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+2024-06-07 16:00:01,970 [DEBUG] embed_tuning: Adding chunk to actual_chunks: Prepare for continuous improvement
+Once initiatives are fully implemented, the change effort does not end; almost 40 percent of respondents say they wish they had spent more time thinking about how their organizations would continue to improve. Several specific practices that help companies connect strategy to daily work, deliver value more efficiently to customers, enable people to contribute to their best ability, and discover new ways of working all link to an organization’s long-term health—and can keep companies from backsliding on performance gains and support continuous improvements after transformation.
+For example, in organizations where people understand how their individual work supports the company’s broader vision, executives are 5.5 times likelier than others to say the transformation has been successful (Exhibit 6). To achieve long-term success, that link must also be reinforced with a company-wide commitment to identifying opportunities for improvement—a practice that more than quadruples the likelihood of success. Likewise, executives report a much higher rate of success when their companies have a systematic process for developing people’s capabilities and for identifying, sharing, and improving upon best practices.
+Of the eight continuous-improvement actions we asked about, one was an outlier: only one-third of executives say teams of employees begin their days discussing the previous day’s results and the current day’s work, compared with strong majorities of executives who agree that their organizations take each of the other actions. But respondents whose organizations had implemented daily discussions were twice as likely as others to report success.
+Looking ahead
+Focus on people, not the project. Transformations are about the people in the organization as much as they’re about the initiatives. The long-term sustainability of a transformation requires companies to engage enthusiastic high-potential employees, equip them with skills, and hold them accountable for—as well as celebrate—their contributions to the effort. Companies should, in our experience, take the same steps toward developing people throughout the organization. To build broad ownership, leaders should encourage all employees to experiment with new ideas: starting small, taking risks, and adapting quickly in their work. Doing so can create far-reaching and positive support for change, which is essential to a transformation’s success.
+Communicate continually. When embarking on a transformation, executives should not underestimate the power of communication and role modeling. The results suggest that continually telling an engaging, tailored story about the changes that are under way—and being transparent about the transformation’s implications—has substantially more impact on an effort’s outcome than more programmatic elements, such as performance management or capability building. But the communication doesn’t end once the change story has been told. Leaders must continually highlight progress and success to make sure the transformation is top of mind across the organization—and to reduce the gap between what employees believe is happening and what they see.
+Take more action. Transformation is hard work, and the changes made during the transformation process must be sustained for the organization to keep improving. There is no silver bullet—and while some factors have more impact than others on a transformation’s outcome, the real magic happens when these actions are pursued together. Overall, the survey indicates that the more actions an organization took to support each of the five stages of transformation, the more successful it was at improving performance and sustaining long-term health.
+Download “How to beat the transformation odds” (PDF–1.6 KB).
+
+2024-06-07 16:00:01,970 [DEBUG] embed_tuning: chunk: [('h2', 'What successful transformations share\n'), ('h4', 'When organizational transformations succeed, managers typically pay attention to “people issues,” especially fostering collaboration among leaders and employees and building capabilities.\n'), ('p', 'Over years of research and client work, we’ve identified a few tactics that help drive successful transformational change—any large-scale change, such as going from good to great performance, cutting costs, or turning around a crisis. These tactics include setting clear, aspirational targets; creating a clear structure; maintaining energy and involvement throughout the organization; and exercising strong leadership.16When organizational transformations succeed, managers typically pay attention to “people issues,” especially fostering collaboration among leaders and employees and building capabilities. In this latest survey of executives from around the world,17The online survey was in the field from January 19, 2010, to January 29, 2010. We received responses from 2,512 executives representing the full range of regions, industries, functional specialties, and seniority. we’ve dug into just how companies apply some of these tactics. We found that a few approaches in each area are most tightly correlated with successful transformations of both short-term performance and long-term corporate effectiveness, or “health.” In addition, the approaches most used by successful companies tend to complement and reinforce one another.\n'), ('p', 'The survey asked executives about types of transformations (what types their companies had undertaken and why), goals for the transformation (what the goals were, how they were defined, and how successfully they were met), and implementation (how companies structured and carried out the transformation).\n'), ('p', 'By looking at the approaches used by companies that executives describe as most successful in transforming themselves, we found evidence suggesting the importance of engaging employees collaboratively throughout the company and throughout the transformation journey. Another major theme was the importance of building capabilities—particularly leadership capabilities—to maintain long-term organizational health. In addition, a focus on strengths and achievements, not just problems, throughout the entire transformation process is strongly tied to success.\n')]
+2024-06-07 16:00:01,971 [DEBUG] embed_tuning: chunk_content: What successful transformations share
+When organizational transformations succeed, managers typically pay attention to “people issues,” especially fostering collaboration among leaders and employees and building capabilities.
