Public Service Coach (Singapore) and Deputy Chief (Industry & Organization Transformation), SportSG.

With the Covid-19 pandemic, many organizations have found themselves in a situation where transforming their business is not an option. With seismic shifts being created from the future of work agenda, digital transformation has often been touted as the solution.

However, this is not the silver bullet that will bail organizations from their current reality. Organization transformation requires an entire paradigm shift and a fundamental re-think of the value and proposition the organization is providing. The answer to this existential question will then create new relevance and new mental models to move the organization forward in the transformation journey.

The key to transformation is the need for organizations to review and renew their systemic structures to align to the desired purpose, vision and values. When these fundamental choices have been made and communicated as part of the transformation agenda, leadership can then rally commitment and release resources for the transformation journey.

The creation of an organizational transformation agenda signals the start of the transformation journey. The process requires the participation of senior sponsors driving the change and the output is a document that provides the impetus for change. The agenda should contain the following six components.

1. Strategic intent: The first component is a statement that clearly spells out the organization’s strategic intention that is future-oriented and inspiring. This can take the form of an aspiration statement that also poses a challenge. It should answer the key question, “Why does this organization exist?” and what is its relevance to the future economy. Stemming from that, it should also address the question, “What results is the organization seeking to achieve through the transformation?” The difference between current and future reality should be obvious to anyone in that the new organization is vastly different from the one in existence today.

2. Operating context: The second component is the context for transformation, or “Why is there a need to transform, and why now?” It can provide a high-level sweep of the external drivers and forces that the industry is undergoing and the implications thereof. It may also peer into the changing needs of consumers and how the organization is evolving to stay relevant as the preferred partner. It can reference the future of work and what it means internally to its current and future workforce with a promise to undertake a comprehensive strategic workforce transition—in consultation with all stakeholders.

3. Desired future reality: The agenda also needs to create an initial vision of what the organization seeks in the desired future reality. This third component is to project visionary foresight and excite stakeholders, with the intent to rally support for the proposed future desired reality. This can be done with statements about what success will look like. This needs to be completed before the organization examines the “here and now.” In transformation, conversations about vision must precede, and be accompanied by, an honest, hard look at the current reality. It is not enough to feel good about the future desired vision and leave it at that. Mapping both the future and current reality is required for further conversations to emerge.

4. Organization stories: Create a narrative for this transformational change whereby those engaged can relate and see themselves as being part of the driving force. All organizations have their prevailing narratives. The question is: What is the nature of the change narrative and is it helping or hindering the transformation work? Stories have a life of their own, and organizations need to be aware of the moods and sentiments of the employees as the change is happening. Surface and unpack these stories from across the organization to ignite the spark needed in the creation of shared aspiration.

5. Meta-narrative: This is a deliberate and purposeful way to combine different stories and weave them into a “master story” that legitimizes the desired narrative going around the organization. The more diverse and representative this master story is, the more effective it becomes. One way to consciously think about the narratives is to consider a full range of voices that can collectively represent the voice of the organization. Failure to align narratives across different groups and recognize that there are multiple interdependencies may lead to confusion and derailment. This can reduce the willingness and motivation for employees to accept the change. Therefore, encourage the “nestling” of stories to allow them to build and reinforce one another, spreading positivity and encouraging ownership.

6. Stakeholder engagement: For transformation to succeed, it is insufficient to include just the organization’s leaders and employees; the full range of stakeholders must be engaged and their inputs considered. Stakeholders include customers, suppliers, distributors, partners and other parties who work closely with the organization.

Once the transformation agenda is completed, the next step would be the creation of a transformation team, preferably from across the organization to chart out the engagement and manage the change processes. Some companies have found it beneficial to set up a full-time transformation office to signal organizational commitment.

Ultimately, the transformation agenda needs to inspire and excite not just employees but every stakeholder impacted by it. It needs to garner organization-wide support and create ownership across all levels. The shared vision can then empower the leadership team to paint a picture of a successful and invigorating future, co-create a road map with stakeholders and bring the organization to a whole new level toward its desired future reality.

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