Saturday, May 19, 2018

Three Refinement to Shape High-Mature Digital Organization

The process, technology, culture, capability tuning. etc, are all tactics to get the organization from here to there for adapting to the over-complexity and fast-pace of changes. 

Change is multifaceted with increasing speed and velocity. Digitalization is the radical change, Change Management is all about balancing the main elements impacting change such as people, strategies, processes/procedures and IT, refining business success factors to practice digital management disciplines relentlessly.

Organizational structure refinement: Compared to the traditional organization as the mechanical system to keep spinning, digital organizations today are more like the organic living system which keeps growing. Digital blurs the functional, organizational, and even industrial borders nowadays, organization structure and its impact on efficiency could play either a positive or negative impact. The challenge for any business is to explore successful structures that help to empower people, enforce iterative communication, and harness cross-functional collaboration to accelerate business performance and unleash the full digital potential. With rising digital technology, traditional hierarchical lines will phase out and a collective of business partners will emerge working collaboratively to set strategy and achieve organizational goals. Digital means flow - mind flow, information flow, and idea flow, thus, the goal of digital organizational structure tuning is to strike the delicate balance between solid and flow; it needs to keep the business fluid enough to interact with expanded digital ecosystem seamlessly to improve responsiveness, changeability, and speed; it also needs to be solid enough to “keep things in order,” to achieve business efficiency and operational excellence.

Digital process refinement: Strong business processes have a better chance to deliver a better result. Processes underpin business capability, and capabilities underpin strategy execution. The bottom line is how well the organizational processes can enforce communication effectiveness, drive information fluidity, and harness customer centricity, etc, to ensure the business as a whole is superior to the sum of pieces. There is a logical flow of business processes that evolve business capability requirements into enterprise competency, business model, implementation plan, tasks, knowledge, and performance review, to reach the high level of employee loyalty, financial health, and shareholder delight. Refresh the core business processes to make sure the changes are not only predicted but also fully prepared. It is also important that many companies approaching the subject, have the objectivity and humility to realize that their system or processes are out of date and work on upgrading them step-wisely. Digital process refinement focuses on people centricity and adaptability, to ensure businesses are built to changes, and ensure people can have the right information and tools to get their job well done. The successful process refinement often goes hand-in-hand with organizational structure management, it helps establish early buy-in and support through analysis of how the business initiatives impact the people in the organization in order to refine people-centric process management up to the next level of maturity.

Digital culture refinement: Digital is the age of people, people have to be ready for moving to a more fluid structure and dynamic digital ecosystem. The skills that made you successful in the past may not necessarily make you succeed in the new world if you do not continue to learn and build the next level of capability. Therefore, building a culture of learning and creating accountability in the ever-expanding workplace is a multi-layered and multi-dimensional management issue in today’s environment. Refining the digital culture is crucial because when having the conversations about culture, keep in mind that it is the policies, procedures, rewards, and retributions that drive and groom advanced mind, good behavior and it is the employee behavior that expresses "culture." Successful culture change helps people become who they are. The good leaders focus on solutions, not on blame. They also encourage employees to do the same, focus on building the culture of authenticity, accountability, and problem-solving, reward authenticity and excellence, not mediocre or unprofessional behaviors.

The digital paradigm shift is multidimensional expansion. The process, technology, culture, capability tuning. etc, are all tactics to get the organization from here to there for adapting to the over-complexity and fast-pace of changes. The democratic processes will overtake hierarchical control, and that culture will become a more fundamental organizational asset. But it all starts with the realization that "we can't stay the same." It takes a logical scenario to manage change lifecycle, refine core business elements, and shape high mature digital organizations step-wisely.


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