BUSINESS TRANSFORMATION STRATEGY: B2B TO B2C

One of the sectors which draws attention to its operation, is the wholesaler industry vertical or if you prefer call logistics. Especially since to the extent that the world moves and technologically such companies or companies must do their work faster and more efficient every day.

This time I will try to as well as I did for the of vertical health or hospitals, https://juanbarrancoit.com/en/enterprise-architecture-for-hospitals/.

It is one of many hypothetical examples that serve to guide on how to run the business strategy running something architecture business and possible solutions for I.T.

MAP PROCESS AND BUSINESS SERVICES ARCHITECTURE

Below I present a possible ancient map of processes for a company of this type:

The company has obtained a great success in the market and seeing new opportunities for growth decided to venture into the retail sector. Then, run their business transformation capacity, make strong investment and the process map is thus:

The logistics company had hired before an enterprise architecture consulting and the scheme of business that had was this before entering the retail sector using its own enterprise architecture framework based on its map of processes:

Now, the company after the retail enterprise architecture was thus:

I.e. the company step of a scheme B2B (Business to Business) a scheme B2C (Business to Customer). A change very, but very large. Plenty of services has this company both internally, other mixed and others face the customer.

But how did this change possible?

CONSIDERATIONS

– There is a consciousness that make an enterprise architecture framework based on the process map isn’t the best. However for this example was used here, does not explain the framework but to new services and new functions in the company.

– The important thing here is what talk is is the correct implementation of business strategy.


BUSINESS STRATEGY

Definitely. A correct business strategy makes it possible to a major transformation. Most importantly, it executes. If it is true that without the financial resources and overcome once the critical mass, it is possible to make major changes and investments in other vertical industry of a country.

The strategy was the following and was carrying within several years:

  1. – Create a functional Area of projects, a PMO, that would be ultimate for creating desired models that are the point of sale for retail and development of own brands or brands white, typical in this sector of the industry of a country. In addition this area will be responsible for helping to develop the existing functional areas and new areas for new business.

 

  1. – After having structuring this area proceeded to make the acquisition of 5 stores that sell to the customer; This allowed to move from B2B to B2C and start learning how to work large areas. As a complement to this strategy they used massive internet sales channels.

 

  1. – After analyzing the results of the procurement of stores they decided to make alliances with banks mainly to create loyalty programs. And to sustain these programs of loyalty they had to develop and evolve in areas of product and customer portfolio.

 

  1. – Thanks to the income generated especially by sales channels over the internet, it was possible to create the functional area of own brands with all that brings with it, creation, positioning, development, sponsorship mainly.

 

DERIVED BUSINESS STRATEGY

  1. – Thinking on the tactical side, there was a little need to evolve a little areas as the product, human talent, creating processes for their areas.

 

  1. – There was need of transforming marketing not only to support the new retail scheme, but also to support the nascent area of own brands and expand and detail your product catalog.

 

  1. – They formalized an I.T. area with some basic infrastructure services to support sales channels over the internet and also with the new premises that were acquired.

 

  1. – Expand the information services mainly having the strategic area to other business units.

 


TECHNOLOGICAL SOLUTIONS

One of the elements that more us could interest is like align that success with the part of I.T. It must be said that it would not have been possible to this big change without your help but the company now has a big challenge integrating solutions that have already built previously because he has built as information silos.

Let’s look at the following diagram and explain him / rinse briefly. Only some functional areas of the company will be used to do so long as the example:

  1. – A huge block of solution of SOA where must be integrated if they are not, that you have applications all applications for Retail, digital Marketing, customer experience, Analytics, (the latter possibly not have implemented it) mainly Orchestrated by the services infrastructure.

 

  1. – As they have some of these applications the challenge is to integrate them; The challenge will be the route of migration and implementation according to typical items created with cases of business as cost – benefit value for the company, among other factors or elements to take into account.

 

  1. – Note that other functional areas of the company that has changed and grown as I.T. as human resources, internal control as well as projects and strategic direction was not taken into account. There surely must be considered other technological solutions to the business and its reality.

FUTURE

A company like this their main strategies must be based on the following fundamental elements. And when you talk about future, depends on the context of a country can be few years or many years.

The scenarios can be:

  1. Out of control economy:
    1. No Mercy of resource exploitation.
    2. Climate change – frequent interruptions of supply chains.
    3. Mega-cities
  2. Advanced Robotics and in charge of the distribution:
    1. Space transport.
    2. Income of product rather than acquisition.
  3. Own Lifestyle:
    1. Design your product (income or acquisition) customer.
    2. Decentralized operation and distribution infrastructures.
    3. Regionalization.
    4. High quality in the last mile of production as a result of the high customization.
  4. Local Adaptation:
    1. High level of automation and consumption: industry 4.0.
    2. Redundant of production and distribution systems.

Some elements of this style will make it possible to develop / deleted / evolve new internal and external services of the companies of this style.

Particularly for a company so this style and this successfully will need to create framework of corporate governance because as their missionary organizational units to grow, this will become completely different companies.