Most important indicator of failure in any business initiative is an absent plan or undefined implementation process, in other words, absent business model of the expected change. It is especially relevant to digital transformation due to its complexity and wide implications on the whole business structure.
The typical schema of transformation is more or less similar in most organizations. It goes through standard procurement of RFI, RFP, RFQ, POC, etc. Due to common recognition of this procedure, it is generally protective from bureaucratic viewpoint to safeguard decision makers against risks and responsibility on failures. However, it entirely omits most essential questions on how business will evolve during the transformation, how efficiency and revenue potential will change.
Usually, a company decides for a solution already implemented in another reputable company with plausible results. It might imply a reliable low risk implementation. Much too often, all "transformation plan" boils down to the choice of relevant vendors in a hope that they will magically do the rest. However, it will never deliver a competitive edge against what others already have.
To achieve strategic advantage an organization should grow over minimal procurement paradigm and create its own business model, which uniquely describes its business, required changes and the way, in which they should be done. Then, the transformation should run in strict compliance with this BPM concept and strategic vision of corporate identity. Only such systematic approach can ensure evolutionary transformation of the business while keeping corporate values and creative culture.
There always exists a discrepancy between a model of business process, however well designed and accurate, and real execution of this process in a business environment. The reason for this gap is an unforeseen depth and hidden details inherent to any real process. Real business model of organization is ultimately unlimited in its depth. Going from highest management levels, it descends to individual departments, client relations, production units, technical code of equipment and controllers etc. In vast majority of cases, it is impossible and senseless to build a complete model covering all and every fine detail of the business. Omitted lower layers of the model create (pseudo) random fluctuations during execution of the model. Real execution paths of a process never follow its model exactly. However, in case of the correct model, we can expect to see that an ensemble of execution paths statistically converges to the model as to its average path over a significant set of observation...
Comments
Post a Comment