When it comes to spearheading your next phase of commercial growth, there’s no better pioneer for innovation than the Chief Operations Officer (COO). With a COO at the helm initiating digital change, the focus is steered away from new technology that merely signals evolution rather than actually achieving it and is instead redirected into new and valuable developments that realize tangible results.
We sat down with McChrystal Group COO Barry Sanders to get his perspective on the state of digital transformation solutions as he details how to measure success and discusses the role chief operators play in making or breaking the transformation initiative.
Q: It's clear that data and technology play a crucial role in modern business. Can you tell us more about how data has shaped your approach in recent years?
A: I believe we're on the cusp of a major technological and innovation shift, particularly in how we manage the white-collar or overhead part of organizations to better answer the key questions like “do we have complete transparency into what they're doing, where they spend their time, and what are they working on?”
With complete transparency into how employees spend their time and the ability to correlate that data with other sources, leaders will be better able to make informed decisions that align with their strategy and help them stay competitive.
Leaders have to ask themselves if they are utilizing data to drive their transformation strategy.
This starts at home by looking at your organization first, and then a leader has the opportunity to extend that impact so much further using their company profile informed by data and then looking outward to compare and benchmark against their competition.
Q: How should leaders think about and shift their mindset when updating technology or undergoing a transformation?
A: Digital transformation is more about results than just having the technology. Leaders must shift their focus from the technology itself to the results it can deliver. To prepare for digital transformation, leaders should start by clearly defining what they aim to accomplish and then identify how technology can support those goals. It's about understanding the business context, configuring technology to meet those needs, and ensuring the entire organization is aligned with the transformation goals.
Too often organizations take the opposite approach and get the technology in place first without fully assessing what they are looking to get out of it.
Leaders at the executive level are thinking about how they grow faster and meet their numbers. A digital transformation needs to address those and be part of the plan to achieve those results.
Q: You mentioned that technology is like a utility, but to drive digital transformation, leaders need to focus on the outcomes. Could you elaborate on how leaders can ensure that technology investments translate into tangible business outcomes?
A: When making technology investments, leaders should have a well-defined strategy that outlines the specific outcomes they expect to achieve. This involves quantifying productivity gains, financial returns, or other relevant metrics. These expectations must be communicated throughout the organization. The technology should then be configured, integrated, and utilized to deliver these anticipated results, constantly evaluating and adapting as needed.
Having a culture of accountability means taking results seriously, and using those results to course correct where necessary.
Q: How can leaders successfully cultivate a culture that values results over simply just adopting technology?
A: Cultivating a culture that values results begins with leadership setting a clear vision and ensuring everyone in the organization understands and believes in that vision.
Leaders should emphasize accountability and ensure that employees know their roles and responsibilities in achieving the organization's goals. Effective training and integration of technology within existing workflows play a crucial role in this cultural shift.
One other point on this is that “transformations” aren’t a one-time thing anymore considering the pace of technological advancement. They are ongoing, and creating a culture as a learning organization allows companies to keep pace.
Q: We discussed the difference between technology adoption and true digital transformation. How should leaders approach this distinction, and what does it mean for their decision making processes?
A: Leaders should recognize that technology adoption is just the beginning of the digital transformation journey. True transformation involves leveraging technology to achieve strategic business goals. To make this distinction, leaders should be outcomes-driven and not just aim for the technology's immediate functionality. Decisions shouldn't just be about what technology can do now, but what it can enable in the future. It means making choices that align with your strategic goals, even if it might require more effort initially.
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