What really is a business transformation? Why is this kind of initiative so misunderstood? And why do many – even upwards to 70% – fail?
These are fundamental questions about business transformations that are explored in a recent article of “360° – the Business Transformation Journal”. The article, entitled “A Typology of Business Transformations,” starts out by clearly defining what a business transformation is, and how it differs from organizational change. It also shares detailed information on questions that should be asked before such an initiative is undertaken. They include:
Why (the objective): Who do we want to be?
How (the means): How are we going to change?
What (the outcome): What is the value of the change?
Business transformation has been happening for centuries, but not until recently has an integrated, holistic and proven approach been available to help orchestrate the entire transformation effort.
These days, it is almost second nature that high-value projects are expected to adopt one of the project management best practice approaches such as PRINCE2 or PMBoK. Similarly, programme management has slowly but surely followed suit with the likes of MSP. But ironically, the business transformation environment (that projects and programmes live within) has lacked its own methodology, and this has resulted in transformations being driven by a best-endeavours and silo approach; as opposed to a proven integrated and holistic best practice approach using a common language and structure.
The low success-rates of 30% and less, uncovered by research conducted by the Business Transformation Academy (BTA) and others, are a consequence of transformations that lack a proven approach and the right transformation management capability.
We are surrounded by projects and project work, from the construction of iconic buildings to the writing of researched essays by school children. As project management has been applied in new domains it has been extended, modified and transformed, giving rise to programme management. Programme management is now the preferred approach for bringing about major organisational and strategic change in many sectors. Unfortunately, former project managers entrusted with major programmes are frequently not up to the task. Continue reading →
This article reports the results of an analysis of 13 business transformation case studies. Some were successful, some failed and the rest were partly successful. It shows how the BTM2 disciplines influence the outcomes and explains why some are more successful than the others.
Chief Innovation Officer: A New and Exciting Field of Activity for CIOs
Axel UhlKim MacGillavryLars GolleniaLeave a comment
If you have ever tried to introduce innovation into an established organization, you know how difficult it is. With the increasing pace of change, the challenge will not diminish. Taking up on the topic of “a transformational CIO” (see issue 02, page 28), and based on a new, yet ancient idea, the authors outline a new approach to organizing transformation and innovation – one in which the CIO may play a major role. Continue reading →
Blog on Business Transformation and Innovation Management