Janssen, chief research guru at Everest Group. “Our Pinnacle Model assessments show organizations exactly who is succeeding and how. Armed with this clear point of comparison, organizations are better equipped to prioritize where to invest their time and resources and plan their own path to the top.”

Everest Group predicts the retail banking industry soon will witness a sea change as banks move to a co-creation model—joining with allied businesses to combine, package and offer products and services to orchestrate consumers’ full financial lifecycles. Consequently, banks will move away from being perceived as just a physical structure that offers financial services and products to being an “ambient fabric” connecting people and businesses.

Consumer preferences are the impetus for this sea change; banks are compelled to shift to an “experience first” business model to respond to customer demands for a “SUPER” banking experience:

Secure: consumers demand transparency in fees, products and personal financials and expect high levels of security without significant friction in the customer experience.
Ubiquitous: consumers demand access to banking services anytime, anywhere and from any device. They expect high digital channel availability from their banks.
Personal: consumers demand that their banks not only understand their current needs but also detect potential needs and offer relevant, customized solutions
Easy: consumers demand a seamless user experience across channels and types of transactions. They expect integrated financial solutions (e.g., payment processing) with their activities.
Responsive: consumers expect quick responses to their queries across the channels of their choosing. They expect context-aware responses in real time.

“Traditional banks are being forced to reinvent themselves to compete with FinTechs and other non-traditional providers and to deliver what customers demand,” said Arora. “Digital technologies are at the heart of this transformation. By weaving together digital technologies, experience-first strategies and new alliances across industries, banks ultimately will become the underlying, connective fabric that unites the global ecosystem.”

About the Pinnacle Model

Everest Group’s proprietary Pinnacle Model™ assessments, which include input from executives from leading Fortune 1000 companies, compare internal capabilities to desired business outcomes, such as disrupting the industry, improving customer experiences, increasing market share, and launching innovative products and services. By highlighting what the best—Pinnacle Enterprises™—are doing, these performance studies help organizations plot a journey from their current position to where they want to go, prioritize investments of time and resources for maximum impact, and accelerate change.

Investments in Digital Pay Off for Retail Banks | Sherpas in Blue Shirts

January 9, 2018

Our banking analyst team just finished its evaluation of how the leading North American retail banks are doing in their efforts to create the best digital customer experience, and we want to share some highlights from this breakthrough research. This is our third year of assessing 30 of the largest retail banks. The premise for the research is to examine the new consumption context of financial services – where customers are demanding a SUPER (Secure, Ubiquitous, Personalized, Easy, Responsive) banking experience.

Our research assessed the functionality and pervasiveness of the banks’ consumer-facing digital interaction layer to help establish correlations with superior customer experiences, stronger customer engagement, and higher overall business growth.

Based on our research, nine U.S. banks (Ally Bank, Bank of America, Capital One, Chase, Citi, PNC, SunTrust, USAA Bank, and Wells Fargo) and two Canadian banks (CIBC and RBC) have been featured as “Digital Banking Pinnacle Enterprises™.” These banks demonstrated business results that stood above the rest:

Better growth – 3% higher growth in deposits
Better efficiency – 9% lower efficiency ratio
Better customer experience – 20% higher mobile application ratings

We have also recognized four retail banks as “Agile Performers,” as they made the greatest improvements in 2017. These banks include Ally Bank and Bank of America, both of which launched multiple initiatives to meet millennials’ customer experience expectations, such as virtual assistants for personalized experiences and voice-command enabled banking capabilities. USAA demonstrated best-in-class adoption of digital banking channels and maintained its frontrunner position in customer-centric innovation. USAA also joined the cryptocurrency world by adding the ability to display customers’ bitcoin balances. SunTrust made considerable investments into self-service technologies across its branch network and recorded strong growth in customer engagement on social media.

The retail banking industry will continue to make dramatic changes in the next few years. These shifts will require banks to have increased capabilities to deliver an enhanced customer experience whose key elements include:

A paradigm shift from the current “product” mindset to a “customer lifestyle” mindset to combine, package, and offer products/services from banking and allied businesses
Open banking and partner ecosystems leveraging APIs to integrate third-party services into the bank’s digital banking platforms
Collapsing the siloes across the front-, mid-, and back-office to create a frictionless front-to-back experience
Harmonized data repositories to enable a unified view of the customer
A technology operating model that embraces automation, AI, blockchain, and cloud to enable the needs of the “new business”

We believe the current Digital Banking Pinnacle Enterprises have created superior customer experiences because they deliberately invested in their digital capabilities. But the bar for success is constantly moving, as the industry continues to witness rapid and significant changes. Nonetheless, our data from the last three years establishes an increasing correlation between digital functionality and business outcomes. Banks that are able to quickly adopt a human-centered design thinking approach, build usable experiences, and create a culture of obsessive customer focus will be able to better differentiated experiences, achieve growth, create shareholder value, and ensure market relevance.

