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Digital Readiness Level – developing an accessible model
In our work developing DRL we have observed a range of different entry points; some models offer an opportunity for in depth analysis, others an entry level approach for overview assessment.
We discussed this issue recently at a meeting of the DRL steering group and we concluded that to be truly successful DRL needs to offer the opportunity for support at three levels:
1. An entry level health check – what is digital readiness and what should I be looking at to ensure I at least have the agenda covered?
2. A maturity level – greater depth – a series of questions that create an indication of the level of maturity dependent on responses to those questions
3. A full assessment level – Full Digital Readiness – an assessment based on developing the maturity response into a full assessment, with an understanding of a programme for improvement
We have decided though that we need aspect to the three points above; cadence. Digital is such a rapidly changing environment the DRL needs to reflect this, so we will introduce a dynamic cadence aspect to our work.
The group also felt we needed to reflect:
1. The relative importance of different elements to support digital readiness
2. The value of key elements that need bespoke reference at both maturity and detailed levels
This is potentially a complex challenge to reflect in the model and to illustrate visually, so we have devised the DRL fan. This combines three levels; health check, maturity and assessment with the relative weighting of the key elements of DRL, shown by the width of the panels on the fan. Furthery, we reference those subjects which carry through from level 2 to 3; market integration (customers and suppliers) and customisation. Throughout the concept, to use the McKinsey analogy, we see a digital thread running; horizontally and vertically.
The revised framework and model is illustrated below. A couple of points to note:
· Level three assessment are, at the moment indicative, they need refining
· The group is currently devising the questions relating to carry out a maturity assessment – we will then be testing these questions and sharing the results
We have tested the model with a few major automotive OEM’s and the response has been very positive – we have even introduced a dynamic reference to assess the real timing to develop and deliver competencies.
Any comments and observations are welcome.