When businesses talk about transformation, the conversation almost always starts with the technology behind. Whether it's AI, Salesforce, data platforms or SAP, organisations are often quick to focus on the system they're going to implement rather than the foundations required to make it successful.
However, from what we continue to see across global transformation programmes, technology is rarely the root cause of failure. More often than not, it's actually everything else around it.
The organisations that consistently deliver successful transformations tend to approach things a little differently. They prioritise people first, then their processes, and only then technology. Getting this balance right is what will ultimately determine whether your programme will deliver business value or become another expensive lesson.
This article contains insight from Conexus Managing Director Connor Wall.
The Real Drivers of Transformation
At the heart of every successful transformation are the people leading it.
Before any system is selected or any roadmap is defined, you need experienced leadership in place: individuals who have been through complex transformation programmes before and understand what it takes to deliver them successfully.
We're seeing a clear increase in former CIOs, Transformation Directors and Programme Leaders to join organisations on an interim basis. This isn't by chance; these individuals bring a level of credibility and experience that is critical in the early stages of a transformation. They're able to align businesses and IT stakeholders, challenge assumptions and navigate the political and operational complexities that often derail programmes. Just as importantly, they know where things typically go wrong and how to avoid these pitfalls.
Without this level of leadership, your transformation could quickly lose direction. Stakeholder alignment could break down, meaning decision-making will slow and programmes will become stuck in design phases. In some cases, organisations end up delivering solutions that don't truly meet the needs of the business.
At the end of the day, technology alone doesn't transform an organisation; people do.
The Foundation Most Companies Overlook
Once the right leadership is in place, the next step is defining how the business should operate.
This is where many organisations make critical mistakes. There's often a rush to move into system selection or implementation without fully understanding or agreeing on the processes that will underpin the transformation. This is where the Target Operating Model (TOM) becomes essential.
The TOM defines how a business will function in the future: how its processes will work, what will be standardised, where flexibility is required and how different parts of the organisation will interact. It provides the blueprint for transformation.
We're now seeing more organisations take a step back and re-evaluate their TOM before committing to large-scale investments, reflecting a growing recognition that without a clear and well-defined TOM, technology implementations are built on unstable foundations.
If your processes are not properly designed and aligned, systems end up being configured around inefficiencies. Complexity increases, costs rise and your organisation will struggle to realise the full benefits of the investment you're making.
Technology as an Enabler
Only once people and processes are aligned should technology come into the equation.
At this stage, technology plays its true role - as an enabler. It supports the operating model, scales processes and provides the tools needed to drive efficiency and growth. When implemented on top of strong foundations, platforms such as SAP and other enterprise technologies can deliver considerable return on investment. They enable better decision-making and create the infrastructure needed for long-term growth.
However, when organisations start will technology without first addressing people and process, the outcome is very different. Systems become overly complex, adoption suffers and the expected benefits are never truly realised.
Many businesses have experienced this firsthand: investing heavily in transformation programmes that ultimately fail to deliver the value that was promised. In most cases, the issue was a lack of preparation.
What does this mean for your organisation?
There's a clear change in how organisations are approaching their transformations. With increased scrutiny on budgets and return on investment, businesses are being more deliberate about when and how they commit to large-scale programmes. Boards are asking tougher questions about readiness, leadership and operating models before approving such significant spend.
Investing time upfront in defining your TOM and bringing in experienced transformation leaders to guide the process will ensure that when technology is introduced, it is done so in a way that delivers measurable value.
How we can help:
We're increasingly supporting organisations across Europe and the US at the earliest stages of their transformation journeys. This includes providing interim CIOs and Transformation Leaders, advising on TOM design and supporting with key hires across SAP, data and enterprise technology.
If you're planning a global transformation, re-evaluating your Target Operating Model or considering whether you have the right leadership in place, this early-stage support is often the difference between a programme that delivers and one that falls short.
If you're currently planning your programme or are reassessing your strategy, let's talk.