Transformation in a Transformational Time

In this Blog you will find:

• Organizational structure has shifted from in-house to remote workforce
• Importance in re-skilling workforce in new landscape
• Using data insights and analytics to recover and thrive post-pandemic

With news of the Coronavirus and cases spreading rapidly in March 2020, companies had only a few days to switch their operations to factor in a remote workforce. And while some were prepared for this shift to a completely digital environment, many have struggled with the skills necessary to thrive in this new landscape. As conversations begin on how companies will adapt to a post-pandemic world, it becomes apparent that many will have to undergo a transformation on how they work, market, and measure.

According to the Pulse Survey done by Willis Tower Watson of Great Britain and Western Europe “The typical organization has over 75% of their workforce working remotely – prior to the crisis it was less that 2% of organizations”. With the possibilities expanded now for many companies to have their employees working remotely, being forced to put these measures in place during the crisis, many have decided to continue to reinvent the way their company operates. The Gartner CFO survey revealed that “nearly 3 in 4 CFO’s plan to shift at least 5% of previously on-site employees to permanent remote positions post-COVID-19“.

These plans will be put in place as not only measures to keep employees safe but come at the realization that new technology has shaken up the long-standing maps of how companies should operate. This crisis has created a better landscape of how many people need to be in an office to complete their work and found that, for many companies, that has significantly decreased in the last decade.

Having less people in an office environment even after the crisis has ended will cut the costs of in-house spending with the Gartner survey also showing that “20% of respondents indicated they have deferred on-premise technology spend, with an additional 12% planning to do so. An additional 13% of respondents noted they had already made cost reductions in real estate expenses, with another 9% planning to take actions in this area in the coming months.”

Some companies will cut these costs even greater over time by moving entire teams to remote work. Major technology companies like Facebook and Google have made remote work possible for all employees until the end of the year, while Twitter and Square have made these options permanent for their employees.

What does this mean for your company?

These changes can mean as much as you would like them to, however, as the crisis continues it becomes more apparent that those who have chosen to use this time to transform their companies are the ones that are coming out on top.

With so much of the workforce switching to a remote model of work, the need to understand the digital landscape and your company’s data analytics are core to your success.

The first course of action comes in figuring out where the gaps in your company are and how these can be filled in a post-pandemic environment. Below is a list of how your company may choose to transform during and after this crisis based on the information expressed above:

Gaining Insight:

• Develop an in-house team or leverage external resources to mobilize internal datasets to provide organizational insights.
• Focus on customer & market insights to provide an understanding of your most addressable market (active customers) and to create an organizational understanding of market direction/needs.

Skill-Building:

• Investing in skill (re-skill) development. McKinsey expresses based on a recent global survey that “87 percent of executives said they were experiencing skill gaps in the workforce or expected them within a few years.” and that based on these results “Now is the time for companies to double down on their learning budgets and commit to re-skilling. Developing this muscle will also strengthen companies for future disruptions.”
• Understanding how to navigate in a digital space as many major professional development locations have moved online.

Organizational Structure:

• Changes in the way we work via COVID-19 have uncovered some truths about our organizational structure.
• Evaluating an updated structure (during and post COVID-19) to allow for accelerated decision making and enhanced productivity.

Effective Management

• Recognize that many, if not all, functional business units are under a transformative time.
• Recognizing the efforts and providing incentives for action may unlock the organization’s full potential.
• Moving organization goals from deadlines to deliverables, with a keen focus on the customer, will be critical.
• Allowing your team(s) to operate in a lean and agile manner will creative velocity towards your goals.

As the way people consider and consume goods and services will change post-pandemic, it becomes even more important that companies do so to match new needs. With the workforce primarily working from home, digital skill-building and re-thinking organizational structures will help boost your company into this new digital environment. Though no one had a choice in going remote with protocols enforcing workplaces to socially distance, companies have a choice now in how they will move forward. Using this time to transform your company will have a positive impact on your overall goals for the future as you support your employees and listen to the new desires of your customers.