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1/6/2013
Organizational Agility Process Audit
Nick Horney, Ph.D. Principal, Agility Consulting
Agility Consulting and Training, LLC - 2012 Page 1
Organizational Agility Process Audit™
onducting an Organizational Agility Process Audit™ provides a comprehensive
approach to identifying the agility of an organization’s core business processes. It
complements and can be used in conjunction with or separately from the application of our current
Organizational Agility Audit™ which has been used by a
significant number of companies during the past decade to
capture their agility baselines and plans for agility
implementation. The Organizational Agility Process Audit™
combines the best practices of the Baldrige Performance
Excellence process with the key elements of The Agile Model®.
During the past 25 years, thousands of organizations of all sizes
in every industry have used the Baldrige Criteria—and many have applied for the Malcolm Baldrige
National Quality Award (with links to profiles):
• Large, Fortune 500 companies, including Boeing Aerospace Support (PDF), The Ritz-Carlton
Hotel Company, Caterpillar Financial, and Motorola CGISS
• Small businesses, such as PRO-TEC Coating Company (PDF), which provides coated sheet
steel to the U.S. auto industry; privately-held MESA Products, Inc. (PDF), which designs and
manufactures cathodic protection systems for underground pipelines and tanks; and Branch-
Smith, a family-owned, full-service printing company
• Large hospitals and hospital systems, like Poudre Valley Health System (PDF) and SSM
Health Care and single hospitals like Bronson Methodist Hospital (PDF)
• Large and small schools and colleges, such as Iredell-Statesville Schools (PDF), Chugach
School District, Richland College (PDF), and Pearl River School District
• Nonprofits and government entities, such as the City of Coral Springs (PDF) and U.S. Army
ARDEC (PDF)
C
Agility Consulting and Training, LLC - 2012 Page 2
Agility Consulting has been personally involved in the Baldrige process and have been represented
on the Baldrige Board of Examiners. When combined, The Agile Model® and the Baldrige criteria
provides a robust framework for auditing the agility of organizational core processes. From the
Baldrige application, Section 2.1, "Strategy Development": How do your strategic objectives
enhance your ability to adapt to sudden shifts in your market conditions? Baldrige requires that
applicants' strategic plans and actions promote organizational agility.
The Agile Model® offers a unique holistic roadmap to building organizational agility. The
characteristics describing organizational agility are provided in The Agile Model® -- focused, fast, and
flexible, with continuously adaptable people, processes, and technology. This results in an
organization that continually monitors, anticipates, and adjusts to trends so that it not only survives
but thrives. This type of adaptability doesn’t happen by chance; it must be “designed in.”
Therefore we have designed three phases for the process audit:
Phase 1 (Use of the Baldrige
Framework) -- Identify Current
Processes for Leadership, Strategy,
Customer, Measurement,
Workforce, Process and Results,
etc. For example, the illustration
to the right is an excerpt from the
2012 Baldrige Guidelines focuses
on the processes used to develop
an organization’s strategy. In this
example, processes that the
organization uses for strategy
Agility Consulting and Training, LLC - 2012 Page 3
development are identified on the Organization Agility Process Audit™ form.
Phase 2 (Use The Agile
Model®) – Rate how these
organizational processes enable the
organization to Anticipate Change,
Generate Confidence, etc. by scoring
each of these five Agility Drivers (0-
Agility Consulting and Training, LLC - 2012 Page 4
20) across the seven Baldrige core processes resulting in a total process score for each Baldrige
process of 0-100 points.
Phase 3 (Total, Interpret Score and Plan for Improvement) -- using the Process Audit Scoring
Guidelines to identify the “maturity” level of the overall summary score. As indicated in the scoring
guidelines to the right, a summary score of 250 would fit in the Band Point Range of 0-275 and
reflect early stages of developing and implementing the Drivers of The Agile Model® with
deployment lagging and inhibiting progress. Improvement efforts are limited to problem solving.
Few important results are
reported and generally lack
trend and
comparative/benchmark
data. Therefore, an
organization with a score of
250 would be at the
“Commitment” agility
process maturity level. It
would be at the earliest
stage of implementing the
agility drivers compared to
an organization scoring 550
and at the “Mastery” stage.
Agility Consulting and Training, LLC - 2012 Page 5
An organization at the Mastery stage uses effective and systematic processes with no major gaps in
deployment throughout the organization. An organization at the Mastery stage would also
demonstrate fact-based improvement processes, good results and improvement trends.
As a result of the Organizational Agility Process Audit™, an organization can determine its
plan of action to improve its overall maturity level of its process agility. The subsets of scores
provide indicators for prioritization of action. For example, if the processes for Anticipate Change
are scored lower than the other
Agility Drivers, but only in the
categories of Leadership and
Strategy, then the Executive Team
can focus on the actions needed in
those two areas.
Agility Consulting and Training, LLC - 2012 Page 7
Nick Horney, Ph.D. & Tom O’Shea
Principals
Agility Consulting & Training, LLC
1901 Rosevilla Lane
Greensboro, NC 27455
W: 336-286-7250
Email: NickHorney@AgilityConsulting.com or Tom@AgilityConsulting.com
Website: www.AgilityConsulting.com
About Agility Consulting
Since 2001, we have been building research and body of knowledge around what
drives true organizational agility. What differentiates those organizations, teams
and leaders that are able to sense and respond better and faster than others in this
increasing turbulent world we have? Our research led to the development of The
Agile Model® which embodies five key drivers that enable organizational, team
and individual leadership agility. This model has been recognized by The
American Management Association as well as highlighted in a 2008 book entitled
“Human Resource Transformation ….” To learn more about how to apply The
Agile Model® to your business please go to our website noted below.