+Over years of research and client work, we’ve identified a few tactics that help drive successful transformational change—any large-scale change, such as going from good to great performance, cutting costs, or turning around a crisis. These tactics include setting clear, aspirational targets; creating a clear structure; maintaining energy and involvement throughout the organization; and exercising strong leadership.16When organizational transformations succeed, managers typically pay attention to “people issues,” especially fostering collaboration among leaders and employees and building capabilities. In this latest survey of executives from around the world,17The online survey was in the field from January 19, 2010, to January 29, 2010. We received responses from 2,512 executives representing the full range of regions, industries, functional specialties, and seniority. we’ve dug into just how companies apply some of these tactics. We found that a few approaches in each area are most tightly correlated with successful transformations of both short-term performance and long-term corporate effectiveness, or “health.” In addition, the approaches most used by successful companies tend to complement and reinforce one another.
+The survey asked executives about types of transformations (what types their companies had undertaken and why), goals for the transformation (what the goals were, how they were defined, and how successfully they were met), and implementation (how companies structured and carried out the transformation).
+By looking at the approaches used by companies that executives describe as most successful in transforming themselves, we found evidence suggesting the importance of engaging employees collaboratively throughout the company and throughout the transformation journey. Another major theme was the importance of building capabilities—particularly leadership capabilities—to maintain long-term organizational health. In addition, a focus on strengths and achievements, not just problems, throughout the entire transformation process is strongly tied to success.
+
+2024-06-07 16:00:01,971 [DEBUG] embed_tuning: chunk: [('h3', 'Building a clear structure collaboratively\n'), ('p', 'This survey reconfirms the importance of some basic best practices to successful transformations. Strong majorities of extremely successful companies define the targets, role, and structure of the transformation clearly, respondents say.\n'), ('p', 'Furthermore, this survey allows us to identify some approaches for creating a change plan that are closely tied to success: assessing a company’s present situation rigorously, identifying the current state of corporate capabilities as well as problems, and explicitly identifying the underlying mind-sets that must change for the transformation to succeed (Exhibit 1). In addition, nearly three-quarters of companies that were extremely successful in meeting their transformational goals broke down the process of the transformation into specific, clearly defined initiatives. Other structural approaches, such as a robust risk-management process or a project-management office, are less often correlated with successful transformations.\n'), ('p', 'Notably, employee engagement as early as the planning process emerges as a key success factor. Indeed, in successful transformations, executives say that identifying underlying mind-sets that would need to change was the approach used most often. Moreover, three-quarters of the respondents whose companies broke down their change process into clearly defined smaller initiatives and whose transformations were “extremely successful” say that staff members were entirely or very able to participate in shaping those change initiatives (Exhibit 2). Collaboration and cocreation also are important: nearly a quarter of the extremely successful transformations were planned by groups of 50 or more, compared with just 6 percent of unsuccessful transformations.18Of the transformations rated “not at all successful,” 70 percent were planned by ten or fewer people.\n')]
+2024-06-07 16:00:01,972 [DEBUG] embed_tuning: chunk_content: Building a clear structure collaboratively
+This survey reconfirms the importance of some basic best practices to successful transformations. Strong majorities of extremely successful companies define the targets, role, and structure of the transformation clearly, respondents say.
