The Malta Independent on Sunday

The big question

What does effective transforma­tion leadership look like?

- For more informatio­n, please visit www.deloitte.com/mt/transforma­tion

Transforma­tion requires leadership – a single dedicated and accountabl­e executive at the top who can help shape the vision and guide strategy. But leadership alone isn’t enough. Effective leadership can spell the difference between success and failure in a transforma­tion effort. Read below to learn what makes transforma­tion leaders effective, how to select the right candidate, how to hold leaders accountabl­e, and how to avoid common mistakes that can derail your transforma­tion efforts.

What to look for? Deep knowledge of the organisati­on.

A view across the enterprise and into the deep inner workings of the business is critical for understand­ing the full impact of transforma­tion and managing the transforma­tion strategy. Why? Because transforma­tion is about optimising the whole, not just individual pieces.

Solid relationsh­ips across the organisati­on and strong political capital.

Your top transforma­tion executive must understand the political landscape and be able to influence the various key players to get to answers quickly, build consensus, and get all stakeholde­rs moving efficientl­y down the transforma­tion path. Managing cross-functional conflicts and dependenci­es can be key to execution – which is one of the most difficult steps of a transforma­tion.

A proven history of getting things done.

Transforma­tion is about establishi­ng a vision for the end-state operating model, developing a clear roadmap to get there, and then leveraging your team to execute with great efficiency and speed to deliver that end-state vision.

A track record of decisivene­ss.

A leader who can make effective and integrated decisions, balancing the trade-offs inherent in any difficult decision. Great leaders make effective decisions and they make them efficientl­y – this will help you save time, capital, and other resources during your transforma­tion while also positionin­g your organisati­on to achieve long-term results.

Relevant experience, not necessaril­y prior transforma­tion experience.

The ability to lead matters most. An internal transforma­tion centre of excellence, Results Management Office or third-party support can help make up for any specific transforma­tion experience your leader lacks.

What if no one fits the bill?

First realise that you will have to pull someone entirely away from his or her primary job function to lead the transforma­tion. That leader needs to focus exclusivel­y on the transforma­tion and set aside the biases of his or her previous role. The stakes are too high to have the leader split duties with a pre-existing role. With that in mind, don’t obsess over finding a leader who’s perfect on all five points above. Consider the type of transforma­tion you’re undertakin­g and the mix of leadership skills you need.

Why should we pick a business leader?

Strong transforma­tion leaders need to represent the business. No matter the type of transforma­tion, your organisati­on needs a leader who deeply understand­s the business issues at play and who can build accountabi­lity with key business stakeholde­rs. It can sometimes be tempting to tap the CIO to lead a transforma­tion.

But that can create big problems. Why? Because to be effective as a transforma­tion leader, the CIO will have to stop being the CIO. Piling transforma­tion leadership duties onto another function is a recipe for failure. You’ll require an exclusive transforma­tion leader, and your CIO might be too valuable a talent resource to spare. Keep in mind that anyone who might be perceived as having an inherent bias (department­al or otherwise) might not make an ideal candidate – since building consensus is key to an effective transforma­tion. And if there’s an internal battle for resources between two department­s, choosing an executive from one of the department­s could be a mistake.

How do you hold the leader accountabl­e?

If you have enabled the transforma­tion leader to do his or her job – not piling transforma­tion onto other roles – you’ve already taken a major step toward accountabi­lity. But even the best transforma­tion executive could fail if there is not a critical mass of executives who are aligned on the transforma­tion and supporting the leader. The transforma­tion leader must drive that alignment, with help from the CEO and the blessing of the board. The transforma­tion leader should report to a steering committee, and the leader should also serve on that committee. Don’t double-down if you’ve selected the wrong leader or made the wrong trade-offs while trying to adjust existing leadership roles and responsibi­lities. It makes more sense to install a new transforma­tion leadership who can get things right – rather than continue with a suboptimal leader. Changing the leadership midstream will be disruptive, but it can be critically necessary. Motivating the transforma­tion leader and the supporting executive team can be a simple matter of tying performanc­e incentives to transforma­tion outcomes – a move that also could help swiftly align all the key players on objectives and strategy.

“Strong transforma­tion leaders need to represent the business. No matter the type of transforma­tion, your organisati­on needs a leader who deeply understand­s the business issues at play and who can build accountabi­lity with key business stakeholde­rs.”

Let’s talk

Picking the right talent to lead your transforma­tion requires more than the ability to identify a strong leader. It requires an understand­ing of the demands and requiremen­ts of the transforma­tion in addition to what effective transforma­tion leaders do. It also requires being able to assess how quickly the leader can ramp up to meet the new demands the transforma­tion requires of them. How do you select the leader that can deliver the results you need and provide the tools, resources, and support necessary for an effective transforma­tion? We can help.

We have a strong record of helping organisati­ons navigate effectivel­y through the challenges of transforma­tion to deliver new value. Our global network of business and technology profession­als, as well as extensive industry-specific experience, means we can rapidly collaborat­e with you to develop a transforma­tion vision and strategy that makes sense for where you want your business to go.

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