Reorganization and Change Management in Communications Department – Pharmaceutical Industry

Reorganization and Change Management in Communications Department – Pharmaceutical Industry

The Consulting Playbook, Edition #25

 

Welcome to our new series, the Consulting Playbook, a collection of posts designed to offer insights into how businesses and their executives can utilize consulting as a strategic lever to boost performance. Each Consulting Playbook post is broken down into a few elements: Case Study, Additional Information regarding the technical application, and Additional Links related to the topic.

 

Reorganization and Change Management in Communications Department – Pharmaceutical Industry

A global Pharmaceutical company’s new CEO set about to transform the company and challenged the Communications function to deliver on a new set of expectations.  The function needed to build new capabilities as technology created new ways of communicating with key stakeholders.  At the same time, there was pressure to reduce costs, streamline many processes, and reorganize the department. Below we have outlined the actions taken.

The Selected Approach by the Consultant

A significant organization redesign was performed, whereby the consultant facilitated working sessions with the department’s management team to define new expectations, deliverables and capabilities.   Specific actions to reorganize the department, define new positions, support new leader on-boarding, engage the staff, and to establish new operating procedures were outlined too. This included coaching managers how to handle new challenges of the department’s transformation, creating project plans and communications to key stakeholders.

Several working sessions with key stakeholders to implement the department’s transformation took place, including:

  • A department-wide offsite to clarify new objectives and established specific plans and actions to achieve those objectives
  • Meetings with counterparts in the business divisions to clarify roles, responsibilities, and operating procedures
  • Meeting with the department’s management team to review progress and make course corrections

 

The Successful Outcome

The goals of reducing staff, hiring new talent, and reorganizing were achieved.  The new operating procedures were implemented and the efficiency/cycle time on key projects was improved. The new structures were put in place to effectively coordinate messaging throughout the enterprise and to establish communications strategies in support of key business priorities. Organizational layers were reduced, new hires brought needed capabilities, new skills were developed and dependence on outside consultants was reduced. The project’s outcome included lowered costs, better quality output, and greater efficiency in handling projects.

 

Additional Information –

Best Principles in Developing and Applying Organizational Design

Having a great business strategy will not accomplish much unless your organization is properly designed to execute this strategy.

From shifting the organization’s focus, changing the business model, implementing new technology, reorganizing sales teams, marketing approach, or simply appointing a new CEO, companies need an efficient organizational design to operate and successfully meet their goals. The alternative would spell trouble.

Let’s take a closer look at some of the best practices you can follow to align your organization with all the challenges and expectations it faces in today’s environment:

  1. Every Company is Different – the best organizational design for each company will combine highly effective methods together with a unique fit to the organization’s status and priorities. As an executive, you need to take all that into consideration when devising the organization’s plan.
  2. Organization’s Purpose is a Priority – As a true leader you need to start with the core mission of the company, and let all other functions and methods stem from that purpose, and support that purpose. What sets your company apart from competition is how you can deliver unique value to your prospects which undoubtedly follows the core strengths your organization possesses.
  3. Get the Foundation Right – the main building blocks of your organization’s design include:

Basic elements: Information processing of knowledge and data, and IT utilization; structure, business processes, motivation, and performance.

Secondary elements: Mindsets of team members, their self-identity, commitment and dedication; Norms of operations – values, standards, behavior; Networks – effective communication, cooperation and shared goals.

  1. Leverage Your Talent – People make the difference in every industry or professional field. Your team has special talents that will be unwise to misuse or overlook. A savvy and progressive executive will evaluate and optimize personal strengths of team members and offer them necessary support in areas where they do not excel. The best organization’s structure will emphasize people’s talents and minimize weaknesses where necessary.
  2. Fine-Tune the Structure – with a clear vision where you like your organization to go, and having analyzed strengths, weaknesses, opportunities and challenges (on a consistent basis), you can step back and look at the big picture. The best and most practical design will support your specific mission and vision, and will set you on the path of sustainable progress.

 

For Further Reading:

Hospitality Leader in Hotel Management Successfully Splits into Two Separate Organizations

Hospitality Leader in Hotel Management Successfully Splits into Two Separate Organizations

The Consulting Playbook, Edition #8

 

Welcome to our new series, the Consulting Playbook, a collection of posts designed to offer insights into how businesses and their executives can utilize consulting as a strategic lever to boost performance. Each Consulting Playbook post is broken down into a few elements: Case Study, Additional Information regarding the technical application, and Additional Links related to the topic.

