In a digital age where transformation is essential to maintain competitiveness, a good transformation capability is the muscle that companies need to maximize the value of their transformations. Transformation Services means more than just checking the boxes and managing deadlines, it means shifting your company’s frame of reference completely to one that emphasizes realization of value and business outcomes through transformation.
Any organisation undergoing a transformation will have a pipeline of improvements, subdivided into actions, owners, and dollars at stake. An important role of the transformation office is to ensure that all participants have one agreed goal and objective, a transparent view of what flows through the pipeline and a central record of the progress of each initiative owner.
Reasoning behind the demand
An effective transformation service will reinforce the transformation culture at all times: during weekly meetings, at executive-committee meetings, in reports and updates, during problem-solving discussions, and in communications to the rest of the organisation. Everyone should see its messages, and initiative stakeholders need to follow the transformation’s lead. It should encourage appropriate behavior and acknowledge achievements, insisting that the leaders personally make weekly calls to frontline members to celebrate success. Such actions can have a profound impact on owners and executives alike, especially in organisations where positive recognition is not the norm.
The transformation service not only sets the schedule and the tone of the transformation but also keeps score. A simple, consistent way of defining and tracking value gives it clear credibility when it comes to commending those who have made good progress. This also ensures everyone has access to the same simple rulebook and is trained to understand it. Every initiative should link to the same value measure and in cases of doubt the transformation service should give the final answer. With clear rules, there can be no debate about which valuation is right or what assumptions should go into a business case. People know their work must stand up to external scrutiny and therefore will not spend time on pet projects or substandard ideas.
Three out of four businesses do not feel confident in their ability to execute a transformation. A well-executed transformation service can improve that confidence via a comprehensive approach across four areas: value, design, execution and business adoption.
Conclusion
The success of a transformation depends on the regular drumbeat of the transformation service, on clear communication and an action-oriented tone. In our experience, this is critical to the organisation accomplishing its goals. The best ones have such a profound impact that they become part of a new way of working, long after the transformation is complete.
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