+Furthermore, this survey allows us to identify some approaches for creating a change plan that are closely tied to success: assessing a company’s present situation rigorously, identifying the current state of corporate capabilities as well as problems, and explicitly identifying the underlying mind-sets that must change for the transformation to succeed (Exhibit 1). In addition, nearly three-quarters of companies that were extremely successful in meeting their transformational goals broke down the process of the transformation into specific, clearly defined initiatives. Other structural approaches, such as a robust risk-management process or a project-management office, are less often correlated with successful transformations.
+Notably, employee engagement as early as the planning process emerges as a key success factor. Indeed, in successful transformations, executives say that identifying underlying mind-sets that would need to change was the approach used most often. Moreover, three-quarters of the respondents whose companies broke down their change process into clearly defined smaller initiatives and whose transformations were “extremely successful” say that staff members were entirely or very able to participate in shaping those change initiatives (Exhibit 2). Collaboration and cocreation also are important: nearly a quarter of the extremely successful transformations were planned by groups of 50 or more, compared with just 6 percent of unsuccessful transformations.18Of the transformations rated “not at all successful,” 70 percent were planned by ten or fewer people.
+
+2024-06-07 16:00:01,972 [DEBUG] embed_tuning: Adding chunk to actual_chunks: About the author(s)
+The contributors to the development and analysis of this survey include David Jacquemont, a principal in McKinsey’s Paris office; Dana Maor, a principal in the Tel Aviv office; and Angelika Reich, an associate principal in the Zurich office.
+They would like to acknowledge Erin Ghelber, Christian Johnson, and Kate VanAkin for their contributions to this work.
+This update was edited by Daniella Seiler, a senior editor in the New York office.
+What successful transformations share
+When organizational transformations succeed, managers typically pay attention to “people issues,” especially fostering collaboration among leaders and employees and building capabilities.
+Over years of research and client work, we’ve identified a few tactics that help drive successful transformational change—any large-scale change, such as going from good to great performance, cutting costs, or turning around a crisis. These tactics include setting clear, aspirational targets; creating a clear structure; maintaining energy and involvement throughout the organization; and exercising strong leadership.16When organizational transformations succeed, managers typically pay attention to “people issues,” especially fostering collaboration among leaders and employees and building capabilities. In this latest survey of executives from around the world,17The online survey was in the field from January 19, 2010, to January 29, 2010. We received responses from 2,512 executives representing the full range of regions, industries, functional specialties, and seniority. we’ve dug into just how companies apply some of these tactics. We found that a few approaches in each area are most tightly correlated with successful transformations of both short-term performance and long-term corporate effectiveness, or “health.” In addition, the approaches most used by successful companies tend to complement and reinforce one another.
+The survey asked executives about types of transformations (what types their companies had undertaken and why), goals for the transformation (what the goals were, how they were defined, and how successfully they were met), and implementation (how companies structured and carried out the transformation).
+By looking at the approaches used by companies that executives describe as most successful in transforming themselves, we found evidence suggesting the importance of engaging employees collaboratively throughout the company and throughout the transformation journey. Another major theme was the importance of building capabilities—particularly leadership capabilities—to maintain long-term organizational health. In addition, a focus on strengths and achievements, not just problems, throughout the entire transformation process is strongly tied to success.
