part 1: agile organisations: business and process transformation event - measuring, managing and...

Agile Organisations - September 2010

Measuring, managing and

improving business agility

Business and process transformation

techniques for the 21st century

Improve agility, efficiency and customer

service, increase revenue and reduce costs

Agile Organisations: Business and

Process Transformation

David Mottershead

BP Group

Steve Towers

BP Group

September 2010

questions

Are the

But this year

the answers

Are very


How to uncover significant opportunities for improving processes permanently

- Factors constraining our agility

- The emergence of a new landscape

- The building blocks for change

- Practical, results and analysis

- Scores on the doors

- Where to start

- How to get more information

Measuring, managing and improving business agility

Agility The Key To Success In The 21st Century


What do you want from this

session?


Business Agility What is it?

The capability of an

organisation to

proactively adapt to

changes in the

business landscape Agility

Measures

Readiness

Self sustaining

Benchmarking against

competitors

Changing the mindset

Collaboration

Innovation and creativity

Drivers


Your Business Goals

Our organisations

exist to deliver a

product or service

to a customerYour goals

Reduce cost

Increase revenue

Enhance service

Other???


Challenges to Achieving Our Goals

Complexity

Strategy

Measures

Customers

Structure

Our Challenge

Complexity

Strategy

MeasuresCustomers

Structure

We have inherited an industrial legacy in thought

and action in the way we do work...


What shape are you in?


CEO

Marketing Sales ITCustomer Service

Finance

Our organisations all look the same...


CEO


Finance

Processes wend and meander their way

around these rigid structures...


CEO


Finance

And hey ho we nearly forgot the customer!

Now where do they go?

Our Challenge

Structure

Complex

StrategyMeasures

Customers


1975

Banking - the World was a

simpler place...


2010


And thinking from the organisations perspective, that

is Inside-Out, makes things very complex.

Perhaps we need to Rethink things from a

different Perspective.

Just ..... One customer relationship


Think about...

All those rules

Those procedures

The standards

The systems

The hierarchy

Reporting lines

complicated we actually

decided to structure ourselves

along the line of our enterprise

software system, so things

CIO, Global Telco, 2008.

(Source BPGroup IQPC 08 Survey)


However things have become very

complicated

The typical car contains about 2,000

components, 30,000 parts and 10 million

lines of software code. (John Paul McDuffie, HBR June 2010)


MORE COMPLEX THAN A FIGHTER JET

Safety regulations and consumer demand

for performance and convenience Have led

complexity

Our Challenge

Structure

Complex

StrategyMeasures

Customers

Dealing with

complexity is an

inefficient and

unnecessary waste

of time, attention

and mental energy.

There is never any

justification for

things being

complex when they

could be simple.

Edward de Bono

90% of businesses are

unable to execute the

strategy they have on

paper

70% of businesses project

performance they will

never attain

Houston, we have a problem

Source: Axon, L. Learning to lead: How Companies Grow Profits by Growing Leaders, Sept 22,2004

Source: Norton, D. Aligning your Strategy to the Customer Value Proposition, 13/9/2005


Few Organizations Execute

Strategy Well

strategies effectively

formulated are

effectively Fortune Magazine

Source: Norton, D. Aligning your Strategy to the Customer Value Proposition, 13/9/2005

Only 5% of the workforce understands what the strategy is

Problem, or not important?


Top-

Strategy & Align the

Workforce

Bottom-Up Process to

Internalize & Execute

the Strategy

CORP

SBU

The Strategy Focused Workforce

EDUCATION

PERSONAL GOAL ALIGNMENT

BALANCED PAYCHECKS

Legacy Principles of the Strategy Focused Organization:

Telco)


The Legacy Balanced Scorecard Adopted for a

Government Organization

The Mission of the organization is to fulfill

Public Policy expectations

mission, what business processes must we excel

Customer Perspective Budget / Financial Perspective

Internal Perspective

Learning & Growth Perspective

Stakeholder Perspective


Our Challenge

Structure

Complex

StrategyMeasures

Customers

Recent

Observations

In the

Public sector


Is halving waiting times a measure of

success?


RailCorp aims to have ticket vending machines in

operation 99% of the time in 2009-11.


RailCorp Customer Charter


Centrelink Customer Charter


Ryan Air

And most successful Airline.

You need to be measuring

customer. Then you make

sure everything you do is

achieving those measures.

******* simple really.

That way customers keep coming back for

The Challenge

Structure

Complex

StrategyMeasures

Customers


Why should we change?

Because the answers are

very different !

Inspiration:

Udayan Banerjee

CTO,

NIIT Technology (India)


of this transformation


The Always on World of the 21st century -

1998

Source BBCworld

The Always on World It has all happened in the last 12 years!Mapping the Growth of the Internet

Agile Organisations - September 2010Source BBCworld

The Always on World of the 21st centuryMapping the Growth of the Internet

We believe that within five years, 96 percent of consumers will have access to the Internet, whether it be through a personal computer, a set-top box or a mobile phone.

You bet that changes everything. (2010)

Source: Fanzine


Choice:

We now have a bewildering array

in almost every product and service.

Source: Fanzine


Rebellion:

Customers

take **it anymore

Source: iStockphoto

Rebellion:

Customers

take **it anymore

Rebellion:

Customers

take **it anymore

United Breaks Guitars - became an

instant online hit with 3 million

views in 10 days on YouTube.

Expectations:

Say High Do High, or

else

part 1: agile organisations: business and process transformation event - measuring, managing and...

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