To read all of our research findings, see our report: Digital Effectiveness in Retail Banking | Pinnacle Model™ Assessment 2018: Journey of North American Banks to Build SUPER Experiences

The Robots are Coming – Should You Fear or Welcome Them? | Sherpas in Blue Shirts

January 2, 2018

How does your enterprise compare with peers?

A few weeks back, we opened our Robotic Process Automation (RPA) Pinnacle Model study to enterprises to compare their RPA adoption performances head-to-head. Everest Group Pinnacle Model^TM assessments are unique in that they correlate quantified outcomes and capabilities with a special spotlight on the Pinnacle Enterprises that are outperforming their peers. As part of the study process, we also interview select participants to gather qualitative information about these same enterprises.

Having completed a number of these interviews and looking at some of the early tabulations from those have completed the RPA adoption survey, I’m sharing some of my early thoughts below.

Four thoughts on our RPA Pinnacle Enterprise survey results

The robots are truly coming, but the fears about the impact on jobs is way overblown – it is clear from our conversations that RPA is going to have an impact in many different parts of the organization, including both front office and back office, but the number of jobs being impacted is not going to be the primary value proposition. Yes, cost take out will be part of the equation, but it is highly likely it will impact slices of jobs and/or departments that will allow for those employees to be transitioned to higher-value tasks.
Improving the job for employees – One of the clear messages that we have heard so far is that employees are embracing RPA. In fact, the branding of these initiatives is about getting rid of the worst tasks of their current jobs and includes names like “Smart Automation” and “We Innovate.” In fact, many of these employees are already implementing their own home automations like Nest, Alexa, Google, Rachio, etc. and are becoming quite comfortable with these quality of life improvements automations. One of the enterprises we spoke with actually talked about seeing improvements in their employee retention rates when they were included in these initiatives and allowed to improve their own jobs. However, change management has not been “easy,” and companies have adopted various ways to create awareness about the benefits of RPA and how employees can use it to be more effective in their jobs. Some of the examples of approaches include workshops, training programs, newsletters, project of the year, and hackathons.
The real skirmish is between the business units and IT for ownership – one of the interesting aspects of this analysis is to see where the study participants reside in their organizations. In the conversations, it becomes apparent the business is the one driving the conversation and IT has been the reluctant partner. But I got the sense this was changing pretty quickly, and IT was beginning to see the light that they have to be part of these implementations for a variety of reasons. Also, organizations have internally gone through a debate as to whether to approach this is an IT project or a business process redesign. We will be interested in hearing how your organization is thinking about this. Participate in the study.
We are just getting started – we can see it in the data and with our conversations, enterprises are running multiple RPA initiatives and projects are spread across RPA implementation stages. At least 65% of respondents are in the process of scaling up their RPA efforts or running steady-state automations. However, the majority of enterprises are still in their rookie year when it comes to setting up RPA CoEs (or expanding existing automation CoEs). The implications is that the initial proof of concepts projects are seeing enough promise that formal teams are being stood up to begin the scaling process.

We will be analyzing the data over the next several weeks so watch this blog for more interesting tidbits from those results.
Join the party … it is not too late for you to participate. Take the survey to compare your enterprise RPA adoption to others in the industry.

Related: The Evolution of RPA Adoption

Three Characteristics of Digital Pinnacle Enterprises | Sherpas in Blue Shirts

November 7, 2017

Earlier this week, we announced our new Pinnacle Model^TM analyses, which provide deep research on the capabilities top-performing companies have leveraged, and the journey they’ve taken, to become the crème de la crème.

Now, to sate your bated breath, here are the results of our first analysis on organizations’ adoption of digital strategies and what sets Digital Pinnacle Enterprises^TM apart from their peers.

Many people equate the word “digital” with “technology.” In the consumer world, they might think about the cool new mobile phone they just bought, the home entertainment streaming device that’s on their wish list, or how to carve out the time before the end of the year to turn their abode into a smart home. In a business context, cloud computing, robotics for their factory or their business processes, or a new customer interaction application may come to mind.

