STRATEGICTRANSFORMATIONMastering Strategy Implementation in Transformative Times
INTERNAL TALENTAND TEAMS
VISIONARYLEADERSHIP
POWER OF FRAMEWORKS
TECHNOLOGY AS A CATALYST
APPENDIX
2STRATEGIC TRANSFORMATION | ©2020 BRIGHTLINE INITIATIVE
Which of the following C-level titles do you hold?
Which of the following best describes your position at your current organization?
This appendix is a complementary resource to “Strategic Transformation: Mastering Strategy Implementation in Transformative Times,” an executive report created by the Brightline Initiative, a Project Management Institute (PMI) initiative. The global survey polled 1,009 business leaders and interviewed 15 executives, many from organizations with annual global revenues of $750 million or more (59%).
Participants spanned North America, South America, Europe, the Middle East, Africa, Asia, Australia, and the Pacific Islands. Individuals in C-level positions constituted 28% of respondents, and organizations represented included for-profits (91%), government (8%), and non-profits (1%).
Appendix
Q2
Q3
28%
24%
48%
C-level Executive
Senior Management
Directors and Senior Managers
Chief Digital Officer
5%
Chief Security Officer
3%
Chief Human Resources Officer
2%
Chief Strategy Officer
1%
Chief Transformation Officer
1%
Other
1%
Chief Marketing Officer
>1%
6%
Chief Financial Officer
13%
Chief Operating Officer
20%
Chief Information Officer
48%
Chief Executive Officer
3STRATEGIC TRANSFORMATION | ©2020 BRIGHTLINE INITIATIVE
What industry do you work in?My job responsibilities include:
Q4 Q5
Both designing and implementing strategy
Implementing, but not designing strategy
Designing, but not implementing strategy
81%
15%
4%
18%Technology
9%Finance
8%Government or public sector
8%Retail
7%Manufacturing
6%Healthcare or medical services
5%Engineering, construction, or architecture
4%Automotive and transportation
4%Education
3%Business services
3%Insurance
3%Telecommunications
3%Energy, mining, or utilities
2%Other
2%Consumer goods
Industries represented below 2% included:
• Food and beverage
• Consulting or other professional services
• Travel and hospitality
• Advertising
• Human resources
• Logistics
• Industrial
• Fashion
• Non-profit
• Wholesale
• Arts and entertainment
• Life sciences, pharmaceuticals, or medical devices
• Real estate or property management
• Agriculture
• Media
• Luxury
• Law
4STRATEGIC TRANSFORMATION | ©2020 BRIGHTLINE INITIATIVE
How many employees work at your current organization? What is the annual revenue of your organization?
Q6 Q7
>1% 8%
500-999 employees $100M - $250M
>1%
100-499 employees
5%
Less than 100 million
24% 15%
5,000-9,999 employees $500M - $750M
40% 13%
1,000-4,999 employees $250M - $500M
13% 20%
10,000-19,999 employees $750M - $1B
23% 39%
20,000+ employees Greater than $1B
5STRATEGIC TRANSFORMATION | ©2020 BRIGHTLINE INITIATIVE
Where is your organization located?
Q8
9%13%10%
Europe
Middle East and Africa
Asia, Australia, and Pacific Islands
58%
10%
North America
South America
6STRATEGIC TRANSFORMATION | ©2020 BRIGHTLINE INITIATIVE
Approximately what percentage of your organization’s strategic initiatives are completed successfully?
What are the most critical metrics used to measure the success of strategic initiatives at your organization?
Q9 Q10
58%Revenue growth
43%Customer acquisition and retention
33%Operational efficiency
29%Brand recgonition
28%Employee engagement and satisfaction
24%Talent attraction and retention
22%Cost reduction
20%Meeting set deadlines
18%Strength of competitive positioning
15%Positive shareholder or board sentiment
10%Critical non-financial targets (ex: compliance)
28%
40-59%
11%
20-39%
1%
0-19%
39%
60-79%
21%
80-100%
7STRATEGIC TRANSFORMATION | ©2020 BRIGHTLINE INITIATIVE
Q10 RANKING OF TOP CRITICAL METRICS, 1 = MOST IMPORTANT
1
2
3
16% 40% 33% 33% 30% 25% 24% 23% 22% 19% 56%
40% 41% 25% 34% 31% 30% 39% 34% 32% 37% 29%
44% 19% 42% 33% 39% 45% 37% 43% 46% 44% 15%
100%100% 100%100%100% 100%100%100% 100%100%100%
Strength of competitive positioning
Customer acquisition and retention
Positive shareholder or board sentiment
Meeting set deadlines
Operational efficiency
Employee engagement and satisfaction
Cost reduction
Brand recognition
Talent attraction and retention
Critical non-financial targets
Revenue growth
8STRATEGIC TRANSFORMATION | ©2020 BRIGHTLINE INITIATIVE
What are the most common challenges in implementing strategy at your organization? Please choose your top 5 challenges.