+
+2024-06-07 16:00:01,973 [DEBUG] embed_tuning: chunk: [('h3', 'Engaging employees\n'), ('p', 'Strong leadership and maintaining energy for change among employees are two principles of success that reinforce each other when executed well. For example, when leaders ensure that frontline staff members feel a sense of ownership, the results show a 70 percent success rate for transformations. When frontline employees take the initiative to drive change, transformations have a 71 percent success rate. When both principles are used, the success rate rises to 79 percent.\n'), ('p', 'Among all of the structural and executional approaches to change we asked about, five of the eight used in strong majorities of successful transformations relate to ensuring that employees are engaged, often by leadership initiatives (Exhibit 3). Furthermore, among the respondents whose companies used small-scale initiatives to roll out their change programs, 60 percent of the extremely successful ones focused some initiatives entirely or mostly on changing mind-sets, compared with only 12 percent of the unsuccessful transformations.\n')]
+2024-06-07 16:00:01,973 [DEBUG] embed_tuning: chunk_content: Engaging employees
+Strong leadership and maintaining energy for change among employees are two principles of success that reinforce each other when executed well. For example, when leaders ensure that frontline staff members feel a sense of ownership, the results show a 70 percent success rate for transformations. When frontline employees take the initiative to drive change, transformations have a 71 percent success rate. When both principles are used, the success rate rises to 79 percent.
+Among all of the structural and executional approaches to change we asked about, five of the eight used in strong majorities of successful transformations relate to ensuring that employees are engaged, often by leadership initiatives (Exhibit 3). Furthermore, among the respondents whose companies used small-scale initiatives to roll out their change programs, 60 percent of the extremely successful ones focused some initiatives entirely or mostly on changing mind-sets, compared with only 12 percent of the unsuccessful transformations.
+
+2024-06-07 16:00:01,974 [DEBUG] embed_tuning: chunk: [('h5', 'Keys to success\n'), ('h3', 'Leadership and capabilities\n'), ('p', 'Eighty-three percent of all respondents say their companies’ transformations focused wholly or in part on changing the organizations’ long-term health by building capabilities, changing mind-sets or culture, or developing a capacity for continuous improvement. Transforming leadership capacity seems to be particularly significant in transformations that succeeded in improving long-term health: 63 percent of executives who say their companies’ transformations had a significant impact on leadership capacity indicate that the transformation improved both short-term performance and long-term health. By contrast, a third of those who say their companies’ transformations had no significant effect on leadership capacity nonetheless succeeded in transforming short-term performance—a rate of success almost as high as the rate for any transformation.\n'), ('p', 'Further, 69 percent of respondents who have an opinion say their companies’ transformations led to a greater capacity for continuous improvement.19Fifty-four percent say they don’t know yet.\nOne of the two main reasons, chosen by 61 percent, is that staff gained new skills through the transformation. The other reason, chosen by an equal share, is that the companies’ cultures became more supportive of innovation and improvement.\n')]
+2024-06-07 16:00:01,974 [DEBUG] embed_tuning: chunk_content: Keys to success
+Leadership and capabilities
+Eighty-three percent of all respondents say their companies’ transformations focused wholly or in part on changing the organizations’ long-term health by building capabilities, changing mind-sets or culture, or developing a capacity for continuous improvement. Transforming leadership capacity seems to be particularly significant in transformations that succeeded in improving long-term health: 63 percent of executives who say their companies’ transformations had a significant impact on leadership capacity indicate that the transformation improved both short-term performance and long-term health. By contrast, a third of those who say their companies’ transformations had no significant effect on leadership capacity nonetheless succeeded in transforming short-term performance—a rate of success almost as high as the rate for any transformation.
+Further, 69 percent of respondents who have an opinion say their companies’ transformations led to a greater capacity for continuous improvement.19Fifty-four percent say they don’t know yet.
+One of the two main reasons, chosen by 61 percent, is that staff gained new skills through the transformation. The other reason, chosen by an equal share, is that the companies’ cultures became more supportive of innovation and improvement.
+
+2024-06-07 16:00:01,975 [DEBUG] embed_tuning: Adding chunk to actual_chunks: Building a clear structure collaboratively
+This survey reconfirms the importance of some basic best practices to successful transformations. Strong majorities of extremely successful companies define the targets, role, and structure of the transformation clearly, respondents say.
