The Transformation Story

Companies face challenges of great magnitude when they want to complete a major transformation. A true transformation is characterised by high ambition, the integration of different types of change ( organisational,operational,commercial) and a prolonged sustained effort to achieve it. Several studies and surveys demonstrate that executives can launch a plethora of initiatives that lack the necessary resources,scale ,sustained effort and ambition.

To be effective leaders have to outline clear themes with objectives that will enable achievement of a  vision or aspiration. In turn these themes need to be broken down into specific initiatives with clarity about  why they are important ,how they will be sequenced and how they relate to one another . This sort of approach not only makes major change manageable and realistic but also personal ,engaging and exciting.

Themes might focus on a business area others may aim to capture synergies and efficiencies across business units. However defined each theme should have clear ownership and leadership and be structured to prevent confusing overlaps.

Important prererquisites include:

  1. A clear understanding of the transformations context  including capabilities and the readiness for change
  2. Well articulated vision and aspirations
  3. Leaders who mobilise and unleash energy and ideas
  4. A rigorous process

 

A McKinsey study  describes two issues that are particularly pressing for CEOs and their top teams:

  1. Setting an inspiring and appropriate vision and bringing it to life for everyone
  2. Mobilising and sustaining the transformation engine : the flow of ideas and energy needed to drive the organisation forward whilst managing the pace.

 Each organisation is different and every transformational effort unique. Yet a common thread for any transformation is a sustainable step change in a company's performance and health. Using health as a metaphor encourages  holisitc and systemic thinking about the organisation whose parts are mutually interdependent. Step change implies moving to a higher plane.

A major challenge for top management is to communicate the vision in a way that resonates with people throughout the organisation and its stakeholders to achieve a positive response. In this sense a good transformation story acts as a bridge and addresses 4 key aspects:

  1. What is at  stake
  2. The case for change
  3. The challenges and opportuites ahead
  4. The impact of change on individuals