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LANTERI Hypertransformation 2023.pdf
1. Prof. Alessandro Lanteri 兰亭睿
ESCP Business School
Hyper-
Transformation:
Thriving Amidst
Multiple Revolutions
Building a Fully Connected, Intelligent World
2. Professor of Strategy & Innovation, ESCP Business School
Advisor, Trainer to Multinationals, Int’l Org., Governments,
Startups
Contributor to
Harvard Business Review, MIT Technology Review, Forbes
Full Professor of Strategy & Innovation
Advisor, Trainer to Multinationals,
Int’l Org., Governments, Startups
Contributor to Harvard Business Review,
MIT Technology Review, Forbes
Keynote & TEDx Speaker
Bestselling author
Alessandro Lanteri, PhD
www.alelanteri.com
3. 🤔 How many change & transformation
initiatives has your organization gone
through in the past 3 years?
A. 0-3: we are slowly waiting to die
B. 4-6: it’s been hard keeping up, though
C. 7-10: not sure what we did NOT change
D. I lost count at 10
4. Sources: 1: Gartner (2023); 2: Morain & Aykens (2023); 3 Accenture (2021)
Change+
“In 2022, the average employee experienced
10 planned enterprise changes — such as
a restructure to achieve e
ffi
ciencies, a
culture transformation to unlock new ways
of working, or the replacement of a legacy
tech system — up from two in 2016.”(1)
“The typical organization today has
undertaken
fi
ve major
fi
rmwide changes
in the past three years — and nearly 75%
expect to multiply the types of major
change initiatives they will undertake in
the next three years.”(2)
(3)
5. 70% change
initiatives fail(1)
“A [single] change model would not
be suitable for all change situations,
as change and its context vary
signi
fi
cantly from one organization to
another.”(2)
Sources: (1) Kotter (1995), Nohria & Beer (2000); (2) Errida & Lofti (2021)
(2)
6. Sources: Errida & Lofti (2021); Gartner (2023); Lanteri (2023); White et al. (2023)
This didn’t work
before…
• 80% of organizations manage
change from the top down
• Changing elements instead of
whole
• Linear change processes
• Rational only (KPI-driven)
approaches
… it surely won’t
work now that…
• VUCA times
• Organizations have more complex,
matrixed reporting lines and
interdependencies
• Employees have more access to
information
• Hyper-transformation is the norm
8. Source: Satell (2023)
Experian in 2015
‘Going Cloud’ ☁
“In 2015 customers increasingly demanded
real-time access to data. To o
ff
er that, the
company’s IT systems should shift to the
cloud.
The cloud would end the
fi
rm’s decades-old
business model of sending reports to clients
and change how the company developed
products. Sti
ff
resistance from all levels of the
organization was inevitable.
The shift to the cloud required three major
transformations—a technology shift, a new
business model, and a workforce upskilling
challenge—all stacked on top of one another,
making implementation tremendously di
ffi
cult.”
c
a
s
e
9. +85% digital
transformations
fail(1,2)
8% of global companies have achieved their
targeted outcomes from their investments in
digital technology. (1)
16% stated that “their organizations’ digital
transformations have successfully improved
performance and also equipped them to sustain
changes in the long term,” with “an additional
7% saying that performance improved but that
those improvements were not sustained.” (2)
Sources: (1) Bain (2019); (2) McKinsey (2018)
10. About Digital
Transformation
Strategy is no longer top-down,
but customer-centric and tech-up.
Digital transformation is an
outcome and a catalyst for
further change.
If you want to do Digital
Transformation you need to do
Hyper-Transformation.
11. Source: Lanteri (2023)
Hyper-
Transformation
“A continuous (and turbulent)
fl
ow of multiple, simultaneous,
transformational, and
accelerated changes.”
👉 Organizations should be
designed and led for HyperX
12. Source: Lanteri (2023)
Hypotheses
Examples
Strategy Multi-Dexterity
Leadership Adaptive Leadership
Governance Board of Disruptors
Performance Mgt Dynamic Budgeting
Culture Open Source
Change Human Transformation
Organisation Fluid Org’s
13. Sources: Rapport et al. (2023)
Ambidexterity+
“Though conventional wisdom
says there are two stages to any
venture’s growth - exploration and
exploitation - it’s a third phases,
extrapolation, that is crucial to
successful scaling up.”
s
t
r
a
t
e
g
y
14. Sources: Lanteri (2023, 2024)
Multi-Dexterity
A revised and expanded notion of
ambidexterity, ‘multi-dexterity,’
incorporates three stages
(exploration, extrapolation, and
exploitation) along with
asymmetric change speed
(disruptive and incremental),
within a hybrid organizational
approach (both structural and
contextual).
s
t
r
a
t
e
g
y
15. Sources: Rapport et al. (2023)
Adaptive
Leadership
Diagnosis: Get on the balcony to
identify the adaptive challenge.
