Transformation vs Evolution

The transformation processes of many entities are not such, but rather digitization or reengineering processes that have always been carried out with the tools that were mandatory at that time.

It also tends to use transformation as a lever to apply efficiency or cost reduction plans in different areas, from human resources to system plans.

A transformation produces a profound change in companies. It makes them rethink their revenue model, their business model, their structure, and so on. From a successfully executed transformation process, a new company emerges, evolved and prepared to compete on a new playing field with actors that are governed under different premises from the traditional ones.

The revenue models in the traditional chain of value creation. That is to say: I devise a product, I distribute it through its channel and I obtain the benefit on it. In the new business models there are a couple of additions to this model. On the one hand, the same product contains a greater range of complementary services to include (commissions, upgrades, etc.) that are part of the product itself. On the other hand, the value creation chain combines with a transversal value creation chain. The purchases made by the largest companies in the digital sector serve as an example. These companies have their main business designed under the value creation model, I devise a search engine, I distribute it through the network and I obtain the benefit of advertising. But at the same time they buy another company, for example from the Internet of Things, which in turn has devised, distributed and generated income under its own model. From the union of both, a creation of transversal value is produced, with data that allow get to know the customer better and direct the best value offers for him.

The organizational models and people that compose them change. Departments that reduce the number of people by half or more, but with professionals with more global visions of the process, greater decision-making capacity, deriving the rest to functions in low-value support environments fueled by the excess of personnel mentioned above.

La globalization as a catalyst, crossing borders with the same or new services, competing in larger geographical areas and changing our perception of who our competition really is, whether the traditional business, or the new emerging businesses. Globalization also facilitates and encourages the creation of new alliances and partnerships that help the best expansion of the organization. These alliances should not be taken lightly and are associated with tangible results for the participants.

El execution model changes, from immovable systems to highly flexible environments that take into account customer messages, new trends and produce improvements and adaptations in an agile and continuous manner. For this to be possible, greater knowledge of what is happening is required, with very flexible information systems handling large volumes of data, technology professionals, operations and processes as part of the business, and new infrastructures and technologies that allow this new execution model. integrating the security and confidence necessary for customers and the organization.

The transformation is closely related to the collaboration. Collaboration with clients, who tell us what they need. when and how to be useful and not intrusive in addition to making efforts more efficient. Also collaboration with developers, creating robust open systems that allow developing or complementing business models using open platforms.

The new organization, after a transformation process, has evolved its catalog of products and services with new revenue models that compete or may be superior to the traditional ones, with a new organizational model, with people who provide differential value, capable of sharing in a global market with highly efficient and effective execution models marked by clients and the market, incorporating in an orderly and collaborative manner the best opportunities identified and generated by clients and developers.

This organization is prepared to face the threat of disintermediation and the appearance of new players capturing small shares of its market.