+Furthermore, this survey allows us to identify some approaches for creating a change plan that are closely tied to success: assessing a company’s present situation rigorously, identifying the current state of corporate capabilities as well as problems, and explicitly identifying the underlying mind-sets that must change for the transformation to succeed (Exhibit 1). In addition, nearly three-quarters of companies that were extremely successful in meeting their transformational goals broke down the process of the transformation into specific, clearly defined initiatives. Other structural approaches, such as a robust risk-management process or a project-management office, are less often correlated with successful transformations.
+Notably, employee engagement as early as the planning process emerges as a key success factor. Indeed, in successful transformations, executives say that identifying underlying mind-sets that would need to change was the approach used most often. Moreover, three-quarters of the respondents whose companies broke down their change process into clearly defined smaller initiatives and whose transformations were “extremely successful” say that staff members were entirely or very able to participate in shaping those change initiatives (Exhibit 2). Collaboration and cocreation also are important: nearly a quarter of the extremely successful transformations were planned by groups of 50 or more, compared with just 6 percent of unsuccessful transformations.18Of the transformations rated “not at all successful,” 70 percent were planned by ten or fewer people.
+Engaging employees
+Strong leadership and maintaining energy for change among employees are two principles of success that reinforce each other when executed well. For example, when leaders ensure that frontline staff members feel a sense of ownership, the results show a 70 percent success rate for transformations. When frontline employees take the initiative to drive change, transformations have a 71 percent success rate. When both principles are used, the success rate rises to 79 percent.
+Among all of the structural and executional approaches to change we asked about, five of the eight used in strong majorities of successful transformations relate to ensuring that employees are engaged, often by leadership initiatives (Exhibit 3). Furthermore, among the respondents whose companies used small-scale initiatives to roll out their change programs, 60 percent of the extremely successful ones focused some initiatives entirely or mostly on changing mind-sets, compared with only 12 percent of the unsuccessful transformations.
+
+2024-06-07 16:00:01,975 [DEBUG] embed_tuning: chunk: [('h2', 'Accentuate the positive\n'), ('p', 'We found in earlier work that when communications about an organization’s transformation celebrate success as well as discuss reasons for change, the organization tends to be more successful in driving the transformation than when communications focus solely on reasons for change. In this survey, we’ve found that focusing on the positives early in the process—during the assessment of a company’s current position—also correlates strongly with success (Exhibit 4).\n')]
+2024-06-07 16:00:01,976 [DEBUG] embed_tuning: chunk_content: Accentuate the positive
+We found in earlier work that when communications about an organization’s transformation celebrate success as well as discuss reasons for change, the organization tends to be more successful in driving the transformation than when communications focus solely on reasons for change. In this survey, we’ve found that focusing on the positives early in the process—during the assessment of a company’s current position—also correlates strongly with success (Exhibit 4).
+
+2024-06-07 16:00:01,976 [DEBUG] embed_tuning: chunk: [('h5', 'Assessing strengths, opportunities, and problems\n'), ('h2', 'Looking ahead\n'), ('li', '- Companies that undertake transformational change have to succeed at the basics, such as creating clear, stretching targets and defining a clear structure. In addition, this survey suggests that the more companies also focus on their employees’ mind-sets and behavior, the more successful they will be.'), ('li', '- It can be hard to find time to pay attention to mind-sets and behavior, given all the other work of a transformation. Companies that focus on the few approaches this survey shows to be frequently tied to success can use their limited resources wisely.'), ('li', '- Given the importance of collaboration across the whole organization, leaders at companies starting a transformation should put a priority on finding efficient and scalable ways to engage employees.'), ('p', 'Download “What successful transformations share” (PDF–472 KB).\n')]
+2024-06-07 16:00:01,976 [DEBUG] embed_tuning: chunk_content: Assessing strengths, opportunities, and problems
+Looking ahead
+- Companies that undertake transformational change have to succeed at the basics, such as creating clear, stretching targets and defining a clear structure. In addition, this survey suggests that the more companies also focus on their employees’ mind-sets and behavior, the more successful they will be.- It can be hard to find time to pay attention to mind-sets and behavior, given all the other work of a transformation. Companies that focus on the few approaches this survey shows to be frequently tied to success can use their limited resources wisely.- Given the importance of collaboration across the whole organization, leaders at companies starting a transformation should put a priority on finding efficient and scalable ways to engage employees.Download “What successful transformations share” (PDF–472 KB).