But one of the key findings from this analysis is that technology in and of itself isn’t Digital Pinnacle Enterprises’ biggest differentiator. Rather, Digital Pinnacle Enterprises stand out for making a strategic impact through their digital transformation efforts. Their track record for accomplishing business outcomes such as disrupting the industry, improving customer experiences, increasing market share, and launching innovative products and services, were significantly better than their peers.

And the value their digital transformation projects deliver are measurable and quantifiable. For example, as I mentioned in my previous blog, one banking client reduced its customer onboarding process from 16 days to 9 minutes. A retailer reduced its SKU management efforts by 80 percent, while simultaneously improving accuracy. And a software company saw improved invoice processing that reduced direct FTEs by 67 percent, and decreased customer calls to the help desk by 20 percent.

Our analysis showed three key capabilities that Digital Pinnacle Enterprises have leveraged to realize these types of outcomes.

Culture: Digital Pinnacle Enterprises have invested extensively in adopting and embracing an innovation-focused culture. They have partnered in startups to source new innovation across their product and services portfolio, and established a centralized team responsible for sourcing ideas from vendors, startups, employees, and customers. Their peers did not.
Technology adoption practices: Digital Pinnacle Enterprises have built management practices around the evaluation of new innovative technologies such as big data analytics, cloud, DevOps, cognitive computing, and artificial intelligence. Their peers did not.
Process Re-imagination: Digital Pinnacle Enterprises have defined current and future states of key internal processes, and worked with their process owners to identify waste. And…you guessed it. Their peers did not.

Of course, technology is a required core of any organization’s digital initiative. But those that have reached the pinnacle have focused on the key capabilities required to achieve real, measurable transformation.

I hope this has given you some food for thought on how to elevate your company to a Digital Pinnacle Enterprise. I also hope you’re hungry for more, because over the next few months and quarters we’ll be discussing very specific disruptive digital technologies and other market hot topics in additional Pinnacle Model Analyses. Bring your appetite!

Global Services’ Pinnacle Enterprises – How Did They Become the Best of the Best? | Sherpas in Blue Shirts

October 31, 2017

Companies like Amazon, Apple, Disney, GE, Starbucks, and Tesla are considered by most as the best of the best in their industries. The ways they became the “coolest kids” are the stuff of business school case studies, countless news articles, and lunch room / board room discussions around the world.

Of course, there are many less iconic enterprises that have unlocked the performance excellence code. For example, a leading global bank recently reduced its customer onboarding time from 16 days to 9 minutes. Yes, you read that right…from 7,680 minutes to 9 minutes, assuming an 8-hour business day. Wouldn’t you love to know how it achieved that mind-numbingly positive business outcome, and how you could extrapolate what it did into your organization?

Therein lies the rub. You might read a case study that explains how it implemented an enterprise-wide automation platform that helped it transform operations. Seeing that automation was the core of its solution, you might access benchmarking studies to better understand best practices and how your business compares. Broadening your research, you might also access high-volume surveys that gather opinions and intentions on automation.

But none of these tools reflect actual performance or the capabilities this organization – or others achieving such remarkable results – has brought to bear to become the best of the best. They lack the insight you need to accelerate your impact in measurable ways.

We believe that to understand a topic, you need to directly compare and correlate business outcomes with the capabilities required to achieve those results. Our new Pinnacle Model^TM anayses do just that.

The analyses paint a picture of the capabilities the “cool,” “it” companies – what we call Pinnacle Enterprises^TM – have leveraged and the journey they’ve gone through to realize superior business outcomes. They’ll arm you with the self-discovery of comparison that will help you design a change roadmap to be competitive today – and tomorrow.

Recently. we released a complimentary assessment of our first Pinnacle Model analysis results, which are for Pinnacle Enterprises adopting digital strategies. Spoiler alert: the capability that distinguishes the Pinnacle Enterprises from their peers isn’t their actual technology deployment.

And as 2018 approaches, we’ll use the Pinnacle Model to tackle other hot topics.

PS: For our service provider friends: When we talk about enterprises understanding their unique paths to accelerating their impact, I challenge you to think about how your differentiated capabilities can help accelerate the journeys of your clients and prospects.

Announcing our inaugural conference: Everest Group Engage, The Pragmatic Edge: Designing Your Future. Learn more.

Tag: Pinnacle Model