Different companies across industries are at different phases of growth or even transformation. This is also true on the success of the corporate strategy. While some companies have executed its agile transformation perfectly, others are still grappling with envisaged effects. This is due to changes in their operational model. Simply possessing a top-notch strategy document is not enough, as it needs to be matched by equally effective implementation. This transformation is particularly tricky for banks where as per an estimate by research firm Gartner, two-thirds of their budget gets spent on legacy maintaining systems alone. A mistake companies commit is diving headlong into redesign of the operating model. Effective transformation requires a fact-based assessment on addressing the changes needed. The metrics defined must be specific enough so that strategic trade-offs may be made. The principles intended must be compressed in brief, ideally one-page documents. After the blueprint gets implemented, talent recruitment and further management becomes crucial, as the right personnel need to be fitted in the proper position. Companies in the midst of such transformation, would be well-advised to encourage constructive conflict as that will be essential to a practical design of the operating models.

Source:https://hbr.org/2017/11/is-your-company-actually-set-up-to-support-your-strategy

Uploaded Date:18 January 2018