There may be few organizations embarking on business transformation that are not painfully aware that most will fail to meet their objectives.
The International Data Corporation has forecast that $2.8 trillion (£2.3 trillion) will be spent on digital transformations worldwide in 2025, more than double the amount spent in 2020, indicating that it is likely to be waste more than $1 trillion on such processes this year. .
Waiting until the end of the project with your fingers crossed is clearly not a viable strategy for success. So how can a company spot the early signs that a transformation may be starting to go wrong early enough to put things right?
“It goes on my list of concerns when an organization says that a transformation can be easily achieved. That probably points to the fact that it hasn’t been ambitious enough and it’s not pushing hard enough,” argues Karen Thomas-Bland, founder and director of consultancy Seven Transformation.
In such situations, the project may be perfectly successful on its own terms, but fail to make a significant difference to the business and fail to transform.
An early sign that this may end up being the case, he says, is if the process isn’t being led from the top of the organization.
“Right away, I want to know who the sponsor is. If you’re not the CEO, I’m concerned about the priority the organization is giving you, because real transformation touches every part of the business, from people to process to technology,” says Thomas-Bland. “So if the project is sponsored by the CFO or the HR department, it probably won’t be all-encompassing enough.”
Worse yet, says Jaco Vermeulen, chief technology officer at consultancy BML Digital, is when a project has no single leader and simply comprises a collection of independent projects, typically involving technology implementations.
“The deciding factor is that it will be weeks, possibly even months, before the leaders of the various teams meet to discuss the strategic agenda and the metrics each reports on, based solely on implementation progress rather than the changes made,” he said. he says.
Research by Fujitsu has found that a lack of leadership is one of the four biggest problems in the planning stage of a transformation, along with a shortage of sufficiently qualified staff, a lack of funds, and an indefinite return on investment. Other studies have placed even more importance on leadership. For example, two-thirds of respondents to a GlobalData survey covering the pharmaceutical sector cited it as the most important prerequisite for successful digital transformation.
Vermeulen reports that in cases where there is no single leader, it’s not uncommon to see other activities in the business working against the transformation.
“The first warning signs here will be poor internal communications and a lack of clearly defined deliverables for transformation. This leaves it wide open for competing initiatives,” he says. “The deciding factor will be the times the program is put on hold so something else is handled first.”
Another early warning sign, says Mike Potter, director of strategy at digital consultancy Tecknuovo, is an excessive focus on the technology rather than the expected results of its implementation.
As an example, he cites the implementation of a new organ donation system in Wales, which he worked on while serving as director of NHS Blood and Transplant. When ministers pushed for iPads to be provided to GPs as part of the programme, he was forced to explain that this would not represent good value for money.
“Gartner did a study that concluded that a project named after the technology it’s implementing is twice as likely to fail as the average,” he says. “If people buy technology as a product to solve their business problems, they’re probably missing out on some of the fundamental steps, involving processes and people, that need to be completed before they get to that part.”
In fact, it is widely accepted that one of the most significant early signs that a transformation is doomed to fail is a lack of employee support. Research conducted last year by the Everest Group found that just over two-thirds of companies that had attempted digital transformation had failed to achieve the desired results. Of these, 58% blamed internal resistance to change as a major cause.
And while there are change management practices that can help counter that resistance by helping employees cope with turmoil, they often aren’t applied until the transformation is underway. At that point, the rot may have already set in.
Unfortunately, resistance in the workforce isn’t always easy to spot in its early stages. People often seem perfectly sympathetic, or at least condescending, in meetings, but less so when chatting informally with colleagues in private. So managers may need to stay on their toes, warns Giorgia Prestento, a behavioral scientist and independent consultant who specializes in change management.
“The first signs that staff aren’t on board can be summed up as noise: the chatter from the coffee machine, the whispers in the hallways or in online chat groups,” he says. “The best way to know the mood of an organization is to hang out in the common areas of an office and watch people’s interactions and body language. In a virtual environment, this is more challenging, but the signs of disconnection would be people being left off camera during group video calls or a lack of questions.”
