Executing the delivery model

Building on the previous two parts of our “Business in a box” series, that looked at setting up a carve-out for success and developing an optimal delivery model, we now publish the third part of the series. The third part focuses on successfully executing the defined delivery model.

Some of the highlights from the third part are listed below.

1. Too often, execution of carve-outs is performed by loosely connected functional groups that operate with an incomplete view of the deal’s scope, combined with a high volume of data and limited communication.
2. The success rate of strategy execution is incredibly low: 83 percent of strategies fail due to faulty assumptions and execution.
3. The operational structure that companies need to remain competitive today can make successful execution of deal strategy more challenging, especially in carve-outs.
4. As companies must function via highly integrated processes and systems to achieve their desired operating efficiency, executing a separation of these highly integrated components requires thorough planning and sensitive management.