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Organizations are continually searching for innovative ways of enhancing competitiveness. This is brought about by evolving external factors pic1 Burke-Litwin Change Modelsuch as changing demographics, globalization, and technology. Because of changing dynamics, it has required managers to rapidly rethink and retool their organizational management strategies.

Coming up with the appropriate strategies calls for an increasing need for organizational diagnosis in developing and maintaining a competitive advantage. Researchers believe that in conducting organizational diagnosis, organizational effectiveness must be viewed from a systems perspective using a multidimensional approach in assessing the factors affecting enterprise performance management.

At this point wherein the role of organizational climate in business performance has become significant, there is a need for a business model that is most influential. To date, the Burke-Litwin Change Model is the best known and most influential model suitable when it comes to organizational climate.

A Quick Look at Burke-Litwin Change Model

The Burke-Litwin Change Model is seen as a conceptual framework that can best describe the relationships between different features of the organization, as well as its context and effectiveness.

According to Burke and Litwin (1992), Change Management models are not meant to be prescriptive. They are meant to provide a means to diagnose, plan, and manage change. Using the Burke-Litwin Change Model will provide organizations an effective diagnostic tool to improve overall organizational performance. It is a useful model for understanding the organizational change process.

The Burke-Litwin Change Model, as a change management tool, assumes 12 organizational elements that determine a change within an organization.

The Burke-Litwin Change Model 12 Drivers

The 12 key drivers of the Burke-Litwin Change Model interact with and affect each other. The change in the 12 key drivers brings about a series of changes in the structure, practices, and the system of the organization.

The 12 key drivers have been organized based on their specific roles within the organization.

pic 2 Burke-Litwin Change Model

Input.

  1. External Environment.  The External Environment is the external influences important fo organizational changes. These are the economy, customer behavior, competition, politics, and legislation.

Throughput: Transformational Drivers. Transformational Drivers are those that make up the fundamental structure of an organization. It relates to the organization as a whole. There are 3 Transformational Drivers.

  1. Mission and Strategy Development
  2. Leadership Development
  3. Corporate Culture

The 3 key drivers have over-riding importance of dealing with a change that is intended to share up “the way things are done around here.”

Throughput: Transactional Drivers

Transactional drivers are drivers that are more easily changed, but rarely have the same kind of impact on organization-wide performance. This concerns daily activities that take place in organizations and their mutual cohesion. There are 7 Transactional Drivers.

  1. Structure
  2. Systems
  3. Management Practices
  4. Work Climate
  5. Task and Individual Skills
  6. Individual Needs and Values
  7. Motivation.

The Transactional Drivers can affect performance.  However, performance can only be long-lasting if these key drivers are aligned. The 7 key drivers are critical in their role of supporting the change process.

 Output

Individual and Organizational Performance is the 12th key driver. It is the outcome of the change.

The 12th Key Driver: The Individual and Organizational Performance

The only thing that is constant is change. As output changes, so does the input and the factors of change. Individual and Organizational Performance is the measure of the effectiveness of the change. It measures the performance levels of both the individual employee and on the departmental and organizational level.

Individual and Organizational Performance can be measured on the basis of turnover, productivity, quality requirements, efficiency, and customer satisfaction. This is the key driver that impacts on the external environment.

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Business Process Reengineering (BPR) can be a great success but it can also be a great failure.

After months or years of careful redesign, organizations can achieve dramatic improvements in individual processes.  However, a paradoxical outcome has become almost a commonplace. Organizations suddenly find themselves watching the overall results decline. Process costs were reduced by 34% yet operating income stalls.  Claims process time cut by 44% yet profits drop. It seems that organizations are squandering management attention and other resources on projects that look like winners but fail to produce bottom-line results for the business unit as a whole.

Reengineering can actually deliver revolutionary process improvements and many organizations have been undertaking major reengineering effort.   However, like any major change program, a reengineering project can produce lasting results only if it is designed and implemented the right way.

 Implementing Business Process Reengineering

BPR implementation is a series of waves that can wash over the organization for years, leaving a system for continuous improvement. It must be undertaken with a clean slate approach to process design. Only then can companies avoid a classic reengineering pitfall of focusing on fixing the status quo.

Implementation of the Business Process Reengineering requires that new infrastructures are planned and built to support this Business Transformation. The full commitment of senior executives on its redesign and implementation must also be present to ensure the success of the reengineering project.

