As CEO and business leader you have three main paths to increase performance. First, you can maintain status quo – keep doing what you are doing. Two, you can work on changing things to make things better. And three, you can initiate real next level business transformation.
CEO mistake in performance management. Change and transformation are not the same thing, yet the words are usually interchanged. Change means doing something differently. Change can mean target new markets, follow a different marketing strategy, even implement a different sales model. Those are all changes. Good or bad.
Transformation – as we define it has clear and distinct meaning and quite different from change or change management. Transformation at a minimum means next level sustainable performance. We prefer even stronger standards – transformation means achieving performance optimization (maximum results with minimum efforts). The key to understanding the difference is change is like the colloquial saying, “more better”. Real transformation crosses a performance threshold.
Here is a client example. A tech company had sales win rates – all sales divided by all losses and non-decisions around 20% (winning 1 out of every 5 pursuits). Most companies have about a 20-25% real win rate, so that is about average. Implementing a focused and strategic sales transformation program they have been achieving 80% win rates for close to three years. That means they are winning 8 out of 10 pursuits. What’s even more amazing is some of their pursuits are ten times the size of their normal size contracts. That is just one of hundreds of business transformation examples. Find out where and how your company can transform.