Strategic transformation

What is a strategic transformation?

Strategic transformation refers to a comprehensive change in an organization's strategy that encompasses both its internal operations and its relationship with the external environment. The process often requires restructuring the organization's core processes, structures and business model.

Important elements of a strategic transformation include identifying the current situation ('as is'), developing a vision of the future ('to be'), gap analysis between the current situation and the future vision and last but not least, the execution of the transformation plan.

Effective strategic transformation is not only about changing the strategy, but also about involving all employees in the process. Leaders and employees alike need to understand the purpose of the transformation, the future goal and what role they play in achieving it.

Strategic transformation is not a one-off undertaking, but a continuous process that requires ongoing adaptation and improvement. It's about creating a culture of change where organizations are prepared and equipped to respond to changing conditions in their market and environment.

Transformation design basics

Successful strategic transformation requires a methodical approach. We recommend a four-step transformation design.

First, we map the situation as it is now ("as is", we call it). This involves an in-depth understanding of the current organizational structure, work processes, culture and the broader market landscape. This is done through data analysis, interviews and observational studies.

Next, we focus on defining the "to be", that is, the future image of the organization. The picture should be ambitious but realistic, based on the organization's goals and market trends. It should include clear goals and KPIs to measure progress.

The third step is to perform a gap analysis that identifies the distance between "as is" and "to be". We uncover the key areas for change, from technology and processes to human resources and culture. Based on this information, we develop a prioritized action plan for the transformation.

Finally, the transformation program is organized and executed. Ensuring leadership commitment, employee involvement and effective communication is critical at this stage. Transformation is a continuous process, so we monitor progress, adjust plans as needed and learn from feedback and results along the way.

This four-step transformation design is the foundation for effective strategic transformation, supporting organizations in navigating the complexity of change and ensuring that transformation delivers long-term, sustainable results.

Strategic transformation is built on thorough analysis

This basic transformation design is based on different types of analysis that we perform.

First and foremost, there is the overall analytical framework. At LEAD, our analytical framework is holistic, flexible and heavily inspired by Roger Martin's recognized and proven five-step strategy model. They are A) goals and impact, B) target groups and services, C) tasks and activities, D) organization of work and E) governance and safe operations.

The framework acts as a strategy model as we move through the five steps - from goals and impact to governance and safe operations. At the same time, the framework is a model for impact creation as we move through the steps in reverse - from governance and safe operations back to goals and impact. Therefore, the framework can be used both to analyze opportunities for strategic prioritization and for operational optimization.

In addition to the analysis of the overall framework, we analyze performance, resource use and management capacity. We do this because decisions on strategically important choices must be based on a strong analytical foundation that analyzes both the starting point and future opportunities and challenges. We therefore conduct:

- An analysis of results creation that examines where to prioritize and how to create a strong link between results and the services and activities carried out in the future.

- An analysis of resource usage that identifies opportunities for optimization and efficiency gains.

- An analysis of governance capacity to ensure that governance focuses on compliance, impact creation, efficient use of resources and at the same time supports that financial governance goes hand in hand with business understanding.

LEAD can help you achieve your strategic transformation

Once the work on the basic transformation design and the implementation of the various analyzes is in place, it will probably become clear that the transformation places great demands on the leadership team. At the same time, the transformed organization will require mastering new leadership roles and tasks. For this reason, we assist in training and educating the leadership team - both as a group and the individual leaders within the group - in the skills and mindset required for the transformation to succeed.

This targeted management development aims to strengthen both leadership and management skills. This includes topics such as: change management, communication, cross-functional collaboration, compliance, financial management and project management.

At LEAD, we help with the strategic transformation from first design draft to final leadership development.

Inspiration

We help you with transformations

We offer you leadership and organizational sparring, research-based teaching and presentations on transformations, as well as training courses with a specific focus on giving you and your organization general leadership competencies. Read examples of our services here.

Presentations

Inspiring research-based presentations on transformations for all levels of your organization.

Sparring

Sparring in connection with strategic transformations.

Workshop

Facilitation of active workshops focusing on competence development at management and employee level.

Contact us to learn more about what we can do for your organization

Are you facing an organizational change? Do you need strategic advice or a cultural development program?

Contact us and together we will tailor a process that develops the exact competencies and structures that strengthen and future-proof your organization.

Claus Elmholdt

Professional Director, Founder

Cand.Psych.Aut. & Ph.d. Associate Professor in Management and Organizational Psychology

E-mail: ce@lead.eu
Phone: +45 26 14 51 57

The strategic transformation consulting team

Ronja Ries Højbjerg

Senior Consultant

Marianne Hedegaard

Senior Consultant

Johan Horsten

Management consultant

Daniel Drevfors

Partner

Betina Dam Hansen

Senior Consultant, DEI Specialist

Christian Nyvang Qvick