It is essential that organizations have a good understanding of the success factors, as well as root causes of failure.  While reengineering projects can succeed, it can also fail.  There are 4 practices that are the most damaging.

The 4 Root Causes of Failure

The root causes of failure remain a challenge for organizations.  These are 4 causes they must watch out for to achieve a successful BPR implementation.

  1.  Assign average performers. This is the tendency of organizations to enlist average performers from headquarters. This often happens because of an existing belief that assigning top performers will affect the business unit’s performance.
  1. Measure only the plan. Measuring only the plan happens when there is a lack of a comprehensive measurement system.  The organization also fails to track whether the implementation is succeeding or failing.
  1. Settle for the status quo. Settling for the status quo is a very deadly decision or reaction. When this happens, aspirations are never translated into reality. There exists the inability to think outside existing skill levels, organizational structure, or system constraints. Further contributing to this is the existence of political infighting on incentives and information technology during implementation. When this exists, often the decision is to maintain a status quo that could be debilitating to the organization.
  1. Overlook communication. During BPR implementation, there is a tendency to overlook communication.  Probably due to a lack of proper understanding, the level of communication is underestimated during implementation. Often, communication is done using memos, speeches, or PR videos.  While these may have its purpose, at times these methods can be limiting.

BPR implementation requires a small group format where employees can give feedback and air their concerns.  This may be time-consuming but it is important. In fact, organizations must create a comprehensive communication program that uses a variety of methods of communication.  When this is undertaken, the chances of succeeding during the BPR implementation is high.

BPR implementation is most crucial.  Hence, organizations must have a keen eye, as well as strong leadership development and commitment, to pursue it despite its challenges. BPR implementation is a series of waves that can wash over the organization for years. Hence, a system of continuous improvement must be in place.

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The global economy is currently producing nearly 300 million tons of plastic every year, Half of these is for single use. With the population CSR Circular Economy pic2agrowing at a fast rate, we are requiring more resources than ever before. Yet, our finite resources are diminishing

Our economy has been built on the concept of a Linear Economy. This is Extract, Manufacture, Distribute, Use, and Dispose of. However, over the past few decades, we have transitioned to a disposable society as we generate waste at an unmanageable rate.

Today’s Business Transformation calls for a shift to a Reuse Economy or the Circular Economy.  Moving towards a more Circular Economic activity could deliver benefits such as reducing pressure on the environment, improving the security of the supply of raw materials, increasing competitiveness, stimulating innovation, and others. Moving into a Circular Economy also means that companies are considering sustainable approaches to balance out opportunities for business and the preservation of the environment.

The Shift to a Circular Economy

The Circular Economy is an economic system aimed at eliminating waste and the continual use of resources. It employs recycling, reuse, remanufacturing, and refurbishing to create a close system. With Circular Economy, it minimizes the use of resource input and the creation of waste.

A Circular Economy has a great impact on sustainability. It maximizes the conservation of resources and the reduction of environmental pollution.

In a Circular Economy, industries can increase profitability while reducing dependence on natural resources.

Discovering the 6 Core Activities of a Circular Economy

The 6 Core Activities of a Circular Economy are stepping stones towards increasing productivity, cost savings, and generating greater economic benefits.

A Purview of Circular Economy in Action

Taking the 6-step journey to achieve greater sustainability can lead organizations to draw on the power of the Circular Economy to achieve greater value. Let us take a purview of a Circular Economy in action: The Waste Management Case Study

The Waste Management Case evolves in a scenario where the economic growth in emerging markets has raised living standards resulting in massive waste. As such, municipalities in these markets are spending up to half of the budget on solid waste management.

As a result of economic growth, there is massive consumer and industrial waste generated. In fact, metals extracted from tires in open backyard fires can cause great harm to human health and the environment.

We are in this dilemma right now. With the application of the Circular Economy, we can better address these problems by creating infrastructures to organize and manage waste supply chains. This can include digital transformation.

What is the underlying Circular Economy Principle? It is AGGREGATION. With this principle, we can aggregate volumes substantial enough to justify the business investment. We can enable companies to build the business from waste.

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Many large corporations depend on M&A for growth and executives can boost the value that deals create. But poorly executed M&A can saddle pic 2 Board Excellence M&Ainvestors with weak returns on capital for details. In fact, the margin between success and failure is slim.

