Keys to Effective Transformation Strategies

João Pedro Machado, director for business agility at Fidelidade, plays a crucial role in driving organizational ability and a transformational mindset throughout the organization. His responsibilities include enabling teams and businesses to deliver strategic imperatives and propelling growth, promoting collaboration, autonomy and value creation and contributing to a unique work environment. His responsibilities include orchestrating strategic transformations, optimizing processes, and encouraging innovation. With a keen eye on market dynamics, Machado ensures that Fidelidade remains agile, customer-centric, and well-positioned for growth.

In an exclusive interview with Business Management Review Europe, Machado shares his valuable insights on the importance of multidisciplinary skill development in young professionals for sustainable success across the organization.

Please describe your professional journey in the strategic planning sector and how that led you to your current role at Fidelidade.

My journey in the strategic planning sector began as a management consultant at Deloitte. For 15 years, my focus was on strategy and operations, particularly transformational assignments. Following that, I became the head of Hiscox, a British insurance carrier, overseeing a significant transformation during its growth phase.       

Subsequently, I joined Fidelidade, where I established the center for transformation. This department is dedicated to driving innovation within the company by identifying industry trends and leveraging the latest technologies and market approaches to integrate them into new value propositions, businesses, and processes.

I also spent nearly three years at Galp, Portugal's largest national oil company, as the head of marketing, digital development, and data analytics. I led initiatives to support the company's energy transition, shifting from fossil fuels to new energy forms, and developing new mobility and residential solutions.

Since my return to Fidelidade as the head of its agility transformation, my goal has been to develop and support the company-wide transformation to enhance agility and scale. Our team has successfully implemented the agility methodology and is now expanding this mindset to project teams and relationships, facilitating strategic planning and execution.

One of the biggest challenges today is that a transformational mindset has become a part of everyday business operations. In the past, we would discuss the volatile, uncertain, complex and ambiguous (VUCA) environment, where transformation was seen as an extraordinary event. People dealt with day-to-day operations and occasionally faced challenges requiring different skills. However, transformation is a constant in today's world, requiring these skills on a daily basis.

The challenge lies in cultivating this mindset within teams without overburdening them. Employees should not need to work extra hours to understand the required changes. Essential skills now include communication, planning, flexibility, and adaptability. Teams need to embrace change as a natural part of their work rather than fall back on the notion of "how we have always done it."

For instance, technology's rapid evolution exemplifies this need. Twenty years ago, technology platforms saw major changes happening occasionally. Today, new technologies like Gemini and ChatGPT emerge frequently, prompting immediate adaptation and integration into workflows. The capability and the ability to adapt and harness these technologies present are the biggest challenges we face today.

What are some of the most effective strategies you have used to overcome these obstacles?

When working on transformational projects, several key practices are needed. First, it is essential to create the perfect team environment. This involves assembling a team with diverse skills and empowering them to test, validate, and deploy solutions. It is important to indulge in a more integrated approach that allows team members from different areas to collaborate on the same project. Encouraging autonomy and enabling team members to make decisions on the ground without asking their original departments for approval is crucial.

Second, promoting mediation is vital. Team members need space and resources to explore ideas and innovate. Encouraging benchmarking and incorporating diverse perspectives from both within the company and external players is essential. Creating an environment where people can mediate and mitigate risks before making decisions enhances the quality of those decisions.

Third, enhancing deployment capacity is necessary for effective transformation. Focusing on timing, avoiding the distraction of too many tasks and using effective methodologies like Agile can optimize delivery time and maintain a focus on value. Clarity on goals and the steps needed to achieve them ensures teams stay on track.

In addition, communication is critical. Developing a clear narrative around the transformation and communicating it effectively is necessary for building acceptance and advocacy. Involving both internal and external communities in the transformation process ensures widespread support. Promoting the achievements and progress of the transformation keeps everyone informed and aligned.

What advice would you offer to aspiring professionals in the strategic planning field?

My first piece of advice is to start small and focused, ensuring rapid testing and learning. Understanding the concept in which someone operates, including the supportive forces and potential obstacles is necessary. To reduce challenges effectively, employ short, small-scale tests and proof of concept (POCs) in a controlled environment. This method is more resource-efficient and adaptable to changes, as well as useful for quickly determining what works and what does not.

My second piece of advice would be to embrace a multidisciplinary approach. Traditionally, professionals specialized in one domain, such as strategy, technology, or human capital. Today, effective transformation requires a broad understanding of multiple disciplines. Developing multi-skill capabilities is important for young professionals building their core competencies. Being well-versed in various areas enhances the ability to devise and implement effective transformation strategies.