Business Transformation

Evidence

In 1920s average lifespan of a S&P500 was 67 years. Today 15

Tesos

Investigated by competition commission for being a monopoly - 'Tescopoly' - was published in 2007 by Economist Andrew Simms

Since then share price halved

Profit mis-statement scandal

Lost it's CEO

Hammered by Lidl and Aldi

Horse meat

Being honest - if you can't admit things are going wrong you'll never be able to turn around a company, product line or a division.

Founded in 1995 strong growth through to 2010

Management identified issues

Marketing solely on offers

Aiming at upsells

No customer loyalty

In July 2011 founder Robert Keane boldy withheld earnings and committed $10's of millions to improve the CX

New company culture

Trialled in Canada

Extra fees deleted, discounts scaled back

RESULT:
Repeat orders are up
Net promoter score up 20% in UK
Stronger brand

1. Create a sense of urgency

2. Build a guiding coalition

3. Form a strategic vision and initiatives

4. Enlist a volunteer army

5. Enable action by removing barriers

6. Generate short-term wins

7. Sustain acceleration

8. Institute change