Call Us
This definition presumes that within this type of system, there may be several sub-systems that are designed to work together to collect the vital signals from all branches of an operation and raise them in a useful and thoughtful way to the people who need to see them.
You might be familiar with some of the tools that can be incorporated into a system like this, for instance, a CRM, an analytics tool, or an ERP. The premise of a strategic business system is not only relevant to large businesses; a business of any size, even a sole trader, can create a strategic business system to help them maintain or grow their business.
Let's consider next how we describe the role that technology is having in and on a business operation.
We use the term digital intensity to express the proportion of core systems that function with the help of technology within a business operation. Below are the four stages of digital intensity as described by the ABS framework.
The most important thing to note here is that there is a well-observed correlation between the growth of a business and the proportion of its systems that technology facilitates. Take note: in every major sector of industry except telecommunications, more than 30% of businesses are still at a baseline level of technological implementation.
While there are many facets of a business that send signals, we have identified nine core pillars of a strategic business system: in this instance, we'll try to cut through the noise with an admittedly opinionated but no-nonsense set of benchmarking statements.
If a system does not make planning and forecasting with confidence easier, it is not strategic.
If a system does not help calculate and manage risk, it is not strategic.
If a system does not introduce, maintain and demand order, it is not strategic.
If a system cannot measure and compare quantitative benchmarks, it is not strategic.
If a system cannot collect and interpret qualitative benchmarks, it is not strategic.
If a system cannot help its operator detect and diagnose realignments when they are needed, it is not strategic.
If a system is not anchored around revenue, it is not strategic.
If a system does not produce an exceptional customer experience, it is not strategic.
If a system cannot merge signals in a meaningful way, it is not strategic.
We reserve the word ‘strategic’ for systems that are implemented deliberately, not by accident.
Not all systems are created equal; at Via, we believe that the best systems are designed. Our industry experience has shown us time and time again that systems that occur by design will, by a large margin, outperform systems that occur by default. Design is one of the first steps in transitioning to a strategic business system, and design requires that we ask some important questions.
How does the business currently gather data to make decisions?
Is innovation a core value of the business? If not, why?
How quickly and efficiently does the business adapt to change?
How does the business measure productivity?
Being a technology consultancy, we, of course, evaluate technology, but our emphasis is always first on the people that technology empowers.
At the end of the day, strategic business systems are built on strong, healthy feedback loops, from the extremities of the organisation through to the vital systems that drive the engine of profit.
Discover insights informed by hundreds of successful digital transformations.
View All PostsWe'll work tirelessly to create the right systems for you and implement your changes using our mastery of tech and change management.
Book A Call
.jpg)
