This is my most epic presentation to date on “Innovation In Professional Services”. I was invited to present it to an international professional services firm to their management team. It was a talk I was really looking forward to because I have previously worked in professional services at Deloitte and I could also apply my technology/startup lens to what has happened in that industry.
Digital Disruption is impacting professional services
Digital disruption has affected many industries including professional services. The way that we search and hire professionals has really changed due to consumer behaviour. New marketplaces exist where we can find staff such as Odesk-Elance and Freelancer. In Australia, we have global startups like Expert360 which allow you to hire management consultants, CFO’s and investment bankers for specific projects.
In the accounting world, a lot has also changed due to digital disruption. Accounting software has automated many manual tasks. In addition, global accounting firms are outsourcing work to their overseas offices. This is possible because of digitisation of documents and technology that allows people to work remotely.
Research from customers show these telling stats:
66% of SME’s would consider replacing the services their accountant currently performs with cloud software
50% of SME’s would change accountants if they did not embrace a cloud offering
Firms need to change their current mix of work from compliance to more higher value added work.
Corporate innovation models
Various models of corporate innovation are highlighted from investment, R&D, hackathons and more. The presentation includes case studies of 3 companies:
Open Innovation Model
I presented the Open innovation model by Henry Chesbrough. Its about closed innovation vs open innovation. Do the smartest people in our field work for us or are they inside and outside the company? If they are also outside the company, how can we work with them?
I really like the open innovation model, because it is unlikely that a single firm has all the answers. It recognises that the best people, companies, research, IP are also outside the company. So you need to figure out a way to partner with them.
Horizons Of Innovation
I like this graph which shows the three horizons of innovation. Its derived from the Alchemy of Growth Book by Merhdad Baghai, Stephen Coley, David White.
It starts with horizon 1 which is the most immediate. This is about extending the core business and optimising current operations. Horizon 2 and 3 is about building new opportunities and create a new vision which does not exist today.
Finally, I provide some thoughts on implementing innovation in professional services.
Innovation In Professional Services Presentation
Here it is in all its glory!
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I’m really happy with the final presentation which I’ve spent a lot of time on and I hope you get value from it!
I’d love to know your thoughts and feedback.
I’m out like the cyclone,