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NBN Co Ltd - Transformation Management Plan
Outline of Changes
- Capital structure – sell 49% of shares to private entities
- Technology – Shift FTTN/HFC infrastructure to an improved FTTP/FTTB infrastructure
- Business – diversify into mobile internet services
- Human resources – remuneration and development programs
- Structure – Improve the management structure
- Burke Litwin Model
- Strategic Intent
- Transformation
Conclusion
- High staff turnover
NBN Co Ltd
Chris McKay
SID: 430394984
Fahmad Iqbal
SID: 440404383
Lakshmi Solanki
SID: 430433803
Jingye Chen
SID: 430514250
Yuying Yuan
SID: 440520708
- Both plans are feasible
- Plan 1 utilises a combined economic/OD strategy
- Strong foundation for change
- Reduce risks
- Less resistance
- Plan 2 utilises an economic strategies approach
- More bold
- Strict timeline
- Economic value
- Higher resistance
- Balanced scorecard used for outcome evaluation
- Focus on communication of the change
Transformational
Management Plan
- Threat of new entrants
- Mobile broadband
- Environmental impact
- Infrastructure challenges
- Inadequate funding
- High staff turnover
- Declining revenues
- Skills shortage
- Structural challenges
- Complex value system
Kotter's 8 Step Model for change
- Create urgency
- Forming Powerful Coalition
- Creating Vision for Change
- Communicate Vision
- Remove Obstacles
- Creating Short-Term Wins
- Build on the Change
- Anchor New Approaches
Questions?
Strategic Alignment
Increase revenue
Address funding gap
Fund growth
Improved Capital
Structure
Sustain growth
Increase market share
Funding for rollout
Diversified Product
Portfolio
Organisational
Restructure
Aligns with values
Mitigate deficiencies
Address skills shortfall
Raise morale
drivers
External
Human Resources
- Renumeration
- Employee development
- Skills shortage
Drivers
for change
Implementation
Plan #1
Key Organisational Processes
- Social Systems
- Employees & Tangible Assets
- Dominant Coalition
- External Environment
- Technology
- Organisational Arrangement
Implementation
Plan #2
Organisational Structure
- Review corporate values
- Business development
Requirements
Aims
&
Gains
- High speed broadband
- Lower prices
- Efficient services
Role
- Apply for NBN
- Pay on time
- Feedback
Pain
- Low quality
connection
- Poor service
Customer Segment
Proposed Solution
`
Products & Services
- FTTP Broadband
- Mobile Broadband
Gain Creators
- New infrastructure
- New markets
Value Proposition
- Diversified products
- Higher quality
bandwidth
Pain Relievers
- Increased funding
- Efficient structure
- Improved retention
Product Segment
drivers
Internal
About
Product
Mission
To realise the government’s vision for the development of a National Broadband Network to all Australian premises.
Market
Experiencing a substantial shift in the overall market structure.
Vision
Funding
To develop a National Broadband Network to all Australian premises.
Forecasted expenditure increase from $37.4 billion to $55.9 billion.
Revenue
Business Model
Forecasted to be $13-$14 billion less to FY21 than previously estimated.
Create and deliver value through broadband infrastructure
Risks, Consequences and
Mitigation Strategy
- Staff Resistance
- Privatisation of business
- Insufficient reviewing
- Partnership failure
Capital Structure
- Reduce expenditure
- Eliminate revenue gap
- Increase funding
Upgrade Technology Hiring External Consultants