Q11
44%Skills gap within internal talent
41%Lack of resources
40%Insufficient technology
37%Lack of efficient processes guiding strategy
35%Inability to recruit the necessary external talent
33%Competition from similar organizations
31%Employee mindset and behavior
30%Handoffs between different teams
29%
29%Government regulations
Poor communication and collaboration across teams
27%Resistance to change
27%KPIs don’t measure the impact of strategy
19%Internal company politics
18%Executive teams have differing priorities
17%Risk of failure prevents innovation
17%Failure to sufficiently understand and manage complexity
15%Unnecessarily siloed organizational structures
10%Necessary stakeholders are not engaged
1%Other
9STRATEGIC TRANSFORMATION | ©2020 BRIGHTLINE INITIATIVE
Q11 RANKING OF COMMON IMPLEMENTATION CHALLENGES, 1 = MOST DIFFICULT CHALLENGESiloed org. structure
Skills gap within internal talent
Risk of failure prevents innovation
Resistance to change
Poor communication and collaboration
Other
Stakeholders not engaged
Inaccurate metrics, KPIs
Lack of resources
Lack of processes
Internal company politics
Insufficient technology
Inability to recruit external talent
Handoffs between teams
Government regulations
Failure to manage complexity
Executive Teams with different priorities
Employee mindset, behavior
1
2
3
4
5
12% 17% 8% 16% 14% 14% 12% 16% 46% 16% 9% 26% 18% 30% 20% 11% 18% 17% 22%
22% 26% 14% 18% 19% 14% 11% 15% 19% 22% 18% 29% 22% 26% 20% 11% 17% 17% 14%
18% 24% 19% 16% 26% 0% 20% 21% 12% 24% 20% 20% 24% 20% 15% 18% 21% 16% 23%
18% 20% 28% 18% 25% 15% 26% 27% 13% 21% 19% 15% 21% 14% 20% 15% 26% 26% 19%
30% 13% 31% 32% 16% 57% 31% 21% 10% 17% 34% 10% 15% 10% 25% 45% 18% 24% 22%
100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%
10STRATEGIC TRANSFORMATION | ©2020 BRIGHTLINE INITIATIVE
47%Sufficient resources
45%Existing talent with the right skillset
44%Access to cutting edge technology
42%Effective talent acquisition
36%Efficient processes designed to guide strategy
35%Effective communication and collaboration across teams
30%Adapting to change
30%Employee mindset and behavior
30%Efficient handoffs between teams
29%Metrics and KPIs that accurately measure the impact of strategy
23%Executive teams are aligned on priorities
21%Government support
18%Encouraged experimentation spurs innovation
18%Lack of competition from similar organizations
16%Necessary stakeholders are engaged
13%Internal company politics
12%Complexity is sufficiently understood and managed
11%Matrixed organizational structure
What are the most common factors that result in successfully implementing strategy at your organization? Please choose your top 5.
Q12
Competition
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Q12 RANKING OF IMPLEMENTATION SUCCESS FACTORS, 1 = MOST SUCCESSFULSufficient resources
Access to cutting edge technology
Efficient handoffs between teams
Executive Teams aligned on priorities
Existing talent with right skillset
Lack of competition
Stakeholders engaged
Employee mindset, behavior
Effective communication, collaboration
Adapting to change
Accurate metrics, KPIs
Effective talent acquisition
Efficient processes
Government support
Experimentation spurs innovation
Complexity understood and managed
Matrixed organizational structure
Company politics
1
2
3
4
5
44% 29% 28% 24% 19% 17% 16% 16% 16% 15% 15% 15% 14% 14% 13% 13% 8% 6%
23% 26% 28% 15% 21% 15% 14% 15% 20% 15% 22% 22% 24% 18% 17% 10% 11% 14%
13% 20% 17% 16% 26% 18% 10% 19% 23% 20% 19% 26% 25% 19% 20% 19% 19% 18%
12% 16% 16% 22% 22% 22% 21% 22% 21% 22% 23% 20% 21% 19% 22% 23% 22% 28%
8% 9% 11% 23% 12% 28% 39% 28% 20% 28% 21% 17% 16% 30% 28% 35% 40% 34%
100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%
12STRATEGIC TRANSFORMATION | ©2020 BRIGHTLINE INITIATIVE
What are the most common factors that result in successfully designing strategy at your organization? Please choose your top 5.
