Dismantling the empires to successfully implement strategy

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How to locate the inefficiencies and duplication in your business and and remove them so you can successfully implement strategy

Transcript of Dismantling the empires to successfully implement strategy

Page 1: Dismantling the empires to successfully implement strategy

Every large business shares with

government the same productivity issues.

Confronting and eliminating the problem

is simple if you use some proven steps

Dismantling

the Empires To Successfully Implement

Strategy

David Hilcher

Page 2: Dismantling the empires to successfully implement strategy

Dismantling the Empires to Successfully Implement Strategy

(In later posts I will provide a full set of business processes that integrate your business frameworks

to successfully develop and implement strategy. Don’t miss out, Linkedin me or Follow Me.)

Big business and government share a common productivity issue: bureaucracy.

Over the years, to respond to a particular crisis or issue, middle management was given a mandate

to create an empire, and it continues to grow.

And in those empires are synergies of duplication and inefficiency. All of it justified through

anecdotes, and few facts and figures to back up the arguments.

Senior management know it, but they are awkward at approaching the problem.

This is a simple problem, with a simple solution, creating unnecessary complexity, and it all comes

down to business requirements. Tackling the issue does require business analysis and organisational

change management skills, but it’s not as daunting a task as some would have you believe.

1. Ask yourself “what do I want the business to look like?”, and, “what do I want the business

to do?” State this unambiguously in your strategy and initiatives

2. Hand that mandate to someone skilled in business analysis or architecture

3. From top down, create a business model canvas for each layer (about an hour of work)

4. The analysts report the gaps, duplication, overlaps, back to senior management

5. Recreate the canvases to appear the way they ‘should’ be in your brave new world

6. Senior management employ organisational change to deal with the human change

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7. Create value chains to ensure the business model canvas accurately reflects the structure

required to support strategy

8. Create business processes at a logical level to test your strategy has had the desired effects

on business behaviour (that of people, process and tools)

The first steps you take will provide you with a foundation for future reform. That is, establishing a

baseline. Before you even let it slip to the organisation that you are intending to remove

inefficiencies, you need to consider how you measure success, and how a baseline for that

measurement can be gathered today.

Some consultants try to get too clever and technical when establishing a baseline, many will want to

rollout their Six Sigma methodologies and get right into the weeds. But without spending a great

deal of overhead on that, and scaring the troops, it is much better to identify the areas you feel you

need to improve from an end to end perspective.

Some examples include:

Procure to Pay

Acquire to Retire

Quote to Cash

Order to Cash

Plan to Inventory

Hire to Retire

You may like to break some of these down into smaller pieces. Such as Enquiry to Order, or Invoice

to Cash.

At this level you can gather enough information to determine an approximate cost by using metrics

from your solutions, throughput by area. Remember it is important that you take into consideration

all the areas that perform pieces of the function. You are looking for duplication and there will be

many areas of your business in which special terms have been established to refer to a process that

has only one or two activities slightly different from the rest.

I would love to get your feedback and encourage you to share this blog.

© Copyright 2014 David Hilcher

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implementing strategy, business architecture, value chains, business model canvas, business behaviour, organisational change, Strategic

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organtional change, Strategic planning, erp, strategy, implementing strategy, business architecture, value chains, business model canv