A practical transformation approach

The digitalization age has brought the tremendous need for companies to transform their organizations. Many companies struggle to do so. A sequential approach with focus on improvements in only one function is often insufficient and may even do more harm than good.

The “Fit Transformation” from AT Kearney is an effective, coordinated approach to help companies to develop toward a strong, agile and lean company.

It helps companies translate their strategies into the right objectives & goals and aligns different building blocks of the operating model including structure & governance, processes, technology enablement, resource configuration (make vs. buy, strategic alliances and geographic footprint) and capabilities and culture.

 

Many companies make the mistake of ruthlessly stripping out costs that they end up so lean that they become weak and unresponsive. Cost must not be the only focus. It is necessary to consider other competitive differentiators such as customer service excellence, product quality, ability to adapt quickly to market changes, etc.

Companies discover that if they focus on building deep capabilities and market responsiveness, the cost advantages fall naturally in place.

Change management that engages people from the top down and the bottom up is necessary.

 

For nearly 20 years I have been driving change management and business & technology transformation project across multi-national companies and their value chains.

As markets, clients and technology change, so a company has to adapt their strategies, business models, organizations, processes and tools.

Companies are well advised to constantly re-evaluate themselves and do course corrections at the same time. In the end it is not the strongest who survive, but the most adaptive companies. Biology and world history gives us many examples.

While there are a number of good transformation models, the key to success is in the “how”.

My personal approach is to gather best practices across industries and then customize solutions to the individual client needs.  Not re-inventing the wheel, but applying practical, proven solutions that leading companies have already successfully deployed, gives not only leadership, management and employees confidence in the effort, it also argues on facts and minimizes political and personal conflicts.

+++
To share your own thoughts or other best practices about this topic, please email me directly to alexwsteinberg (@) gmail.com.

Alternatively, you also may connect with me and become part of my professional network of Business, Digital, Technology & Sustainability experts at

https://www.linkedin.com/in/alexwsteinberg   or
Xing at https://www.xing.com/profile/Alex_Steinberg   or
Google+ at  https://plus.google.com/u/0/+AlexWSteinberg/posts