#organizational-transformation

#organizational-transformation

We're investing a lot in AI - we're doing a lot, but we're stopping at individual productivity. We're not taking the next step. You can't just screw AI on everything - it only makes you faster. It means you need to think about, 'how are our teams collaborating? How are people collaborating?' You probably need to change the way you work.

Marketing teams have always had the same elusive goal: to move at the pace of the consumer. Responding to each customer's needs in real time, delivering the relevant message at the right moment, and optimizing customer lifetime value to drive loyalty and ROI. The goal is not new. What is perpetually new are the AI technologies available to analyze consumer data and generate instant, personalized messaging at scale.

Every major leap in my career, and every transformation I've led, began with a decision that involved risk, uncertainty and discomfort. If you're a leader, you've likely faced similar inflection points. Years ago, at Washington State University, we launched one of the first fully online undergraduate Management Information Systems (MIS) programs. At the time, it was uncharted territory. Few business schools had ventured into online learning, and many questioned whether students or employers would take the format seriously.

When we rolled out a custom-built company GPT to our 14,000 teammates several years ago, we saw three clear groups emerge. First, there was the 'jump-in-with-both-feet' crowd. These are the early adopters who treat anything new like a shiny toy. Next were the skeptics who wondered how much of an impact AI would have on their daily work lives. And finally, there was a big group that genuinely wanted to learn but didn't know where to start.

WPP's 2025 revenue dropped by 8.1% from 2024 to £13,550 million (or about 18,306 million USD) for the year. Rose, a former Microsoft executive who took over the agency group last September, didn't mince words with investors regarding the just-closed quarter, acknowledging that the business is underperforming and lacked stability.

They arrive without a decade or more of assumptions about how work should be done - more of a blank sheet of paper. That allows them to challenge the status quo and rethink processes from first principles. His advice for junior consultants at EY is to use that to their advantage: be bold, ask questions about the way things are done, and lean into the use of technology.

There's just one problem, though: While many know how to declare an initiative, far fewer understand what it takes to carry the project through the friction of daily workflows. What separates those rare successes from the long list of initiatives that fade into half-measures is not only leadership and resourcing, but also the way organizations adapt, measure, and learn as they go.

According to McKinsey, fewer than one in three organizational transformations actually succeed in improving performance and sustaining those gains, even when leaders are well-intentioned and highly motivated.

Alexander Lydecker highlights Bonnier News' successful adaptation to the digital age, focusing on subscription growth and organizational transformation in a challenging market.