Business process transformation is a long-term change management process that tends to be driven by external pressures to adapt to new conditions and requirements and meet discerning business goals. Earlier, Anand Jayapalan had spoken about how business transformation involves radical changes to business processes and must be aligned with company strategy.
This transformation can be of several types, including:
- Organizational transformation: In many ways, this is the starting point for all changes in a company. It involves redesigning the mode of operation, structure and professional practices of a company that allows it to work differently and more efficiently. Organizational transformation is driven by general management, and is a continuous, evolving process where the focus is on the employees. The employees should be committed and supportive of the transformation process to ensure its success. For instance, in the distribution sector, incorporating flexibility and developing new services involves establishing different work processes and fostering a more collaborative and autonomous work environment. This essentially means a comprehensive transformation of the organization’s operations.
- Management transformation: Discipline, control and responsiveness are considered to be a benchmark for management. Companies today must adapt to complex societal and environmental challenges in order to align with the reality of the contemporary age. New generations have redefined the rules of hierarchy and internal relationships. Hierarchical structures are weakening, validation processes are shortening, the number of intermediaries has decreased, and management roles and methods are being reassessed. Managers are transitioning from a rigid, one-sided system focused on organizing and managing their teams to a leadership model that requires them to unlearn old behaviours and ways of functioning. Managers of today must promote communication, collaboration, and empowerment while also identifying and retaining talent, fostering growth, and serving as sources of inspiration to sustain commitment. Thus, management transformation is essential, and puts emphasis on information sharing, explanation, and persuasion to ensure a more thorough change within the company.
- Transforming information transformation: IT systems are a fundamental aspect of the overall transformation of any company and a crucial driver of growth, affecting all facets of information management, including technology, processes, and personnel. This transformation results from advancements in digital technology and the surge in both available data and storage capacity. These changes have facilitated the creation of numerous new services and have accelerated their design, development, and distribution. The primary challenge is to balance the company’s value proposition with the resources needed to achieve it swiftly, while still prioritizing risk management. Information systems transformation enables companies to differentiate themselves through various applications, such as the digitalization of services, process security, data sharing, and information sharing. It also provides essential distribution channels, including e-commerce, multi-channel, and web services. Preparing the company before implementing significant changes to information systems is crucial for staff to understand and accept them, rather than viewing them as obligatory burdens.
No matter the type of transformation a business needs, its best practices tend to involve a combination of strategic planning, leadership buy-in, appropriate technology selection, and effective execution and integration. Earlier, Anand Jayapalan had pointed out that when these practices are correctly executed, they may lead to a successful transformation that boosts business efficiency and competitiveness.
