Macaii S1 E005: A Horizontal View of Transformational Change with Gary Burke

We are very pleased to be speaking with Gary Burke, Founder of Rabbits From Hats, about the distinction between transformation and change, and how businesses can smoothly implement transformation projects. In conversation with Sarah Myerscough, Gary highlights the importance of adopting a ‘horizontal view’ of change if transformation projects are to achieve their intended goals for a given business.

 

Quote of the Episode

“Companies look at this stuff far too narrowly, far too vertically. They really need to just pause and look sideways, so they get more of a horizontal view. The organization does not exist in a bunch of disparate silos. It's all connected.”

When contemplating transformation projects, Gary postulates, it’s very easy for business leaders to view their organisations in terms of their composite parts, rather than as a cohesive whole. This misperception can lead to disaster; if a given transformation is not considered on a broader, company-wide basis, certain considerations may be left forgotten. As such, throughout the episode, Gary emphasises the need for a ‘horizontal’ view of change which considers how it might affect the business from every conceivable angle.

 

Key Takeaways

Gary pinpoints two fundamental issues typically encountered when insurance businesses implement transformational change:

1. A lack of understanding about what transformation will involve
2. Insufficient capability and expertise to deliver it

For Gary, both of these issues are generally derived from there being no overarching, wholesale, holistic view of the business and its innerworkings. This is further underpinned by a common misconception that ‘change’ and ‘transformation’ are functionally synonymous. Businesses adopt small-to-medium-sized change projects all the time, be it the adoption of a new software or the restructuring of a team. Such projects can impact how the business operates, hopefully to drive efficiencies, but without fundamentally altering it. Conversely, transformation projects impact the business at every conceivable level. As such, to tackle a transformation project with the mindset of a change project can never be successful.

Gary suggests that the senior leadership team must set the tone for how the company must behave throughout the transformation process. If several groups, perhaps with conflicting views and ideas, are to be involved in this process, a collective consensus on the intended outcome of the transformation project must first be reached. This establishes a base goal which everyone across the company can defer to. Subsequently, each team can collaboratively work backwards from this goal, to understand the key things needed to achieve it. Once the points of uncertainty about the nature of change have been smoothened over, this can be a non-contentious process – what will be the most effective way to achieve this transformational outcome given the resources held by the business?

To determine the success of a transformation project, a wide array of metrics must be consulted. A holistic approach to measuring success must also be adopted. This must be derived, first and foremost, from the baseline of what the business already has, prior to the implementation of the project. The success of transformational change can only be understood by reference to how the business previously used to function. There is a lot of hesitance, particularly in insurance, to attempt transformation projects. Gary argues that there is no empirical evidence to suggest that such programs inevitably lead to failure. Instead, he suggests, businesses must always understand in detail what exactly they are getting involved in by undertaking them, and consider how their innerworkings will be fundamentally altered as a result.

 

Best Moments/Key Quotes

“As long as you know the outcome, then that's the thing to focus on. The technology is an enabler. It enables you to do something in the best way possible, the most efficient way possible. So, as long as you can agree what needs to be done, then you can have conversations about how it needs to be done.”

“If an organization's doing anything, the whole point of doing it is for a reason. The specific outcome that you want from doing the stuff you're doing. So, if you've got a dozen people or a dozen different groups involved, you should be able to all agree on the outcome you want.”

 

“Calling something that's quite small… a transformation project gives the wrong impression, because it creates the idea that transformation is easy; you just do this and this and this. So ‘transformation’ is badly used [as a term].”

 

“There's a lot of stuff that companies can do and should do themselves to put themselves in a really much better position to actually start any transformation, rather than getting an army of consultants in from day one. The things that they [consultants] ask to be done, the organization should be able to do themselves at a fraction of the cost. They are just not aware that they are good things to do beforehand.”

 

 

Resources

A Transformation Lens: The Savvy Business Leader's Approach to Transformational Change by Gary Burke

Rabbits From Hats: https://www.rabbitsfromhats.co.uk/

 

About the Guest

Gary Burke is the Founder of Rabbits from Hats, a transformational change advisory and consulting firm. He has been working on projects in this space since the mid-90s, primarily in insurance but also in other sectors. In the last decade he has been focused first and foremost on general insurance and the London market, and in 2023, his book ‘A Transformation Lens’ was published.

Gary’s LinkedIn Profile: https://www.linkedin.com/in/gary-burke-transformational-change/

 

About the Host

Sarah Myerscough is the Chief Ideas Officer at Macaii, formerly Boston Tullis. She hosts/co-hosts several podcasts and is known for her knack in connecting with people. Sarah excels in bringing out the best for video, podcast, and live events, helping clients showcase the human side of their business.

Sarah is passionate about the evolving dynamics of the insurance industry and enjoys conversing with innovators, trailblazers, and long-term advocates of change.

Website: www.macaii.co.uk