Agile business transformation is a change to the way an organization reacts to the often-changing needs of the clients, changes to technologies, risks, growth, and any internal or external changes that may or may not be predictable. They are often referred to as a business and process transformation or agile and lean business transformation.
This transformation requires behavior change in all members of the organization as well as eliminating wasteful processes in a business. The leadership team must learn to transform their structure to support a new way of discovery and delivery. Agile and Lean are tools designed to support the organization through this evolution. They also guide the business by encouraging a proactive attitude rather than a reactive one.
In uncertain times, such as the pandemic, major business disruptors constantly threaten the global economy. Outdated, monolithic, and top-down hierarchies are not effective at helping businesses compete, grow, and thrive.
An agile business transformation has a strategy for helping businesses successfully undergo a journey from a traditional operating model to an agile one. It is an important part of a company’s digital transformation plan. It is focused on a collaborative process improvement focused on competitive advantage and value creation through different methodologies.
An agile operating model is:
- Flexible and cross-functional
Businesses must be able to engage in change management to support the implementation of agile methodologies and digital technologies; otherwise, they will be agile in name only (AINO).
Agile adoption can only provide short-term improvements in project management. However, agile transformation requires fundamental organizational changes that drive value in processes:
- Time-consuming and complex
- Comprehensive transformation of business structure
- Focused on agile principles
- Continuous delivery
There are three common ways to achieve agile business transformation:
- All-in. This is an immediate commitment at all levels of an organization to achieve agile transformation via structured waves.
- Step-by-step. A modular approach where agile teams implement agility across the business over time.
- Emergent. Transformation begins at the bottom and goes up, carrying out organizational change over time.
These three approaches share common components:
- Aspire, Design, and Pilot (ADP) model. This is the actual development and execution of agile transformation initiatives.
- Scale and Improve model. This gives structural and operational support to ADP while implementing the changes in the business structure needed to implement agile principles and encourage an agile mindset.
- The Culture and Change team. These people work to renew the company culture and remove barriers to adoption.
The benefits of an agile business transformation are convincing, but the transformation can be a long journey. You’ll need an effective change management strategy, strong support from the C-Suite, full buy-in from your sponsors, and the right digital tools to implement, monitor, and perfect your approach.
If your business is considering a shift to agility, invest the time and resources needed to ensure your new agile framework has a strong backbone supported by an agile mindset and principles. Integritas Solutions will be able to provide the services you need to achieve a successful transformation to become an agile organization.