SRM key to becoming Agile
Telstra has undergone a radical transformation in the past three years on its way to becoming an Agile company. Neil Wittmann-Griggs explains why SRM is critical to its success
creating efficiencies as we go forward. Success for Telstra therefore requires a truly whole-of-business and whole- of-relationship approach, building on its agile ways of working that includes both the company and our suppliers. Changing how we work That is part of why Telstra started in 2019 the transition to our ‘agile-at- scale’ model across our organisation. A critical part of delivering on our T25 commitments is changing how we work to allow our people to collaborate more quickly and easily to deliver better and faster outcomes. There are many definitions of ‘Agile’. At Telstra, it is defined as a ‘way of working that brings people with different skills into one team, working in short sprints to deliver faster to market, at a lower cost, and with a better experience for our people and customers’. Since the inception of the agile journey, we have seen the beginnings of the benefits of adopting the new operating model and way of working across 17,000+ employees. Into T25, we are starting to see this accelerate the break-down of silos and hierarchy, as well as remove other barriers that
often get in the way of people doing their best work. Telstra’s transformation is end- to-end so we are investing in and simplifying the things that impact our employees’ working experience alongside transforming our customers’ experience, our supplier experience, our focus on innovative products and technology, and our cost base. We are certainly not there yet, but we are making significant changes to get us there.
This dynamic approach sees procurement specialists potentially working directly with senior executives and, for procurement’s part, moving talent to work where they are most
Telecoms and technology giant Telstra is an iconic business which has been (and will continue to be) an important part of the fabric of Australia. It has gone through many changes and evolutions in its history, so now could be seen as just another phase in Telstra’s inevitable journey over the past 47 years since its founding in 1975, however it is more than that. There are times through all organisational lifecycles where gradual evolution makes sense. For years, companies across industries, bent on moving from traditional, slow-moving hierarchies to flexible and fast decision-making models, have focused on agile transformations. The profound impact of the Covid global pandemic lent urgency to these efforts, creating an immediate need for adaptability, speed, and efficiency. Decision rights shifted and expanded throughout many organisations, and learning took place rapidly, in real time. Now, as organisations emerge from the pandemic, some will be looking to intensify the agile journey, while others will be taking their first steps to secure its benefits. In Telstra’s case, we have reached a point where we are truly re-thinking how we do business - what we sell, how we sell, how we create our products and services, and how we create an
organisation and culture that has the agility to respond to customer needs that are changing more rapidly than ever before. The focus for change is embedded in our T25 strategic ambition. This three-year organisational plan comes from a deep commitment to reinvent telecommunications products and services – to deliver a level of simplicity, transparency and trust that customers want; underpinned by the best network and world-class capabilities. For Telstra, this change starts from within, and it is essential our suppliers are included on this journey. In doing so we also need to be transparent that this scale and pace of change is hard, creates uncertainty and can impact our supplier relationships. Better together One of Telstra’s four core values is ‘Better Together’, which reflects an organisational culture that we are better and stronger when we work as a team. There are many cyclists at Telstra and one cycling analogy that best sums up our ambition is ‘if you want to go fast, go alone; if you want to go far, go together.’ Change is about supplier collaboration. We are part of the same team, like a cycling peloton that has to work together in synchronisation
needed at that time. Part of the ambition is to give procurement
specialists more autonomy and use the skills where they are required to help meet Telstra’s priorities, which are set and reviewed quarterly. For those companies seeking to adopt this approach, they must be prepared to rethink traditional hierarchies; to shift from top-down directives to empowering employees to use their talents where needed; and where they continuously look for new ways to enhance value. Agile ways of working are about being comfortable with change and having the mindset to respond quickly to →
Aligning on common goals The Agile approach enables
stakeholders from various parts of the company to form cross-functional delivery teams that focus on business outcomes through fewer hand-offs, better supplier collaboration, and the right capabilities to deliver.
“Without SRM we don’t know the risks or level of supplier resiliency… and that is frightening”
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