In PROTEUS , we have investigatedthesechanges and writtentwobooks:(CLICK) One with an internalperspective(CLICK) One with an externalperspectiveI will start out by presenting the internal, organisationalperspectiveAfterthis, mycolleague Tom willbepresenting the externalperspective – herefocus is on the company’snetwork and itspartnerhips.
So, with no further a due I will take an initial dive into the subject of changing toward a PSS organisation.
(CLICK)It is probablyobvious at this point, that system widechangesareneeded for a company to adopt a PSS business.(CLICK)It mightseemlike a small change in perception, but we find it useful to think of the management as the center of the organisation, ratherthan the top.(CLICK)
So whatare the experiences with change?(CLICK)There are a few examples of organisations changing toward PSS strategies. However, to find more cases we looked into established PSS companies in other branches and their experiences with change.PainfulprocessLong process(CLICK) One shouldremember; Rome was not built in a day.No companycansurvive ten yearswithout profits.(CLICK) It is important to plan aheadand anticipate the challengesinvolved in changingThis is why a checklist is needed.So whatcanweexpect?
User centricAll departments creating value for users and customers, opening up new relationships and value streamsHorizontal integrationValue and communications emerging also through departments’ collaboration, shared goals and performanceindicators.Shared understandings (From product centric to service centric!)Embracing change in the organisation as a whole; e.g. the new integrated product/service identity, shift of customercontact from transactional to relational, etc., sharing the same language.Actionable dataContinously measuring and visualising the value creation process as internal operations, reinforcing the culture ofinnovation.… So if all of this is already in place in your organisation – changing to a PSS strategyshouldbe a breeze.I imagine thatthis is probably not the case in most instances. For thisreason, wenow look at the process of change.
(CLICK)Observed stages of change in many organisations – adapted for PSS(CLICK)WholechangeprocessAcknowledgesthat plans changealong the way
(CLICK) - ExploreAnincompatiblecompanyculturecanbe a greatchallengemanyemployeesarelikely to beuncomfortable with the prospect of changesOthersmaybeidentified as potential championsCustomer touch pointsAre thereanypossibilities for buidling the initial strategybased on existing touch pointsNew touch points requiretime and resources.(CLICK) – EngageIdentifyappropriatestrategy – reference to WB1 and WB3Make aims and ensurecommitment – depends on BM
(CLICK)The team is crucial increatingchangeLead the waywithoutambiguousKPIsDeterminehow to trackchangesusinggoals and indicators(CLICK)Remember to figure out how the current organisation diverges from the intendedAre the necessary Human resources and knowledge present?
(CLICK)New processes need to be put in place or existingonesneed revisionHow do we for instancemanage feedback from the custoerHow dowecollect data from our systems?Often, new IT systems areneeded.(CLICK)Get the employees online:In oneknown case, a manager invented new metricsthatwere sure to failSense of urgencySmaller, realisticgoalsfor employeesareimportant(CLICK)If you have gottenused to change, embracethis; I willlinger a little at this last point.
a PSS organisation is onlycompetitive if it is constantlyacting in correspondance with user/customerneeds.Compete on agility and quality of service ratherthan on price.
Read more aboutchanging an organisation in our5th workbook in the proteus series
Thisconcludestodaysfocus on internal, organisationalchange.(CLICK)Next, mycolleague Tom willtellyou a fewthingsabout the externalperspective on change