The Process Excellence Network (PEX) released its latest report, painting a comprehensive picture of the state of business transformation with insights from its survey of thought leaders around the world.
“The survey results provide insights into the core ingredients of successful OPEX and business transformation, including sponsorship from the top, the opportunities that digital change provides organizations, and the need to balance against the challenges of budget limitations,” says Jots Sehmbi, CIO at City, University of London.
As part of Graphite’s ongoing partnership with PEX, we’d like to share the key findings as you embark on your own business transformation efforts. Let’s dive in!
1. Artificial intelligence (AI) will be the biggest investment area over the next 12 months
The impact of AI on OPEX and business transformation is a standout theme of this year’s survey. More than half of businesses (58%) have discussed potential AI projects to drive OPEX and transformation objectives, while 14% of respondents are in the process of developing their first AI pilot project.
The survey results also show that AI is everywhere, and organizations of all sizes are considering what the technology means for them. It’s understandable that only a small percentage of organizations are developing their first AI project because organizations need the right automation infrastructure in place before adopting AI.
Those that are investing in AI are leveraging the technology to revolutionize both front and back-office operations with conversational AI assistants as well as to accelerate process analysis, gaining deeper insights into operational performance.
Lee Bogner, AI leader at Mars Inc., says the organization is using AI for predictive analytics, automation, and generative AI in content creation and data management. As an industry thought leader, he highlights the importance of aligning AI initiatives with business value and solving specific problems. “From my perspective, organizations need to, first and foremost, focus on business value and the problems they’re aiming to solve,” Bogner says. “Start by understanding the impacts on people, business processes, and data prior to choosing technology such as AI.” Then businesses can look to truly accelerate OPEX and transformational objectives, applying appropriate technologies directly to the problems they’re trying to solve and the business value they’re striving to achieve, Bogner adds.
2. Almost half of organizations are deploying enterprise-wide OPEX and business transformation
42% of responding organizations are deploying enterprise-wide OPEX and business transformation strategies, a significant increase from 2023 (37%).
“OPEX deployment initiatives must be enterprise-wide to ensure comprehensive and sustainable improvements,” says Ricardo Henriques, transformation leader at EDP. “The significance of enterprise-wide deployment can be highlighted through three key aspects: Touching all corners of the enterprise, increasing resilience, and growing the culture and enterprise maturity.”
This ensures that every part of the organization contributes to and benefits from OPEX. “This comprehensive approach not only strengthens the organization’s ability to withstand challenges but also drives long-term growth and success.”
3. OPEX and business transformation are mission-critical in driving growth, managing turnaround, and delivering strategic objectives
OPEX and business transformation strategies are mission-critical in helping to drive growth, manage turnaround, and deliver strategic objectives within organizations, according to almost half of respondents (47%, down from 50% in 2023). This is followed by improving productivity and efficiency (43%), improving customer satisfaction (32%), and adapting to new ways of working (24%), all on par with last year.
OPEX and business transformation initiatives are pivotal for modern organizations aiming to thrive in today’s dynamic business environment, says Henriques. “By focusing on continuous improvement, data-driven decision-making, technology integration, customer-centricity, and employee engagement, organizations can achieve sustainable growth and long-term success in a rapidly evolving market landscape.
Effective OPEX and business transformation ensure the seamless execution of strategy, driving organizational growth and achieving strategic goals, while a continuous improvement framework identifies and capitalizes on opportunities to enhance productivity and efficiency across the organization, Henriques adds. “Furthermore, purposeful cost and headcount reductions managed with careful consideration of potential impacts, maintain enterprise performance and sustainability.”
4. Change management is the leading methodology/solution organizations use to support OPEX and transformation
In total, 56% of businesses are planning to invest in cultural transformation (28%) and behavioral/employee engagement (28%) – key aspects of change management – in the near future. Effective change management can enhance overall business success, productivity, and culture by increasing employee engagement and motivation, improving customer satisfaction and loyalty, reducing costs and risks, and fostering a culture of innovation and learning, says Laura Karpf, senior manager of change management at Sodexo.
Some of the most important elements of change management are the human-centric factors that address the needs, emotions, and behaviors of the people affected by change, adds Ryan Mayer, Head of Healthineers Performance System, Americas region at Siemens Healthineers. “Prioritizing these factors ensures smoother transitions, greater engagement, and higher adoption rates for change. By focusing on clear communication, empathy and encouraging active participation from a wide variety of stakeholder groups, an organization can help foster a supportive environment that minimizes resistance and maximizes the probability of success.”
5. On-demand talent to drive business transformation
In today’s dynamic business environment, focusing on new ways of working, building new capabilities, and adopting new technologies is the way forward. One way companies are infusing agility and flexibility into organizations undergoing business transformation is by implementing an enhanced workforce strategy by tapping into a growing pool of highly-experienced independent talent, enabling enterprises to quickly find the right talent at the right time in a cost-effective manner.
With over 50% of the workforce expected to be freelance, by 2027, companies have taken notice.
The rise of flexible talent solutions such as Graphite reflects a fundamental shift in how organizations approach workforce management. With a network of over 10,000+ independent experts, Graphite offers seamless access to highly experienced subject matter experts who are helping drive change management transformations as well as enterprise-wide transformations.
6. Process improvement is a key focus and investment priority for modern businesses
The survey found more than a third of respondents (34%) are prioritizing end-to-end process architecture in the coming year, with process modeling/documentation (34%) and customer-centric process management (30%) on the agenda too.
The represent a back-to-basics approach, where process excellence and customer-centricity are fundamental for success. With rising customer expectations and rapid technology-led innovation, businesses are looking for ways to stay agile. It’s imperative for leaders across all industries to continuously refine and adapt processes quickly.
PEX Industry Report Highlights the Importance of Driving Growth with AI, OPEX, and Effective Change Management
With detailed key findings, the Process Excellence Network (PEX) Industry Report has highlighted the transformative power of AI, enterprise-wide OPEX strategies, and the critical role of change management in modern business transformation efforts. As organizations increasingly invest in AI and automation to drive operational excellence, they must ensure a strong foundation of clean data and align these initiatives with clear business value.
Enterprise-wide deployment of OPEX, combined with human-centric change management strategies, is essential for building resilience and fostering long-term growth. By focusing on process excellence and a flexible workforce strategy, businesses can adapt to evolving market demands, ensuring sustainable success in a dynamic, technology-driven landscape.
