The plain fact is that no matter how hard one entity is to deal with, it’s exponentially harder to deal with more than one. Everything is more complex when you go from one thing to more than one thing. The additional complexity may not be visible, or detectable, or appear to cause problems, but it’s still there and needs attention paid to it. At some point, when scaling begins to bite, problems inevitably appear.
Articles Tagged with transformation
One thing can be said about the world of consulting: the conversations you have with customers never cease to be diverse. My current engagement with a large multinational enterprise that contains multiple business areas with multiple business units is the epitome of that descriptor. We go from high-level, esoteric conversations about economics, value exchange, and business models, to deep in the weeds technically, such as hyperconvergence, and then back to the Middle Earth that is the analysis of technologies that can help achieve their goals.
I stated in my last article that an adaptive enterprise—or, as this customer likes to call it now, an extended enterprise—is built, not bought. It is a transformational process, and every enterprise arrives at the task of transforming itself with a different history and different goals, priorities, and needs.
A critical factor in achieving speed of execution is being clear about who gets to make which decisions. Governance is about establishing a framework to ensure that all decisions are made by the right person or persons, according to the importance of the decision and the expertise and organizational responsibilities of the parties to the decision. Decisions with large financial impact must be made by senior managers as part of an ongoing management process, while those with lesser impact are more efficiently made by those who are accountable for executing the decisions.
This Field Notes series chronicles my experiences with a major transformation project I’ve been involved in for the past eighteen months. I have worked on almost every aspect of this project, from application rationalization to portfolio management to reconstructing business processes and aligning and synchronizing IT with the business.
Companies are still facing an era of unprecedented and continuous change. In fact, perhaps the most striking feature of today’s business environment is its dynamic nature. While change is often unexpected and disruptive, companies that adapt quickly can gain a competitive advantage. I’ve said this many times in the past, and it still rings true today. It’s been awhile since my last post, and just when I thought it was safe, they pull you back in again. If you don’t recall, I’ve been heavily engaged in a massive IT transformation project for a very large multinational corporation for the past year and a half. This corporation has multiple business areas with multiple business units under those areas. This creates an environment where the very idea, or mention, of change is extremely scary for a lot of the executives I’m dealing with. I’m finding out quickly that the concept of portfolio management is not a widely grasped concept and is relatively new to many.