The Digital Transformation Programs that we’ve seen as being most effective usually use a matrix model for their organizational structure.
From a hierarchy perspective, we split the Digital Transformation Organization into two models, the Governance Model, and the Operational Model. The operational model is responsible for the day-to-day operations of the program where the governance model is responsible for governing the overall program.
The operational model is responsible for the day-to-day operations of the program where the governance model is responsible for governing the overall program. From bottom to top, the higher you move up the hierarchy the more removed you are from the day-to-day operations and the more strategic your lens is when looking at the Digital Transformation Initiative from an Organizational Perspective.
First, let’s jump to two specific groups that are the pivot points within a program and are in both the Governance and Operational sides. The Program Leadership Team, which straddles both the Governance and Operational Models, governs the work of the process teams and enabling work-streams to perform on a daily basis that help drive about 90% of the decisions made for the Program.
Across the matrix, the Program Leadership Team also works closely with the Advisory Council and consults with them on critical decisions that they have authority to make. The Process Teams are dotted line to the Advisory Council because the Business Process Owners, who are part of the individual business process teams, are also part of the Advisory Council and use that council to engage their stakeholders back into the organization.
For the decisions where the Program Leadership and Advisory Council feel a need for Executive Consultation (which should less than 10% of the time), those decisions will be brought to the Executive Steering Committee.
On the Operational side of the equation, you will find our Business Process Teams running vertically in the matrix and our enabling Work Streams (like our Technology, Data, and OCM teams) running horizontally across the Business Process Teams.
This type of relationship provides integrated continuity within each business process team on how to approach technical conversations such as interface design, data conversations around data migration and governance and organization conversations around transformation and training. An added bonus is that the enabling teams have a unique perspective of being in the details with each process team thereby having the initial insights at a granular level should they see inconsistencies on how the business process is executing their work and can identify misalignments that can be reported up to the Program Management Office.
Lastly, we look at The Operating Business & Technology which represents your current business operations (the day-to-day running of the company) as well as the technologies used to execute and support those business operations.
That’s it! This is the high overpass of the matrix model structure we at Platinum PMO look to for optimal program performance and implementation. Let us know if we can assist with your current program or help you build a stable, viable program roadmap for your digital transformation.