Research by McKinsey indicates that two-way, face-to-face communication is key to keeping people on board. In a survey of organizations whose transformations were successful, 65% of respondents cited line manager briefings as crucial to improving engagement.
Thomas-Bland points out that it’s especially important for companies to strike the right tone in their communications from the start. This was something a client he worked with couldn’t do. The company focused on the financial benefits of the transformation rather than what it might mean for employees.
“Really good launch communications speak to purpose. They would answer questions like what the transformation would mean for frontline workers and why it would get them out of bed in the morning,” she says. “In order to get people to actually buy it and put in the extra effort that you need from them, the communications have to be emotional as well as rational.”
According to McKinsey, getting it right in the early stages of a transformation can make a big difference. Her research indicates that 22% of the lost value from the average failed transformation occurs in the goal-setting stage and 23% occurs in the planning stage. That’s almost half before the changes have started.
And unfortunately, Gartner’s widely cited statistic that two-thirds of transformations fail still seems to hold true, with McKinsey reporting the same proportion.
Says Potter, “Someone once asked me, ‘How come, if we get better at this all the time, we never seem to reduce the number of programs that fail?’ I don’t know if that’s true, but I would say that we tend to take on more complex challenges as we become more proficient. It’s not necessarily a bad thing.”
Circlethe issuer of stablecoin USDCI announced a gardening partnership with New York Community bank (NYCB). The latter is a subsidiary of NYCB and it will serve as the depository of the reserves of theUSDC. In addition to the custody agreement, Circle and NYCB Work together to develop strategies to facilitate access to low-cost financial solutions for underserved and unbanked communities.
Promote access to low-cost financial solutions
In addition, they contribute to the development of strategies aimed at improving access to low-cost financial solutions. Especially for the population that do not have access to banking services and are poorly served. Moreover, these initiatives will use blockchain solutions and stablecoin of Circle.
Thanks to the partnership, New York Community Bancorp it will be the first community bank in stop the reserves ofUSDC.
Speaking of the partnership, Andrew Kaplanservice manager at NYCBto declare : “We are delighted that in addition to being the guardian of the reserves of theUSDCwe are able to associate with Circle on important initiatives that impact the inclusion and education of our communities and customers.”
earlier in the year, Circle I announced another agreement with BNY Mellon. It is one of the oldest and largest depositary banks in the United States. it does of BNY Mellon the main bank holding the reserves of theUSDC.
Also read: The European Union plans to ban maker exchanges of interest on stablecoin deposits.
Circle to allocate a share of Reserve to MDIs and community banks
In addition, the partnership has strengthened theassistance to depository institutions owned by minorities (MDI)which will allow them to hold additional reserves. Actually, Circle is engaged in the distribution of part of the reserves accounted for in dollars USDC at MDIs and community banks throughout the United States.
Intent will be announced in November 2021 as part of Circle Impacta program to foster financial inclusion, responsible financial innovations and strengthen human efforts in the use of real-time payments in the age of corruption.
The objective is to Put billions of dollars in deposits in minority financial institutions. In other words, the initiative allows women and minorities to obtain more financing facilities for their start. He will work with HBCUs create a program to teach people about digital finance.
Bonus: Report: North Korea tops the list of countries with the most crypto crimes.
Binance signs a memorandum of understanding with Kazakhstan to support the development of the crypto market in the country.
changpeng Zhao (CZ)founder and CEO of Binancethe world’s largest cryptocurrency exchange, recently met with the president of Kazakhstan Kassim Jomart Tokayevthe first deputy chief of staff Timur suleimenov and the minister Baghdad musinwho is in charge of the country’s innovation and digital strategy.
Collaborate in the adoption and regulation of cryptocurrencies.
