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Understanding organizational transformation

Creating a foundation to support the needs of modern IT infrastructures and workplaces can mean changing the way you work. Organizational change toward an open, evolving corporate culture is key to your digital transformation. Opening up the way your organization works can lead to greater team alignment and achieving shared goals.

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What is organizational transformation?

Organizational transformation is a business strategy for change management intended to move your organization from where it currently is to a desired future state. These change initiatives involve efforts focused on employee experience. Executive teams and human resources often rely on change management methodologies which are measured by defined metrics to create a road map for the org’s transformation strategy.

Rapidly changing technologies and shifting business conditions are forcing organizations to rethink how they operate. Organizational transformation efforts are taking place at all levels; senior leadership teams are targeting their organization's culture for transformational change.

And as many successful transformations have discovered, business models focused on working openly can help provide competitive advantage.

According to the Open Organization Definition, open organizations have several advantages. Working openly can lead to:

  • Greater agility, as members are more aligned on working together on shared goals.
  • Faster innovation, as ideas from both inside and outside the organization receive more equitable consideration and rapid experimentation.
  • Increased engagement, as members see connections between their individual activities and an organization’s mission and vision.

Any organization can commit to being an open organization—even if no two open organizations will ever look alike. Transforming into an open organization means embracing principles that reflect open source values. These transformational principles include:

There are a few characteristics of what makes an organization an open that has transformed from being closed off to adopting open source values.


In transparent organizations, materials, decisions, and processes are open, collaborative, and can be adjusted and revised if necessary.


Organizations that are inclusive seek out diverse points of view and invite multiple perspectives into dialogue whenever possible.


Flexibility and resiliency are key elements of organizations that are oriented toward continuous learning and engagement, which contributes to greater longevity. Shifting decision making to the frontline of business means teams can react faster to changing requirements.


Individuals in an open organization believe that work is better when more parties are involved, and it lends the work to enhancements over time.


Open organizations are communal by default. Shared values and purpose guide these organizations and are integral to their success or failure.

What can you do when you transform your organization?

A major outcome of transformation is that your organization becomes open to the possibility of integrating and adopting new technologies and business processes. This can help you meet business goals in industries that are constantly evolving.

Successful adoption of open hybrid cloud technologies, cloud-native development models, and management and automation solutions all become possible when embracing the cultural changes needed to support a more digital and interconnected business.

Why choose Red Hat?

Red Hat has been operating as an open organization since we were founded in 1993. We’ ve helped countless companies change the way they work, beginning with their longstanding internal processes and tools. From a foundation of open source software, we’ve helped organizations realize that better ideas and technology come from the open.

Modern IT ecosystems span across public and private clouds, bare-metal servers, and virtualized infrastructure. In addition to a hybrid infrastructure, your enterprise has platforms, apps, and tools from multiple vendors. Proprietary tools don’t talk to each other, and apps cross slowly when weighed down by data. You need advancements in infrastructure, management, and development to bring your hybrid cloud infrastructure together.

Our flexible, open source solutions can help.

Keep exploring organizational transformation

open organization

The Open Organization

President of IBM Jim Whitehurst discusses how open principles shape how we guide organizations.

digital transformation

Digital transformation, the open source way

Open source tools work best when combined with open ways of working.

The organizational transformation tools you need

Open Innovation Labs

Open Innovation Labs is a highly focused 8-week residency, where 3 to 6 of your developers learn how to build applications the Red Hat Way.

DevOps training

Take DevOps Culture and Practice Enablement (DO500) to find out how best to apply open strategies within a DevOps environment.

There’s a lot more to do with organizational transformation