Many Boards are reluctant to cross the line between governance and management. The level of engagement is often outside the comfort zone for some executives and directors. As such, they miss opportunities to help senior executives win at M&A.

There is a need to modernize the Board’s role in M&A. Modernizing the role of the Board in M&A can result in the alignment of the Board and management on the need for bolder transactions with more upside potential. Further, this is essential in achieving a competitive advantage.

The 3 Core Opportunities in M&A

There are 3 core opportunities for the Board to play an impactful role in M&A.

  1. Potential for Value Creation. The first core opportunity, potential for Value Creation enables the Board to challenge the executive’s thinking on potential transactions. This is an opportunity for the Board to maintain constant touch with the company’s M&A strategy, the pipeline of potential targets, and emerging deals.
  1. PMI Plans. This is an essential core opportunity that enables the Board to boost value creation to as much as 2-3x the net value. Post-merger Integration (PMI) Plans representat an opportunity to pressure test against stretch growth and cost goals before and after a deal. Greater variation in the quality of post-merger plans exist compared to financial analysis and pricing of transactions.
  1. Competitive Advantage in M&A. Competitive Advantage is a core opportunity that is unrelated to a transaction’s deadline. This is an opportunity to create a competitive advantage through M&A skills. These are corporate assets that can be difficult to copy. Making that decision to create a competitive advantage through M&A can lead to bolder decisions with more upside results.

The 3 core opportunities can promote greater Board engagement. When this happens, discrete deals can be converted into ongoing deal processes and dialogues that can deliver greater value from M&A.

Maximizing Core Opportunities to Attain the Greatest Deal

The potential of the 3 Core Opportunities to embolden the role of the Board in M&A is great. Organizations just need to have a good understanding of each core opportunity and the underlying key areas or dimensions of each key area. Let us take a look at the 1st Core Opportunity: Potential for Value Creation.

The Potential for Value Creation has 3 critical key areas that can challenge that lead opportunistic transaction to succeed. One critical key area is Strategic Fit.

Strategic Fit is key to determining why a company is a better owner than competing buyers. Deals driven by strategy succeed more often when they are part of a stream of similar transactions that support that strategy. This is a key element in Strategy Development.

How can we enhance the role of the Board relative to this key area? The Board can play a vital role in clarifying the relationship between a potential transaction and strategic planning. They are also in the best position to define how the deal will support organic-growth efforts in target markets and provide complementary sources of value creation.

The other key areas under the Potential for Value Creation are Financial Statements and Risks vs. Rewards. The Financial Statements is a key area that can correct the Board’s tendency to put emphasis on price-to-earnings multiples which can be limiting. The Risks vs. Rewards, on the other hand, is a key area that challenges the Board to acknowledge uncertainties in pro forma.

The other 2 Core Opportunities also have their own essential points or dimensions the Board must focus on. Only then can these core opportunities be of the maximum potential of modernizing the Board’s role in M&A and gaining the greatest value.

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BehaviorInculcating productive workforce behaviors is of utmost significance in Business Transformation, successful Strategy Execution, and Performance Improvement.  However, making people embrace productive behaviors involves a concerted effort across the organization.

The realization of Transformation, Strategy, and Performance improvement goals can become a reality by developing a thorough understanding of the 4 components of Organizational Behavior.  These components act as powerful levers in shaping the desired behaviors in the workforce:

  1. Organizational Structure
  2. Roles and Responsibilities
  3. Individual Talent
  4. Organizational Enablers

These Organizational Design levers work effectively when combined and aligned.  Let’s discuss the first 2 levers in detail now.

Organizational Structure

Organizational Structure represents the management reporting lines that create the organization’s spans of control, layers, and number of resources.  Organizational Structure is a foundational driver to Organizational Design, which also has a strong positive bearing on promoting the behaviors critical to improve the overall performance of the enterprise.  This is owing to the power that a position exerts on the subordinates based on factors that are important for individuals—e.g., work, compensation, and career ladder.