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Organizational Agility Process Audit 2 - whitepaper 1-9-13

  • 1. 1 1/6/2013 Organizational Agility Process Audit Nick Horney, Ph.D. Principal, Agility Consulting
  • 2. Agility Consulting and Training, LLC - 2012 Page 1 Organizational Agility Process Audit™ onducting an Organizational Agility Process Audit™ provides a comprehensive approach to identifying the agility of an organization’s core business processes. It complements and can be used in conjunction with or separately from the application of our current Organizational Agility Audit™ which has been used by a significant number of companies during the past decade to capture their agility baselines and plans for agility implementation. The Organizational Agility Process Audit™ combines the best practices of the Baldrige Performance Excellence process with the key elements of The Agile Model®. During the past 25 years, thousands of organizations of all sizes in every industry have used the Baldrige Criteria—and many have applied for the Malcolm Baldrige National Quality Award (with links to profiles): • Large, Fortune 500 companies, including Boeing Aerospace Support (PDF), The Ritz-Carlton Hotel Company, Caterpillar Financial, and Motorola CGISS • Small businesses, such as PRO-TEC Coating Company (PDF), which provides coated sheet steel to the U.S. auto industry; privately-held MESA Products, Inc. (PDF), which designs and manufactures cathodic protection systems for underground pipelines and tanks; and Branch- Smith, a family-owned, full-service printing company • Large hospitals and hospital systems, like Poudre Valley Health System (PDF) and SSM Health Care and single hospitals like Bronson Methodist Hospital (PDF) • Large and small schools and colleges, such as Iredell-Statesville Schools (PDF), Chugach School District, Richland College (PDF), and Pearl River School District • Nonprofits and government entities, such as the City of Coral Springs (PDF) and U.S. Army ARDEC (PDF) C
  • 3. Agility Consulting and Training, LLC - 2012 Page 2 Agility Consulting has been personally involved in the Baldrige process and have been represented on the Baldrige Board of Examiners. When combined, The Agile Model® and the Baldrige criteria provides a robust framework for auditing the agility of organizational core processes. From the Baldrige application, Section 2.1, "Strategy Development": How do your strategic objectives enhance your ability to adapt to sudden shifts in your market conditions? Baldrige requires that applicants' strategic plans and actions promote organizational agility. The Agile Model® offers a unique holistic roadmap to building organizational agility. The characteristics describing organizational agility are provided in The Agile Model® -- focused, fast, and flexible, with continuously adaptable people, processes, and technology. This results in an organization that continually monitors, anticipates, and adjusts to trends so that it not only survives but thrives. This type of adaptability doesn’t happen by chance; it must be “designed in.” Therefore we have designed three phases for the process audit: Phase 1 (Use of the Baldrige Framework) -- Identify Current Processes for Leadership, Strategy, Customer, Measurement, Workforce, Process and Results, etc. For example, the illustration to the right is an excerpt from the 2012 Baldrige Guidelines focuses on the processes used to develop an organization’s strategy. In this example, processes that the organization uses for strategy
  • 4. Agility Consulting and Training, LLC - 2012 Page 3 development are identified on the Organization Agility Process Audit™ form. Phase 2 (Use The Agile Model®) – Rate how these organizational processes enable the organization to Anticipate Change, Generate Confidence, etc. by scoring each of these five Agility Drivers (0-
  • 5. Agility Consulting and Training, LLC - 2012 Page 4 20) across the seven Baldrige core processes resulting in a total process score for each Baldrige process of 0-100 points. Phase 3 (Total, Interpret Score and Plan for Improvement) -- using the Process Audit Scoring Guidelines to identify the “maturity” level of the overall summary score. As indicated in the scoring guidelines to the right, a summary score of 250 would fit in the Band Point Range of 0-275 and reflect early stages of developing and implementing the Drivers of The Agile Model® with deployment lagging and inhibiting progress. Improvement efforts are limited to problem solving. Few important results are reported and generally lack trend and comparative/benchmark data. Therefore, an organization with a score of 250 would be at the “Commitment” agility process maturity level. It would be at the earliest stage of implementing the agility drivers compared to an organization scoring 550 and at the “Mastery” stage.
  • 6. Agility Consulting and Training, LLC - 2012 Page 5 An organization at the Mastery stage uses effective and systematic processes with no major gaps in deployment throughout the organization. An organization at the Mastery stage would also demonstrate fact-based improvement processes, good results and improvement trends. As a result of the Organizational Agility Process Audit™, an organization can determine its plan of action to improve its overall maturity level of its process agility. The subsets of scores provide indicators for prioritization of action. For example, if the processes for Anticipate Change are scored lower than the other Agility Drivers, but only in the categories of Leadership and Strategy, then the Executive Team can focus on the actions needed in those two areas.
  • 7. Agility Consulting and Training, LLC - 2012 Page 7 Nick Horney, Ph.D. & Tom O’Shea Principals Agility Consulting & Training, LLC 1901 Rosevilla Lane Greensboro, NC 27455 W: 336-286-7250 Email: NickHorney@AgilityConsulting.com or Tom@AgilityConsulting.com Website: www.AgilityConsulting.com About Agility Consulting Since 2001, we have been building research and body of knowledge around what drives true organizational agility. What differentiates those organizations, teams and leaders that are able to sense and respond better and faster than others in this increasing turbulent world we have? Our research led to the development of The Agile Model® which embodies five key drivers that enable organizational, team and individual leadership agility. This model has been recognized by The American Management Association as well as highlighted in a 2008 book entitled “Human Resource Transformation ….” To learn more about how to apply The Agile Model® to your business please go to our website noted below.