Operational excellence is the process where organizations focus on their customers’ needs while consistently improving the organization’s current procedures that are set in place. This can be used as a source of measurement on what can be improved to maintain a competitive advantage in the industry. This process also motivates and empowers current employees which can increase productivity.
Organizations look to achieve operational excellence to continuously improve all areas of performance, including decision-making, profitability, customer support, sales strategies and human resources capabilities. In turn, organizations that achieve this have lower operational risk, lower operational costs and increased revenues, creating more value for customers.
Leadership must set realistic goals while measuring progress and identifying areas that need adjustment. Just as customer needs change, areas that need improvement can shift over time so this process should be performed on an ongoing basis. Defining strengths and weaknesses within the organization while focusing on customer needs will not only continually improve the current strategies of the workplace, but deliver optimal customer service and achieve operational excellence.
– Lori L. Palmer, President, REB Storage Systems International