Been on my mind lately ... in the midst of reading Tony Saldanha's recent book on the topic and noting how it applies to these survey findings. Instructive.
Learning from the Digital Leaders
Our annual executive survey throws a spotlight on digital leaders and the behavior that sets them apart. By Nate Anderson, Dunigan O'Keeffe and Ouriel Lancry in Bain
Executing a digital transformation is a top priority for many companies, yet success remains elusive for most. Only 12% of corporate transformations achieve their targets, and digital transformations are even more challenging.
We recently surveyed more than 1,200 global executives to identify the few key factors that differentiate digital leaders from digital laggards.
Digital leaders are fast, particularly at decision making and execution, enabling them to experiment and pivot when necessary. They identify and organize around the technology trends that matter most.
And they’re adept at orchestration, moving effectively from experimentation to full-scale transformation. ... "
(Complete survey and analysis)
Showing posts with label Tony Saldanha. Show all posts
Showing posts with label Tony Saldanha. Show all posts
Thursday, August 15, 2019
Sunday, August 11, 2019
Leading Large Scale Change
Not about digital, which I see is not even mentioned. Why not? But I like some of the points made:
A Better Way to Lead Large Scale Change in McKinsey
In Beyond Performance 2.0 (John Wiley & Sons, 2019), McKinsey senior partners Scott Keller and Bill Schaninger draw on their 40-plus years of combined experience, and on the most comprehensive research effort of its kind, to provide a practical and proven “how to” guide for leading successful large-scale change. This article, drawn from the book’s opening chapter, provides an overview of this approach and explains why it works. Future articles will deal with specific topics such as uncovering and shifting limiting mind-sets during change efforts, as well as how to create the ownership and energy needed to succeed.
Neville Isdell took the helm as CEO of Coca-Cola during troubled times. In his words, “These were dark days. Coke was losing market share. Nothing, it seemed—even thousands of layoffs—had been enough to get the company back on track.”1 Its total shareholder returns stood at minus 26 percent, while its great rival, PepsiCo, delivered a handsome 46 percent. Isdell was clear eyed about the challenge ahead; as he put it, “There were so many problems at Coke, a turnaround was risky at best.”
Isdell had a clear sense of what the company needed: to capture the full potential of the trademark Coca-Cola brand, develop other core brands in noncarbonated soft drinks, build wellness platforms, and create adjacent businesses. These weren’t new ideas, and Isdell’s predecessors had failed to make change happen at scale. No matter which direction he set, the company couldn’t make progress until it improved its declining morale, deficient capabilities, strained partnerships with bottlers, divisive politics, and flagging performance culture. ... "
A Better Way to Lead Large Scale Change in McKinsey
In Beyond Performance 2.0 (John Wiley & Sons, 2019), McKinsey senior partners Scott Keller and Bill Schaninger draw on their 40-plus years of combined experience, and on the most comprehensive research effort of its kind, to provide a practical and proven “how to” guide for leading successful large-scale change. This article, drawn from the book’s opening chapter, provides an overview of this approach and explains why it works. Future articles will deal with specific topics such as uncovering and shifting limiting mind-sets during change efforts, as well as how to create the ownership and energy needed to succeed.
Neville Isdell took the helm as CEO of Coca-Cola during troubled times. In his words, “These were dark days. Coke was losing market share. Nothing, it seemed—even thousands of layoffs—had been enough to get the company back on track.”1 Its total shareholder returns stood at minus 26 percent, while its great rival, PepsiCo, delivered a handsome 46 percent. Isdell was clear eyed about the challenge ahead; as he put it, “There were so many problems at Coke, a turnaround was risky at best.”
Isdell had a clear sense of what the company needed: to capture the full potential of the trademark Coca-Cola brand, develop other core brands in noncarbonated soft drinks, build wellness platforms, and create adjacent businesses. These weren’t new ideas, and Isdell’s predecessors had failed to make change happen at scale. No matter which direction he set, the company couldn’t make progress until it improved its declining morale, deficient capabilities, strained partnerships with bottlers, divisive politics, and flagging performance culture. ... "
Consider Process too for Digital Transformation
A view from the APQC domain. As an answer to this see a recent book on the subject I also mentioned here: Why Digital Transformations Fail by Tony Saldanha with lots of real recent examples in the big enterprise. Some good points made below.
Why You Need Process For Digital Transformation
By Holly Lyke-Ho-Gland
I recently spoke with Kevin De Pree, vice-president of Rand Group, to discuss why organizations are diving into digital, the common challenges related to digital transformations, and ways to help overcome institutional barriers that stymie so many digital efforts.
What are the catalysts that start organizations on their digital transformation journey?
There are several reasons organizations start their digital transformations—ranging from creating sustainable growth by better allocating the time of the existing staff to finding new product or market opportunities. Whatever the explicit reason though, it typically boils down to one or more of these three reasons: increase revenue, decrease costs, and reduce risk.
