Ledelse af Digital Transformation Flashcards
Main Deck
MINTSBERG 1980 - What is the Structure in 5’s
Mintsberg proposes that typology of 5 basic organizational configurations based on a combination of structural elements and coordinating mechanisms.
- Simple Structure
Coordinating Mechanism: Direct Supervision - small and young businesses - Machine Bureaucracy
Coordinating Mechanism: Standardization of outputs (rules, procedures, clear hierarchy) - production - Professional Bureaucracy
Coordinating Mechanism: Standardization of skills - hospitals, universities - Divisionalized Form
Coordinating Mechanism: Standardization of outputs - Independent divisions in large companies with diverse products and markets - Adhocracy:
Coordinating Mechanism: Mutual Adjustments - dynamic environments requiring innovation
MINTSBERG 1980 - Each structure is charaterized by 5 basic parts. What are they?
Operating Core (Direct Production, Standardization, Limited Discretion), Strategic Apex (Top Management), Middle Line (Mid management), Technostructure, and Support Staff.
MINTSBERG 1980 - Can you find organizations without a clear configuration?
Yes, the configurations represent ideal types, not all organizations will perfectly fit into one category.
MINTSBERG 1980 - How do you choose a configuration?
The choice of configuration chooses you and depends on various factors such as the organization’s age, size, environment, and technology.
ROSS - Designed for Digital - Shared Customer Insight
What are the key aspects of this chapter?
To succeed with digital offerings we need to find the sweet spot between what we can offer and what the customer wants. This is done through constant experimentation.
Shared Customer Insight is about building the ability to:
- Experiment and learn from data
- Collaborate across functions to innovate
- Share knowledge
- Foster a fail-fast culture
- Maintain vision and alignment
ROSS - Designed for Digital - Operational Backbone
What are the key aspects of this chapter?
- Table stakes; Amazon would not be successful if packages were not sent - Topdanmark would not be successful if customers were not unable to service their customers.
- Digital (Using technology to create new customer solutions and innovate) vs. Digitized (Applying technology to optimize existing business processes)
- Standardized systems, data, and processes that support core operations
- Implementation challenges: Legacy/siloed systems, old habits die hard, Time, Focus, Misaligned Power structure (Process leaders are not empowered to implement across the organization)
ROSS - Designed for Digital - Operational Backbone
How can companies lessen the time to build an Operational Backbone?
- Reduce business complexity (Lego).
Consider what it does to the backbone when a new product is introduced, new discounts structures are created - Narrow scope of digitization
Only support the most critical business requirements - i.e. only policies or only customer support - Lower standards
Maybe something is not a perfect fit, but gets the job done. Schneider and Salesforce.
ROSS - Designed for Digital - Digital Platform
What are the key aspects of this chapter?
- A repository of reusable business, data and infrastructure component used rapidly configure and launch new digital offerings
- Faster and cheaper development
- Component mindset, especially for business leaders
- Building (unique needs) vs. buying (limited resources, faster)
ROSS - Designed for Digital - Digital Platform
Compare with Operational Backbone
Digital platform: Focuses on innovation and growth through rapid development of new offerings.
Operational backbone: Focuses on efficiency and reliability by supporting core business processes.
ROSS - Designed for Digital - Accountability Framework
What are the key aspects of this chapter?
- Component ownership
Assigning clear ownership for digital offerings and components to individuals or teams. - Balancing autonomy and alignment (mission)
Teams have autonomy inside a set of boundaries, but need to ensure they work towards a shared goal. - Living Assets
Digital offerings are constantly evolving and need to be updated based on new information and customer needs. - Guiding principles
Mission not structure, metrics not directives, trust not control, collaboration not hierarchy etc. helps balance autonomy and alignment. - Cultural change
A shift from hierarchical structures to empowered teams and trust-based leadership
ROSS - Designed for Digital - Accountability Framework
To succeed
- Distinguish responsibilities:
Separate teams for internal processes (operational backbone) and new digital offerings (digital platform). This avoids conflicts and ensures focus on specific goals. - Component ownership:
Assign clear ownership for digital offerings and their components, including building, maintaining, and improving them. This fosters a sense of accountability and long-term ownership. - Coaching roles:
Establish dedicated roles to support teams in defining processes, achieving goals, and navigating the new framework. - Rethink governance: Shift from resource allocation as the key decision to defining clear missions for teams. This empowers them to make decisions and be accountable for results.
ROSS - Designed for Digital - External Developer Platform
What are the key aspects of this chapter?
- Expands the number and scope of customer offering ang generates new revenue streams
- Leverages the company’s existing digital platform investment for wider benefits
- Creates an ecosystem of partners, fostering innovation and potentially leading to industry platforms.
- Business and data ExDPs vs. Industry Platform ExDPs.
Share internal processes and data vs. creating a marketplace - Not necessarily a starting point for early-stage digital transformation companies.
- Consider data security, privacy and governance
Andersson - Conscious Change Leadership
Why is conscious change leadership needed for transformation changes?
- Problem:
Most organizations fail at transformation (60-70%).
Traditional change management and project management are insufficient for transformation. - Solution
Conscious change leadership is required for successful transformation.
This involves a shift in how leaders perceive reality, including:
Greater self-awareness
A more expansive leadership mindset and worldview
Andersson - Conscious Change Leadership
What are the three types of changes?
- Developmental:
Improving what already exists (e.g., improving a process) and is handled as part of the day-to-day. - Transitional:
Implementing a new, but defined, way of doing things (e.g., installing a new system). Is handled in a project. - Transformational:
Radically shifting the organization’s strategy, structure, etc. (e.g., moving from product-centric to customer-centric)
Andersson - Conscious Change Leadership
What are the key points of Transformational change?
- The new state is often not fully known at the beginning.
- Requires a shift in the organization’s culture and mind-set.
- It is non-linier, uforudsigelig and emergent
Think about climbing a mountain. As you climb you see new paths and the mountain might flatten for a while till there is another steep climb. - Like other changes (development and transistional) it requires focus on content, process and people.
Andersson - Conscious Change Leadership
Say something about Content Process and People
Content, process, and people are the three critical focus areas for all organizational changes. The three-legged chair.
- Content refers to what needs to change in the organization, such as:
Structure
Systems
Business processes
Technology
Products
Services - Process refers to how the content and people changes will be planned, designed, and implemented. Includes all the change-related actions and decisions from the moment of conceiving the need to change until full implementation.
- People refers to the human dynamics of change, including:
Individual mind-set and behavior
Collective culture
Worldview
Emotions
Values
Motivations
Commitment
Resistance
Communications
Engagement
Politics
Training
Readiness
