Case study on “Strategic Leadership and Business Transformation”
Business transformation is a key management personnel of the management initiatives, brainstorming, trying,
process and technology initiatives in an organization with business strategy and vision to support the more attention
and help innovative new business strategies and meet short and long term objectives. Through the business
transformation effort is made from the same people, process and technology to achieve the ultimate results-based
state, such as income increase of 50% or 25% customer satisfaction.
It can be defined as:
• Transformation - by improving customer service
• change the shape - by the review and reassessment of how to do business, through better use of partners and use
of the resources
• Changing the form - through improved business methods and includes a new organizational structure, technology,
processes and technology. [1]
Can achieve business transformation through new technologies, business models and management methods.
Business transformation is now considered competitive an important part of the business cycle.
Enterprise restructuring should be a continuous process, must implement its business strategy for any organization to
achieve its vision. This is an ongoing requirement, because the strategies and vision will always need to adapt to the
changing and refining the impact of the economic impact. Business agility, and to achieve business transformation,
therefore, the management and the real measure of business success.
Disciplines involved in business transformation
and Conwell mixed consultants help companies adapt to the management capacity, through these technologies
development. We in the public and private sector clients a lot of experience enables us to identify the key
components necessary to ensure successful business transformation:
• Alignment of activities and changes in business strategy.
• Avoid dispersion, transformation activities, bottom-up elements.
• Managing the planning and improvement of management disciplines.
• clear what can be achieved, and its cost.
• careful analysis of all the necessary changes made and the impact of these changes, interdependent activities.
• Treatment of staff as agents of change, rather than an obstacle.
• assess how changes will be considered with customers to explain, suppliers and other external parties.
Business transformation seems to have started as a label used by IT companies re-brand consultancy process to
information systems integration sales more effective.
Now, the business transformation means more work. It means that a cross-business integrated approach to change,
also shows that this is only effective in achieving your business vision or direction of the strategic process.
Many organizations and consultants seem to have lost chasing growth and change.
In the first phase of IT enabled business transformation
As information technology (IT) the arrival of the concept of innovation to achieve business management and business
management. In all activities and functions of the business processes and be integrated into a single along the
course
of the value chain. Get into the business performance management business processes and enterprise financial
performance continuous view. Business process reengineering, to reflect the move from manual and distributed
transaction process and the change is automation, standardization and integration; the eventual establishment of a
"lean" organization. The second phase of information technology to enable the second phase of the IT transformation
of innovative ideas to promote business enterprise transformation is to an "agile" organization "lean" organization.
Development of an agile organization that is necessary to establish a flexible value chain. An agile value chain to
enable the organization to improve the speed, they can change their business models, organizational structure, or
business processes. It is no longer acceptable to 12 months, change management procedures to adapt to the new IT
system requirements. With the agile value chain, IT systems must be set to provide the more than rather just support
the old, and the defined process to multiple select the new requirements. Agile organizations also need universal
access to information and all other stakeholders and share Three in the value chain.
Into a successful business
The success of a company often comes from the ability to promote reform in the appropriate key. "Business as usual"
business is an expression, which means certain death in the long term. To growth, remodeling products is critical to
solve the economic fluctuations of the market high, and remain competitive. Transformation capacity
to meet the changing business market conditions is the key long-term success. Business transformation for change,
can take many forms: for example, management style, culture, organizational structure changes and / or products.
Can be quite radical and rapid change - involving departure
From the establishment and comfort of the status quo - can relate to a series of major changes, when strung
together, changes in organization.
The following example involves the two-changing needs of their businesses are very different companies. Both sides
need to rethink their business strategies to stay in the game, to remain competitive, but each solution is unique.
True auto parts (a pseudonym)
True auto parts manufacturer is a medium-scale competition, through their work of high quality, low cost auto parts. In
general the car business, is a negative impact on the economy over the past few years. Natural gas prices, demand
reduction and car (and therefore auto parts) the number of significant effects, but also product preference (smaller,
more environmentally friendly as possible). The needs of the economic downturn, customers can further reduce
discretionary spending and credit were severely affected. Real cars, and other auto parts companies have cut costs
and manage their close cooperation, unfortunately, reducing labor. These changes are essential to survival, because
the sales, demand and profits have declined. However, the real auto parts do not meet just to survive the economic
crisis are satisfied, they want to establish a strong posture to withstand the current
turmoil, when the economy recovers, they want to position its market leading position in the use of full use.
Solution: In this context, the establishment of a real automobile production windmills, to promote the diversification of
its products, a business unit and the number of gaps to fill. Although the windmill is a small part of overall business,
the staff from the radical action and excitement. However, to reduce tension in the labor force morale. Management
realized that, even if they put the windmill in this new market venture, the remaining workload of the staff about
stress, layoffs, and by the prospect of long-term employees. Management, therefore, launched two operations, boost
morale and productivity. First of all, established a regular meeting:
• Provide clear communication and production of the required target level of profitability
• Need to strengthen coordination and cooperation to promote the success of the company
• communication, and promote confidence in the long-term plan
• Education of staff are working to promote the success
• provide a forum for questions and concerns
Second, the production of a video (low budget) and arrested an employee spots. These are bites of video clips into a
new company to deliver the mission statement. The project established a sense of unity and success. By introducing
a new business model, focused on the staff, really can not do without cars can not be successful rapid business
transformation possible.
