Let’s get practical. Here are 5 things that you can do TODAY to start transforming your business…
Companies today are either start-ups or Legacy firms. Start-Up companies are built fresh for the modern world. They are created for the modern age with a “mobile first” design. They are agile, nimble firms that are designed to be disruptive in their markets. Legacy companies are seen to be slow, bulky and disconnected. Their systems don’t talk easily to each other or to partner firms’ systems. They tend to be organised around their own siloed departments rather than putting customers at the centre of their universe. Software and systems are expensive to run and are often held together by a myriad of patches and workarounds.
If yours is a Legacy firm your market is likely being disrupted by one or more stat-ups. If it isn’t, it will be soon!
So, what can you do to transform? To become nimble and agile? To stave off the impending disruption?
1. Consider the radical options
First and foremost, you must open your mind to the possibility that it may be better to start afresh with a new business model and a new go to market proposition? Perhaps your succession planning should no longer be about grooming a replacement Chief Exec but rather to create new companies to take over the market leading role you firm once held.
2. Get Help
Much is often said about performing a strategic review. The notion of bringing in expensive consultants to look at your business and tell you everything you already know just doesn’t sit well with most C-Level execs. However, a fresh pair of eyes, experienced in business strategy, different operating models and technology roadmaps will almost always drive you towards a reasoned, fundable roadmap that will deliver the desired outcomes. Trying to do this with internal resources, while maintaining “Business As Usual” is one of the top reasons 7 out of every 8 transformations fail.
3. Collect Data
If you aren’t measuring then how do you know you are improving? As part of our business transformation methodology we start with understanding the key drivers for success and the Key Performance Indicators (KPI’s) that signal the level of performance against those drivers. We create the required measures and the process for recording them over time. We are looking to understand the trends that affect performance so that we can assess the success or failure of any changes we implement. Improvement is a continuous process of iterating towards perfection.
4. Shift Resources into initiatives that drive revenue
Concentrating on finding new revenue streams is a major step forward when considering how to transform your business. Part of really understanding your business, how it sits in the market and what likely disruptors are out there. Implementing initiatives to develop and test the market will give you a much better chance of finding a workable transformation strategy and will help minimise disruption to your current revenue numbers.
5. Fail Fast
Don’t throw good money after bad. Encourage experimentation but ensure you maintain control. The key is to collect data and measure success or failure. If a new initiative is going wrong, you need to know as early as possible so that you can adjust (iterate towards perfection) or stop the project and try a different approach. Too many firms fail because they don’t assess and fix issues quickly enough.
– Peter Borner, Founder and Managing Partner.