This is often an iterative process, and attention should be given throughout to maximizing business value contribution. Iterating between the details and the full picture was imperative to get to the optimal end result.
Having been heavily influenced by an analysis-driven engineering mindset, the company initially struggled with the complexity of its range of options, as the highest-scoring design building blocks did not naturally aggregate to give an optimal overall result. However, by iterating back to revisit the previous assumptions and make further modifications, the team was ultimately able to reach full consensus — including sites with very large cultural differences. An important component to ensuring the feasibility of the proposed changes is to conduct a series of pressure tests with real-life situations.
How would current programs and projects run with the new processes, how would they flow through the new organization, and how effective would new governance and decision-making approaches be?
How would conflicts be resolved and decisions escalated? These pressure tests can be conducted as desk exercises, and can provide invaluable input for fine-tuning of the design and identification of issues to be managed during implementation. Indeed, scientists and engineers can be especially sensitive, as their motivations are often closely connected with advancing their fields of work, rather than financial gain or power.
This means that, for example, ensuring absolute confidentiality within the core team about emerging options is important, until those options are final and can be properly communicated. If done badly, it can destroy a huge amount of value and in-house capability that is essential for future competitiveness.
By taking a careful, systematic approach that considers structure, process and governance, and by paying attention to the eight imperatives outlined above, leaders can greatly increase the likelihood of sustainable success and optimal delivery of business value. If you would like to hear more about how Arthur D. Little works with companies in this area, please contact one of our experts. Gustaf Ahlenius was formerly a Manager at Arthur D.
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