The Organizational Structure indicates an enterprise’s priorities.  An organization is typically structured in accordance with its top most priority.  For instance, functional organizational structure is adopted by enterprises having functional excellence as a priority.  In present-day’s competitive markets, most organizations have to deal with several priorities at a given time, which could be conflicting.  However, this does not mean adding new structures on top of existing ones, thereby increasing unnecessary complexity.  Creating overly complex structures to manage multiple priorities results in red tape and delayed decisions.  All roles are interdependent, necessitating cooperation.  This means taking care of the needs of others—instead of just watching over personal priorities—and encouraging individual behaviors that boost the efficiency of groups to achieve collective objectives.

Roles & Responsibilities

Roles and responsibilities deal with tasks allocated to each position and individual.  Organizational Design depends heavily on redefining clearer and compelling roles and responsibilities—to avoid any duplication of efforts or creating adversaries among team members.  In a collaborative culture where cooperation is the mainstay of an organization, individuals should not only be aware of what is required of them, but also appreciate the responsibilities of their team members, the authorities their roles exercise, the skills required, and the metrics to measure success.

A methodical way to outline roles and responsibilities effectively—while minimizing complexity—that encourages cooperation and empowerment is through the “Role Chartering” technique.  The technique requires distinctly identifying all roles on the basis of 6 key factors:

  • Describing shared and individual accountabilities
  • Outlining indicators to track success
  • Specifying who has the right to decide what
  • Indicating the capabilities critical for roles
  • Assigning the leadership traits valuable for the roles
  • Charting the abilities required for accomplishing personal and team goals.

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4 Organizational Design (OD) Elements Essential to Inculcate the Desired Behaviors Across the Organization

When things go wrong on a grand scale, often we direct our attention to the role of the Board. Debate exudes and often gets heated up and pic 1 Long-term Mindsetintensifies. This often happens when the Board spends more time looking in the rearview mirror and not enough scanning the road ahead. When this happens, governance suffers.

Often, the Board of Directors spend a bulk of its time on quarterly reports, audit reviews, budgets, and compliance.  However, with the change in the business environment, there is a greater need to redirect the Board’s attention on matters crucial to the future prosperity and direction of the business. One of this is Strategy Development.  Achieving this requires the development of a dynamic Board with a long-term mindset capable of creating forward-looking agenda and activities that get sufficient time over a 12-month period.

The Changing Board Agenda

The Board Agenda is changing. It is becoming more dynamic and it has increasingly highlighted forward-looking activities.  Long-term economic, technological, and demographic trends are radically shaping the global economy. The second Industrial Revolution now requires the Board to shift focus. The Board is now challenged to focus on matters crucial to achieving Operational Excellence and the future direction of the organization. Directors must devote more time to strategic and forward-looking aspects of the agenda. They must cease seeing the job as supporting the CEO, but instead, be strategic in making sure long-term goals are formulated and met.

Having a forward-looking Board has now become every organization’s imperative.  However, this can only be achieved if there is a solid foundation that is anchored on three guiding principles. Organizations must have the right Board Member, a clear definition of the Board’s role, and greater time commitment from members. At this time when a long-term mindset has come to a fore, these have become essential.

Developing a Long-term Mindset: The 4 Essential Tactics

“Strategy without tactics is the slowest route to victory. Tactics without strategy are the noise before defeat.” – Sun Tzu

Organizations can undertake 4 essential tactics to encourage the Board to have a long-term mindset.

pic 2 LOng term MIndset

  1. Study the External Landscape. This is the starting point of creating a forward-looking mindset. The primary purpose of this tactic is to expose the Board to new technologies and market developments relevant to the company’s strategy. Studying the external landscape will challenge management with critical questions.
  1. Participate in Strategy Development. This tactic focuses on making strategy a vital part of the Board’s DNA. Participating in the Strategy Planning process will strengthen the Board’s role in co-creating and ultimately agreeing on the company’s strategy.
  1. Focus on Long-term Talent Development. The third tactic, this tactic focuses on unleashing the full power of the people. It will effectively reallocate skills and experience to a business with more potential.  To achieve its expected result, the key is the Board must agree with management on a sensible approach to reviewing executive talent.
  1. Identify Existential Risks. This is the tactic that focused on the Risk Management of existential risks. Because of accelerating technological progress, existential risks have become a recent phenomenon. Existential risks have a great detrimental impact not only on business but also on mankind. The Boards have the duty to ensure that management teams pursue bottom-up investigations, identify key risk areas, and act on the results.

