Unlocking strategic value

The life sciences industry is experiencing significant transformation due to tech convergence, market volatility and profitability pressures. Building a modern digital core is essential for leveraging this moment of change and boosting overall organizational performance.

As I reflect on the conversations that I’ve had with clients on this topic over the past year, it's clear that viewing the digital core as an inspirational strategic and necessary evolution, rather than a mere technological upgrade, leads to more meaningful discussions.

CIOs and CTOs need to educate their peers in the C suite, so they too understand the need to adopt a modern digital core to deal with today’s market complexities and stay relevant in the future. So, as this time of year is all about giving, please let me share some key insights I’ve learnt from those discussions.

As technology leaders, we need a solid understanding of the modern digital core

We see the digital core as a foundation for reinvention, which is the default strategy for leading companies today. But it’s more than just the technology backbone of the organization, it’s the accelerator—the engine that puts technology to work for the enterprise. It also facilitates the convergence of technology and processes, allowing for disruptive business models and improved productivity. It enables the organization to use data-driven insights, streamline processes and improve collaboration across departments and with external partners.

So, what do we mean by ‘The digital core’?

The digital core consists of seven different components

• It starts with a foundational core, which includes a cloud first infrastructure, a modern data foundation and an application strategy that embraces a platform mindset.
  
  
• It's harmonized by an enablement core which includes a composable integration strategy and scaling AI for everything across the enterprise, while embedding Security-by-Design approach that pervades both culture and technology.
  
  
• The digital core is encapsulated by a management core the uses a Continuum Control Plane to simplify engineering and operations across a complex IT landscape.

Moving from legacy to innovation will drive and sustain growth

Transitioning to a digital core requires a fundamental shift in mindset. Traditional, monolithic systems are giving way to agile, cloud-first infrastructures that are elastic, configurable and automatable. This shift is not just about adopting new technologies but about reimagining how these technologies can drive business value. It involves embracing a platform and product mindset, where digital platforms are rationalized to enable business vision and improved insights at the decision-making points.

The digital core can redefine R&D

If we look more closely at the research and development (R&D) function of a life sciences company, the digital core revolutionizes this area by improving the interoperability of diverse data sets. This capability is crucial for accelerating the value realization from R&D investments. Modern data mesh and virtual data capabilities are important. They help AI-guided molecule design, early risk reduction of trial designs and optimized clinical trials. These developments enable faster, more efficient and more effective R&D processes, significantly reducing time to market for new therapies and treatments.

Streamlining clinical operations becomes possible thanks to the digital core

The digital core also has the potential to revolutionize clinical operations within the life sciences industry. By integrating data from various sources and providing real-time analytics, the digital core enables companies to make more informed decisions about trial design, patient recruitment and monitoring. But consider the wider reaching benefits and effects of streamlined operations: optimized efficiency, leading to greater data management and knowledge from insights, better risk mitigation, fewer errors, and the knock-on effect of cost reduction, increased staff satisfaction and collaboration, leading to scalability and growth.

This not only speeds up the clinical process but ultimately, improves the outcomes of patients.

Bridging business intelligence gaps makes our life easier.

One key part of this change is for leaders to see data as a strategic asset and invest in technologies that let them make decisions based on data.

The traditional approach to business intelligence involved siloed systems and manual processes, resulting in slow and outdated information. With a modern digital core, data is easily combined and analyzed in real time. This gives a complete view of the organization and its operations. This not only improves decision-making but also enables businesses to proactively identify and address potential issues before they escalate. And who can say no to that?

It's not about a checklist.

The digital core is more than just a checklist of elements that an organization should have to access intelligent technologies. We see it as a strategic enabler. It inspires important changes in the operating model by focusing on using existing digital platforms, data and AI to create business value and change. Instead of simply ticking off items, the focus is on how these elements can be strategically leveraged to improve business processes, improve efficiency and foster innovation.

Develop clear incremental steps toward a future state

Achieving the desired future state with a digital core requires an incremental approach. This involves visualizing your future state and your business needs, then working out, step by step, how to get there.

Such an approach ensures that each initiative is business-focused and aligns with long-term strategic goals, allowing the digital core to evolve in tandem with the business. This incremental approach also allows for flexibility and adaptability, as the digital core can be continuously improved and updated based on changing business needs and emerging technologies.

Be motivated by the strategic value you are unlocking

To harness the full potential of the digital core, life sciences organizations need to address several key strategic priorities.

Approach these as challenges that once achieved, will reap rewards for many years to come.

1. Embrace a clean core mindset. Reduce unnecessary customizations and align technology investments with strategic goals.
   
   
2. Leverage AI as a strategic asset. AI should be integrated across operations to improve productivity, decision-making and innovation.
   
   
3. Foster a data-driven culture. Prioritize data interoperability to ensure seamless access to high-quality data for AI applications.
   
   
4. Improve ecosystem partnerships. Maximize ecosystem partner value by strategically integrating technology to reduce complexities and costs while improving ROI.
   
   
5. Invest in talent and skills. Invest in talent development to ensure employees can fully leverage the digital core.

Where to next?

With a strong digital core in place, the roles of the CIO and CTO can shift from managing day-to-day IT operations to driving digital transformation and shaping the future of the organization. They can closely align technology with business goals and drive growth through digital initiatives. It's a strategic enabler that can unlock new performance frontiers and drive sustainable growth.

So how do you go about unlocking value from the digital core, and what does your role as a CIO look like going forward? We'll explore this further in part 2.