An operating model illustrates how an organisation should be set up (or organised) to meet the needs of customers and deliver on the purpose and strategy, by showing graphically:

• What is most important in delivering on your strategy

• How the parts (or the things you do) interdependently contribute to delivering value to your customers, clients or community.

Applying a proven methodology, we guide your senior leaders to iteratively craft the ‘blueprint’ for your company’s internal and external functions.
 
What we’ve learned about designing and using operating and service delivery models is that:

1. The relationship between the parts is the most critical part

You can’t do all things, all the time. Determining the importance and priority of the elements of your organisation, what you will and won’t do in how you serve your customer and how the components must work together are critical components of the design of your operating model.

2. Design requires decisions

The ‘art’ is in facilitating the right conversations at the right time with the right people, surfacing and challenging assumptions and exploring possibilities. It means creating space to discuss, debate and determine how best to translate strategy to operational practice. To define and agree the trade-offs. To make well-informed decisions.

3. An operating model does not stand alone

Designing your operating model is a critical step in generating clarity, but the value is in enacting the decisions you’ve made during the design phase. This means developing a sound, sequenced transition plan - so you can evolve how things get done in a pragmatic and achievable way.

When is this relevant?
Organisations typically design (or redesign) operating and service models at critical points in their evolution:

• Start-Up Phase: set the foundation for growth and scalability by articulating how you will deploy capability and capacity-

• Strategic Shifts: account for new direction when adapting for new markets, products, or

• Post-Merger or Acquisition: demonstrate the relative importance and the relationships between the elements of merged entities

• Rapid Growth: to proactively identify how the enterprise must adjust to handle increased complexity

• Crisis or Major Disruptions: determine and express what is required to remain resilient and competitive in the context of economic downturns or technological disruptions.

• Performance Issues: elevate new capabilities or priorities to address persistent inefficiencies, customer complaints, or declining performance metrics.

• Regulatory Changes: embed new approaches to ensure compliance with updated laws or regulations.

Where are you at?