Rather during the day, Binance signed a memorandum of understanding (SMOOTH) with the Government of Kazakhstan to support the “virtual asset market development” in the country. In fact, theThe signing of the memorandum of understanding will allow Binance contribute to thedevelopment of legislative guidelines and regulatory policies on digital assets.
According to the statement, the country’s Ministry of Digital Development wants to integrate the banking infrastructure with the crypto market. It also plans to facilitate the development and implementation of distributed ledger technology.”
In addition, during the meeting they discussed:
- the potential for long-term cooperation between relevant institutions in Kazakhstan and Binance in the field of digital finance
- from the implementation of cooperative education projects to blockchain technology.
In addition, the ministry and the exchange giant will work together. A collaboration to promote downtown Astana to local and global talent, by creating a regional blockchain center. In addition, the official visit of changpeng Zhao reinforces the exchange’s commitment to experiment in various fields.
Bonus: Cathie Wood’s Ark Investments resubmits bitcoin spot ETF application.
mining of crypto sustainability in Kazakhstan
As a reminder, Kazakhstan has become a key player in the Bitcoin market. (BTC) by embracing China’s mining might after the latter’s radical crackdown on the industry. Consequently, several mining companies have moved their operations to the country. This is to take advantage of cheap and abundant gas and favorable regulatory conditions.
However, the bitcoin mining boom in the country appears to be running out of steam. In fact, the influx of miners is testing thecountry power supply. A situation that led the government to restrict miners’ access to electricity.
In February, the President of Kazakhstan called for an increase in taxes on the extraction of crypto due to high power consumption. The country also cracked down on 106 minors crypto illegal, stopping their operations in the country.
To go further: Mercado Bitcoin in partnership with Stellar, for a significant contribution to the development of a CBDC in Brazil.
There are obvious signs that a company is being poorly managed, such as declining sales and revenues, the loss of important customers, or a falling share price, for example. Nevertheless, There are many warning signs that go unnoticed. Whether they are obvious or not, addressing them directly and forcefully is the best way to dirty a bad management of a negotiation. In this post we put them on the table.
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The 9 signs of poor management in an SME
Prepared? Toma wrote down the following tips for spotting mismanagement in a business:
1. Problems when delegating
Making someone work is confused with doing their job. As a consequence, while the employer is doing someone else’s work, no one is doing theirs. In other words, a serious problem appears at this moment in the way of thinking about delegation.
2. Ignorance of their functions
Many people really do not know what, ultimately, their own function is. and how their work relates to the rest of the process and the business. Therefore, they cannot make the decisions that they should make (and for which I assure you that they are usually very well trained), a situation that generates slowness and, above all, inaction.
3. Lack of clarity
The level of turnover, production and personal number on the payroll seem to be the measures to assess the growth of the company. It is assumed that the higher the turnover, the higher the profit. It assumes that with increased production, the company grows. It is assumed that if the number of employees increases, the company is more important. But are those assumptions valid? Obviously not. There is usually no clarity to distinguish the difference between “being bigger” and “being better”.
4. It is not questioned if the actions continue to work
Employees spend a great deal of time solving short-term problems. due to the lack of long-range shots. Because nobody knows why and why it is necessary to do things the way they are being done. Everyone knows their tasks and they justify them by saying that “they have always been done that way”, but no one questions whether they are still necessary. Jan Carlzon, in his book The Moment of Truth, says “whoever is not given information cannot be held accountable. But anyone who has the information can’t help but assume it.”
5. Bad managers
Not enough good managers, however in reality, we should ask ourselves if your company is real managers. I have no doubt that the people who support the businessman are of his absolute trust, loyal and committed to him. I do not minimize the fact that the vast majority of them have accompanied him since the company was just a dream. But paying off this debt of gratitude, making them responsible for critical functions for the future, comes at an incredibly high cost to the company, which, again, doesn’t show on their bottom line.
