Sustaining improved organisation performance

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1© Roger Tregear, Leonardo Consulting 2015

Sustaining

ImprovedOrganisation performance

Roger Tregear

2© Roger Tregear, Leonardo Consulting 2015

Organisation performance?

Keeping customers and other stakeholders satisfied (enough) by delivering the value promised

3© Roger Tregear, Leonardo Consulting 2015

Maintaining clarity about value delivery

targets, goals and gaps

Improved?

4© Roger Tregear, Leonardo Consulting 2015

Continually improving our ability to sustain appropriate customer experiences

Sustaining?

5© Roger Tregear, Leonardo Consulting 2015

Few organisations have embedded a systemic wayof finding and sustaining organisational performance improvements

?The problem

6© Roger Tregear, Leonardo Consulting 2015

SustainingImproved

Organisation performance

7© Roger Tregear, Leonardo Consulting 2015

Why does this organisation exist?

Organisation performance

8© Roger Tregear, Leonardo Consulting 2015

What can 1 box deliver?

Organisation performance

9© Roger Tregear, Leonardo Consulting 2015

We collaborate to get things done

Organisation performance

10© Roger Tregear, Leonardo Consulting 2015

Organisation performance = cross-functional process

performance

Organisation performance

11© Roger Tregear, Leonardo Consulting 2015

Reimaginingmanagement Functional

Organisation

Proc

ess

Org

anis

atio

n

Managing resources

Creating, accumulating, & delivering value

Organisation performance

12© Roger Tregear, Leonardo Consulting 2015

Reimagining management- process architecture

Organisation performance

13© Roger Tregear, Leonardo Consulting 2015

Reimagining management- process architecture

Satisfy customerSenseneed

Createoffering

Engagecustomer

Deliveroffering

Organisation performance

Serve citizenResearch

needDevelop policy

Engagecitizen

Deliverservice

14© Roger Tregear, Leonardo Consulting 2015

1. Reimagine management2. Start with a process architecture

Organisation performance

FunctionalOrganisation

Proc

ess

Org

anis

atio

n

15© Roger Tregear, Leonardo Consulting 2015

SustainingImproved

Organisation performance

16© Roger Tregear, Leonardo Consulting 2015

The problem with problems

Improved

17© Roger Tregear, Leonardo Consulting 2015

Threatsto the process

Weaknessesof the process

Negative Bias

Strengthsof the process

Opportunitiesfor the process

WT

SOPositive Bias

Pro

perty

of

the

proc

ess

Pro

perty

of

the

ecos

yste

m

Widening the search

Improved

“An improvement program must be directed at what you want, not at what you don’t want.”Russell Ackoff, 1994

18© Roger Tregear, Leonardo Consulting 2015

Strength-DrivenImprovement

+D

Strengthsof the process

SWhat works well and must be preserved and replicated?Positive deviants?

Improved

19© Roger Tregear, Leonardo Consulting 2015

Weakness-DrivenImprovement

Problems looking for solutions

Weaknessesof the process

WImproved

“One never becomes a leader by continuously improving- that’s imitation of the leader.” Russell Ackoff, 1994

20© Roger Tregear, Leonardo Consulting 2015

Opportunity-DrivenImprovement Solutions looking

for problems

Opportunitiesfor the process

OImproved

21© Roger Tregear, Leonardo Consulting 2015

What might disrupt process performance?

Continuity of supply

Quality of inputs

Changing requirements

New regulations

Threat-DrivenImprovement

Threatsto the process

TImproved

22© Roger Tregear, Leonardo Consulting 2015

Improve ‘improving’

Improved

Weaknessesof the process

WThreatsto the process

TStrengths

of the process

SOpportunitiesfor the process

O

23© Roger Tregear, Leonardo Consulting 2015

Thisisa

bicycle

Improved

What are we trying to improve?

24© Roger Tregear, Leonardo Consulting 2015

Thisis

nota

bicycle

Improved

25© Roger Tregear, Leonardo Consulting 2015

1. Redefine improvement – widen the search

2. Improve the system

Improved

Threatsto the process

Weaknessesof the process

Strengthsof the process

Opportunitiesfor the process

WT

SO

26© Roger Tregear, Leonardo Consulting 2015

SustainingImproved

Organisation performance

27© Roger Tregear, Leonardo Consulting 2015

Changes must be worth sustaining

Sustaining

28© Roger Tregear, Leonardo Consulting 2015

Value Chain 1

Process 1.1 Process 1.3Process 1.2

Lead the OrganisationManage risk &

complianceDetermine

market strategyManage capital

Develop Vision

Support the OrganisationDeliver HR

servicesMaintain

physical facilitiesDeliver IT services

Manage finances

Value Chain 2

Process 2.1 Process 2.3Process 2.2

m

EPAMeasuresMMsReportsResponse

Process 1.2

Process 1.2

A system of managementSustaining

29© Roger Tregear, Leonardo Consulting 2015

Sustained performance requires sustained effort

Sustaining

Get the circles turningthe secret sauce of process-based management

30© Roger Tregear, Leonardo Consulting 2015

1. Make it worthwhile2. Start the circles turning

Sustaining

31© Roger Tregear, Leonardo Consulting 2015

make it worthwhileget the circles turningSustaining

redefine improvementimprove the systemImproved

reimagine managementstart with a process architecture

Organisation performance

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