I have recruited a number of transformation roles for clients and, as a result, I have met and interviewed a large number of transformation directors and managers. Typically these people have run programmes in the large to very large category: in the millions of £pounds, through to very large scale and complex programmes in the hundreds of millions of £pounds, involving full people, process and technology change. I find it fascinating that there are a multiple of scenarios that drive companies to go through transformation. So, from my discussions with these experts, I thought I would compile 15 reasons why they do.
The first topic in the series focuses on: Business Environment.
The environment that business operates in is constantly changing: new demographics, new geographies, new markets and the need for new revenue streams, are just some of the challenges that companies face. For many, this means a need to make fundamental changes in how business is conducted to cope with changes in market environment. Many businesses are experiencing very sluggish growth in the western, developed economies, as mature markets offer limited opportunities for anything other than small amounts of incremental growth. For example, in the insurance world, the Pru has opted to focus all its growth efforts in the Far East as the rapidly expanding economies of Asia with their newly wealthy middle class demand financial services in an underdeveloped market. Conversely, more than half of all photographs are now taken on smart phones (when was the last time you took your digital camera out with you?) meaning a plunge in sales for digital camera makers and the associated retail activity. As companies respond to changes is business environment, by bringing new products and services to market, changing the operating model of their businesses - and the major paradigm shifter: going Digital - the actions of bringing together people, processes and technology changes requires major transformation programmes.
In the following 14 blogs, I will be examining in more detail, some of the key reasons why companies go through transformation activity.
Next topic in the series (coming soon): New Business Streams