The document discusses operational excellence and how it can drive strategy and innovation. Operational excellence involves continuous improvement, collaborative decision-making, employee empowerment, and a culture of innovation. It requires clear objectives, a plan to achieve goals, and accountability. These same elements are needed for effective strategy and innovation. The document presents a model for operational excellence with five components: leadership and culture, process design and execution, partners and affiliations, technology integration, and engagement of stakeholders.

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Driving Strategy & Innovation
through Operational Excellence

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What is Operational Excellence?

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Competition;
Market Forces
Ownership;
Shareholders
“Perfection is not attainable, but if we chase
perfection we can catch excellence. ”
― Vince Lombardi

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What is Operational Excellence?
Key attributes of organizations who achieve Operational
Excellence:
• Continuous pursuit of improvement.
• Collaborative Decisions.
• Employee Empowerment.
• A culture of Innovation.
• Accountability and results are monitored and
measured.

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Approach to Operational Excellence
Experience,
Talent and
Qualifications
Transfer
Mechanisms
Desired
Outcomes

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Operational Excellence & Strategy
The pursuit of Operational Excellence requires clear
objectives, a plan to achieve those objectives, and
measures and accountabilities surrounding achieving
the plan.
These are the same elements that are fundamental
to an effective Strategy.

8. Why Does Strategy Fail?
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Failure to change behavior
Inaccurate Prediction
Customer Confusion
Failure to Manage
Change
Poor Communications
Failed Strategy

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Operational Excellence & Innovation
The pursuit of Operational Excellence requires the
introduction and integration of new ideas supported
through collaborative relationships both internally and
externally to the organization.
These same elements are fundamental to achieving
Innovation.

10. Why Does Innovation Fail to
Materialize?
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Unrealistic Expectations
Lack of Resources
Singular Focus
Lack of Collaboration
Misaligned roles
Failed Innovation

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The Other Factors at Play
Internal
Influences
External
Pressures

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Internal Influential Factors

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Economic
Political
Social
Technological
Influential External Factors

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Operational Excellence Model
•Contract Management
•Supplier Innovation
•Supplier Collaboration
•Fully integrated
•Supportive technology
•Effective measurement
and reporting
•Functional alignment
•Continuous
Improvement
•Value focused
•Vision & mission
•Accountability
•Talent Management
Leadership
& Culture
Process
Design &
Execution
Partners &
Affiliations
Technology
Integration

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Leadership & Culture
Strategic
Accountable
Focused

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Process Design & Execution
Value to
customer
Effective
Supportive
Aligned

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Partners & Affiliations
Customer facing
Operations facing
Operation

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Technology Integration
Inbound
Supplier
Multi-directional
Operations
Inbound
Customer

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Staying on the Rails

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Engagement Traction

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Engaging Stakeholders

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Summary

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