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Series edition 2/6
Outcomes are changes in customer and employee behaviour that lead to the results you want in your company. Why then do we measure success in features and output?
Business leaders are hard wired to seek efficiency over effectiveness and track progress in terms of output and deadlines. It’s what we were groomed to do, look for momentum and show success by delivering output, it’s a great way to manage delivery teams by managing how much they ‘make’.
The problem with this approach is that it often doesn’t provide a true sense of value, and rather only shows that things have been done and high productivity has been achieved. In a complex world of tangible and intangible value, interrelated stakeholder needs and highly competitive and dynamic markets, organisations need to focus on value delivery as the only metric that determines progress.
Value is determined through the impact you have on the customer and your employees and how it improves their day to day activities. This means we have to look deeper and make informed assumptions about the business, the behaviours and processes that exist and how to improve them to create more impact and then be curious about how you can go about improving the business to generate real value.
Being curious means you have to be okay to venture into the unknown, experiment a little and get it wrong some times. If this was easy, then every business in the world would be able to create a stream of innovation and customer improvements. However, because this is unclear, takes courage to admit that you don’t know the answer, and change the way you see progress and success, most organisations default to measuring and celebrating output.
At PwC we’re trying to change the way we tackle transformation programmes. We’re combining loads of new and exciting things like thinking creatively and using different perspectives to identify the real issue to be resolved. Once we know the issue we diverge, to do work on uncovering different options to solve the problem, and then finally converge and agree on the best ideas.
Once we have this ‘roadmap’ our designers create blueprints combining emotion with process and highlighting the required capabilities to execute this well. Using the blueprint as the guide we run short iterations to validate the idea and measure the effect or outcome rather than trying to front-load the programme with all the good theory in the world that has not been validated by the customer.
We do this because we know the secret to a successful transformation project isn’t one thing, it’s many things. We focus on people, outcomes and impact because we think that is more important than an impressive list of features that no one uses.
The lag indicator to getting this right is adoption of new systems, achieving higher revenues and delivering profit with long term customers. So even though we don’t aim to deliver a long list of features and output, we aim to deliver lasting business change and real business benefits that both excites and creates real value.
In our experience, the above mentioned strategy can be uncomfortable because it’s not a clear path from start to success. It creates anxiety and challenges traditional thinking. But what we have seen is that the result is worth it because it creates meaningful engagement with an emotional connection to the brands we work with and deliver quality and consistent experiences, not just feature rich products.
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