What does digitalization actually mean?
Companies are faced with the constant challenge of adapting to changing market conditions and technological progress. It has become an ongoing task for companies to reach the next level digitally. It is a constant challenge to adapt processes so that the business functions more efficiently and error-free to offer customers added value or at least not fall behind the competition.
The path to reaching the next level is usually referred to as “digital transformation” and should necessarily be geared towards economic goals and not simply the use of technology.
To be successful, the entanglement of processes, technology, organization and change must be understood and worked on together. Otherwise, a bad business process often becomes a bad digital business process and employees might be forgotten along the way.
One of the most effective strategies for overcoming this challenge is the use of interim management. Temporary leadership for digital challenges. This has been confirmed for us at digital rapids after more than 20 years of experience in management and transformation.
Why is “interim” a good tool?
tl;dr
Interim management is flexible, brings in the greatest possible expertise, breaks through change barriers through leadership and leads to concrete implementation.
This is because interim managers with a digital background are flexible and can be deployed quickly to manage specific departments and take on critical functions. Interim managers bring fresh perspectives and practical, proven approaches. They are highly skilled professionals with extensive experience across multiple industries and disciplines and have the necessary knowledge and skills to recognize complex digital transformation projects and take the lead on change.
This expertise and years of practical experience are crucial to mastering the above-mentioned internal entanglement. Through their unbiased perspective and authority, interim managers can initiate the necessary steps and coordinate them in advance with senior management or the supervisory board - without career risk.
The ability of interim managers to break through change-barriers through effective leadership and excellence is essential. Interim managers bring the necessary leadership and experience to overcome these barriers. They create an environment in which change is not only accepted but actively supported.
Another advantage of interim management is the ability to implement concrete solutions to deliver results quickly. Close collaboration with the internal teams ensures that the solutions developed not only meet current requirements but are also sustainable in the long term and thus generate buy-in. This hands-on approach ensures that digital transformation is not just a theoretical concept, but is translated into tangible, measurable success. Unlike consultancy that works on the system, an interim manager works in the system and creates immediate value.
What are alternative strategies?
“This is what the [Large Consultancy] consulting team takes care of”
Realigning and writing down the company's modernization strategy is unavoidable homework and must be done. However, implementation should begin at the latest when the cornerstones are in place. Otherwise, after two years, the strategy slides will still be passed around - and the company will wonder why so little has happened. This is because it is not uncommon for the [Large Consultancy]] to simply continue its consulting by trying to fill up the company with consulting experts. What follows often is a lack of personalities to drive change internally.
“We'll solve this internally and bring in a consultant/expert as technical reinforcement!”
This strategy usually avoids change, and the energy and opinion of the expert is often slowed down or filtered by the internal manager. In the end, the consultant is silently blamed if there are no sustainable results.
Internal empowerment alone is often not enough, as long-standing employees often lack the practical horizon and the selflessness to change.
“We hire someone with the profile and then get started!”
With this approach, the mixture of time loss and lack of momentum in the first step is difficult to compensate for later. Recruiting may take 6-12 months, and the new manager will familiarize themselves with the position and generally orient themselves during the probationary period. As a rule, “unpleasant topics” are not addressed during the probationary period. In addition, filling the position is often fraught with compromises, as top talents generally avoid unfashionable circumstances or fragile situations. The interim manager often helps to recruit a professionally suitable successor and often modernizes HR processes in the process. Compliance issues or tasks in corporate structures can be solved professionally through temporary employment (ANÜ).
What is the Mary Poppins effect?
It's often like Mary Poppins in the Disney classic: the new interim manager is initially eyed, often questioned by staff (as resistance arises) and his competence is “tested”. This usually turns into mutual appreciation after 2-3 weeks until, at the end of the mandate, the appreciative question often arises as to whether it would be possible to stay longer. Then everything has gone right in terms of communication.
In addition, we often find that the original task of a transformation changes within the mandate. This is because contact with senior management or the shareholder often leads to a better or more pragmatic strategy or allocation of roles. The honest dialog leads to a rethink, and in the following senior management also adapts again. Often the actual barrier to change.
So, it's also like Mary Poppins: She ostensibly comes to look after the “difficult” children but the solves the issues left lying around in the adult world (and thus helps the children).
Conclusion
A little magic is mandatory!
The team at digital rapids is convinced, based on decades of experience, that interim management is one of the most effective methods for sustainably managing digital change in companies. The deeper the interim manager is integrated into the company and the stronger the change is mandated by the board or shareholders, the better the results tend to be. The combination of flexibility, expertise and concrete implementation makes interim management an indispensable tool for companies that want to position themselves for the future. Whether simply bridging a CIO position or to establish digital expertise in the management team for the first time (e.g. through an interim CDO). Both viable paths to restructure parts of the company and take it to the next level.
So, the appeal to CEOs and shareholders: Have courage and invest! Find a competent interim manager for your next challenge and reap the rewards!