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6. Firefighting Employees
The will seems to be the way to solve all problems and the favorite motto, “let’s go… let’s go… let’s go”. But, in reality, many times the most advisable thing would be to take some time to rethink and make the corresponding decisions. They all live wheels running from one side to the other like hamsters in their and even end the day exhausted, due to the number of issues in which they ran, with the fantasy that they have really worked hard. Do customers pay their companies for their ability to put out the fires caused by this impulsive way of working or because their products provide value and satisfaction? Again, another subtle difference: working hard is not synonymous with working well.
7. Bad work environment
Usually, those responsible for the sectors (including the employer) are too busy to wait for people. It is both the time demands and the anguish of keeping the wheel turning that, furthermore, long faces and tension are commonplace in driving levels.
8. Poor internal communication
Each management, or department, is a fief. It is not strange to notice, at this time, how little the managers or managers talk to each other. Case if the problem is the other and all their simple victims of the situation.
9. Failure of realism
In short, to detect bad management in a company, it is necessary to think about whether this is true. Many times make a commitment with internal and external clients, plus all the real capacity to fulfill them. It is very motivating to take out a new deal or account of a client. But, is it evaluated whether the company is in a real position to satisfy these needs?
These dots are red lights turned on daily for anyone with the attitude and aptitude to see them. The entrepreneur has a unique opportunity but must bring about the most difficult change in his working life. He must accept that the organizational model that has reached that point is no longer viable and that the first thing he must change is his way of seeing and carrying out his business.
What did you think of this article about the signs to detect a bad management of a company? Already your comments and share!
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This is WOOW, the Mexican insurance market that signs an alliance with PayPal – Marketing 4 Ecommerce
Today’s consumers not only want secure and convenient payment methods, they also expect the stores they visit online to offer them their favorite payment method. In search of satisfying this demand and at the same time expanding its sales, WOOW, the Mexican insurance marketplace, has decided to expand its sales through an alliance with PayPal.
WOOW, a market where you can insure anything
WOOW was born in the year 2020 as the first marketplace in our country that offers a portfolio of segments and services in a 100% digital environment. It has the support of providers that contribute to generating the trust that users expect. Among the segment options offered by your application we find:
The company not only guarantees the protection of your car, motorcycle or truck in the event of a theft-accident, it also promises medical or legal assistance (in the hands of experts, clearly) for you and your companions. This insurance is divided into two:
- traditional insurancewhich payments can be monthly or annual.
- Auto insurance pay per km. Which is basically a traditional insurance, but you pay for the kilometers traveled.
Hospital Medical Expenses Insurance
It covers 100% the expenses generated by an illness (including the coronavirus) or accident, without paying a deductible or coinsurance.
The company will accompany you on the trip of your choice, whether for work, study or vacation. How? Well, offering you the medical services that they will require at a certain time or supporting you with the payment of the change of return plane ticket if necessary.
The firm provides protection against theft with violence for bicycles, cameras, video games, computers, sports equipment, tablets and more.
It covers accidents, illnesses, damages to third parties, vaccines against rabies or deworming, bathing and aesthetics for your dog or cat.
Road, home, medical, nutrition and psychological assistance
With your membership you will have access to doctors, locksmiths, electricians, tow trucks whenever and wherever you need it.
Cellular Protection Insurance
It covers you in case there is any accidental damage to your device, or you have experienced a violent robbery.
Share an offer of rental planes (with or without a smartphone), unlimited social networks and gigabytes of navigation.
It is worth noting that WOOW focused on the efforts of millennial consumerswhich constantly demand innovation in both contracting processes and payment methods.
WOOW goes to PayPal to satisfy our customers
WOOW leaders assured, through a statement, that the alliance with PayPal responds to knowing how to commit to avoid slow and outdated processes or procedures, adding support and confidence to its users (its main focus).
“We identify the requirements of our consumers and We transform the way of selling insurance in Mexico. At WOOW we want the user to have a frictionless and accessible experience at all times. Today PayPal allows us to offer this experience, and most importantly, within a security framework»assured Margarita Zepeda, CEO and co-founder of InsurTech WOOW.
Image: Capture – WOOW
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