The 4 tactics are essentially effective in creating long-term mindsets.  When this is achieved, Board Excellence is never far behind.

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The pressure on Boards and Directors to raise their game has remained acute. A survey of more than 770 directors from public and private expert panel piccompanies across the industries around the world suggested that some are responding more energetically than others.

There is a dramatic difference between how directors allocate their time among boardroom activities and the effectiveness of the Boards. One in four directors assessed their impact as moderate or lower, while others reported as having a high impact across Board functions.

Today, the call to become more forward-looking and achieving Board Excellence is further highlighted. This is further emphasized when the Board and Management are pressured to find the best answers to global business concerns and issues. In Strategy Development, this becomes invaluable. It does not only lead to clearer strategies but also the creation of alignment essential in making bolder moves.

While these are essential, there is a need to raise the quality of engagement on strategy between the Board and Management for each group to achieve smarter options. This is possible only if organizations have high impact, strategic Boards in place.

High impact, strategic Boards have a greater impact as they move beyond the basics and face increasing challenges.

The Challenges that Today’s Board Face

Business is fast-changing and rapidly transforming. The global economy is increasingly pushing businesses, as well as the Board to face a gamut of challenges.

What are the 2 main challenges facing Boards today?

First is Time Commitment. Working at a high level takes discipline – and time. In fact, the greater time commitment is expected on high impact activities. The Board often have 6 to 8 meetings a year. As a result, they are often hard-pressed to get beyond the compliance-related topics to secure the breathing space needed for developing a strategy.

Often, it is the very high impact Directors who invest more time compared to moderate or lower average Directors.

Who are your very high impact Directors? They are those spend a total of 40 days a year working for the Board compared to 19 days of low impact Directors. An extra 8 workdays a year is invested in strategy and an extra 3 workdays a year are spent on Performance Management, M&A, Organizational Health, and Risk Management.

High impact Directors who believe that their activities have greater impact spend significantly more time on these activities compared to low impact Boards.

Second is Strategy Understanding. Why is Strategy Understanding a challenge for the Board? Limited understanding of the organization’s strategy can result in the Board’s limited engagement with the organization. Based on the survey made, only 21% of the Directors have a complete understanding of the current strategy. Often, Board members have a better understanding of the company’s financial position rather than its risks or industry dynamics.

If we look at high impact Directors, they invest more time in dealing with strategic issues. In fact, they invest 8 extra workdays a year on Strategic Planning and discussing strategy compared to low impact Directors. High impact Directors center on Strategy Focus Areas which can, in turn, spur high-quality engagement from the Board on strategy development. The quality of Board engagement on strategy is enhanced, both when the engagement is deep and during the regular course of business.

The Board just needs to focus on 3 areas of discussion for the Board to enhance Strategy Development. One of them is Industry and Competitive Dynamics.

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“The only thing that is constant is Change.” – Heraclituspic1 Leavitt's Diamond

An epidemic of change is happening globally–reengineering, restructuring, and revamping! Workplaces seem to be launching one change initiative after another.  Digital Transformation is happening everywhere. Yet, the hard truth is that many change initiatives fail.

Change Management initiatives fail because of the way organizations view change. Often, change is seen as an isolated process. Organizations tend to focus on only one part of the organization in isolation. This can be a fatal error.

Everything in an organization is connected, and changing one piece can impact another. Hence change can only be successful if all interconnected pieces are considered. In 1965, Harold J. Leavitt designed an integrated approach to change, the Leavitt’s Diamond.

What is Leavitt’s Diamond?

Leavitt’s Diamond is a framework for understanding the connection between the key factors in an organization, and building an integrated change strategy. This is an essential element in Strategy Development.

The Structure, Tasks, People, and Technology are the 4 essential components of the Leavitt’s Diamond.

pic 2 Leavitt's Diamond

  1. Structure – The Structure refers to the organization’s hierarchical buildup and the layout of the various departments. However, this is not limited to its hierarchical buildup. It can also refer to the mutual relations that exist between departments and employees, the coordination between various levels of management, and the communication patterns.
  1. Tasks – The Tasks refers to the functions individual employees are assigned within their jobs. This relates closely to the organization’s goals on the strategic, tactical, and operational levels.
  1.  People – These are your people – your staff, your employees. Beyond its physical countdown, this component also refers to all skills, competence, knowledge, and efficiency that employees bring to the organization.
  1. Technology – Technology refers to the upgraded machines and devices, as well as systems and software applications that build up the performance of tasks within an organization.

