Strategic TransformationPRESENTED BY:

ANSHUL PAREEK

BITASTA BHADRA

VIMLA MISHRA

SONIA GROVER

Strategy ?

A method or Plan chosen chosen to bring about a desired Future, such as achievement of

GOAL / SOLUTION PROBLEM

Transformational ?• High Improvement Potential. • Change the Business unit, Geographies & Functions

completely.• Change addresses all aspects like People, Processes,

Organisation, Technology, Finance.

Strategic Transformation

• It is the Link between the strategy Formulation and Implementation Phases.

• It Plays a major role in defining strategy effectiveness.

When it is used ?

• External Changes on the Market such Organisation Product / Services.• New Regulation Coming into Force.

In return It Helps in

• Increase Revenue and Market share.• Improve Customer Satisfaction.• Cutting Cost.

4 Steps To A Successful Transformation

Step One: Getting the right strategic vision is critical Step Two: Execution is the hardest part of

transformation. Step Three: The biggest challenge to transformation

may be a leader wedded to a past or current success Step Four: Take a broad view of customer demand when

embarking on business transformation.

Insights to Strategic Transformation

Strategic Organizational Renewal

“SOMETIMES THE MOST DIFFICULT LEADERSHIP CHALLENGE IS NOT FIGHTING THE COMPETITION, BUT TELLING YOUR PEOPLE IT’S TIME TO CHANGE.”

According to Covin & Miles, “The phenomenon whereby the organization seeks to redefine its relationship with its markets or industry competitors by fundamentally altering how it competes.”

Strategic renewal is a firm’s transformation in terms of changing its scope of business or strategic approach on which it is built. Instances when SOR can be implemented:

1. Timing2. Division

Analysis3. Company Purpose4. Products

Process of Renewal

STEP-1 Understanding Exposure• Customer

Strategy• Operational

Effectiveness• Technology

Optimization• Human Capital

STEP-2 Analyze Scenario• Change in

Business Model• Employees

mindset• Beyond short-

term Cost Cutting

• Future requirements

STEP-3 Renew Organization• Roadmap• Prioritization of needs• Sequences of activities• Training & Org.

requirements

Reframing

The management of a business assesses its operation via multiple outlooks.

STRUCTURAL FRAME

POLITICAL FRAME

SYMBOLIC FRAME

HUMAN RESOURCE

FRAME Busine

ss Frame

Restructuring

Restructuring is the corporate management term for the act of reorganizing the legal, ownership, operational, or other structures of a company for the purpose of making it more profitable, or better organized for its present needs

Steps:

Ensure the company has enough liquidity to operate during implementation of a complete restructuring

Produce accurate working capital forecasts Provide open and clear lines of communication with

creditors who mostly control the company's ability to raise financing

Update detailed business plan and considerations

Restructuring strategies

Downsizing Starburst Verticalization De-layering Business Process Reengineering Virtualization Outsourcing

IBMLayoff 85k employees

 Pfizer’s decision to spin off four non-pharmaceutical firms this

year.

HCL verticalized to meet the specific demands of five different industries:

retail, media and telecom, manufacturing, finance and life sciences.

General ElectricHewlett Packard,

Ford Motor

 ATMs offered by banks are their virtual units.

Revitalization

Strategy Employed when brand has reached maturity and profits begin to decline.

It include approaches like market expansion, product modification or brand expansion.

References

http://www.forbes.com/sites/forbesinsights/2014/03/18/4-steps-to-a-successful-business-transformation/

https://www.pwc.ch/en/our_services/advisory/finance/strategy_transformation.html

http://www.brighthub.com/office/human-resources/articles/122397.aspx

Endeavormgmt.com

Yourbusiness.azcentral.com

Innovationexcellence.com

Sloanreview.mit.edu/article/the-art-of-strategic-renewal/

Strategies on Reframing Change in Your Organization by KJ Henderson, Demand Media