To this end, we recently surveyed 200 senior executives (vice president and above) in UK and US-based companies with a turnover of over $1bn.
The results were illuminating to say the least, as 44 per cent said that their companies lacked consistent key performance indicators (KPIs) across their front, middle and back offices.
So what metrics should organisations be using to check their pulse Here are eight health indicators every business should use to continually assess whether they are on track to optimise their performance.
(1) Data
Sustained organisational excellence is predicated on an organisation’s ability to turn performance data, targets and insights into meaningful action and improvement.
(2) Organisational strategy
To be effective, an organisation must have a strategy, aligned with an organisational purpose that every team member”from the boardroom to front-line employees can get behind and feel responsible for delivering.
(3) Operational agility
Operational excellence is grounded in an operating model that serves as the blueprint for achieving an organisation’s strategy. Following the guiding principle ?design to scale,” agility needs to be embedded into core and supporting processes, structure, roles and governance to enable continuous improvement.
(4) Culture
An overall culture of excellence is the final manifestation of a clear corporate vision, mandate and reason for being (i.e. purpose ) that permeates the entire organisation.
Read more on strategy development:
- Three business secrets The Grateful Dead taught a successful CEO
- Learning from the automotive greats about reputation
- You shouldn?t abandon your strategy for anyone but it’s good to have the option
(5) Innovation
Sustained excellence is only possible in context of an innovative environment and set of capabilities that allows the organisation to deliver genuinely new, unique experiences, products and services to their stakeholders.
(6) Employees
Employees are a critical enabler of organisational excellence acquisition of competent talent and consistent engagement of workforce must be carefully monitored.
(7) Leader accountability
Arguably the most important element of sustained organisational performance is leadership. It is a central part of an organisation’s ability to create and sustain brilliant performance.
(8) Collaboration effectiveness
Collaboration among all employees, vendors, customers and stakeholders is the new normal for creating sustainable improvements in any organisation. Anything less will impede potential.
Simon Piesse is senior consultant at global consultancy?North Highland
Building on the that, Real Business learnt during our time at the Sage Summit in Chicago that if you collaborate and disrupt, you can become the Braveheart of business.
Image: Shutterstock
