3 Firms that Embraced Simplification and Never Looked Back
Thursday 09 September 2021
Large-scale transformations are a unique opportunity for organisations to refocus on their core strengths and values. Let’s look at a few benchmark examples of those who embraced simplification and thrived in the long run.
Even after its long-lived success, Microsoft struggled to stay competitive in an increasingly crowded market. By 2016, the company underwent significant organisational changes, including creating an AI and Research function to enhance the firm’s digital capabilities and implementing a cultural transformation to carry out the firm’s new direction. This resulted in higher employee engagement, improved work culture and more innovative products launched on the market. Read more about Microsoft’s transformational journey here.
In 2015, Google broke itself off into multiple parts by separating its core business (Alphabet) and cascading more ownership to its frontline projects and functions. "This newer Google is a bit slimmed down,” explains Google co-founder Larry Page, whose goal was to encourage innovation by delegating greater responsibility and accountability to all employees. The results show that Google maintained its competitive market edge and became a trendsetter for remote working during the Covid-19 pandemic – a testament to putting the safety and security of its employees first.
The German conglomerate set sail on its transformation path in 2014 to harness technologies, such as AI and IoT, requiring a significant culture shift towards digital adoption. “The biggest obstacle to any transformation is literally just the way we’ve always done things,” explains Siemens USA CEO Barbara Humpton. This culture shift propelled Siemens to divest its oil and gas business and redeploy the capital to its Digital Industries, which focused on driving the company’s sustainability goals. The transformation not only fuelled growth and progress, but Siemens is now a benchmark for those wanting to embrace digital change.