Projects greater than the sum of their parts = transformation

If you're delivering lots of projects but the outputs from each are not adding up to a greater sum than their parts, then you're probably not doing the right projects in the right order. It's a common issue; lots happening but not a lot of impact or movement in the right direction. The result of this behaviour is usually change fatigue in the workforce.

If you want to be more effective and efficient with your resources, then you need to approach your change initiatives in a more considered fashion; you need a north star (or destination state) to guide you.

A Target Operating Model (TOM) can be that north star. It is a documented outline that articulates your organisation’s purpose and how you will better set yourselves up to deliver that purpose operationally. It forms the basis of your strategy which is then implemented. 

How a TOM can help you
A TOM is a forward-looking picture of how your organisation will be configured at a point in the future, and how different components will come together to best enable you to deliver your purpose and ultimately achieve your vision. It provides internal and external stakeholders a framework and instruction for decision-making and guides all transformation activity. It does not itself provide the detail of what the changes are or how to make them; this journey is outlined by a road map and your transformation programme.  

Signs you need a TOM

Take a look at the pain points below, if any of these resonate then you probably need a TOM. 

1. There is a general lack of clarity regarding people's priorities; either everything is a priority, nothing is, or everyone has differing priorities. 

2. There is a focus on cost reduction, which leads (inadvertently) to value adding work being cut, rather than eliminating the waste and failure, which will ultimately be the cheapest way to run your services and maintain customer value. 

3. You’re embarking on a new direction of travel or transformation and you haven't got a clear narrative about your destination. If this is the case, lay the foundations of good transformation early and design your TOM.  

4. Solutions are presented as single actions, such as introducing a new IT systems without changing underlying processes. Which means solutions are ineffective or create new additional problems.  

5. Capacity and money are wasted on non-priority activities that are non-value adding or do not contribute to strategic goals.  

6. Projects and processes are duplicated across the business (often in blissful ignorance of each other) 

7. The effort required to sustain day-to-day activities prevents focus on your projects; therefore nothing gets done and you don’t move forwards.