What are the Keys To Successful Business Transformation?
1. TeamworkThe first key is teamwork. You need a team of different specialities to transform the business. Why? There are different people involved in the business from C-suite, operations and support roles. When you transform the business, the transformation needs to work for all of these people. Their views need to be included in design because they impact its implementation.
2. PeopleIn our 7th blog post, we discussed the differences between digital-led or business-led transformation. If you need a quick refresher, here’s the groups: The other people involved in the transformation could include:
- Programme or project people – programme director or manager, project manager, business change manager, training manager, PMO.
- Business stakeholders – executives and financial advisors who make the financial and non-financial decisions on the aspects involved to transform the business.
- Customers and End Users – external business stakeholders who are the ultimate beneficiaries of the changes.
- System and data analysts – analysts who translate these high level business needs into system and implementation requirements for the developers.
- And many more!
3. A transformation that includes everyoneFor a successful business transformation, you need to create a plan that ‘works for everyone, not just some’. This raises 3 big questions:
i) There’s a lot of people in the organisation, is it really impossible to create a design that considers so many people?Yes – but you need to be pragmatic, as the saying goes “too many chefs does spoil the broth”.
Simply get everyone to answer these questions:
- What exactly you are working on,
- When they can expect a finished product(s), and
- What the product(s) looks like.
Let’s see an example…
The image above represents the stakeholder group and their roles.
You can be as specific as possible and include their tasks and deadlines too, as long as everyone is represented across the different parts of the business.
ii) There’s a lot of senior people in the organisation, how do you decide their role in coming up with the design of the future Target Operating Model (TOM)?
Determine the roles and responsibilities of the stakeholders involved on the programme.
These are captured in the RACI Matrix for the Core Team Members – which stands for (R)esponsible, (A)ccountable, (C)onsulted, (I) nformed.
The RACI Matrix records the roles and responsibilities of the Core Team members.
Here’s an example from our Business Transformation Playbook®:
iii) There are more people outside the division that are impacted by the project. They rely on us to continue to provide products and services for them, and we need products and services from them too, how do we make sure we consider their needs from us, and vice versa?
The Governance Model answers primarily the ‘WHO?’ question and aspect – Who are the stakeholders involved?
It also answers ‘WHAT?’ is their role, and the processes these stakeholders use to manage the work, control the scope and manage the risks.
The governance structure to manage decisions on both the Programme, and the Business Architecture, is based on an equally simple 3-tier model.
Here’s an example of the model in action:
The 3-tiers in the figure are divided between the following:
• ‘Programme steering’ decisions – held and made at the top with the Programme Board,
• ‘Design’ decisions – made in the Programme which include the Solution Design Board (SDA) made up of the Business Design Authority (BDA), and Technical Design Authority (TDA)
• ‘Implementation and delivery’ decisions – made on the projects at the Project Level
Think about the people in your organisation and use this 3-tier programme structure to consider every stakeholder involved.
Thank you for reading this!
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P.P.S. If you want to learn more about business transformation, check out The Business Transformation Playbook here.
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