The future lies on Business transformation & EmployeeOrganizational Alignment Submitted By Tanmoy Mondal IIFT MBA (IB) 2012-14 Role of Engagement:Employee-Organizational alignment Organization Framework Strategy Structure, capability & Capacity Leadership People Systems & Process Important stakeholders in an Organization Good Organizational Performance • • Employee engagement is powerfully linked to a range of business success factors Leadership i.e. Management Employees The challenge for businesses is to create organizations where employees are aligned and engaged to a clearly articulated strategy Future Strategy to gain competitive edge To identify opportunities for exploiting new technologies to create and pursue new business opportunities Employee Engagement Customer Experience Organizational Performance To evaluate these technologies and the resulting opportunities to determine their value to, and impact on, existing and potential business To embrace innovative mechanisms to access and utilize the best possible resources (whether in-house or outside) To adapt itself to changes in the environment on an ongoing basis The IT organizations need a radical transformation to face future challenges and guide the enterprise towards greater competitive success. Transformation of Business Organization Mapping the transformation into future IT organization Traditional Transformational Structure Leadership Skills Processes Culture Rigid/Hierarchical Flexible Operational Transformational Technical Why Risk Averse Business Why not? Risk taking Co-relation between retention rate and an organization's performance in customer satisfaction, productivity and profitability is more than 35% in value terms between a low attrition company and above average retention company. (Vishal Gupta; Shweta Shrivastava, 2007) Organization transformation helps to increase profitability, productivity,customer satisfaction and innovation Organization transformation helps to re-align the internal system, but also it is needed to look after the external system i.e. eco-system As the digital-physical boundary is getting blurred, so it is important to define the eco-system of an IT organization and its interaction with those. In this process it is needed to identify the stakeholders within the organization that are driving these linkages and interactions between the eco-system's various entities & the organization's business functionalities. IT & Business Ecosystem Mapping the IT & Business Ecosystem Business Organization Management Obj. Employee Obj. Closing the gap between needs of business and the ability to deliver Converting the technology drivers into business drivers Focus on Strategic value of IT products & solutions Focus on IT-enabled competitive capability IS/IT organization Partners, Alliances External Customers IT infrastructure Provider IT Service Provider Trend Drivers Business Trends Gap Offerings Suppliers IT Trends Present Offerings Challenge remains to identify the gap in terms of technology for product /solution development or enhancement Instead of reacting to existing business needs, the focus of the new IT organization needs to be on creating competitive advantage for the enterprise via innovative applications of emerging technologies. So the technology adaption remains a major enabler and the management & employees, both need a collaborative approach to fulfill this adaption. Technologies as future viable business solutions Customer & business solution maturity Technology Maturity Adoption waves for business & customer technology It is difficult to determine when the customer will adopt the innovative solution. So it is easier to look for benefits rather than technology. Because innovative solutions take time to convert into viable business solutions. Stage 1 2 4 3 5 Description 1 Technology emerges: Begin to track potential customer-focused business solutions. Educate the organization & customers. 2 Technology begins to mature: Monitor value & trigger points for customers as innovative business solutions emerge. 3 Early business & customer adoption begins: Decide whether this wave can differentiate the business and offer new solutions to customers. Pilot technology with customers and collect feedback. 4 Business Solutions begin to mature: Drive customer adoption & identify logical extensions of technology based on customer needs 5 Business Solutions mature: Keep space with the pack but identify new products and customer needs via continuous feedback Major Responsibility Time Mgmt. Emp. Minor Responsibility So, it is clear that for incubation and post innovation period, there is a need of continuous interaction between management and employees. So for future business opportunities both management & employee collaboration is essential. So, there is a need in change of present organization structure to create a delicate balance to fit the business need into technical vision. “Change before you have to”………….. Future IT Organization Traditional IT Organization CIO CIO Business liasions Strategy & Project office Innovation IT operations Application development & maintenance Business liaisons Architecture & Security Organized by technology & asset type All assets are managed regardless of technical maturity Business of Applications Beyond cloud Harnessing Hyper-scale • • Mature applications Business liaisons Business liaisons Architecture,security & strategy Shift from product innovation to strategy innovation From workforce to crowdsource Seamless collaboration Infrastructure operations Organized by technology life cycle & business needs Assets managed as a portfolio and based on maturity Employee collaboration Management’s Vision • • • Core value applications • • • Design for Analytics Data velocity Active defense • • Digital-physical blur, redefining the boundary Architecting Resilience Future lies in the hands of both, Management for making collaborative customer centric strategy and supported by employee’s innovative & focused technology solutions Source: AT Kearney, Accenture, Infosys Business consulting