GreenCook software (a pseudonym)
Should strive to achieve rapid growth, the two software companies
(software and Cook green software), the product key accessory products, combined. As companies began to merge,
cultural and organizational management of conflict. Green has a mandate to manage businesses, blurring the line
work to ensure the timely completion of work. Cook the work of establishing a clearly defined management structure.
Green, management team members also include individual contributor (player / coach's style). However, in Cook, this
is not the case (strictly coach). The two institutions following the merger with the requirements of organizational
change, to maximize revenue, efficiency and product supply. In order to better adjustment and restructuring,
GreenCook try these actions:
• the establishment of a management team represent the best leadership the green and the Cook
• Integrated development of Oxford. Through the establishment of business units to represent each major product
• build sales ORG's. Sales of the product throughout the product portfolio
• Create new sales area, in order to retain the two organizations, the senior sales staff
• Create and provide a smooth transition training in the field of total portfolio
However, even if the organizational structure according to the new, sales meetings and training sessions often
become hostile Jousting Competition Yingde the Baokuojiaoyi stab or "other" Gongsidiushi. Prior to the merger,
Green and Cook often competing business. But unity, foster competition. Even in the development of the newly
created, separate business units into competitiveness.
Management is to become a united,
powerful units can not change the two smaller organizations, therefore, the company's growth and ability to attract
and retain top talent to reduce.
Solution: business transformation, needed in many areas, including: management style, culture, organizational
structure and products. The key catalyst for a transformation to hire CEO Harry Smith (a pseudonym). Initially, Smith
drove the implementation of the management team of business transformation. Him to find and fix the problem of a
very significant energy, for example, customers to upgrade. Smith realized that he needed sales, development and
support work together to focus on customer issues fixed. His leadership, progress in improving cross-functional,
driving better solutions for customers in a timely manner.
Baoboqiaozhi (a pseudonym), also joined the development of the organization's executive management team leader,
and the combined company conversion tool. George is an internal promotion, and went to great lengths, and in
creating and nurturing a very comprehensive business development unit trust of patients. He continued to promote
the message that he supported the promotion of the product portfolio income growth, not just his former business
units. With the development of better coordination, George can achieve superior productivity. This GreenCook, a
solid front-end tool set to work seamlessly in all of our products, while creating a unified development. This
integration, and product interoperability, resulting in larger transactions to win greater success. The new integrated
system on the market
really ahead of all competitors.
With the new achievement, development, and improve profitability, GreenCook continue through the acquisition,
further complements the product line, rather than relying solely on organic growth, the other company's business
transformation. With the lessons learned from the original merger, acquisition of new folding has been completed
faster, efficient and comfortable.
Most innovative companies are constantly upgrading and improving their business. They did not wait for sales to fall
or economic crisis, forcing changes in their business. When faced with difficult situations, the innovative company
does not wish simply to fix short-term problem, but to transform the future successful business. For true automotive
components, a radical departure (manufacturing windmill) business from their core, as well as staff morale and focus
of communication to enable them to transform their business. Duiyu GreenCook, the merger of two successful
companies, with management, culture change , product, add a new business model (growth through acquisition) to
make them into for the individual's rural organizations alone can not Qude the combined company. The two
companies continue to enjoy better performance and financial success today.
Another example is the retail business ------ The Austin Reed business transformation in the analysis of the case.
The Austin Reed brand has been synonymous with quality tailoring, and won the design and innovation, the perfect
fusion of modern and traditional international praise. Including The Austin Reed,
the Council (the official name of the famous national helpers), and International Licensing, The Austin Reed group of
about 280 stores and concessions Industry, and 8 outside the UK. It also has licensing agreements in Europe, the
United States, Japan, India and other Far East country.
Challenge
With aging, farming and more than 370 personal computers run on software, more than 13 years old, The Austin
Reed the storage infrastructure is a potential risk has become their business. The IT team's ability to extend to the
whole system just to maintain existing business operations.
Shortage is widespread, as sales and inventory tracking, the hit to miss the end of the day vote to use dial-up
connection dependent. Although the time to vote outside help to a certain extent, up to 20 percent of the stores did
not survey every day. Stores will have to be contacted by phone to further IT resources consumed. When the data is
not available, estimate the level of replenishment, making the user error and disappointment. In addition, there is no
supply chain visibility, so it is difficult to judge a project, the client may come. Finally, there is no reliable e-shop
communication and marketing activities difficult to successfully promote and manage.
These problems have hindered the sales growth, customer service and productivity levels to do a serious adverse
effect.