Q13
49%Existing talent with the right skillset
46%Sufficient resources
46%Access to cutting edge technology
42%Efficient processes designed to guide strategy
38%Effective talent acquisition
35%Effective communication and collaboration across teams
32%Efficient handoffs between teams
27%Metrics and KPIs that accurately measure the impact of strategy
27%Employee mindset and behavior
23%Adapting to change
23%Encouraged experimentation spurs innovation
20%Executive teams are aligned on priorities
19%Lack of competition from similar organizations
18%Necessary stakeholders are engaged
18%Government support
14%Complexity is sufficiently understood and managed
13%Internal company politics
11%Matrixed organizational structure
13STRATEGIC TRANSFORMATION | ©2020 BRIGHTLINE INITIATIVE
Q13 RANKING OF DESIGN SUCCESS FACTORS, 1 = MOST SUCCESSFULSufficient resources
Efficient handoffs between teams
Access to cutting edge technology
Executive Teams aligned on priorities
Existing talent with right skillset
Stakeholders engaged
Adapting to change
Efficient processes
Effective talent acquisition
Accurate metrics, KPIs
Effective communication, collaboration
Experimentation spurs innovation
Lack of competition
Government support
Employee mindset, behavior
Matrixed organizational structure
Company politics
Complexity understood and managed
1
2
3
4
5
42% 30% 29% 25% 22% 21% 18% 15% 14% 14% 13% 13% 13% 12% 11% 10% 9% 9%
24% 25% 23% 13% 26% 15% 17% 21% 22% 18% 19% 15% 18% 13% 21% 12% 15% 13%
15% 18% 25% 17% 24% 16% 16% 21% 25% 20% 24% 14% 22% 21% 18% 17% 17% 16%
11% 16% 14% 19% 19% 16% 20% 26% 22% 24% 24% 29% 22% 23% 22% 18% 22% 23%
8% 11% 9% 26% 9% 32% 29% 17% 17% 24% 20% 29% 25% 31% 28% 43% 37% 39%
100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%
14STRATEGIC TRANSFORMATION | ©2020 BRIGHTLINE INITIATIVE
How would you rate your organization’s ability to quickly adapt and course correct in the face of unforeseen strategic challenges?
How effective are your organization’s current strategy implementation frameworks and tools, in meeting the needs of your organization’s strategic initiatives and goals?
Which of the following statements best describes the frameworks and tools used to implement strategic initiatives in your organizations?
Q14
Q16
Q15
29%Consistently adaptable
51%Effective
41%Often adaptable
28%Very effective
23%Sometimes adaptable
13%Neither effective nor ineffective
5%Not usually adaptable
6%Ineffective
2%Rarely or never adaptable
2%Very ineffective
100%
80%
60%
40%
20%NOT WELL FORMALIZED OR STANDARDIZED PROCESSES
VERY WELL FORMALIZED OR STANDARDIZED PROCESSES
16%
84%
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Which of the following frameworks or techniques does your organization use most often to implement strategic initiatives? Select all that apply.
Q17
Program Management
50%
Internally developed framework
43%
Agile, iterative, or incremental project management frameworks (e.g. Scrum)
42%
Objectives and Key Results (OKRs)
37%
Portfolio Management
35%
Waterfall, linear, or sequential PM frameworks (e.g. phase-gates)
34%
Balanced Scorecard (BSC)
32%
Design thinking
32%
Business Canvas (visual tools and techniques)
28%
No set frameworks in place
6%
Other
0%
Which of the following is most representative of your current organizational structure?
Q19
Is your organization more focused on developing internal talent, or hiring the necessary talent externally to address new or growing strategic needs?
Q18
6%My organization is more focused on hiring external talent
50%
My organization is both hiring and developing talent - but developing internal talent is the higher priority
16%
My organization is both hiring and developing talent - but hiring external talent is the higher priority
28%My organization is more focused on developing internal talent
>1%I don’t know
5%Project-oriented
10%Hybrid
12%Matrixed
15%Organic or simple
20%Functional (centralized)
38%Multidivisional
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What characteristics and attributes are most necessary for your organization’s teams to successfully implement strategic initiatives? Please choose the top 3 team attributes.
