In a company in the telecommunications industry, the European product development department had not delivered any new products or features for many months. Product marketing, top management at headquarters and the market-oriented locations in various European countries were very dissatisfied. The competition relied heavily on modern technologies and increasingly offered more price and product advantages. The company was in danger of falling behind. It therefore commissioned the interim manager and consultant to restructure the existing product development and set up an additional team at another of the group's locations.
The interim manager immediately set about getting to know the responsible managers and employees on site and evaluating the operational processes. This also gave him a solid impression of the working culture. It quickly became clear that the poor performance was due to deep-seated problems. These included project management as well as the communication and work culture and location issues.
Preparing to set up a new location for product development
At the beginning of the mandate, the prospect of saving product development as a successful department at the existing location seemed slim. The interim manager therefore prepared the establishment of a new location with new personnel and a new culture in another European country. He pushed ahead with the development in close cooperation with the HR department. The interim manager was responsible for defining the required roles, creating job advertisements, selecting incoming applications, interviewing candidates and making recommendations for recruitment.
Inventory of product development reveals numerous deficiencies
In parallel, the interim manager began to reorganize the existing product development. The inventory revealed numerous deficiencies. Orders were accepted without detailed clarification. Planning was neither reliable nor transparent. Communication with customers remained very unstructured and superficial. In addition, there were considerable internal gaps in communication between the levels of the hierarchy. There was also a lack of transparency in the departments regarding responsibilities and activities. There was a lack of focus on results, and employees lacked motivation and energy.
New forms of communication create the basis for better collaboration
Conversations with customers, clients, managers and employees consistently revealed anger, concerns about the future and mutual mistrust. In order to promote results-oriented collaboration and restore lost trust, the interim manager initiated regular communication platforms. This enabled a mutual exchange that increased transparency for everyone involved. The interim manager moderated many of these meetings himself. He also coached the managers to ensure that their communication was goal-oriented, solution-oriented and appreciative. He actively involved the employees in the cultural change through surveys, motivational interviews and large group interventions.
Jointly developed solutions implemented and agile structures introduced
The measures developed jointly by the interim manager and those affected were implemented quickly, initially to mitigate major risks (e.g. replacement of critical suppliers with a high risk of failure) and to successfully complete ongoing developments. The interim manager then initiated measures to professionalize project management, to plan new technologies (design, tendering, supplier selection, commissioning) and to optimize the organization (e.g. through more agile structures and processes). The interim manager was able to gradually establish a new working culture in close coordination with the management at the site and at head office. For example, behavioral guidelines were developed, further training measures in strategic areas of expertise and communication were introduced and new staff were recruited.
Renovated product development wins contract for new major order
After a transition phase, the motivation of everyone involved has gradually increased. The improved performance was also reflected in the completion of important development projects. After around six months, the reorganized product development department was commissioned with a new major project. Expansion into new areas of the value chain was also planned. The interim manager was able to successfully complete the restructuring project after around nine months.
