IG1360 Sustainable TechCo Organizational Design Whitepaper v2.0.0

Changing a company’s culture from a telco to an innovative, tech-focused one is hard. It requires a company-wide change in mindset and approach. New technologies and business models often require new skills. Telcos may struggle to recruit, retain, and upskill/reskill talent for ‘TechCo’ transformation. TechCo operations are agile and digital, but telcos have complicated legacy infrastructure and systems. As the pressure for environmental sustainability builds, TechCos need to begin embedding sustainability issues into their everyday business decisions in a structured, comprehensive way. Meeting sustainability goals represents an opportunity for them to lower operational expenditures, but more importantly, their efforts will drive the green transformation of other industries and achieve ecosystem decarbonization. Sustainability is an opportunity to generate revenue by creating the right culture by leading from the top with clear incentives and KPIs with the optimal fit between the rising demands of a sustainable economy and their business model, strategy, structure, incentives, human skills, IT systems, and all the other aspects of the organizational design of the firm. Sustainability creates an important driver for organizational design: the way organizations operate and the way they should be designed. New thinking is required for designing organizations focusing on: strategy, structure, processes, and human skills and values to create a sustainable organization for the future. Organization design will be a major driver for adopting sustainability which needs to follow fundamental design principles based on the four I’s: Incentives, Innovation, Integration, and Impact.