The Organisation As A System The Performance Organiser Integrating Business Methodologies

The Organisation As A System

The Performance Organiser

Integrating Business Methodologies



Money

Assets

People

If you cannot measure ityou cannot manage it and

you cannot do either without the passage of information

The Problem

Concepts (1)…..•There are no mandated and internationally agreed methods for designing and writing “strategy”•A strategy should be based on an organisations core capabilities and values.•A strategy should have clear and unambiguous objectives that define where the organisation wants to go.•Objectives should be grouped into, short term “tactical” and long term “strategic”•The steps that need to be taken to reach objectives by default are processes•Each and every process will have a “measurable transaction” of one form or another which are the points at which performance can be monitored





Concepts (2) …..•Strategy will cascade (higher level objectives, will affect lower level action and in turn generate lower level objectives and processes).•It should be possible for each and every organisation member to identify his or her place in the scheme of things•Mission and Vision statements are not advertising slogans•Increasingly, central and local government agencies use standards compliance certification as part of the selection criteria for prospective service providers



Strategy, dictates policy. Policy in turn dictates the governance regime that will be applied across the organisation for assurance, quality management and performance monitoring purposes.



A key long term aim of policy and governance is to reduce variance in behaviour across the organisation within the context of the roles and the function of organisation elements or parts. From policy and governance standard operating procedures and processes will naturally emerge which can and should be monitored.



A major advantage of adopting and adapting standard methodologies is that they have built in processes, procedures and tasks that set out roles and responsibilities and define the criteria by which performance can be monitored.



Methodologies will influence information management plans as in order for them to fully support business improvement, their associated performance monitoring systems require a flexible information management framework

No one methodology covers all aspects of organisational behaviour. Methodologies should be integrated and their adoption should form part of the organisations business plan.



Level Acronym Notes

Strategic EFQM, Baldrige, Viable Holistic overview of organisational behaviour

Operational PRINCE 2, ITIL, COBIT, ISO 9000, SCOR

Whole process view of the way the organisation is managed and monitored

Task Engineering standards Concentrate on deliverables and the quality criteria that define fitness for purpose

Support Balanced Scorecard, Performance Prism, Zachman

Reporting and infrastructure provision



StrategicStrategic level

methodologies like the EFQM and Baldrige are operated on

the principle of “Review to Improve”

Forces an holistic approach toexamining the way a business

works and its effect on society. The

primary analytical tool for data collection purposes is the survey

From an information management perspective, the

primary reporting tool is survey results analysis



Process Based methodolgies, like ISO 900 operate on operational

levelprincipleis:

Say what you do and how you do it and prove you comply with both.Process based methodologies give

information managers the means to identify transaction points where the

process change the state of a product or other deliverable

Operational



Support

Economic(Accounting Measures)

Efficient(Benchmarking etc.,)

Evolution(Legislation,

Modification Programmes)

Effective(Customer Satisfaction)

There are reporting tools and methodologies like the Balanced Scorecard which are more closely aligned to support activities like management reporting and information delivery.



Charter

Mission

Objectives

Process

Resource

Vision

All methodologies are designed to support one or more aspects of business planning from the strategic to the operational



Charter

Mission

Objectives

Process

Resource

Vision



Charter

Mission

Objectives

Process

Resource

Vision



Planning Framework Including IIP

Charter

Mission

Objectives

Process

Resource

Vision



The EFQM, ISO 9000 and IIP arenot of themselves integrated reporting mechanisms



Charter

Mission

Objectives

Process

Resource

Vision

KPI’s

Planning Framework Data Collection and Delivery



Board

Senior Management

Middle Management

Shop Floor

Strategy

Action

Top Down Analysis, Bottom Up Reporting



Try not to:

•Robotise – don’t let standards stifle innovation and initiative•Be over zealous at the process level – beware of houses of cards

Try to:

•Review – Review the methodologies objectively to make sure they are appropriate and fit for purpose•Join Standards Associations – shared experience and comparitive data


Integrating Business MethodologiesSummary

Use process level design and

scrutineering methods to develop

monitorable standard operating

procedure

Use strategic level methods to derive business objectives

Use the Balanced Scorecard to define

the reporting mechanism apply the appropriate measurement

technique



Urls

MOD Acquisition Operating FrameworkInternational Organisation for StandardisationDepartment for Education Standards Framework

http://www.aof.mod.uk/

http://www.iso.org/iso/home.html

http://nationalstrategies.standards.dcsf.gov.uk/primary/primaryframework

Documents

The Organisation As A System The Performance Organiser Integrating Business Methodologies