Zeroing Out the Past

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Yet many companies are not pivoting capabilities and talent — often among the largest P&L investments — fast enough to drive profitable growth.

DISRUPTION IS PUSHING COMPANIES TO RETHINK THEIR BUSINESS AS A MATTER OF SURVIVAL

75% of the S&P 500 will be replaced in the next 10 years.


FORWARD THINKING COMPANIES ARE TURNING TO ZERO-BASED ORGANIZATION — ZBO

A fresh approach to organization design that frees companies from backward-looking peer benchmarking.


ZBO DESIGNS THE “RIGHT” ORGANIZATION FROM A CLEAN SHEETIt shifts talent from work that no longer contributes to desired outcomes to the distinctive capabilities and operating model required to fuel profitable growth.


THE FIVE RIGHTS OF ZBORIGHT WORKConsider what work drives the greatest business value, identifying key routines and the most important projects.

RIGHT SIZEAggregate workforce effort and identify the time, effort and frequency of work that must get done.

RIGHT STRUCTUREBalance spans of control, focus on core competencies, and clarify roles and responsibilities.

RIGHT PEOPLEBuild a true bottom-up, clean sheet organization, looking at skills, levels, tenure, salaries and location.

RIGHT MEASURESSet organizational objectives and align them to business functions. Develop individual employee objectives to drive personal accountability and create true transparency to enable people to make decisions from the “frontlines” for a more agile organization.


SERIOUS SOUL-SEARCHING IS A PREREQUISITE FOR ZBO

Leaders must consistently question their company’s strategic ambitions, choices and capabilities to feed clean sheet design.

Only 1/4 of executives believe their company’s operating model has evolved quickly enough to align to their strategy.


CONTROL YOUR OWN DESTINYWith ZBO, companies design as digital natives do for “should be” costs by clean sheeting every line item to create transformational savings rather than incremental reductions.


THE RIGHT PEOPLE DOING THE RIGHT WORKZBO designs for a fluid ecosystem of fixed and variable human labor, bots, virtual and cognitive agents, crowdsourced talent, and customers and suppliers.

75% of executives think the workforce will shift to multi-skilled employees

79% believe work will be project based


REAPING THE BENEFITS OF ZBO STARTS WITH CREATING A CLEAN SHEET THAT IS TRULY CLEAN.These are the three no-regrets fundamentals:

1.Be who you aspire to beZBO is deeply rooted in the future work routine. Do the pre-work of revisiting your strategy and be open minded to changing course.



2.Design from the outside inDetermine what work is not creating value. With design thinking, companies can bring a customer-first spirit to recreate the value chain, simplify customer experiences and shift talent to work that drives valued outcomes.



3.Build it so they comeCompanies using ZBO have an arsenal of approaches at their fingertips to orchestrate the ecosystem required to deliver outcomes, including industry specific analytics automation, consolidation, standardization, renegotiation and reskilling.


Learn more about designing the right organization from a clean sheet with ZBO. Download the full report here:

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Zeroing Out the Past