Between these 4 components, there must be the right balance. Only then can change be successfully implemented.

From the Drawing Board to the Ground Running

Having a good understanding of the Leavitt’s Diamond is important for organizations. However, the most critical is having it on the ground running. Each of the components must be identified, defined, and determined–your main tasks, your people, your tasks, and structure.

This is critical because you are building a basic framework for starting the change model. Without the right balance of Structure, People, Tasks, and Technology, the Business Transformation necessary will never occur.

Organizations must also take note that a primary change will always have an impact on each of the 4 components. A change in one component comes with changes in other components of the Leavitt’s Diamond. When this happens, there is a need for necessary adjustments.

Taking The Impact of Change on Tasks As an Example

  • Change in People Component: Training or specific hiring policy can change staff and employees’ knowledge and expertise.
    • What is the impact on Tasks? There is a change in individual tasks within the employees’ job.
  • Change in Structure Component: Restructuring of departments, change in the arrangement of job positions, or even reorganization.
    • What is the impact on Tasks? A different way of working is expected from employees to include different ad/or additional tasks.

This is also expected when there is a change in Technology and a corresponding impact on Tasks. Organizations must need to take note that changes in any component must be aligned with changes in other components. Again, there must be a balance for Leavitt’s Diamond Change Model to succeed.

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automobile-car-interior-control-counter-110990Business dashboards are important tools to measure key performance indicators and data pertaining to an organization or certain procedure.  Just as a vehicle dashboard is powerful performance management tool in summarizing a performance of a multitude of processes, a business dashboard summarizes the performance or impact of a host of functions, teams, and activities; and assists in strategic planning and decision making.

Business dashboards simplify sharing and analysis of large data, and help users visualize complex performance data in simple yet visually aesthetic manner.  Dashboards aid in simplifying complex processes into smaller more manageable information pieces for the organizational leadership to focus on everyday operations.  They keep everyone on the same wavelength and prioritize display of facts based on their importance and potential impact.  The information on a well-designed dashboard is clear, presentable to enhance meaning, readily accessible, and dynamic.  A carefully-planned dashboard allows the leadership to identify and answer business challenges in real-time, develop plan of action based on insights, and inculcate innovation.

Proficient and capable dashboard designers and firms have taken the art of visualization of valuable indicators and insights through dashboards to the next level.  They have devised specific guiding principles, dos and don’ts, and time-tested development routines to accomplish this.  These guiding principles comprise 10 best practices, which can be segregated into 3 major implementation categories:

  1. Planning

  • Analyze your audience
  • Contemplate display options
  • Prompt application loading time
  1. Design

  • Exploit eye-scanning patterns
  • Restrict number of views & colors
  • Let viewers filter data
  • Ensure proper formatting 
  1. Refinement

  • Use Tooltips to reinforce story
  • Eliminate redundancy  
  • Review the dashboard carefully

Let’s discuss the first 5 best practices for now.

Analyze your audience

A careful analysis and understanding of the business dashboard’s intended audience is the first important principle to consider before commencing the development of such a dashboard.  For instance, a busy salesperson in need of quickly going through indicators, whereas senior management needing a deep-down review of quarterly sales results.  This gives the developers a thorough idea of what the audience wants from a dashboard, what data they will visualize utilizing this, and let them know the audience’s technical capabilities in terms of data analysis, theme, issue, and business understanding.

Contemplate display options

The second principle to follow in designing a business dashboard is to research your users’ device and display preferences beforehand.  Building a dashboard with desktop display options in mind when your audience prefers to use phones to view it could be a disaster.  The designers should set the size of the dashboard properly—allowing the users to view it on a range of devices, by building in automatic sizing option for the dashboard to adopt to the dimensions of the browser window.

Prompt application loading time

Your audience and viewers are busy people who hate long waits.  Therefore a stunningly designed dashboard would not get the right traction if it takes too much time to load.  The dashboard author should facilitate prompt dashboard loading by deciding which filters to add in the dashboard and which ones to exclude.  For instance, although filtering is useful in restricting the amount of data analyzed, it effects query performance.  Some filters are quite slower than others as they load all of the data for a dimension instead of just what you want to keep.  Knowing the Order of Operations is also beneficial in reducing the load times.