For example, one oil & gas client conducted a digital undertaking to create a digital “field ticket”, their invoice. Previously approval for invoice payments required a physical signature on paper from the customer. There were several benefits to digitizing the field tickets. Digitized information couldn’t get lost, it created more control over the timing of payments dramatically reducing Days Sales Outstanding (DSO), and it reduced job closeout cycle time. While the initial reason for the project was reduce paper and digitize information, the drivers behind it are reduce risk (both in losing the paperwork and in managing the payout schedule) and reducing costs by improving cycle time.
In addition to these three drivers, organizations are looking for ways to better leverage their existing staff with operational efficiencies. This driver has been the major one we’ve seen over the last two to three years and has been a result of labor shortage of experienced resources.
You mentioned that digital efforts are difficult to achieve. Where do organizations typically go wrong with their digital transformation efforts?
Most organizations are not designed for digitalization. They suffer from organizational silos, complex processes, and fragmented systems. This complexity and fragmentation mean they are typically only looking at one piece of an end-to-end process when they conduct digital projects, which ultimately makes it difficult to make improvements with the customer—either external or internal—experience in mind. Also, because they are looking at their pre-existing processes their automation efforts digitize the process as is, including unnecessary complexities or inefficiencies. ... "
Why You Need Process For Digital Transformation
By Holly Lyke-Ho-Gland
I recently spoke with Kevin De Pree, vice-president of Rand Group, to discuss why organizations are diving into digital, the common challenges related to digital transformations, and ways to help overcome institutional barriers that stymie so many digital efforts.
What are the catalysts that start organizations on their digital transformation journey?
There are several reasons organizations start their digital transformations—ranging from creating sustainable growth by better allocating the time of the existing staff to finding new product or market opportunities. Whatever the explicit reason though, it typically boils down to one or more of these three reasons: increase revenue, decrease costs, and reduce risk.
For example, one oil & gas client conducted a digital undertaking to create a digital “field ticket”, their invoice. Previously approval for invoice payments required a physical signature on paper from the customer. There were several benefits to digitizing the field tickets. Digitized information couldn’t get lost, it created more control over the timing of payments dramatically reducing Days Sales Outstanding (DSO), and it reduced job closeout cycle time. While the initial reason for the project was reduce paper and digitize information, the drivers behind it are reduce risk (both in losing the paperwork and in managing the payout schedule) and reducing costs by improving cycle time.
In addition to these three drivers, organizations are looking for ways to better leverage their existing staff with operational efficiencies. This driver has been the major one we’ve seen over the last two to three years and has been a result of labor shortage of experienced resources.
You mentioned that digital efforts are difficult to achieve. Where do organizations typically go wrong with their digital transformation efforts?
Most organizations are not designed for digitalization. They suffer from organizational silos, complex processes, and fragmented systems. This complexity and fragmentation mean they are typically only looking at one piece of an end-to-end process when they conduct digital projects, which ultimately makes it difficult to make improvements with the customer—either external or internal—experience in mind. Also, because they are looking at their pre-existing processes their automation efforts digitize the process as is, including unnecessary complexities or inefficiencies. ... "
Wednesday, July 31, 2019
Why Digital Transformations Fail
Currently reading, the author is a former colleague who is on top of this problem for the complex enterprise. Advanced methods emerging today, like AI need data, and thus need the enterprise to be acting digitally to make it available. This book is a great start.Why Digital Transformations Fail: The Surprising Disciplines of How to Take Off and Stay Ahead Hardcover – July 23, 2019 by Tony Saldanha (Author), Robert A. McDonald (Foreword)
5.0 out of 5 stars 4 customer reviews
Former Procter & Gamble Vice President for IT and Shared Services, Tony Saldanha gives you the keys to a successful digital transformation: a proven five-stage model and a disciplined process for executing it.
Digital transformation is more important than ever now that we're in the Fourth Industrial Revolution, where the lines between the physical, digital, and biological worlds are becoming ever more blurred. But fully 70 percent of digital transformations fail.
Why? Tony Saldanha, a globally awarded industry thought-leader who led operations around the world and major digital changes at Procter & Gamble, discovered it's not due to innovation or technological problems. Rather, the devil is in the details: a lack of clear goals and a disciplined process for achieving them. In this book, Saldanha lays out a five-stage process for moving from digitally automating processes here and there to making digital technology the very backbone of your company. For each of these five stages, Saldanha describes two associated disciplines vital to the success of that stage and a checklist of questions to keep you on track.
You want to disrupt before you are disrupted--be the next Netflix, not the next Blockbuster. Using dozens of case studies and his own considerable experience, Saldanha shows how digital transformation can be made routinely successful, and instead of representing an existential threat, it will become the opportunity of a lifetime. .... "
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