Becoming Future-Ready: Dawn Foods Transformation Journey
Interview with Bob Howland, CDO, Dawn Foods
Bob Howland is the Chief Digital Officer at Dawn Foods, where he is responsible for driving digital transformation. He built a successful eCommerce business within Dawn, and now leads the company's technology strategy towards modern infrastructure, data-driven capabilities, and cybersecurity.
Prior to Dawn, Bob has helped over two dozen companies launch e-commerce businesses and embrace digital capabilities. He is a technology executive with the rare mix of P&L experience, master change agent, and a proven track record of creating remarkable customer experiences.
In today’s interview, we cover:
What does it mean to be digital first
Why transform - Dawn Foods motivation
How Dawn Foods was able to overcome key challenges and obstacles
How to change hearts and minds - both business & IT
Defining and measuring success
What follows below is a condensed and lightly edited version of our interview.
Bob thanks for being our guest today. Let’s start with the definition. What does being digital first mean to you?
Bob Howland: Mustafa thanks for having me.
For me, being digital first is really about having key capabilities. For example, at Dawn Foods, having a distribution center equipped with advanced tools and automation to manage inventory. To be able to efficiently and accurately predict what needs to be picked, packed, and shipped. So that we can optimize our supply chain and reduce operational costs.
Similarly, in a manufacturing plant, being digital first means leveraging technology and smart manufacturing techniques to streamline processes, reducing reliance on manual labor, and achieving higher levels of productivity, quality, and safety.
In the context of the broader organization, it means being a company that leads with data, that democratizes access and uses data-driven decision-making to enhance business operations and drive value creation.
And this by the way is just the tip of the iceberg. We have several more initiatives that are currently underway.
If I had to put the definition into just a few words, for me it is about being future-ready. In fact, there is a book by the same name that helped inspire many of the programs we are putting in place here.
I like your definition of digital-first. May I ask where do you see your company on this transformation journey?
BH: We are in many ways at the beginning of our journey. We started by creating an e-commerce business, which has been very successful. And now we are really doubling down on the technology and data piece. And are actively addressing it.
The most encouraging part is that the organization is ready and well-poised for change. We are having crucial conversations internally about becoming a data-driven enterprise. We are making the right investments. The business stakeholders are actively supporting us. And we have the support of the CEO.
Now we just need to execute, so that we can deliver outsize value to our customers and stakeholders.
Why now? What motivated you to embark on this transformation now?
BH: There were several factors.
First, it's really about our customers. They are expecting us to provide seamless digital experiences, whether they are ordering online or interacting with our sales teams.
Second, we have had some early successes. I talked about our e-commerce platform. That has been a tremendous growth engine for us. And as a result, the company is looking to double down.
Third, this is connected to the second. We have some visionary leaders who recognize the opportunity and are willing to invest. They know that in order to win they need to be agile, digital, and innovative.
And lastly, I alluded to this earlier. The industry recognizes the need to change. And so we are ready to not just change but also lead the change.
It is good to have advocates. This type of change is not possible without support from the top. What are some of the other challenges you face in making this transformation happen?
BH: I agree, advocacy is key. And when I first joined, I spent the better part of my time trying to advocate, educate and convince.
Besides advocacy, one of the biggest challenges we face is overcoming a short-term mindset. We are still very much driven by end-of-quarter or year-end results. And as you know, this transformation is a multi-year event. It takes time, investment, and commitment over a prolonged time. We try to emphasize the need for a more strategic and patient approach but it is still an uphill battle.
The other challenge is our effort to win over the hearts and minds of our team members. Listen, people are naturally resistant to change, especially when it involves adopting new technologies and new ways of working. So we are investing in effective communication and change management. By creating a clear vision of the future and showcasing positive outcomes, we aimed to instill a sense of purpose and enthusiasm among our team members.
Also, as part of that change management, we are actively involving our teams in the decision-making process, allowing them to contribute their ideas and concerns. This approach helps foster a sense of ownership and encourages everyone to be engaged in driving change.
The people part is always hard. If you don't mind me doubling down on it. How are you addressing the challenge of winning the hearts and minds of your team members?
BH: Winning the hearts and minds of our team members is indeed crucial to the success of this transformation. The people part is always hard, and we recognize that change can be unsettling for employees, often leading to a fear of the unknown.