Exploit eye-scanning patterns

The dashboard authors should have a deep sense of the main purpose of the dashboard in mind when develop such a tool.  They need to be aware of individuals’ eye tracking patterns—typically when most people look at a screen or content, they start scanning the upper left hand corner of the screen first by intuition—and make the best use of the screen space to display the most important content at the right place.

Restrict number of views & colors

The designers often get over enthusiastic during their application designs and try to stuff the dashboard with multiple relevant views.  This is detrimental for the bigger picture.  They must include not more than 2 to 3 views per dashboard and create more dashboards in case the scope creeps beyond the 2-3 views range.  It is also crucial to ensure the content to be clearly visible to the viewer and to use colors correctly to facilitate analysis instead of cramming too many colors in the visuals, which creates a graphical overload for the viewers, slacken analysis (or may even prevent users to analyze data), and even blur the graphics.

Let viewers filter data

Allowing users to filter the data is another best practice to keep in mind while designing business dashboards.  This added interactivity encourages data assessment and permits the users to have their most important view act as a filter for the other views in the dashboard.  This helps in conducting side-by-side analysis, promotes involvement, and retains users’ interest.

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Lean Management plays a significant role in putting in place processes, capabilities, and tools to improve how businesses operate. But, the pic 1 Digital TransformationDigital Age has increased both the opportunities for businesses who know how to react and the difficulty of getting it right.

Tasks performed by humans are now more complex be it accessing information in multiple formats from multiple sources or responding to changing market and customer dynamics at an ever-increasing speed. As an increasing number of tasks become automated or taken over by cognitive-intelligence capabilities, companies need to learn from lean management. Like a sprinter who needs all her muscles to be finely tuned and working in concert to reach top speeds, fast-moving institutions must have a system to continually synchronize strategies, activities, performance, and health.

Many organizations understand the need to change how they work and have embarked on numerous initiatives, yet few have been able to get beyond isolated success cases or marginal benefits. Most companies recognize the need for a Next-gen Operating Model to drive their business forward their Digital Transformation initiatives. But, how they develop it makes a big difference.

The Next-gen Operating Model

There are 4 core pillars of a Next-gen Operating Model. Putting these in place will ensure its successful implementation.

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  1. Autonomous, Cross-functional Teams. The first pillar is focused on empowering the team to own products, services, or journeys. Having autonomous, cross-functional teams, organizations can become nimble in building skills across their teams. They make anchor hires for key roles, set up rotational and train the trainer programs, and commit to ongoing capability building and training for key roles.
  1. Flexible, Modular Platform. The second pillar is focused o supporting a faster deployment of products and services. Having Flexible, Modular Platforms will enable technology teams to better collaborate with business leaders in assessing which systems need to move faster.
  1. Connected Management System. The third pillar focuses on driving a culture of continuous improvement that cemented on customer needs. A Connected Management System will ensure that Management systems are evolving to create feedback mechanisms with and between various operations and teams.
  1. Agile, Customer-centric Culture. The fourth pillar is focused on speed and execution over perfection. Having an Agile, Customer-centric Culture is critical to success. It leads the change from the top and builds new ways of working across organizational boundaries. When functions and teams collaborate, effective time to market to reduced as well as operational risk.

The path to building up the Next-gen Operating Model follows well-defined approaches to guide organizations. These approaches will be every organization’s guide to operating model transformation during the first 12 months.

Following the 4 Critical Approaches to Operating Model Transformation

The 4 critical Approaches to Operating Model Transformation works well when there is a broad and top-down organizational mandate for change. Before anything else, organizations must make sure that the change mandate is in place so that the entire organization is aligned with the proposed change.

One of the 4 Critical Approaches is the Innovation Lab. The Innovation Lab is a dedicated unit set up to be entirely separate from the historical culture, decision-making bureaucracy, and technical infrastructure of the main business. It hatches new business models in an informal setting. It is best used when there is a need to move very quickly in response to market pressures.

Mastering these various approaches will enable organizations to better go through the Operating Model Transformation in the most effective way to achieve Operational Excellence.

Interested in gaining more understanding of Operating Model Transformation? You can learn more and download an editable PowerPoint about Digital Transformation: Operating Model Transformation here on the Flevy documents marketplace.

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