Background
A well known FTSE 250 company had secured funding to invest in a major 5-year programme to enable it to realise its growth and efficiency targets. This required it to deliver significant changes to both the products and services it offered to customers, and the way in which those services were provided.
What we did
We were engaged to produce a Target Operating Model i.e. a model of what the business would look like together with a roadmap of initiatives to demonstrate how the business would transition to it, over 1, 3 and 5 year horizons. We designed these models to provide clarity throughout the life of the programme by retaining the link between the delivery and the strategy, and to provide assurance to support the investment.
To produce the Target Operating Model, we facilitated meetings and workshops with directors and senior managers to breakdown the strategy into business outcomes and describe the business at an executive summary level in terms of its products and services, organisation structure, roles and responsibilities, operating processes, the tools and technology needed to support them, and the management information needed to run the business.
Next we used the Target Operating Model to identify the change initiatives that would be needed to bridge the gap between how it currently looked and its future state. We then led the assessment of each of the initiatives to quantify them in terms of indicative costs and benefits, and producing a model to show how the initiatives would deliver the strategy and benefits.
We then used this information to facilitate a session with the Chief Commercial Officer (CCO) and directors to prioritise the initiatives and define the roadmap of changes. These were used to shape the portfolio of projects and programmes to ensure that they were consistent with that strategy.
The Result
Taking an enterprise wide view across the business and directly linking the 5-year investment plan to a Target Operating Model, provided our client with greater clarity of the change journey and supported key business decisions. It additionally facilitated the impact assessment of emerging strategic and regulatory changes which occurred within the period as these were incorporated back into the Target Operating Model.
Ultimately our approach enabled our client to reduce the risk to its investment portfolio by ensuring there were no overlapping or conflicting projects or programmes, and that funding was targeted at the initiatives that were right to meet the needs of its business.