transformation enterprise

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    Muhammad Amir Mushtaq

    EX-MBA-F12-058

    Leon F. McGinnis,and William Kessler

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    Enterprise Transformation Enterprise Transformation formulates strategies

    and solutions for transforming business to

    succeed.Consequently, enterprises increasingly need to

    consider and pursue fundamental change

    transformationto maintain or gain competitive

    advantage. This need raises important research

    issues concerning how transformation is best

    understood and pursued.

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    Enterprise Examples Changing Markets

    1. FedEx defining the overnight mail market

    Changing Offerings

    1. UPS expanding from packages to supply chains

    Changing Perceptions

    1. Dell repositioning computer buying (via build to order)

    Changing Operations

    1. Lockheed Martin merging three aircraft companies

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    Types of Transformation

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    Scope of Research Developing a research program to support enterprisetransformation requires addressing four specificchallenges:1. Identifying the key knowledge gaps;

    2. Developing a research plan that addresses these gapsidentifying the research questions to be answered butalso integrating the research results in a timely mannerwith the ongoing transformationagenda;

    3. Executing the research plan, and overcoming all the

    inherent obstacles impeding collaboration

    between auniversity research team and a domain stakeholdergroup; and

    4. Deploying the research results, i.e., making themconsumableby the domain stakeholders

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    Research Methodology Qualitative data through stakeholder interviews.

    The sampling method has not been specified.

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    Elements of Transformation

    1 = Focus on Customer

    2 = Increase Operational Efficiency 3 = Change Enterprise Culture

    4 = Execute, Execute, Execute

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    Outcome

    Changing Markets

    Changing Offerings

    Changing Perceptions

    Changing Operations

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    LM Aero

    The Merger of Siblings All three companies had vastly different views, expectations and

    orientations of leadership. Differences in company culture,information technology and systems, major processes, accounting

    approaches, and business criteria had created barriers for years The corporation decided to merge the three sibling aircraft companies

    into one entity Lockheed Martin Aeronautics. Defense customers priorities had shifted to weapon system

    affordability.The defense business was now focused on performancebased capabilities and total life cycle affordability

    Duplication in the operating structures of the three aircraft companieswas financially burdensome to the corporation, strategic alignment waslacking and, most alarmingly, customers were becoming increasinglydissatisfied with performance of each of the companies

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    Approach to Transformation The transformation approach was built around setting clear intents,

    supporting the deployment of operating capability to meet thoseintents, and then executing with the capability to achieve outcomes

    equal to the intents A three-step approach and terminology employed that were familiar

    to the senior leadership, managers and employees adopted fromfamiliar terms in the aircraft development business .

    Preliminary Design Review: Collectively agree that expectations arebeing addressed and confirm that the organization leader is

    designing a capable structure to meet all objectives. Critical Design Review: Approve structure, document remaining

    interface issues, and approve six-month implementation actionplans.

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    Conclusion High-level commitment is required and this

    commitment should be renewed on a regular basis.

    Constantly clarify the context; the research team

    needs to be able to come up to speed on the as-isstate quickly.

    Collaboration is a team sport, but also a contactsport the research team needs to be willing and

    able to mixit upwhen the findings seem counter tothe experience or intuition of the domainstakeholders.

    Expect the unexpected.

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    Comments

    The sampling method has not been specified.

    Endogenous Risks: The risks within the global supplynetwork (technical, network complexity,

    suppliers, relationships).

    Exogenous Risks: The risks external to the global

    supply network (political, economic, demand, culture, acts of nature, etc.)

    Inertia Risks: The risks within the total JSF enterprise.

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    Thank You