change and innovation; and the role of today's cio - idg · 2013-08-08 · business strategist...

© Grant Thornton International. All rights reserved.

Change and Innovation; and the role of today's CIOTuesday 8 November 2011

Rory GreggAssociate Director - Business TransformationGrant Thornton Australia


Agenda

• Leading & managing change, the formula for success• Tomorrow's agents of change• Innovation through collaboration• Questions

#CIOSummit @rory_gregg www.rorygregg.com


Leading & managing changeQuestion?

What's driving successful transformation?


Leading & managing changeFormula for success

% of extremely / very successful transformations(n=2,994)

Offensive;•Improving on what you have

•Performance improvement

37%(Reactive & Offensive)

47%(Offensive & Proactive)

Defensive:•Reducing costs

•Turning around a crisis situation

34%(Reactive & Defensive)

34%(Proactive & Defensive)

Reactive•External shock (eg change in regulatory environment•Responses to market pressure or poor performance

Proactive•Outcomes of annual strategic planning process•Bottom Up realisation that benefits can be achieved

(*) McKinsey & Company Survey 2008.

Fewer than 40% of transformations succeed


Leading & managing changeFormula for success

Fewer than 40% of transformations are successful

Success rates increase when leaders are focused on1. Raising employee expectations2. Actively changing behaviour3. Engaging individuals at all levels

It's critical that leaders understand the key factors that deliver the right change


Leading & managing changeSuccess factors

Key factors for success:1. Clear structure, targets & milestones2. Clear roles and responsibilities & accountabilities3. Frontline ownership for the change4. Energised through communication and involvement5. The right information at the right time

Projects Lacking Clear Goals

90% failure rate


Leading & managing changeSuccess factors

(*) McKinsey & Company Survey 2010

Used Used 1 Used Stretch Used Stretch Used allNone Approach Targets plus any 2

Suc

cess

rate

of

Tran

sfor

mat

ion

(%)


Tomorrow's agents of changeQuestion?

What defines a successful agent of change?


Tomorrow's agents of changeHow do we rate?

Business Strategist1. Market knowledge2. External customer focus3. Commercial orientation




Transformational Leader4. Strategic orientation5. Change leadership6. Collaboration & Influence7. Results orientated




Transformational Leader4. Strategic orientation5. Change leadership6. Collaboration & Influence7. Results orientated

Functional Head8. People & org development9. Team leadership *Note: Per Egon Zehnder, there are not yet enough

evaluations of the Commercial Orientation competency to plot its scores on this graph (N= 25,000)


Tomorrow's agents of change

Building a leader’s capability

Functional Leaders(Credible)

Transformational Leaders(Influential)

Strategic Leaders(Game Changer)

People & Organisational Development

Strategic Orientation Commercial

Orientation

Team leadership

Changeleadership

Market Knowledge

Functional expertise

Collaboration & Influence

External Customer FocusResults Orientation



Delivering Business Value

Functional Leaders(Credible)

Transformational Leaders(Influential)

Strategic Leaders(Game Changer)

Systems efficiency & effectiveness

Optimise business processes

BusinessInnovator

Data management

Enable new customer service

channels Competitive Advantage

Globalization

Enables "go to" market strategiesEnterprise agility



Translating CEO speak to CIO Priorities

Change agent priorities CIO Priorities

Align the strategy, vision and goals by creating a shared

vision for the future

Play a constructive rolein all stages of planning

Focus on what needs to change and visualize the

“journey” ahead

Plan change steps carefully. Communicate clearly.Communicate often.

Support the business.





Establish two way dialog by involving the whole

organisation.

Simplify collaboration & communication.

Both "top to bottom" and between departments.

Align performance management processes to

desired outcomes and behaviours

Ensure KPIs match goals.Eliminate KPIs which are

counterproductive.





Identify & measure successes early and often

Find quick wins.Communicate them.

Rinse, repeat.

Deal proactively with resistanceDo your homework.

Eliminate technology or process barriers to changes.



How to be taken seriously by the board

Deliver reliable infrastructure

Become an expert on your industry's value chain

Take on business-centric transformational roles – not just tech projects

Support the CEO and executive team in creating a climate of change

Contributions from, CIO, Cognizant & Grant Thornton


Innovation through collaborationQuestion?

Innovation v Productivity

What's the trade-off?


Innovation through collaborationTelling it as it is?

• Shifting priorities– from efficiency focus to innovation focus - through their people

• Abandon “industrial-age” obsession with business processes– move towards “augmenting human interaction”

• Develop low friction communication environments– people interact effortlessly through seamless communication

mediums and social collaboration.

• Become role models and educators for the change you want– Lead and support employees and customers

Source; Microsoft Australia CTO Greg Stone


Poor collaboration & stifled innovation are significant barriers to effective change

CIO's are uniquely positioned to help:– Creating open and transparent knowledge

sharing solutions

– Breaking down the behavioural barriers (virtual teams & social networking)

– Give people "permission" to collaborate and co-design solutions (leadership)

– Allow alternative approaches to problems

Innovation through collaborationFocus on what matters

Remove Barriers


Acknowledgements

"What successful Transformations Share", (McKinsey & Company; 2010)http://www.mckinseyquarterly.com/What_successful_transformations_share_McKinsey_Global_Survey_results_2550

"Corporate Transformation Under Pressure – Survey Results" (McKinsey & Company; 2008)http://www.mckinseyquarterly.com/Corporate_transformation_under_pressure_2308

"Next Generation CIO's, Change Agents for the Global Virtual Workplace"; (Cognizant Consulting 2010)www.cognizant.com

"The Future Workforce has Arrived – Time to Refocus IT"; (Cognizant Consulting 2011)www.cognizant.com

"The Big Six; Framework for IT Values and Leadership"; (CIO Executive Council, 2010)https://council.cio.com/estore

"Leaders Shaping the Future of Business"; (CIO Executive Council)

"Staff culls kill innovation presentation" (Greg Stone, CTO Microsoft 2011)http://www.zdnet.com.au/staff-culls-kill-innovation-microsoft-339323612.htm?ocid=nl_TNB_05102011_fea_5

change and innovation; and the role of today's cio - idg · 2013-08-08 · business strategist...

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