Monday, May 31, 2021


The journey of improving organizational competency and maturity is more evolutionary than revolutionary.

Capabilities are what abilities/competencies an organization has/need and they are the resources required for a certain mission/purpose. The capability view provides a level of abstraction that allows more open consideration to improve business competency. 

In fact, one of the most critical business activities is that the management deliberately makes the close alignment among the company’s strategic direction, its most distinctive capabilities, and most or all of its products and services to achieve strategic goals in a stepwise manner.

Actuality “how”: Many of today’s companies across vertical sectors are the mixed bag of something old and new; physical building and virtual platform, diverse workforce and varying speed. They have huge pressures to survive and thrive in the hypercompetitive economic dynamic. When looking at large organizations or, in fact, any organization, it is about perspectives which are relevant for their stakeholder. If you start looking at the business through a single dimension you will either start to miss things or get into meta-model issues very quickly. To implement strategic goals and drive transformative changes, they have to be very selective and prepared to lose some to gain more. The more you can front load and truly define the current state, the easier the digital journey moves ahead.

Thus, business executives and architects should put a detailed description of the current state of the business including current policies/procedures/practices, values, and resources associated with the current reality. It is often useful to use capabilities at a high level and then talk in terms of services and processes at the more granular level. By applying a capability view -, the business management readily considers the business actuality - current service, people, process, information, asset, etc, dimensions of the adequacy of the capability to fulfill their business strategy.

Resource “what”: The organization has limited resources, time, and talent, they can’t chase all emerging opportunities or capture everything that looks shiny. The really important thing is to understand the core business of your enterprise and the problem to solve, and apply finite resources to get the best yield possible to meet stakeholders’ expectations. In practice though, many businesses took a big bite of resources to keep the lights on, only leaving very little for growth and business transformation, resource management becomes a bottleneck for digital transformation success, no wonder they get stuck going nowhere. Unfortunately, there is a huge pressure for businesses to achieve certain financial targets quickly, but the management perhaps knows that, in many instances, it’s not sustainable until they can balance things well to meet or exceed long-term goals.

Resource allocation scenario helps to take advantage of resources effectively. Successful capacity planning and resource management are critical to ensuring that resources are available before they are needed. Resource allocation scenario needs to be transparent, so how the resource allocation is determined should be understood by all, and rebalancing resources helps the organization take advantage of resources effectively, optimize cost, manage a well-managed application portfolio, keep the business run, grow, and transform steadily.

Performance “who”: If people know their strengths and managers help them work in those strengths, employees get to do what they do best everyday and performance is maximized. It drives engagement, productivity, profitability, and employee retention. On the authority/responsibility matrix, low authority, and low responsibility leading to apathetic employees. From a talent development perspective, identify the multitude of potentialities, such as change potential:l earning agility, seeing opportunity in uncertainty, or intellectual potential: being able to think thoroughly and make sound judgments and motivational potential: adapting personal drive and focus on performing well in new and changing contexts. Whichever strategy mapping tool you use (balanced scorecard), this creates an annual opportunity to ensure personnel are not only being engaged but their focus on energy aligned with the organizational strategy.

It is essentially moving away from appraisals of performance to managing and optimizing future performance. Talent matrix is a tangible way to assess employee performance and engagement. On the satisfaction/contribution matrix, low satisfaction, and low contribution lead to disengaged employees. Most organizations fail to manage performance effectively because they only focus on assessing past performance, improving processes or implementations of performance management or evaluation. The managers should help employees find ways to link their activities or long term career goals to that strategy. By doing that, every individual should be able to see what they do in their job makes a difference to the company.

The journey of improving organizational competency and maturity is more evolutionary than revolutionary. Making an objective organizational maturity assessment is always a critical step to run a high performance company regardless of your vertical sectors or geographical location. Organizations need to make an objective assessment of their business competencies, identify and close enterprise capability gaps in order to implement the capability-based strategy smoothly.


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