To keep pace with this evolution, the technology functions operating model should enable more agility, collaboration, and product and customer focus. Continually evolving technology capabilities, the shift in delivery models, and the emergence of the workforce ecosystem are helping redefine technology roles. We really wanted our staff to feel part of this transformation, so [we] focused from the start on cocreation and listening. This enabled the organization to set priorities for each team, make health checks to identify pain points and strengths, and facilitate early employee buy-in. Once managers master this form of complexity, theyll be able to plan and focus their digitalization efforts and deliver more effective transformations. The strategic choice cascade, a framework developed by A.G. Lafley and Roger L. Martin, can help leaders view strategy as a set of interrelated choices: What are the organizations strategic aspirations? To stay logged in, change your functional cookie settings. Invest In Innovation After You Hit . To capitalize on opportunities and defend against threats, businesses need to pivot quickly. For any digitalization effort, whether the goal is to safeguard business continuity or enable digital innovations, one of the key questions for managers remains: Are there ways to speed up digitalization and make outcomes more predictable? In the context of employee engagement, autonomy refers to the human desire to be self-directed, mastery refers to the human urge to improve skills, and purpose refers to the desire to do something that has meaning and importance over and above driving profit. Whereas almost all the organizations in our sample tracked productivity gains and cost savings, few systematically looked at revenue or margin uplift, citing difficulties in baselining the pretransformation state. Believe it or not, speed is now one of the most important factors in building a successful brand and Im not just talking about shipping e-commerce products as quickly as youd expect to get a pizza delivery. With the 10 decisions of operations management, McDonald's optimizes the business to counteract competition. Opinions expressed by Forbes Contributors are their own. An example of the impact of a purpose orientation comes from a European public-sector defense organization. Once established, this strategy can help leaders envision the organizations technology ambition. Drawbacks include the . The objectives, based on the overall company road map and strategy, get revisited regularly as the team or organization evolves. This can enable even the largest global organizations to operate with agility and a mission-and-value orientation. B-12: Define and provide examples of motivating operations Truly agile organizations combine both: a strong backbone or center provides the stability for developing and scaling dynamic capabilities.4See Wouter Aghina, Aaron De Smet, and Kirsten Weerda, Agility: It rhymes with stability, McKinsey Quarterly, December 2015; Wouter Aghina, Karin Ahlback, Aaron De Smet, Christopher Handscomb, Gerald Lackey, Michael Lurie, and Monica Murarka The five trademarks of agile organizations, January 2018. How to design an agile and resilient technology function, Reevaluate traditional tech operating model constructs, Emphasize fluidity, value creation, and resilience, Align business-technology strategy and technology ambition, Core technology capabilities support business-technology strategy and technology ambition, Modes of operation optimize delivery of technology capabilities, Organization transformation: Organization design, workforce ecosystem, and culture.