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Business Transformation in Disguise

Business Transformation in Disguise

Business Transformation in Disguise

By Jess Tayel

In the quest to uplift capabilities, better serve customers, improve the bottom line or acquire market share, organizations rely on a mix of projects and programs.

Some projects are scored as critical and complex. Some organizations have a clear and defined scoring system of what is critical and what is not, while others settle for a subjective measure.

But even after you’ve determined a project is critical, there’s more to consider.

Is it Change or Transformation?

When it comes to big, critical projects, ask yourself: Are you delivering a change initiative or a business transformation initiative?

Why is this distinction important? Because they both have different characteristics that dictate how they should be brought to life.

Change initiatives execute a defined set of projects or initiatives that may or may not impact how things work across the entire organization.  Examples include introducing a new payroll system, moving into a centralized shared services model or executing an office move.

Business transformation, however, is a portfolio of initiatives that have a high level of interdependencies, leading to change across the organization. They’re focused not just on execution but also on reinventing and discovering a new or a revised business model. That model is based on a significant business outcome that will determine the future of the organization.

With that in mind, business transformation is more unpredictable and iterative, and it’s about a substantial change in mindset and ways of doing business. The “how” may not be as defined as it is in change initiatives, which means you need to try different methods and be more experimental.

Set Your Organization up for Success

Because of these distinctions, business transformation should never start with finding a solution, i.e., bring in this technology, hire this firm, change model X to Y. It should instead focus on the following:

  • Why?
    • Define the purpose and the platform of urgency.
    • Why is this important?
    • What would happen if you do not achieve this transformation?
  • Who?
    • Who is your customer (internally and externally)? Tip: Internal customers, i.e., employees, are as important as your external customers. Understanding their point of view and what impact they will have on the success of this program is critical.
    • What would that mean for your customers?
    • What competitive advantage are you bringing to your customers and to the market?
    • What changes to behavior and mindset is required to make this change a success?
  • What?
    • Define success.
    • How do you measure success?
    • What does success look like in the future? Tip: Be as detailed as possible. Tell a story of success X months into the future.
    • What are the barriers to success?
    • What are the top three risks that may affect this transformation?
    • What are the top three opportunities that you need to capitalize on to deliver success?

You may say that these questions can be part of the initiation phase. But in my 20 years of experience around the globe, I have rarely seen the above steps executed diligently from a customer centricity point of view before teams start to dig for a solution.

That said, time spent clearly articulating those elements is well spent and directly contributes to the success of the transformation, while reducing rework and change fatigue. It’s like spending time to sharpen your saw before starting to cut the tree.

In my next post, I will talk more about what is required from the leadership and internal transformation teams to facilitate and create success.

Feel free to comment below and send feedback; I would love to hear about your experiences with business transformation

Posted by Jess Tayel on: July 03, 2019 01:40 AM | Permalink | Comments (13)
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