Business transformation is not just a buzzword. It is an organisational change process encompassing every facet of your business, from strategic planning to implementing new technologies and processes. You might decide to undertake a transformation for several reasons, including market changes, disruptive technologies, gaining operational efficiencies or pivoting into new markets.
So, what is business transformation and why is it important?
There are several different types of business transformation, and each company will require a different approach. Yet, companies transform to meet a common goal: make significant changes to improve performance and competitiveness.
Business transformation is a process that begins with analysing your current strategy and operations. You can devise your vision and strategy to meet your desired future state. Once you have defined your goals, you can design and implement your business transformation, including changes to the business’ structure, culture, processes and technology.
Transformation is not a choice, it is an imperative
The pressure to change comes from all sides. Disruptive start-ups are challenging incumbents in every industry. New business models are upending traditional value chains. Technological advances are erasing the barriers to entry and creating new growth opportunities. Customers’ expectations have changed to favour personalised digital experiences.
The pace of change will only increase, which means you either transform or have your competitors overtake you. The question is no longer whether a company should transform but how.
There are many benefits of business transformation, including:
- Improved quality of products and services
- Increased efficiency and productivity
- Enhanced customer satisfaction
- Greater employee engagement
- Improved financial performance
What is business transformation?
Business transformation is an umbrella term for different types of transformations. Some common, large-scale transformations you might decide to undertake may include:
Business process transformation is about reengineering one or more operational processes to meet your strategic goals. How you go about transforming your processes will depend on your unique business needs. A few methods that I see organisations leveraging include:
- Automating manual tasks to improve efficiency and remove the potential for human error.
- Eliminating unnecessary steps from processes to simplify them and improve efficiency.
- Integrating two or more processes or systems into one platform or data stream to reduce duplicate efforts and data.
Digital transformation analyses the digital technology within a business to fundamentally change how the business operates and delivers value to customers. Digital transformation might build on business process transformation by introducing new technology. It might also be unlocking new products or services with technology to serve customers.
Digital transformation is not just about adopting new technologies; it’s about using them to create new business models and drive growth. It’s a journey that requires companies to experiment and learn as they go continuously.
Management transformation involves changes to the structure, culture and processes surrounding management in the organisation. Some companies today are undergoing management transformation to break down traditional, hierarchical management structures and create an organisation that values people at all levels making decisions or solving problems without becoming caught up in red tape.
Ensure your business transformation sticks
The first step is to define what you want to achieve with your transformation. What are your goals? Once you clearly understand what you want to accomplish, you can begin to develop a plan of action.
Leaders should first define the capabilities needed to succeed in the business transformation. These could be organisational, technical, or cultural. Once you’ve determined what success looks like, you can begin to work on a plan to change your company.
Next, you need to engage your employees in the transformation process. Employees are key to the success of any transformation. They need to be involved in the planning and execution of the transformation. Without their buy-in and support, the transformation is likely to fail.
You must then communicate your vision for the transformed business to your employees and customers. Employees need to understand why the transformation is taking place and what it will mean for them. Your customers too need reassurance that the transformation will not disrupt their experience with your business.
Finally, you must establish metrics to track your progress and ensure that your business transformation sticks. By following these steps, you can ensure that your company is on the right track to success.
Business transformation never stops
But transformation is not just about changing the way you do things. It’s about changing the way you think about things, challenging your assumptions and preconceptions, and finding new ways to create value for your customers. So, if you’re ready to transform your business, the first step is to change how you think about transformation.
Business transformation is a journey that requires ongoing commitment from leaders. It’s a process of continual improvement and change, driven by the organisation’s needs and emerging market trends.
It’s a continuous journey that businesses must embark on to stay relevant and keep up with the competition. There’s always room for improvement, and there are always new ways to reach your target market.
Maybe you want to enter new markets or expand into new product categories. Or maybe you’re trying to improve efficiency and cut costs. Whatever the reason, business transformation can be a great way to breathe new life into your business.
The business transformation journey starts with leaders committed to making change happen. These leaders work to create a shared vision for the future and align their teams around it. They set the direction for change and empower their people to make it happen. And they don’t stop there. They continue to monitor progress, correct course when necessary and celebrate successes along the way.
How Wyntec supports business transformation
Wyntec enables business transformation by combining our knowledge of your sector and business with our technical expertise. Our goal is to create solutions that increase your ability to grow and sustain profits. Visit our Modern Workplace Transformation page for more on our capabilities and offerings.