Q20
Defined roles and responsibilities
49%
Alignment on goals
46%
Increased communication
45%
Desire and ability to collaborate
32%
Skill sets that complement each other
31%
Ability to make quick decisions
28%
Compatible personalities
27%
Breaking down reporting structures
20%
Diversity of team members
15%
Engage an effective executive sponsor
6%
How do your organization’s teams successfully adapt and course correct when strategy is not being implemented correctly? Please choose your top 3 methods.
Q21
41%Reviewing lessons learned from previous failures
37%Speaking with customers or end users
34%Collecting actionable feedback
32%Reevaluating milestones and timelines
29%Analyzing talent and resourcing
25%Simplifying or modifying delivery processes
21%Increasing collaboration across teams
20%Increasing presence and involvement of senior leaders
18%Redefining goals
15%Building transparency
12%Seeking out new technologies to guide the implementation process
10%Increased cadence of reporting
5%Engaging external partners or consultants
17STRATEGIC TRANSFORMATION | ©2020 BRIGHTLINE INITIATIVE
What kinds of technologies are most significantly improving your organization’s ability to successfully implement strategic initiatives?
Q22
37%Artificial intelligence
20%Mobile devices and apps
21%Cybersecurity
34%Internet of Things
35%Automation
37%Cloud computing
19%Virtual reality
19%Advanced predictive data analytics
18%Digital workspaces
13%Augmented reality
11%Merged reality
10%5G
9%Machine learning
8%Blockchain
6%Virtual assistants
4%Voice assistants
1%Other
In your opinion, what is the most significant competitive advantage an organization can have, in order to successfully implement strategic initiatives?
Q23
Cutting edge technology
19%
Positive organizational culture
16%
Effective executive leadership
16%
High caliber talent
14%
Efficient organizational structure
9%
Broad organizational engagement
8%
Teams that are highly adaptable
8%
Rigorous processes, completed with near flawless execution
5%
KPIs that accurately measure impact and progress
5%
18STRATEGIC TRANSFORMATION | ©2020 BRIGHTLINE INITIATIVE
How effective are your organization’s transformation initiatives so far, related to the areas you highlighted in the previous question?
What are the top 3 areas of your organization where it is critical to transform in order to successfully implement strategic initiatives?
Q24 Q25
46%Leadership
18%Ways of working
29%Team structure
32%New product development processes and operations
36%Organizational culture and behavior
40%Adoption of new technologies
15%Management approach and frameworks
14%Decision making process
10%Talent development
10%Organization structure (roles and responsibilities)
9%Performance metrics and tools
9%Governance
9%Employee recognition
7%Operations
5%Employee outreach and engagement
4%Business model
5%Customer outreach and engagement
3%Hiring process
No transformation initiatives
1%
Extremely ineffective
5%
Ineffective
8%
Neither effective nor ineffective
12%
Effective
46%
Extremely effective
28%
19STRATEGIC TRANSFORMATION | ©2020 BRIGHTLINE INITIATIVE
Who is directly responsible for the transformation initiatives at your organization?
Q26
34%Chief Executive Officer
21%Chief Operating Officer
15%Chief Information Officer
6%Chief Strategy Officer
6%Chief Transformation Officer
3%I don’t know
3%Chief Financial Officer
3%Chief Digital Officer
2%Other
2%Chief Marketing Officer
2%Chief Human Resources Officer
2%Chief Security Officer
1%Chief Risk Officer
In your opinion, what are the most important characteristics of an executive leading an organization’s transformation function? Select the 3 most important.
Q27
57%Has clear vision and tangible goals
22%Is looking forward and able to anticipate changes
31%Has industry experience and deep understanding of organization
33%Is authentic in their communication and intentions
35%Visibly commited to the organization’s transformation goals
36%Sets a positive example
17%Takes ownership of missteps that hinder initiatives
15%Is respected and has credibility among employees
15%Empowers others within the organization
13%Listens to employees and considers feedback
10%Is open to new ideas from employees
7%Can prioritize to steer organization in a positive direction
6%Communicates with transformation teams
3%Effectively works with cross-functional teams
20STRATEGIC TRANSFORMATION | ©2020 BRIGHTLINE INITIATIVE
Compared to your competitors, what is the pace at which you are able to transform your organizations?
How would you describe your organization’s ability to run its core business while simultaneously implementing transformational efforts?
Q29Q28
I don’t know
1%
Very incapable
8%
Much slower
4%Incapable
6%
Somewhat slower
11%Somewhat capable
20%About the same pace
22%
Capable
37%Somewhat faster
34%
Much faster
28%
Very capable
29%