+
+2024-06-07 16:00:01,977 [DEBUG] embed_tuning: chunk: [('h2', 'About the author(s)\n'), ('p', 'Contributors to the development and analysis of this survey include Scott Keller, a principal in McKinsey’s Chicago office; Mary Meaney, a principal in the London office; and Caroline Pung, a consultant in that office.\n'), ('p', 'They would also like to acknowledge the contributions of Caroline Limet.\n')]
+2024-06-07 16:00:01,977 [DEBUG] embed_tuning: chunk_content: About the author(s)
+Contributors to the development and analysis of this survey include Scott Keller, a principal in McKinsey’s Chicago office; Mary Meaney, a principal in the London office; and Caroline Pung, a consultant in that office.
+They would also like to acknowledge the contributions of Caroline Limet.
+
+2024-06-07 16:00:01,978 [DEBUG] embed_tuning: Adding chunk to actual_chunks: Keys to success
+Leadership and capabilities
+Eighty-three percent of all respondents say their companies’ transformations focused wholly or in part on changing the organizations’ long-term health by building capabilities, changing mind-sets or culture, or developing a capacity for continuous improvement. Transforming leadership capacity seems to be particularly significant in transformations that succeeded in improving long-term health: 63 percent of executives who say their companies’ transformations had a significant impact on leadership capacity indicate that the transformation improved both short-term performance and long-term health. By contrast, a third of those who say their companies’ transformations had no significant effect on leadership capacity nonetheless succeeded in transforming short-term performance—a rate of success almost as high as the rate for any transformation.
+Further, 69 percent of respondents who have an opinion say their companies’ transformations led to a greater capacity for continuous improvement.19Fifty-four percent say they don’t know yet.
+One of the two main reasons, chosen by 61 percent, is that staff gained new skills through the transformation. The other reason, chosen by an equal share, is that the companies’ cultures became more supportive of innovation and improvement.
+Accentuate the positive
+We found in earlier work that when communications about an organization’s transformation celebrate success as well as discuss reasons for change, the organization tends to be more successful in driving the transformation than when communications focus solely on reasons for change. In this survey, we’ve found that focusing on the positives early in the process—during the assessment of a company’s current position—also correlates strongly with success (Exhibit 4).
+Assessing strengths, opportunities, and problems
+Looking ahead
+- Companies that undertake transformational change have to succeed at the basics, such as creating clear, stretching targets and defining a clear structure. In addition, this survey suggests that the more companies also focus on their employees’ mind-sets and behavior, the more successful they will be.- It can be hard to find time to pay attention to mind-sets and behavior, given all the other work of a transformation. Companies that focus on the few approaches this survey shows to be frequently tied to success can use their limited resources wisely.- Given the importance of collaboration across the whole organization, leaders at companies starting a transformation should put a priority on finding efficient and scalable ways to engage employees.Download “What successful transformations share” (PDF–472 KB).
+
+2024-06-07 16:00:01,978 [DEBUG] embed_tuning: Remaining Chunk: About the author(s)
+Contributors to the development and analysis of this survey include Scott Keller, a principal in McKinsey’s Chicago office; Mary Meaney, a principal in the London office; and Caroline Pung, a consultant in that office.
+They would also like to acknowledge the contributions of Caroline Limet.
+
+2024-06-07 16:00:01,979 [DEBUG] embed_tuning: Remaining Length: 312