Technology Transformation Programs and Cross-Functional knowledge – Baffling or Brilliant?

There is no longer any part of a business and its processes that operates in complete isolation. Every initiative, no matter whether it feels contained, has ripple effects across the organisation. This can be perplexing and is why the layers of cross-functional knowledge can be baffling for operational and project leaders. Because it’s this knowledge that enables people to recognise interdependencies; the connections and influences between different functional areas that can impact the outcome of any transformation program.

The need to develop this knowledge and understand these interdependencies cannot be underestimated. Ignoring it and them can lead to left-field complications, preventable delays and derailing. This can be the difference between smooth-ish change and that which disenfranchises and demotivates your people; the opposite of what you’re trying to achieve. Why do they have such an impact? And, how can this knowledge make or break your transformation initiative?

What actually are cross-functional interdependencies and how would you recognise them? They’re the points at which different departments or teams intersect and rely on each other. In a technology transformation program, this could be where IT needs input from HR for system user policies, or where Finance must collaborate with Sales to ensure the new CRM aligns with financial reporting needs.

Lack of attention here can and does lead to schedule conflicts and frustration. I’ve seen too many programs where outputs from one work stream are scheduled to complete months after another work stream was dependent on those outputs as inputs. No-one had ever realised it until everything was mapped out on the wall for all to see. What one team view as priority doesn’t always match anothers. Sequencing is key!

Recognising these connections early helps address problems like these and ensures smoother transitions overall.

Putting effort into understanding functional areas across the organisation and outside your immediate remit enables you to recognise and address interdependencies early. Here’s some insights why:

1. Impact on Change Programs: Cross-functional interdependencies can significantly affect the timeline and success of a change program. For example, data may be a required input from various functional areas. If that isn't prepared early enough or not in the format needed, it has flow-on implications to other activities and timeline. Find these out early. Aim for no surprises.
2. Change Program's Impact on Other Areas: Conversely, the changes introduced by your program will affect other functional areas. A new ERP system might streamline operations in Finance and potentially disrupt established workflows in Manufacturing or Logistics. Figure these out and you’ll be able to design a better change management strategy and smoother implementation.
3. Taking a 360-Degree View: It's crucial to assess and schedule activities considering both upstream, downstream and everywhere else implications. For instance, a change in production processes and timings might affect the supply chain from procurement to distribution. Who would want to disrupt relationships with suppliers and customers? By thinking more broadly you can make informed decisions that benefit the entire organisation, not just one department.

Developing your cross-functional knowledge to recognise and address interdependencies will also shift your organisational change activities beyond communications and training. You’ll be better placed for a more comprehensive change, encompassing processes, roles, and responsibilities. Effective governance requires that leaders not only inform stakeholders but also to involve them in the change process because this ensures that everyone understands their role in the transformation and is prepared for the changes ahead.

In conclusion, the impact of cross-functional interdependencies can be baffling and it is a common challenge. But, it's also one that can be overcome with an eyes and ears wide-open approach. By developing your cross-functional knowledge and understanding interdependencies you can increase your own level of certainty that your technology transformation program will fulfil its vision and strategy. Remember, no initiative is an island. Stay alert and consider all implications up, down, and around your program and organisation. Failure to do so isn’t conducive to success.

If you're ready to strengthen and amplify your projects' excellence and impact take proactive steps now. Your transformation program, people, and your organisation will thank you for it.