Karalee Close

While there is broad consensus that artificial intelligence will transform most industries in the decades ahead, many of the companies that have invested in the technology have failed to unlock its full potential. Previous BCG research has shown that only 11% of these companies have released significant value, and the majority have failed to scale AI beyond pilots. Nor have companies reimagined the way they work with data or redefined human–AI interaction. Moreover, they have only selectively… Show more

While there is broad consensus that artificial intelligence will transform most industries in the decades ahead, many of the companies that have invested in the technology have failed to unlock its full potential. Previous BCG research has shown that only 11% of these companies have released significant value, and the majority have failed to scale AI beyond pilots. Nor have companies reimagined the way they work with data or redefined human–AI interaction. Moreover, they have only selectively explored AI use cases and often lack a mature digital foundation, although there are significant differences across companies and industries in this regard. Show less

When large companies overinvest in digital capabilities, they dramatically widen the value gap with their more cautious peers, generating an average of 30% more EBIT over three years. What are these outperformers doing right?

Before COVID-19 changed the business landscape, about 50% of companies said they were prioritizing digital transformations, according to BCG surveys. But after stay-at-home restrictions and social distancing suddenly forced more collaboration and commerce online, over 80% of companies now indicate that accelerating their digital transformation is a strategic necessity.

Resilience is top of mind for executives today, and it will prove to be a key factor for winning in the 2020s. As the world of business grows increasingly uncertain and volatile, companies that have purposefully developed capabilities to tackle ambiguity and unpredictability—in a word, resilience—are most likely to thrive.

Today's agile, collaborative, and people-oriented companies will fare better with leadership that shares those same attributes.

Among the industries in which expectations for blockchain technology run high, health care holds a leading position. And there are a number of good reasons for its prominence. Health care is complex and data intensive. The industry has lots of players. Currently, health care transactions are slow, cumbersome, and expensive. Constraints on access to critical data sets limit progress in research. Data privacy is a big deal. Data security can be a life-or-death matter.

Since publication of “The Digital Imperative” (BCG article, March 2015), we have heard from CEOs around the world who are eager to take the next step toward digital transformation. Most executives tell us they understand why their companies need to transform, and most have a basic understanding of what must be done. But a fundamental question remains: how do they make it happen?

An increasing number of applications that harness the power of big data are having significant impacts.Big data is beginning to address the inefficiencies that are inherent in the way clinical trials are conducted.Several biopharma companies have used strategies based on data analysis to make sales and marketing decisions.One of the greatest benefits of big data and advanced analytics is that they enable physicians to better match patients with treatments.

Success in the digital economy can’t be achieved solely by appointing a charismatic chief digital officer or CIO, adopting the latest shiny technologies, or “letting a thousand flowers bloom.” As industries are being disrupted by new entrants and business models, leaders must take action in five areas.

As entire industries are disrupted by bold digital entrants and business models, more and more companies are at risk of extinction. Music, retailing, media, and travel are far along on this path, but we are also seeing similar patterns in more traditional industries, such as banking, agriculture, energy, health care, industrial goods, and manufacturing.

Digital strategy and transformation must therefore be a top priority of the CEO and the senior management team. Companies can’t just… Show more

As entire industries are disrupted by bold digital entrants and business models, more and more companies are at risk of extinction. Music, retailing, media, and travel are far along on this path, but we are also seeing similar patterns in more traditional industries, such as banking, agriculture, energy, health care, industrial goods, and manufacturing.

Digital strategy and transformation must therefore be a top priority of the CEO and the senior management team. Companies can’t just dabble at the edges by appointing a charismatic chief digital officer or CIO, adopting the latest shiny technologies, or “letting a thousand flowers bloom.” The digital imperative calls for more fundamental action in five areas.
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http://www.ted.com/watch/ted-institute/ted-bcg/karalee-close-will-healthcare-embrace-digital-or-will-we-die-waiting

Will digital disrupt healthcare — or will we die waiting? As she begins: “If I were to ask you, ‘what are the leading causes of death in developed countries today?’ you might say cancer or heart disease. Would you be surprised if I told you that preventable medical errors cause more deaths than accidents or diabetes? Mistakes are the 4th leading cause of death in the US.”… Show more

http://www.ted.com/watch/ted-institute/ted-bcg/karalee-close-will-healthcare-embrace-digital-or-will-we-die-waiting

Will digital disrupt healthcare — or will we die waiting? As she begins: “If I were to ask you, ‘what are the leading causes of death in developed countries today?’ you might say cancer or heart disease. Would you be surprised if I told you that preventable medical errors cause more deaths than accidents or diabetes? Mistakes are the 4th leading cause of death in the US.” Closes wants to collect the right data to understand what and who causes errors, and to help doctors get second opinions from specialists and algorithms around the world. Bigger picture, Close wants us to start using data to find the best doctors and clinics: “Imagine a TripAdvisor for healthcare, with data you can actually understand.” An important caveat on medical data: the privacy issues are complicated. But let’s take the data we have now, and start somewhere. Show less

Much of the data that reveals what works in health care has been inadequate or unusable—or is missing altogether. Big data and advanced analytics, used intelligently, provide an opportunity to understand health in a truly value-oriented way.Three high-potential opportunities could improve outcomes and generate significant additional revenues and profits.

Digital and social media have transformed industries as diverse as music and banking, and consumers and companies alike are benefiting from new channels, lower transaction costs, and a widening range of products and services.

Digital innovation has the potential to unlock similar value in health care. It can expand access to health services and improve their quality and productivity; it can equip patients with the tools to manage their own health and wellness; and it can lend new energy… Show more

Digital and social media have transformed industries as diverse as music and banking, and consumers and companies alike are benefiting from new channels, lower transaction costs, and a widening range of products and services.

Digital innovation has the potential to unlock similar value in health care. It can expand access to health services and improve their quality and productivity; it can equip patients with the tools to manage their own health and wellness; and it can lend new energy to public-health initiatives. To date, however, the health care sector has been slow to embrace the technologies that have revolutionized other industries, even as it continues to grapple with deep-seated problems associated with cost, quality, and access to care. Providers, payers, and patients are all losing out. Show less

This piece is part of BCG’s Fall 2010 issue of IT Advantage, which offers a collection of articles on how a company’s IT function can partner with the business to drive value and deliver competitive advantage.

Imagine what life would be like if you could show your business customers and colleagues—be they CEOs, COOs, or CFOs—the precise value in dollars, euros, pounds, or yen that IT has created over the past 12 months. And why stop there? Imagine being able to predict exactly how much future value you could create for your business by improving the way you do certain things in IT. Too good to be true?