Organization Turnaround

Globalization, disruptive innovations, new business models and many other causes force companies to change organization, behaviors and processes. The success of change programs is fundamentally linked to changes in people behaviors and that is why they are normally very difficult exercises to perform. If we look at people after coronary-artery bypass grafting two years later, 90% of them have not changed their lifestyle. Personal health is overtly much more important than any possible business program. So how it is possible to change people mindset?

This can be achieved by targeting the drivers of organization behavior. At most our personality and rational motivations can explain a 30% of our choices. The remaining 70% is explained by the underlying environment in which we operate. That is why organizations turn out to be far more resilient than executives generally think. Organizations are like tropical forest, no matter how many efforts you make to tame it, it keeps regenerating over and over again. People mindset cannot be changed as a machinery set-up. People need to feel they are in charge to gain the purpose of action. Fairfaber consultants bring to clients a wealth of experience on organization transformation projects and can both advice company management or manage directly clients’ change projects.

PERFORMANCE RECOVERY PROGRAMS

The ultimate goals of performance recovery is to provide value to customer. Value is simply what customers are willing to pay for. Waste is everything else. As simple as these concepts may sound they need to be clearly defined in order to serve as strategy compass all along programs roll-out. Indeed by exactly understanding the value proposition we intend to offer to our customers we will be able to steer program activities appropriately. A value proposition has to be something that can be easily understood and defined. It is indeed nothing more than what a company actually produce or process. If you produce pencils, or shoes or design buildings then everything else you do in your company, however smart and fascinating, it will not be paid by your customers.

Once the business value proposition has been defined it will be clear which are the processes and activities that need to be improved in terms of efficiency or quality standards. Managers are usually keen to concentrate their efforts on what they reckon to be company’s weakness, and this sounds perfectly reasonable, although focus on improving existing key factors and differentiation firm-specific resources can often grant even greater pay-back in term of long-term competitive advantages.

Targeted processes have then to be precisely identified, in terms of start and end point, trigger mechanism, responsibilities, input-output, resources and methods.

Even at a very initial phase it is normally possible to spot a number of interesting low hanging fruit:

  • Bottlenecks in the workflows that reduce business efficiency;
  • Unclear roles and responsibilities which generate organization waste and reduces attention to efficiency / quality standards;
  • Inaccurate reporting that provide a distorted perception of business operations.

Different analysis methods may be employed during data gathering activities. Fairfaber experts normally proceeds with an extended Process Flow Analysis – which allows an accurate tracking of documents and information as they move through the value stream. These methods are expedient to check every kind of organization waste.



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