Everyone has a digital strategy until hit with the question about delivered value!

 

https://images.app.goo.gl/ncVWQZkEYp7vaw9D6

Just having a backlog of features does not equate to delivered value. If you only manage by features(outputs) and not by outcomes then you’re only proving you’ve kept busy.

“Outcomes have nothing to do with making stuff—though they sometimes are created by making the right stuff. Instead, outcomes are the changes in customer, user, employee behavior that lead to good things for your company, your organization, or whomever is the focus of your work.”

Seiden, Josh . Outcomes Over Output: Why customer behavior is the key metric for business success . Sense & Respond Press. Kindle Edition.

Moving from managing features to managing outcomes is difficult because features are concrete while outcomes are more abstract.

In this post we will lower the abstraction level of outcomes by surfacing, linking, and reconciling how these 86 digital outcomes are interdependent. Then all you have to do is add context by inserting problems specific to your situation (problems, outcomes, hypothesis, baseline, and desired changes).

Changes in behavior from a digital perspective include these measurable outcomes:

  1. Revenue from digital products
  2. Penetration in adjacent or new markets/industries
  3. Expanded customer base through digital channels
  4. Improved or new customer experience
  5. New business model
  6. Improved utilization/decreased cost
  7. Improved productivity
  8. Improved security and privacy

Moreover, each of these outcomes aren’t usually isolated but are part of a larger “system of outcomes” you need to address.

Only by integrating these outcomes can you maximize the performance of your organization. To do this you’ll need to either focus on your external/internal customer journey or an overall outcome map with accelerators like LeverSource shown below:

This map shows the relative leverage of each outcome over all other outcomes.  Those higher up (Y-axis) like “New Revenue Model” or “New Business Unit Growth” are more dependant on other outcomes. Those further left (X-axis) like “AI Chat Box Agent” or “Dynamic Pricing” have more influence on other outcomes. Beyond individual leverage the quadrant locations suggests differing levels of management attention:

 

Quadrant Attention
1 High Influence-Low Prerequisites High leverage impacts that need to be started now
2 High Influence-High Prerequisites Complex leverage impacts that will need more planning and coordination
3 Low Influence-High Prerequisites Overall impacts measure what your actually achieve
4 Low Influence-Low Prerequisites Singular impacts can be started at anytime because they lack dependencies

Our outcome map comes pre-populated with 86 outcomes that cover the 8 improvement areas discussed above:

To get this spreadsheet please send me a message don@leversource.com