Thinking big with business - Deloitte

1 Thinking big with business transformation Six keys to unlocking breakthrough value The word transformation gets thrown around a lot these days, but it can have different meanings for different individuals and companies. In a world of unprecedented disruption and market turbulence, transformation today revolves around the need to generate new value to unlock new opportunities, to drive new growth, to deliver new efficiencies. All transformations require you to rethink how your enterprise creates value today and in the future.

2 In other words, all transformations require you to think big. Why? Because incremental improvement is not enough to win in today's exponentially disrupted business environment. Your organization requires sustained growth in the face of near constant disruption, and sustained growth requires agile reinvention. It's not enough to win today. You have to be able to continue to evolve in the future. 2. The big transformation pitfall An effective business transformation Understanding the strategic keys to achieving breakthrough value What is business means your organization can survive and thrive as you pursue new In light of the potential risks, aligning all of the elements to get business transformation?

3 It is the opportunity to innovation-driven opportunities that transformation right requires more emerge, as you respond to shifting than an A-to-B roadmap. It requires market demands, and as you navigate an integrated approach linking evolving regulatory complexities. You'll want to proceed with caution, business strategy to transformation ambition to executional discipline in define a bold ambition that however. Transformation today takes place at dizzying speeds, requiring a order to unlock breakthrough value.

4 Big questions lie ahead. The good goes beyond incremental change the opportunity level of integration and alignment that news is that we know some of the many enterprises are not prepared to answers already. They're helpful keys handle. Because many initiatives that once you may choose to use to make your business transformation one that to rethink your business took five or six years to complete can deliver the value you are seeking. are now being implemented in a We've identified these six keys and operating models to year or less, many organizations based on hundreds of engagements now need to manage mountains of information, compressed timeframes, with some of the world's leading companies, and we've seen first-hand deliver breakthrough value.

5 And countless decisions that affect nearly all aspects of strategy and how these keys can help unlock value that's both revolutionary and It involves strategic decisions that affect where you'll operations. The risk of failure is evolutionary. great, but companies that can pull the disparate elements into alignment can achieve bold objectives, now and into the future. grow, how your organization operates, and what kinds of performance improvements you can expect. 3. 1. Begin with a strategy-informed resource allocations, and performance capture value.

6 That knowledge should ambition expectations. It helps shape an lie at the core of your transformation Leaders in business transformation executable transformation ambition ambition. Working toward strategic typically have a clearly articulated, well- that is, the value that should come from clarity and consensus on the ambition understood business strategy. Often the transformation. helps executives align their goals and an organization's strategic choices Organizations that have invested activities.

7 It helps them more clearly although understood tacitly by senior in articulating their strategy can articulate desired transformation leadership are poorly translated into translate strategic goals into a outcomes, from a financial perspective The BIG question: downstream implementation choices. bold yet realistic transformation or from an operational perspective. How do we ensure that the ambition that can be executed by the And it helps them adjust elements of transformation goals and The result?

8 The dilution of value. organization. These companies have transformation strategy based on the objectives support our A sound strategy serves as the business strategy? a deep understanding of how their ability of the organization to achieve foundation for a broad range of organizations will create, deliver, and those outcomes. enterprise-wide investment decisions, 4. 2. Lead with capabilities to address immediate market retailers to drive growth. The company Leaders in business transformation opportunities.

9 It also allows them to determined that it needed to transform quickly focus and define the specific build discipline they'll need to evolve three integrated capabilities. enterprise capabilities that will help continuously, and it can help them Rethinking its customer engagement achieve competitive advantage. In establish the new trajectory that they'll capability provided a set of products, reality, only a small number of an need to keep pace with disruption. insights, and services for distributors organization's total capabilities play a Ultimately, leaders should move and retail customers, tailored to critical role in helping the organization quickly past a people, process, and different segments.

10 The company's The BIG question: find new ways to differentiate and technology definition of capability to market insights capability was What do we need to improve and how do we improve it compete. Focusing on those critical one that represents a more holistic and revamped to achieve a single source to achieve transformation capabilities can help deliver greater complete picture. For any capability, of truth for driving information to objectives? value, help leaders drive competitive it's a definition that provides focused action.