The point is to avoid the repetitive mistakes and focus on lessons learned from failures, as well as enhance strong governance discipline.
There are various reasons for business failure or getting lower than expected business results: Is it because the organization fails to build cohesive and differentiated business competencies? Is it due to the management ignoring the external environment or business ecosystem affecting the business? Or is it caused by people- the mismatch in requirement from a role and expertise? Business management needs to know which factors contribute to uncertainty, and ultimately cause the business failing, so they can gain the lessons learned and move forward smoothly.
Change in business priorities too frequently, or lack of strong executive sponsorship: The science of the management is to make things predictable, process repetitive, and procedure under-control in order to achieve high performance results quantitatively and qualitatively. The art of management is to leverage intuition, spur creativity to unleash collective human or business potential. There is no way to create a definitive prioritized list without more business context. Lack of sponsorship from top management would cause failure of business initiatives which are often cross-functional efforts. The soft side should have a bit about the culture of management not meeting or aligning with the organization's values. When a company fails, the top management needs to take responsibility because their planning the way to reach the vision, attitude, methods or practices to the clearly-defined goals are not on the right track. Or sometimes change in business priorities too frequently causes change inertia fatigue, lacking accountability to sustain the business outcome. This is usually down to a lack of enforcement at the top etc.
Organizational initiative management needs strong executive sponsorship, as well as business stakeholders accept ownership for decision-making and accountability. The top leadership of a business is meant to convert the uncertainties of a marketplace to an actionable strategy to be done by the company and its people. For strategic business initiatives, the sponsorship and commitment must begin at the top of the hierarchical authority chain and flow downwards across the entire business. Identifying what generates the most value for the company and expressing that in strategic objectives help managers keep their eyes on what matters.
Inability to show incremental progress and transcendent breakthrough: More often than not, organizations become stagnated if they lack the ability to show either incremental progress or transformative changes. Both quick wins and long term focus are important to motivate people for achieving more and sustaining business growth. Incremental progress improves business efficiency or profitability as it is much more predictable and less risky; transformative change often increases business effectiveness and competency but it involves culture shift and risk intelligence. Compared to incremental improvement, the transformative business effort often requires changing underlying beliefs, culture, or conventional wisdom to make the current business better; look for new business and everything in between. The broader the scope, scale, and impact of the change, the more one leans towards calling such change a transcendent breakthrough.
Desired change amplifies and ameliorates change effects and creates business synergy. Business initiatives with improvement in mind is a proactive approach that allows for planning and support considerations to be made and, therefore, is much more likely to turn into a smooth and successful collaborative transition. Both quality and quantity count. The performance of varying business initiatives should be measured based on the progress made and benefit/cost calculation. Continually acceleration requires faster responses and better performance metrics. Successful organizations must manage a portfolio of business initiatives, prioritized with adequate support, across the whole spectrum.
Corporate maturity is not based on how many years that organizations have been around, but about how well it can design to become nimbler, and how fast it can adapt to the business dynamic by building trust, creating synergy, and shaping competency. Every surviving business has certain capabilities. However, only very few high-performing businesses have a high mature level of capabilities, for not only running the business today but also competing for the future. Business management needs to make an objective assessment, fine tuning coherent organizational capability is always critical to accelerate business performance and improve organizational maturity.
Now with the companies large or small are faced with volatile market situations, fierce competition, emerging digital technology trends, nonlinearity, and ambiguity, etc, either individually or at the organizational level, there are some failures perhaps you can control. But others seem completely out of control. The point is to avoid the repetitive mistakes and focus on lessons learned from failures, as well as enhance strong governance discipline. The very goal of business initiative management is to set the right priority, align key success factors of the business, streamline business resource, process, capability, capacity to improve overall organizational effectiveness and maturity.
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