Maximizing the 2020 Loophole…
Guidance for CEOs
CEOs get a pass on 2020. Wall Street, consumers, employees… we’re all in this pandemic together. For just 2020, CEOs have escaped the need to defend and rationalize company performance. The burning question: how will you use the pandemic loophole? The two most common ways executives are looking at this year’s gift of time are for cost-cutting and realignment. For those executives who are behind in business transformation efforts, now is the time to get back on track.
Internalizing that we all get a pass on 2020 is key to maximizing this year’s unique loophole.
Where To Start
To maximize the 2020 loophole, CEOs and the entire C-suite need to assess how their business has changed in today’s normal. How have new digital imperatives redefined customer expectations, operational requirements, and talent roles and responsibilities?
It’s very attractive to look at the budget and make across-the-board cuts. But, the COVID-19 challenge has not simply created the need for universal budget cuts. Before making extreme decisions on where to cut costs during this seemingly never-ending budget cycle, savvy executives will zoom out and assess: what is the new business model? What and how are we selling in today’s pandemic world? Those businesses that lagging in business transformation efforts – frequently referred to as “digital transformation” – need to honestly assess the technical skills throughout every function in the organization.
The 2020 pandemic loophole positions executives to solve for previous challenges with relative ease: executives get a pass on productivity and cost this year. Take the write-off.
A Major Challenge
Simultaneous to the need to cut budgets, we see an increased need to maintain and increase productivity for a remote workforce. “COVID-19 has escalated digital initiatives into digital imperatives, creating urgent pressure on HR leaders to work with their CEO, CFO and CIO to rethink skills needs as business models change at light speed,” writes Gartner’s Scott Engler. Now, companies need to determine how to invest in employees and digital imperative initiatives – while making major budget cuts in other less essential areas. And they need to do it at warp speed.
And, with most CEOs weighed-down by a skill-gap challenged workforce, chief human resource officers (CHROs) and chief marketers/communicators are key partners for CIOs to drive rapid organizational change.
Adjust for Speed
Practiced in delivery against the need for speed, CIOs can guide and advise C-suite peers in iterative and agile thinking. Similar to how technical teams set-up sprints for technical updates, CIOs can coach their peers on how to build agility into their workflows. “Business strategy, rather than digital strategy, will be the nexus for how CIOs interact with other business leaders. Technology will be a byproduct rather than the focus of their conversations,” writes Deloitte’s Khalid Kark and team. In fact, 50% of CEOs now view their CIO as their most valued strategic business partner, notes the Deloitte study. And, with most CEOs weighed-down by a skill-gap challenged workforce, chief human resource officers (CHROs) and chief marketers/communicators are key partners for CIOs to drive rapid organizational change.
The more that executives can invest in training initiatives this year, the less they have to rationalize to Wall Street in 2021.
Where to Invest
The smartest executives are maximizing the 2020 loophole by funding investments that drive productivity, operations, and collaboration. When it comes to retaining top talent, classes for individual employees and learning and development programs for teams, are among the most important investment areas – essential to tackle the ever-growing skills-gap.
Taking The Write-Off
Internalizing that we all get a pass on 2020 is key to maximizing this year’s unique loophole. In recent years, executives have noted a lack of employee-time (or prioritization), training technology (or focus on finding tools), and budget. The 2020 pandemic loophole positions executives to solve for these previous challenges with relative ease: executives get a pass on productivity and cost this year. Take the write-off. The cost of the fulfilling the digital imperative need stemmed directly from the pandemic. The more that executives can invest in training initiatives this year, the less they have to rationalize to Wall Street in 2021. And, once employees are skilled-up, the return-on-investment win will make-up for the budget cost.
Improving communication and reclassifying project requirements in terms of skills, instead of department functions, will help drive productivity with less.
Do More With Less
Even with this write-off, executives still need to figure out how to do more with less. In the redefined business framework, many historically essential legacy roles – and processes – simply are no longer needed. Once executives rethink their framework, they should focus on how to invest in strengthening the flexible path to get there. Improving communication and reclassifying project requirements in terms of skills, instead of department functions, will help drive productivity with less. “For example, to make up for a lack of a given digital skill, you could borrow from another department, do an interdepartmental talent swap, hire a freelancer or crowdsource capabilities,” writes Gartner’s Engler.
In embracing these new approaches to talent and collaboration for speed across non-traditional workspaces, organizations will find an increased need to invest in communication and technology. Building a balanced strategy of synchronous and asynchronous communications will help executives increase team productivity, while reducing costs throughout much of the organization.
In embracing these new approaches to talent and collaboration for speed across non-traditional workspaces, organizations will find an increased need to invest in communication and technology.
CEOs and CIOs can take these immediate steps to begin to realize success:
Partner with an external and trusted communication strategist and give them insights and access to challenges. By preparing with an external partner, you can demand speed and expertise. Ask them to prepare a strategic path for marketing the operational and business changes to leadership and the employee-base.
Work with the communication strategist to build a flexible framework for business communication.
Provide top-down support, encouraging the C-suite to partner with the CIO and communication strategist to accelerate digital imperative projects.
Watch leadership and employees embrace the transformation.
Ellebridge Can Help
The pandemic created a gift of time for companies to invest in digital imperative areas, including the workforce skill gap. As we cross-over into the second half of this unique year, Ellebridge can help you and your team set the strategy to take advantage of this year’s unique opportunity to invest in your business – while maximizing the 2020 loophole.
Ellebridge coaches CIOs on bridging the gap with HR and Communications, accelerating change across the organization. We help organizations prioritize and deliver technology education to employees. In addition to driving successful employee adoption of new technologies at global organizations, Ellebridge expertly partners with HR and IT leaders to simplify messaging for all employees – essential when fostering an engaging culture. Contact us to learn more about how we can bridge your company's technology, HR, and marketing teams.