Hospitality Leader in Hotel Management Successfully Splits into Two Separate Organizations

The Travel and Hospitality Industry have gone through exciting changes that have transformed the entire traveler’s experience not just the industry itself. For hotels, hospitality services, and travel agents to stay in touch with evolving consumer trends, new and effective strategies need to be designed and implemented to secure revenues. Operations, services, customer relationship and marketing plans should align with the latest dynamics shaping up the industry.

Let’s have a look at a particular situation – A Worldwide Leader Hotel Group had to be divided into two separate companies both listed on the stock exchange. Creation of the new hospitality company posed the need to launch a large scale transition program involving dozens of countries in support of new standalone strategy.

The Executive Committee decided to hire a consultant to support and help accelerate the transformation process.

The Approach the Consultant took consisted of the following steps:

  • In-depth diagnostic of the management and culture, governance, and strategic landscape analysis were successfully completed.
  • Assistance to the Executive Committee in the design of strategic direction and transition program. Including actions to engage key stakeholders:
    • Brainstorming and Strategy Sessions organized with the CEO, the Executive Committee and a number of employees to define the strategic direction and the structure of the company wide program (level of ambition, growth levers, and transition programs)
    • Get the top managers from all countries involved in the implementation of the program
  • Engage the Board in the strategy and planning process tools and methods designed to support the launch of the strategic framework in all 40 countries (pilot case + specific support to large countries) Design and implementation of new governance and organization’s values and principles.
  • Strengthening the cooperation of the executive team to create an effective working environment. The overall corporate governance was reviewed and corporate functions reinstalled in a value adding role, with clear and shared priorities identified
  • Definition and support of four large scale transversal change programs on Innovation, Product Development, Technology and Talent
  • Roadshow event organized for all the 10,000 employees of the group to celebrate the launch of the new company and share the direction

The Impact on the Organizations achieved the following:

  • Successful onboarding of the new CEO and executive teams, helping them achieve a year’s progress in about three months
  • Four large transversal change programs defined and implemented
  • Successful completion marked by 20% EBIT rise and stock price hike by 40% – just one year after the 1st listing on Paris Stock Exchange.

Additional Information –

Mobile and Technology Trends Affecting the Industry

Below we have outlined 3 new and notable marketing trends that every hotel and hospitality industry management needs to pay attention to:

1. Personalized Marketing Approach with a Guest Mailing List

With the growing share of online traveling and booking services and the leading providers such as Expedia, Booking, etc.; there is an underlying discrepancy with hotel chains and their access to guest’s personal contact information. If the booking agent desires to not share the guest’s email address, the hotel is at a disadvantage. Data is as important to hotels, as it is to all other businesses, when it comes to planning future marketing activities. Guest’s contact information is an essential and valuable piece in that puzzle. In creating that precious mailing list with previous guests, often the best option hotels are left with is their front desk staff being able to capture this information.

2. Mobile Marketing Impacting the Hospitality Services

Did you know that 52% of travelers who book trips online in 2016, are doing so using a mobile device? The mobile enabled technology and new consumer trends require a comprehensive mobile marketing strategy, and to become an integrated part of the overall marketing plans of every hotel and hotel management organization. This means that focus on responsive design, one-click booking, and location technology are very necessary points. Guests often use a cross-platform approach, so hotels need offer a seamless multiplatform experience before, during and after their stay.

With the growing competition from private accommodations, vacation rentals and alternative accommodations, the need for personalized guest offers and experience is even more pressing now, as hotels and hotels chains need to work harder to capture and retain market share. Creating last-minute mobile promotions with attractive bonuses can appeal to local residents as well, and younger guests who travel more spontaneously.

3. Increasing Revenues with the Help of New Data Trends

A few new trends in traveling and vacationing are rich in opportunity to be explored. They include last-minute trips which are growing steadily, the short local getaway and mini-vacations adding to that, and business trips combined with fun and pleasure, or Bleisure, as they are referred to. We will also see more multi-generational and multi-family travelling. But the best part is that, most of the new data on traveling is well captured via CRM that integrates data from both online and offline sources. This data, used properly, can empower an organization into planning and delivering the best experience and the most value, revenue and profits.

For Further Reading:

Hospitality Industry Trends to Watch in 2016

Predicting the Rise of the Smart Hotel in 2016

What Do Millennials Want? Hotels Have Some Ideas

The Best Travel Apps For 2016