Implementation: Infuse the Work
with Meaning, Build Trust, give
work back to the people,
regulate stress and generate
leadership.
l
e
a
d
e
r
s
h
i
p
16. Sources: Jordan & Khan (2022); Jordan & Sorell (2019); Lanteri (2023)
Board of Disruptors
Young, Diverse, HiPo’s
representative of the organization
and its stakeholders 🧕👩🦰👱👩🦱👩🦳👨🦱,
NOT of its board or senior
management 👨🦳👨🦳👨🦳👨🦳👨🦳
Short Tenure 2 years, non-
renewable to encourage action and
discourage caution
Clear Mandate/Governance to
avoid ambiguity, waste, and
frustration
g
o
v
e
r
n
a
n
c
e
17. Source: Rigby et al. (2020)
p
e
r
f
o
r
m
a
n
c
e
Agile Budgeting
“E
ff
ective budgeting de
fi
nes success
as improving outcomes for
customers, employees, investors….
They should focus on learning,
adapting, and growing — not on
trying to predict the unpredictable or
hitting budgets.
Shift the focus from
fi
nancial
precision to strategic success.”
LY
+5
19. Source: Gartner (2023); Whitehurst (2015)
c
u
l
t
u
r
e
Open Source
• Co-create change strategy: Early transparency
(Be open about how you will get there),
Selective participation (Include just those who
are most relevant to the issue), Di
ff
erentiated
involvement (Use di
ff
erent methods to involve
di
ff
erent people as needs change).
• Shift implementation planning to employees:
Set guardrails and provide support (leaders
de
fi
ne goals and degrees of employee
ownership), let employees lead change
implementation (employees de
fi
ne success
metrics, obstacles, tasks and how they
collaborate).
• Focus on communication: Address negative
emotions openly, support peer-to-peer
interactions, build dialogue.
20. Sources: Arias et al. (2000); White et al. (2023)
c
h
a
n
g
e
m
g
t
Human
Transformation
“Shared understanding, clarity and belief.
Leader followed a personal emotional
journey in preparation for the
transformation, and championed a
purposeful vision.
E
ff
ective management of the emotional
journey. Leader provides emotional support
– intensive listening, empathy, respect.
Ability to turn vision into reality. Leader
builds con
fi
dence across organisation and
brings transformation to life through
consistent process, proper investment and
quick implementation of tech + a culture of
experimentation and co-creation.”
21. Sources: Williamson et al. (2019); Zhao et al. (2020)
o
r
g
• Organizations need to be re-built
around evolving and ever-changing
customer needs.
• Functional departments must be
downsized and replaced with
fl
exible
service platforms.
• Organizations should promote a
culture that continually questions
whether it is changing fast enough.
Fluid Organizations
22. Sources: Williamson et al. (2019); Zhao et al. (2020)
Vodafone in 2006
‘high-speed rail’ 🚄
“In 2006 Vodafone Spain struggled to
deliver a reliable mobile signal on
Spain’s new high-speed rail.
Huawei assembled a team from
across the organization. The team
quickly developed a potential
solution and within two months they
tested it on Shanghai Maglev.
(Ericsson and Nokia were still
preparing initial proposals.)”
c
a
s
e
23. Sources: Williamson et al. (2019); Zhao et al. (2020)
o
r
g
To maintain
fi
t between what the company
o
ff
ers and what the market demands, Huawei
developed a management practice to
recon
fi
gure its organization regularly
whenever required by changing customer
needs, giving considerable autonomy to project
teams to assemble the necessary people and
resources, and
fl
exibly develop solutions to meet
the needs of an individual customer.
Support service ‘resource platforms’ (R&D and
technology, test and trial, manufacturing, global
procurement, marketing and sales, HR,
fi
nance
and capital, administrative services, knowledge
management, and data sharing) are centralised.
These platforms enable the frontline project
teams to e
ffi
ciently access the capabilities and
resources they require, and make Huawei’s fast,
customer-centric practices possible.
Fluid Organizations
Despite being a US$100-billion
behemoth with over 110,000
employees that needs to remain
highly e
ffi
cient and cost competitive,
Huawei is a living organism that
constantly recon
fi
gures itself.