FIVE STEPS TO A SUCCESSFUL TRANSFORMATION
It has been said that the only
constant in business is change.
Meanwhile, numerous studies have
shown that up to 70% of change
efforts fail. Luckily for managers,
this does not have to be the case.
With proper planning, thoughtful
management, and appropriate timelines, even the largest of complex
change initiatives will be successful. Change initiatives can vary widely in scope and
complexity. Large-scale projects are typically at the enterprise or business unit level, while small-scale projects
could be at the program or process level. Business transformation typically refers to medium and large scale
projects that impact strategies, management systems,
or multiple business processes. Large-scale transformations may result from the acquisition of a new company,
market disruption, business model innovation, restructuring for revenue growth, or performance improvement
and operational change.
Once the need for change is recognized, either due to
an event similar to those above or through identifying
a specific performance gap, the transformative journey
can begin. The five-step process below, combines multiple operational and change management methodologies into one easily applied framework. It can serve as
a guide for organizations undertaking business transformation on any scale.
COMPLE TE A CURRENT STATE ASSESSMENT
To effectively transform a business, you must first
understand the current state of
its operations. Current State Assessment includes de-
veloping an understanding of the current strategy, mea-
suring baselines for key performance metrics, mapping
various business processes, outlining the staff’s existing
skill sets, and documenting the capabilities of technolo-
gy and information systems. Once understood, the busi-
ness’s current state is best communicated through two
specific tools: the SIPOC (Supplier Input Process Out-
put Customer) diagram, and the organizational align-
ment matrix. The operational aspects of business can
be mapped using the SIPOC, while the organizational
alignment matrix can holistically document the business
landscape (Strategy, Management System, Processes,
Technology, People and Organization).
STEP T WO:
ESTABLISH AN ORGANIZATIONAL STRATEGY
The organizational strategy establishes initial parameters governing the business’s trans- formation. Assuming the entity being trans- formed is not an entire
company, the strategy that applies most directly to the
transformation is that of the affected business unit itself.
It is important to note, however, that this micro level
strategy should be supportive of the company’s mac-ro-level strategic direction.
A simple approach to strategy for business trans- formation typically contains four components:
• a Mission Statement
• a Vision Statement
• Core Values (typically those of the larger entity),
• GuidingPrinciples(for the transformation initia-
Five Steps to a Better Business You
The following is an excerpt of Simple Strategies to Success: Helping Business Leaders Become the Best
Version of Themselves and Take Their Business to the Next Level by Adriana Cecere. The book is designed to help business leaders across the globe be the best version of themselves and take their aspirations and business to the next level in a 28-day program containing teachings from Cecere’s experiences
in developing business and consulting. Cecere, “the Backpocket CEO,” is founder of Sydney-based Consulting Australia and was named one of Consulting magazine’s 2017 Global Leader in Consulting for
Excellence in Innovation. The following excerpt is from Chapter 3, Transformation.