Markita Andrews, a determined Girl Scout, had a singular mission—to bring her mother’s dream of traveling the world to life. She chose to sell cookies in a contest sponsored by the Girl Scouts of America where the top cookie seller would win a pair of tickets to go around the globe. Markita did not select her project at random; it was a deliberate choice, a project that was perfectly aligned with her deep-seated purpose. Her focused efforts eventually not only made her the top cookie seller, granting her the grand prize and fulfilling her mother’s dream, but also taught us that when a project is in perfect alignment with one’s mission, it can reach extraordinary heights.
This true story serves as a microcosm of what organizations face daily. It’s not the scale of the effort that defines success; it’s the alignment with a purpose that could propel even the smallest project to global significance.
In the high-stakes game of organizational transformation, alignment is the master key that unlocks success. As companies race to reinvent themselves in this digital age, they embark on transformation journeys that are more akin to orchestrating symphonies than performing solo acts. These complex programs consist of several individual projects, some interdependent and some standalone, which must resonate with the organization’s overarching mission, vision, and strategy. This alignment is the lifeblood of transformation—without it, even the most well-funded initiatives can falter and fail.
McKinsey & Company unearthed a sobering statistic: less than one-third of organizational transformations enhance performance in a lasting way, and the odds are even less favorable for digital transformations. The research shows that rapid technological shifts are not solely to blame; the crux of the matter is alignment—or the lack thereof. The stakes are high and the margin for error is slim.
This is where our ‘Secret Number 4: Alignment’ comes into play. By meticulously aligning each project with the organization’s overarching strategy and employing the following actionable tips, businesses can significantly increase their chances of success in transformation initiatives. From crafting a clear mission with ‘Craft Your Compass’ to embracing flexibility in ‘Embrace Agility’, each of these strategies serves as a vital cog in the machinery of alignment, ensuring that every step taken is a step towards the realization of the organization’s goals and vision.
Craft Your Compass
In business, as in life, having a compass—a clear mission and vision—is essential. This compass will guide you through turbulent markets and internal changes. Google’s unwavering commitment to organizing global information made them tech titans, while Xerox, despite early innovations, veered off course, overshadowed by those who adhered to their compass.
The importance of a well-crafted compass cannot be overstated. In the era of digital transformation, it is the guiding star that navigates through the chaos of change, ensuring that every project and every decision aligns with the end goal. It is the foundation upon which successful strategies are built and executed.
Broadcast Your Vision
In the cacophony of daily operations, the ethos of your vision can be drowned out. Clear, relentless communication of your strategic vision is paramount. Amazon’s dominance is fueled by a consistent, customer-obsessed message, while Kodak’s silence on digital innovation led to its infamous collapse.
When vision is not communicated, when the ethos of an organization’s mission is not echoed in every hallway and meeting room, the path to success is obscured. Leaders must broadcast their vision with clarity and conviction. This will help project sponsors align their projects with organization’s strategic vision and ensure that every member of the team understands the destination and their role in getting there.
Pivot Without Mercy
In today’s turbulent environment, business leaders should be ready to quickly pivot strategies when the environment changes. Following the vision, they need to terminate on-going projects that no longer align with the new strategy, reprioritize projects, and realign the entire organization.
There are numerous stories of successful business pivots that underscore this point. Twitter’s (now called X) evolution from Odeo, a podcasting platform, to a microblogging giant illustrates the power of a pivot. However, the reluctance to adapt can be catastrophic, as seen in Blackberry’s downfall after failing to pivot away from their QWERTY design towards touchscreen technology.
Practice “Less is More”
The legendary architect Mies van der Rohe championed the principle “Less is More,” urging simplicity and clarity in design. This philosophy is equally vital in organizational alignment—prioritizing fewer, more impactful projects leads to a more focused and effective strategy. It’s about doing “more” with “less” by ensuring that every initiative undertaken is a brick that constructively adds to the foundation of your organizational objectives.
Embracing the philosophy of “Less is More,” organizations must streamline their focus, targeting fewer, more impactful initiatives. In a landscape overcrowded with potential projects, it is essential to distill which ones truly align with the strategic objectives. This minimalist approach not only clears the clutter but also directs resources and energy to where they can be most effective.
An exemplary case of this principle in action is seen with Nintendo. When the gaming industry was racing towards more complex and graphically intense games, Nintendo released the Wii console, which focused on simple, motion-controlled games and broadened the market by appealing to non-traditional gamers. This strategic simplification resulted in one of the best-selling consoles of all time.
In contrast, consider the fall of Kodak, which failed to streamline its focus in the face of digital photography. Despite having the technology, it continued to spread its resources thin over traditional film, ultimately missing the digital wave that would define the future of photography.
Select Strategic Strikes
Prioritizing the right projects is a delicate balance of understanding what will offer the biggest return on investment. You only have a finite amount of capital and resources, but invariably, too many projects clamor for attention. Your transformation will be defined by the strategic choices you make.
The metaphor of the “lion in the jungle” is apt here. A lioness could spend her day chasing numerous field mice, expending more energy than she gains, or she could focus on hunting an antelope, ensuring nourishment for survival. This translates into focusing on strategic ‘antelopes’—projects with significant impact—rather than ‘mice’ that drain resources with little return.
Apple’s iPhone was the result of such strategic prioritization. Conversely, Blockbuster’s story is a cautionary tale of misaligned priorities and missed opportunities in the face of digital streaming’s rise.
Govern with Clarity
A clearly defined governance structure is vital for selecting the right projects and making necessary adjustments when they falter. Netflix’s rise was facilitated by agile governance, enabling rapid adaptation. In contrast, Sears’s decline underscores the dangers of indecisive governance.
A well-structured and executed project portfolio is a crucial component of this governance, ensuring better alignment and increasing the odds of success for transformational projects. These principles are not just theoretical; they are the practical imperatives that I explore in depth in my book on portfolio management.
Embrace Agility
Agility is the capacity to adapt swiftly and effectively to change. In an ever-evolving marketplace, organizations that can pivot quickly when new opportunities or challenges arise are the ones that thrive. Embracing agility means being prepared to reassess, adjust, and even overhaul strategies in response to shifting industry landscapes.
Airbnb’s CEO, Brian Chesky, exemplified agility by swiftly revamping his strategy in response to COVID-19, focusing on local experiences, streamlining projects, and leading a triumphant IPO—all by realigning swiftly with a new vision.
Conversely, the demise of Borders Books was a result of a lack of agility. As e-commerce began to rise, Borders stuck with its large physical retail spaces and failed to develop its online presence, ultimately leading to its liquidation.
In conclusion, alignment is not just about having a strategic direction; it’s about moving collectively towards it with every project and initiative. Like Markita, organizations must understand this simple—yet powerful—principle to make the dream a reality. Embrace alignment, and you embrace success.
Leave a Reply