Richard Thyssen, head of IT at Austin Reed said: "There is a customer's expectations, to implement the chip plug. In
order to remain competitive in an increasingly crowded market, we need to change our business
whist ensuring that we activities with minimal impact on the environment. a basic implementation steps, is the shop
and office upgrades to our head. "
Solution
The Austin Reed chosen hardware, software, and from British Telecom to speed up broadband network services. For
brand store, DigiPoS terminal will provide a comprehensive, including scanning, chip and passwords, cash drawer,
card processing functions of electronic point of sale. In the favorable environment to run BT software point of sale and
inventory management standard will enable personal computers to scan items - sales data collection, inventory
levels, check e-mail and - cash and credit card transaction management, through the franchise system to achieve.
Mercatus merchandise sales at the head office solution will withdraw from the data stores and concessions, to
provide a complete sales management functions, including supply chain integration. Head office solution will also
include links to the full inventory of the stock situation and order management applications within the query and
stores, while holding the stock remote terminal will provide links and other mobile in the store inventory functions.
British Telecom to speed up the solution to integrate all aspects of functional integration of the entire The Austin Reed
organizations together. BT also offers comprehensive project management to speed up.
[Austin Reed chosen hardware, software, and broadband from BT to speed up service. For brand store, DigiPoS
terminal will provide a comprehensive, including scanning, chip and passwords, cash
drawer, card processing functions of electronic point of sale. In the favorable environment to run BT software point of
sale and inventory management standard will enable personal computers to scan items - sales data collection,
inventory levels, check e-mail and - cash and credit card transaction management, through the franchise system to
achieve. ]
Mercatus merchandise sales at the head office solution will withdraw from the data stores and concessions, to
provide a complete sales management functions, including supply chain integration. Head office solution will also
include links to the full inventory of the stock situation and order management applications within the query and
stores, while holding the stock remote terminal will provide links and other mobile in the store inventory functions.
British Telecom to speed up the solution to integrate all aspects of functional integration of the entire Austin Reed
organizations together. BT also offers comprehensive project management to speed up.
Value
The network deployment project in two phases. The first wave saw the new solutions implemented in 135 stores;, and
then after the second wave of concessions in the 80.
Austin Reed now and reliability has improved 83 percent of the system than the amazing number of 24
(reconstruction of a stable platform for trading the previous year to accelerate the implementation of BT). Call IT
support, to help Taiwan to reduce the 57 percent, increase employee productivity. Because the necessary equipment
to reduce capital and maintenance costs have been reduced.
BT to
speed up the provision of new EPOS system and the broadband network, so by voter turnout and accurate real-time
storage of data access to 100. Purchase and sales team have full visibility of inventory, which means that greatly
improved the accuracy of replenishment. Sales personnel are able to see the inventory online, in their own stores and
other channels for customer product inquiries. Point of sale authorization time decreased by 12 seconds per
transaction. Store manager that significantly improve productivity, since the new system processes and simple and
intuitive.
Until the new system has been on training managers need to eliminate from the shops, tourist shops of the training
model. It also authorized the shop staff through training, until the end his time in quiet. Richard Thyssen commented:
"Our customers expect from our brand of quality service, we know that to improve staff knowledge will be a major
contribution. Training model, greatly improve staff knowledge and sales staff are more confident. "chip and PIN
implementation, reduce costs, fraud each year, and the new electronic magazine EPOS system module provides the
ability to track suspicious activities, the audit team, etc. A large number of returns and refunds.
Austin Reed is committed to sustainable development and storage of all business groups through e-mail
communication is in real-time transmission. As a benefit of this approach, for example, the weekly e-mail newsletter
produced 52,000 sheets of paper, annual savings. With the training of personnel no longer need to store the journey
between
the education staff, there has been considerable travel savings. In addition to cost and environmental impact,
presentation consistency has also improved.
By Austin Reed improve customer satisfaction to a new survey, of nearly 80% measured across Austin Reed and CC
brands. These two brands are a sales increase of nearly five per cent.
The next phase will focus on distribution centers and warehouse stores by closing the loop and back. Austin Reed
scanning are also being test run to the store delivery and exploration, rather than scanning scanning individual items,
to further improve productivity.
Business transformation projects can range from the local business process improvement (BPI) through a
cooperation project within the Council, adjusting work to shared services. Some of BPI's projects may be more radical
than some of the shared services company.
Ideally, the Council will be established in the outcome of the vision, objective assessment of 'range of procurement
options and the private sector' (local BPI's, JVC, outsourcing, shared services, etc.), rather than the start of a bias
about whether or not a shared service solution is appropriate.
If the move to shared services is the transformation of your trip to Parliament, where you see this step go in. Some
boards' share of the first ways to improve the procedure ', others to improve the first, after sharing'. According to
related services, the relative starting point for partners and delivery model in two ways, can work.
In some cases, shared services initiatives may not be converted. They may only
provide services in a cheaper way. Such as building control section consists of two adjacent councils may be merged
into the patch through its joint services merge. This will be the introduction of no significant cultural change program
or arrangement, still enjoy lower costs and increase the benefits of flexibility. Also have the opportunity to take a
completely redesigned to provide services, the focus on customer needs.
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