"Agile and digital": 2 sides of the same coin for sustainable corporate success

Picture of Wolfgang Schmid

Wolfgang Schmid

February 18, 2020

 "Agile and digital": There are so many books on the subject of digitalization and agility! So why another management handbook? Our authors and TCI partners provide the answer and some background information Rüdiger Schönbohm and Dr. Wolfgang Schmid in this article. They see this book as a practical guide that is intended for implementation on the one hand, but does not neglect to present the most important connections holistically on the other: between management, organization, methods, processes and the people affected.

What (successful) sustainable corporate development depends on

At its core, the change necessary for many industries is neither about technology nor about the introduction of one method or another. The many initiatives, pilots, incubators and small digital subsidiaries show this more than clearly.

Rather, the difficulty lies in the next step: sustainable change towards a different way of working (together) and a different management and corporate culture. Because only these changes guarantee an effective way of dealing with the rapid changes and uncertainties in the business environment.

But this is where the greatest resistance arises, because many people still seem to be unaware that the transformation into an agile, networked and digital company is a major, extremely challenging organizational development that requires a lot of energy, courage and perseverance.

That is why we have created a guide for managers and employees that offers two things in particular:

  1. To show the connections and interactions between the different subject areas.
  2. outline ways of dealing with these issues of change.

We - Rüdiger Schönbohm and Dr. Wolfgang Schmid - both draw on more than 25 years of operational professional experience in very different sectors, the last 15 of which have been devoted primarily to consulting and Change management were dedicated. In this respect, the approaches and ideas in our guidelines for managers and employees alike have been tried and tested in practice.

Why agile and digital transformation?

Let's take a quick look at the speed at which innovations and disruptive changes are now taking place: Whereas products used to take 50 years to reach 50 million users, today it takes 50 days. This rapid increase in the Speed of innovation and change in a business environment that is increasingly more complex requires new (agile) skills and (digital) possibilities. Agile and digital are therefore Key enablerto meet these challenges.

Schematic illustration: Companies achieve their purpose, goal and function through their capabilities as an agile organization (mindset, collaboration, communication) and their ability to offer digital solutions (business models, products, services, processes)
Figure 1: "Agile and digital" as an enabler for corporate purposes: purpose, goal and function determine sustainable corporate development and provide decisive orientation for a successful agile and digital transformation. (Image: © Rüdiger Schönbohm / Wolfgang Schmid | TCI GmbH)

The first step is therefore to check, whether and where "agile and digital" bring added value - and why. If this is neglected - which unfortunately still happens quite often - disappointment and disillusionment are inevitable. Experience shows that "one fits all" does not work here.

For this reason, the book briefly and succinctly expands on this argument, but already gives a brief overview in the first chapter - the Megatrends pragmatic recommendations for action. During this initial stocktaking, it is essential not only to initiate an examination of the possibilities, but also to proceed systematically and drive the (preparatory) transformation process forward in a targeted manner.

How agile and digital transformation?

Agile and digital transformation means fundamental, far-reaching change in the company. In this respect, we also describe various Change modelsThey comment on these and highlight procedures and formats they have developed themselves that have led and continue to lead to success in their practice.

What is agile and digital?

The topic "What" explains exactly what agile and digital can mean and where the connections lie. On the one hand, the focus is on the Agile working and leadershipon the other hand to the Digitization of business processes, Products & services and business models. Specific examples in the appendix make the latter more tangible.

Success factors for sustainable corporate development

Schematic diagram: 7 key enablers (skills and competencies) for agile and digital transformation: vision & strategy, values & principles, leadership & management, processes & governance, organization & structure, technology & IT, people & communication
Figure 2: The seven key enablers are success-critical skills and competencies for the agile and digital transformation of companies. (Image: © Rüdiger Schönbohm / Wolfgang Schmid | TCI GmbH)

In addition to the content outlined so far, the book focuses on three further areas. The topic Skills and competencies for example, examines seven key enablers that need to be considered in an agile and digital transformation. These seven key enablers are as shown in the graphic on the right:

  • Vision & Strategy
  • Values & principles
  • Leadership & Management
  • Processes & Governance
  • Organization & Structure
  • Technology & IT
  • People & Communication.

However, this is not just about theoretical knowledge, as this may not be enough to make the agile and digital transformation in a company a success. As we have set ourselves the goal of creating a practical guide with our book, the role of the intrinsic motivation for agile teams. In addition, a

  • Genuine understanding of what makes agility special
  • internalized understanding of their relevance for leadership and collaboration
  • High degree of discipline and responsibility

are essential prerequisites for success. Because ultimately it will be the Performance of agile units The key to success and failure in the further development of an agile and digitalized organization.

Against this backdrop, we take a closer look at the structural aspects in a further chapter. agile organizations into. In particular, we look at the question of how agile teams can be embedded in existing conventional line organizations and how this interface, which is the Achilles heel of almost all agile change projects can be designed in the best possible way. Concepts for Scaling agile teams and the design hybrid organizations are presented as well as approaches agile organizational development. We use our experience to show which pitfalls often exist and what you can do to avoid stumbling over them.

The final chapter "10 steps to an agile, networked company" describes typical phases of change that frequently occur in practice. It shows what things (should) happen in these phases, how things build on and depend on each other. In the spirit of a "Guide for managers", this generic roadmap also enables an initial self-assessment of where your own company currently stands. Only on this basis is it possible to define the path and milestones towards a successful agile and digital transformation.

Sustainable corporate success: get on the right path to transformation!

The book Agile and digital: A guide for managers (Management know-how for practice) from Rüdiger Schönbohm and Dr. Wolfgang Schmied was published by Kohlhammer-Verlag on January 22, 2020. It is available in stores and at Amazon Here you can also take a direct look at the book, table of contents and introduction:

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We wish you a good read!

(Cover image: © photon_photo | stock.adobe.com)

About the author

Picture of Wolfgang Schmid

Wolfgang Schmid

Dr. Wolfgang Schmid has dedicated himself to creating an ideal corporate culture in which people can develop their full potential. With this credo, he supports companies in their transformation process towards an agile organization.

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