To address this challenge, we have implemented several strategies.
Transparent and Open Communication: We share our vision for the future and explain how digital transformation benefits both the company and its employees. Providing a clear sense of purpose helps employees understand the significance of their roles in the larger transformation journey.
Active Team Involvement: We encourage team members to participate in brainstorming sessions, workshops, and idea-sharing forums. Valuing their input and incorporating their ideas into the transformation strategy instills a sense of ownership and pride.
Upskilling and Reskilling: We invest in initiatives to equip our employees with the necessary digital skills, empowering them to feel more confident and capable.
Recognition and Rewards: Celebrating successes and milestones along the way reinforces positive behavior and motivates others to embrace the transformation wholeheartedly.
Do you have an example that you can share with us, about how you were able to successfully change the hearts and minds of your organization? This stuff is never easy.
BH: Certainly! The one that comes to mind involved the sales team.
When we introduced the idea of e-commerce, some sales team members were concerned that it might eat away at their commissions or even lead to job losses. To address their concerns and change their mindset, we took a transparent and collaborative approach.
During a national sales kickoff meeting, I stood in front of the sales team and clearly articulated the vision for e-commerce. I assured them that the goal was not to replace salespeople but to enhance their roles and make their lives easier. I shared with them that e-commerce would enable customers to place orders directly, allowing salespeople to focus more on building relationships and bringing in new prospects.
And to make sure that they were not in this alone, not only did we invest in training and skill development. But I also made myself and my team available to go to any sales call with them to help their customers convert to the platform.
It was hard in the beginning. The team was skeptical. But over time it worked. The sales team saw the positive impact of e-commerce on their efficiency and effectiveness. They started to see themselves as true salespeople rather than mere order-takers. And this shift in mindset led to a more engaged and motivated sales team, actively working to bring in more prospects and business, thus driving the success of the e-commerce platform and benefiting the entire company.
Great example. What about your technology team? How have you been able to change their mindset?
BH: I can’t believe I am going to say this…but this was harder.
Let me step back for a minute. Originally, IT operated in a traditional manner, where IT was seen as a cost center and simply executed projects given to us by the business. There was no specialization or expertise built within the team.
To change this, I knew we needed a clear direction and purpose for the technology organization. So, I spent time engaging with my network, peers, technology leaders, and venture capital firms to find out what is happening in the industry. Through these discussions, I identified four pillars that would shape our technology strategy: building a modern infrastructure in the cloud, becoming a data-driven enterprise, establishing a digital experience practice, and focusing on protecting the enterprise from threats.
I then presented this vision back to the technology organization and asked them to align with one of the pillars. The goal was to move away from the project mindset and towards building expertise, becoming more valuable business partners, and ultimately, enhancing our individual and collective growth.
The response was overwhelmingly positive, the team appreciated having a clear strategy and purpose. They were excited to align themselves with these pillars and felt more confident in their roles as technology experts. And this success was further reinforced by metrics and targets we set for each pillar.
This is a great segue to my last question. How are you defining and measuring success?
BH: Good question. Let me go back to the pillars.
Data-Driven Enterprise: Success is defined by building a modern infrastructure in the cloud, becoming data-driven, and establishing insights that drive better decision-making. We have set targets to identify three use cases, pilot one, and develop an initial 2024 plan for data-driven initiatives.
Modern Infrastructure: Success is measured by improving efficiency and scalability. We have specific metrics around the number of cloud and Robotic Process Automation (RPA) projects completed, the financial impact of these projects, and the reduction in manual processes.
Digital Experience Practice: Success is determined by enhancing customer experience and team member experience. We measure success through feedback from customers and team members.
Cybersecurity and Risk Management: Success is ensuring the protection of the enterprise from threats and vulnerabilities. We measure success by monitoring our cybersecurity posture, the number of incidents prevented or mitigated, and adherence to security protocols.
We also conduct engagement surveys to gauge team member satisfaction and alignment with our strategic pillars. Continuous feedback and data-driven insights help us course-correct and make informed decisions to ensure our digital transformation efforts are successful.
Bob, this has been great. I can go on forever, but we are out of time. Thank you for being a great guest.
BH: Mustafa thanks for having me.