Managing Organizational Explosions During Digital Business Transformations

Abstract

Performance improvements from digital business transformations require companies to deal with four types of disruptive organizational changes, which we call “explosions:” changing Decision Rights, adopting New Ways of Working, performing Organizational Surgery and creating a Platform Mindset. For these explosions to createrather than destroy—value, they need to be carefully designed, and their impacts anticipated and managed. We provide five recommendations for digital leaders on how to handle the explosions, by drawing on four case studies of companies on distinct transformation pathways.