Transformation Framework

A framework for understanding the nature of enterprise transformation is shown below – it also appears on the cover of Enterprise Transformation: Understanding and Enabling Fundamental Change (Wiley, 2006).  The goal or ends pursued via transformation tends to significantly differentiate initiatives.  The approach or means adopted for transformation pursuits relates to both the goals pursued and the nature and competencies of the enterprise.  The ends and means, as well as extent of integration of the enterprise, influence the scope of transformation.

Transformation Framework Figure

Transformation Framework

The ends of transformation can range from greater cost efficiencies, to enhanced market perceptions, to new product and service offerings, to fundamental changes of markets.  The means can range from upgrading people’s skills, to redesigning business practices, to significant infusions of technology, to fundamental changes of strategy.  The scope of transformation can range from work activities, to business functions, to overall organizations, to the enterprise as a whole.

I have found this framework to provide a useful categorization of a broad range of case studies of enterprise transformation.  Considering transformation of markets, Amazon leveraged IT to redefine book buying, while Wal-Mart leveraged IT to redefine the retail industry.  Illustrations of transformation of offerings include CNN redefining news delivery, Motorola moving from battery eliminators to radios to cell phones, UPS transforming from solely package delivery to being a provider of integrated supply chain management services, and IBM moving from an emphasis on selling computer products to providing integrated technology services.  Examples of transformation of perceptions include Dell repositioning computer buying and Starbucks repositioning coffee buying.  The many instances of transforming business operations include Lockheed Martin merging three aircraft companies and Newell resuscitating numerous home products companies.

The costs and risks of transformation increase as the endeavor moves farther from the center.  Initiatives focused on the center (in green) will typically involve well-known and mature methods and tools from industrial engineering and operations management.  In contrast, initiatives towards the perimeter (in red) will often require substantial changes of products, services, channels, etc., as well as associated large investments.

It is important to note that successful transformations in the outer band of this framework are likely to require significant investments in the inner bands also.  In general, any level of transformation requires consideration of all subordinate levels.  Thus, for example, successfully changing the market’s perceptions of an enterprise’s offerings is likely to also require enhanced operational excellence to underpin the new image being sought.  As another illustration, significant changes of strategies often require new processes for decision making, e.g., for R&D investments.


  1. Rosy Sage says:

    I will add you to my favourites folder. Keep posting

  2. interesting… bookmarked post.

  3. My search for business management systems led me to your blog and your post regarding Rouse on Transformation » Blog Archive » Transformation Framework looked very interesting to me. I have seen many sites before and most of them do not look this good. I cannot wait to let my friends know about this site. Thanks for the excellent content.

  4. Thanks for the great share.

  5. We appreciate the work you have put into your blog. We will bookmark this for the future. We love your site and we look forward to coming back.

  6. Wonderful site. Thank you for this useful post.

  7. I like your article very much, thanks a lot!

  8. Interesting article. Were did you got all the information from… :)

  9. Excellent article, I will take note. Many thanks for the story!

  10. business strategy…

    Your topic Rouse on Transformation ” Blog Archive ” Transformation Framework was interesting when I found it on Wednesday searching for business strategy ….

  11. market strategy…

    Your topic Rouse on Transformation ” Blog Archive ” Transformation Framework was interesting when I found it on Sunday searching for market strategy ….

  12. You are a very smart person!

  13. Linda says:

    Very well written, I’m glad I stumbled onto this. My friend and I were just having a similar disussion the other day.

  14. Blake Butler says:

    i love to do business management coz i love to make manage small businesses,.~

  15. My spouse and I stumbled over here from a different web page and thought I may as well check things out. I like what I see so now i am following you. Look forward to finding out about your web page for a second time.

  16. Strange this post is totaly irrelevant to the search query I entered in google but it was listed on the first page. Blessed is he who expects nothing, for he shall never be disappointed.

  17. This is probably one of the most excitting things ive ever been into. I just have one question do we know if the arm has worked yet?

  18. I’m writing to let you know of the fabulous encounter my friend’s child gained browsing yuor web blog. She even learned a good number of things, which include what it is like to possess an incredible teaching heart to let other individuals without hassle grasp some complicated topics. You really exceeded our own expectations. Thanks for delivering the informative, trusted, educational and easy tips on your topic to Gloria.

  19. You probably have three questions immediately pop into your mind when you saw the article title. What are ACE Factors? What are ACE Factor impacts? How does Transformational Journaling reduce the Impacts of ACE Factors?

  20. I suppose I could pose inquiries about your post, but since it is so clear I guess I’ll just make a comment. I consider this facts is well-written, beneficial and intriguing.

  21. I would like to express some appreciation to this writer just for rescuing me from such a challenge. As a result of seeking out by way of the internet and getting techniques that were not beneficial, I was thinking my entire life was more than. Being alive without the approaches to the difficulties you’ve sorted out by means of this posting is really a serious case, as effectively as the kind that would have badly damaged my career if I had not encountered your website. Your know-how and kindness in taking care of a great deal of issues was excellent. I’m not sure what I would’ve done if I hadn’t come upon such a step like this. I am able to at this time look ahead to my future. Thanks for your time so considerably for this skilled and effective aid. I will not hesitate to endorse your internet sites to any individual who should get care on this difficulty.

  22. Speedy says:

    Second example of both challenge and problem for EU is fighting terrorism. After 9/11 and attacks in London and Madrid, anti- and counterterrorism efforts supposed to be multiply, by police cooperation.

  23. Nice blog. I think is useful in the future.

  24. There are some interesting time limits on this article but I don’t know if I see all of them middle to heart. There is some validity but I’ll take maintain opinion till I look into it further. Good article , thanks and we would like more! Added to FeedBurner as properly

  25. I’m typically to running a blog and i actually admire your content. The article has actually peaks my interest. I am going to bookmark your web site and hold checking for brand new information.

  26. Exceptional post however I was wondering if
    you could write a litte more on this topic?

    I’d be very thankful if you could elaborate a little bit more.
    Bless you!

  27. flooring says:

    It’s a pity you don’t have a donate button! I’d most certainly donate
    to this excellent blog! I guess for now i’ll settle for book-marking
    and adding your RSS feed to my Google account. I look forward to new updates and will
    share this site with my Facebook group. Talk soon!

  28. Asking questions are really pleasant thing if you are not understanding something entirely, except this paragraph offers good understanding even.

    My site … Gary (

Leave a Reply