Embracing the Connected Enterprise: A Path to Responsible Transformation

By Matthew Gantner, CEO & Founder @ Altum Strategy Group | Digital Strategy and Business Operations

As we head into the back half of 2024 and as companies begin planning for 2025, we know the business environment is shifting rapidly and will continue to do so. To gain a competitive edge organizations need more than just the right products and services. The current marketplace necessitates a holistic approach that seamlessly integrates all aspects of a company’s operations. This is where the concept of a connected enterprise comes into play, acting as the glue that binds together the front-office, middle-office, and back-office functions.

What is a Connected Enterprise?

At its core, a connected enterprise brings together the front office, such as sales and customer service; the middle office, including production and operations; and the back office, which encompasses finance, accounting, and other reporting functions. By unifying these different parts of the business, organizations can ensure smoother operations, better decision-making, and enhanced visibility across all areas of the business.

The Importance of Responsible Transformation

Achieving a connected enterprise isn’t just about technology integration; it’s about responsible transformation across all layers of the organization. This transformation needs to be handled with care, ensuring that every change made is sustainable and beneficial in the long run. At Altum, we have collaborated with clients repeatedly to successfully guide them through this process {See our previous insight on Responsible Transformation.}

The Round Tire Analogy

To better understand the importance of a connected enterprise, consider the analogy of a tire. A well-functioning, round tire enables a vehicle to move smoothly and efficiently. Whether it’s a bicycle traveling at 20 to 25 miles per hour or a car cruising at over 60 miles per hour, the journey is seamless and easy. In contrast, a square tire might move the vehicle (a little bit), but the ride will be slow, bumpy, and not a lot of fun.

A connected enterprise functions like a round tire. It ensures that all parts of the business work together harmoniously, enabling the company to move forward efficiently. Without this connectivity, the business may still operate, but it will face challenges, inefficiencies, and frustrations.

The Framework of Connected Enterprise

Taking the tire analogy one step further, the connected enterprise (the outer tire) is the wrapper for responsible transformation (core of the tire), which is the core driving 3 key spokes:

Spoke 1: Sustainable Growth: Sustainable growth ensures that the company can scale and evolve without compromising its values or stability. By integrating all parts of the business, a connected enterprise can quickly adapt to market changes, drive innovation, and maintain a competitive edge.

Spoke 2: Accountable Data: In a connected enterprise, data flows seamlessly between departments, providing a single source of truth. This ensures that decisions are based on accurate, up-to-date information, and it enhances transparency and accountability across the organization.

Spoke 3: Effective and Ethical Use of AI: Artificial Intelligence (AI) can revolutionize business processes, but it must be used responsibly. A connected enterprise leverages AI to optimize operations, improve customer experiences, and drive innovation while ensuring ethical standards are met.

Together, these components ensure that the business can move forward smoothly and efficiently.

A Real-World Example

At Altum, we’ve helped numerous clients achieve the benefits of a connected enterprise. Recently, we worked with a client that faced significant challenges due to disparate systems where lines of communication were broken or never existed. Their various departments operated in silos, leading to a lack of visibility into critical metrics such as cost, revenue, and employee productivity.

By applying the principles of connected enterprise and responsible transformation, we identified the right people, processes, and technologies needed to bridge these gaps. We connected their front-to-back offices, ensuring seamless data flow and improved visibility. As a result, the client could make informed decisions, optimize operations, and drive sustainable growth.

The Path Forward

For businesses looking to thrive in today’s competitive landscape, embracing the concept of a connected enterprise is essential. It ensures that every part of the organization works together seamlessly, driving efficiency, growth, and success. By adopting this approach, businesses can move forward confidently, knowing that they have the right “outer tire” to navigate the challenges and opportunities of the future.