Execution Challenges Become a Core Issue for Transformation Projects

A perfect organizational structure may become a source of excitement in the process of planning, but fails to create any changes upon implementation. Implementation often becomes the core problem of many transformation initiatives, not during strategy formation but afterward.

Implementation challenges have become a key topic for the organizational design and transformation services market in Latin America. Companies understand that it is implementation that often makes the difference whether a transformation project becomes successful.

Transformation initiatives often start with a rational reasoning. Decision-making bottlenecks and problems with responsibility division become clear for the leadership team. It may seem reasonable at the moment of assessment. But there are other challenges coming when it comes to adapting to the new reality.

It may happen due to old habits that keep prevailing despite the implemented changes. There may be different understandings of newly assigned responsibilities and communication problems that make it difficult to define expectations and reporting lines.

All these things make implementation planning such a relevant part of transformation projects now. Companies are interested in understanding how to implement structural changes successfully.

The discussion is based on the lessons learned from past organizational projects. Changes may look good and effective from the perspective of organizational charts, but their adoption may prove inconsistent in practice.

Service providers in the sphere of organizational transformation also tend to focus on implementation support more now. Their clients are often interested in getting advice on transition management, rather than just receiving recommendations on organizational designs.

It is especially relevant in the case of large companies where structural changes are going to be implemented in numerous teams. Interpretations of changes may differ in various business units, resulting in inconsistent adoption.

Leadership involvement is another crucial element. When changes are happening, employees usually seek answers from the company's management. Uncertainty with priorities and expectations may become a problem for implementation.

Measurement also becomes a subject of special attention in the transformation projects. The point is that implementation of structural changes often leads to discussions about measuring their efficiency in order to see whether the expected improvement is taking place.

The focus on implementation proves the growing maturity of the organizational design market in Latin America. Customers do not limit themselves to the question about the structure and pay more attention to the process of change.

The organizational design and transformation services in Latin America may become even more focused on the process in the near future. The success of transformation projects is likely to depend less on the design and more on the implementation.