Blogs

Operational processes serve as the operational strategy’s execution arm, adhering to established operational policies, rules, and standards. Following the completion of the operational strategy formulation and operational policies definition process, the next pivotal step is defining operational processes. This multifaceted process encompasses several key steps:

Step 1: Review Operational Strategy and Policies: Initiate by conducting a comprehensive review of the operational strategy and policies to ensure seamless alignment with organizational objectives and strategic priorities. This foundational step lays the groundwork for defining processes that bolster the organization’s overarching goals.

Step 2: Define the Core (Primary) Processes: identify the cross functional core processes that delivers direct value to customers, generate revenue, and achieve business objectives. These core processes form the backbone of the organization’s operations and serve as focal points for process improvement efforts.

Step 3: Define Human Resource (HR) Processes: align HR processes with established human resources strategy and policies, covering areas such as recruitment, onboarding, performance management, training, and employee relations. These processes are crucial for effectively managing the organization’s workforce and fostering a positive work environment.

Step 4: Define Technology Processes: ensure alignment of IT processes with established technology strategy and policies, encompassing areas such as IT service management processes – software development, system maintenance, cybersecurity, incident, release, security, configuration and data management.

Step 5: Define Management Processes: define management processes in alignment with established management strategy and policies, covering aspects such as decision-making processes, leadership communication, organizational structure, reporting structure, accounting, finance, change management, compliance, and performance evaluation. These processes provide the framework for effective leadership and governance within the organization.

Step 6: Define Infrastructure Processes: establish infrastructure processes in alignment with established infrastructure strategy and policies, encompassing areas such as facilities management, equipment maintenance, supply chain management, and logistical operations. These processes ensure the efficient utilization of physical resources and support the organization’s operational needs.

Step 7: Define Information Processes: define information processes in alignment with established information strategy and policies, covering areas such as data governance, information sharing, data security, and knowledge management. These processes govern the handling and utilization of information assets to support decision-making and drive organizational performance.

Step 8: Store Process Documents in Accessible Repository: Compile and store process documents in a centralized and easily accessible repository for reference and compliance purposes. This facilitates efficient retrieval, distribution, and enforcement of processes throughout the organization, ensuring consistency and alignment with organizational goals.

By systematically defining processes across key functional areas such as core business processes, support processes, HR processes, IT processes, management processes, infrastructure processes, and information processes, organizations can streamline operations, enhance efficiency, and drive sustainable growth. Storing process documents in an accessible repository promotes transparency, accountability, and adherence to established standards, enabling organizations to navigate complexities and achieve operational excellence.

Operational policies are the backbone of an organization’s structure, establishing the standards, rules and guidelines necessary to effectively execute the operational strategy and to govern the operational processes. Following the completion of the operational strategy formulation process, the next crucial step is the establishment of operational policies. This process entails several key steps:

Step 1: Review Operational Strategy: Begin by thoroughly reviewing the operational strategy to ensure alignment with organizational objectives and strategic priorities. This step serves as the foundation for developing policies that support the overarching goals of the organization.

Step 2: Define Human Resource (HR) Policies: Based on the human resources strategy identified during the strategy formulation process, define policies that govern various aspects of HR management, including recruitment, training, performance evaluation, vacation, business travels, leaves, and employee relations.

Step 3: Define Technology (IT) Policies: Drawing from the technology strategy outlined during strategy formulation, articulate policies related to IT infrastructure, data management, cybersecurity, software usage, technology access and governance.

Step 4: Define Management Policies: Develop policies aligned with the management strategy established during strategy formulation, encompassing leadership principles, decision-making frameworks, organizational structure, and accountability mechanisms.

Step 5: Define Infrastructure Policies: Building upon the infrastructure strategy defined during strategy formulation, establish policies governing the management and maintenance of physical assets, facilities, equipment, and logistical processes.

Step 6: Define Information Policies: Based on the information strategy identified during strategy formulation, define policies related to data governance, information security, privacy, confidentiality, and knowledge management.

Step 7: Store Policy Documents in Accessible Repository: Ensure that all policy documents are compiled and stored in a centralized and easily accessible repository. This facilitates efficient retrieval, distribution, and enforcement of policies throughout the organization.

By systematically defining policies across key functional areas such as human resources, technology, management, infrastructure, and information, organizations can ensure consistency, compliance, and alignment with strategic objectives. Storing policy documents in an accessible repository enhances transparency, accountability, and communication, enabling organizations to navigate complexities and achieve operational excellence.

Operational leaders utilize three major tools to achieve business objectives – (1) Operational Strategy (2) Operational Policies, and (3) Operational Processes. The operational leadership team holds the crucial responsibility of devising an operational strategy that effectively translates the broader business strategy into actionable plans. Throughout the operational strategy formulation process, it is imperative for the leadership to carefully deliberate and determine the appropriate strategies for Human Resources, Technology, Management, Infrastructure, and Information, all of which are essential components for executing the operational strategy effectively. Here’s an expanded outline of the steps involved in this process:

Step 1: Review organization & business strategy: Begin by conducting a comprehensive review of the organization’s overarching strategy, as well as the specific strategies of individual business units. This step ensures alignment between operational goals and broader organizational objectives, providing a foundation for subsequent decision-making.

Step 2: Formulate operational strategy: Clearly outline the operational strategy, ensuring that it is directly aligned with the defined business objectives. Identify key priorities and initiatives that will contribute to the achievement of these objectives, fostering clarity and focus across the organization.

Step 3: Determine the human resource (HR) strategy: Assess the organization’s HR needs and develop a strategy for recruiting, developing, and retaining talent that aligns with the operational goals. This includes considerations such as workforce planning, skills development, succession planning, and employee engagement initiatives, ensuring that the organization has the right people in the right roles to drive success.

Step 4: Determine the Technology (IT) Strategy: Evaluate the technology requirements necessary to support the operational strategy. This involves identifying and implementing technology solutions that enhance efficiency, streamline processes, and facilitate innovation within the organization. Consider factors such as technology infrastructure, software applications, data management systems, and emerging technologies that can empower the organization to achieve its objectives.

Step 5: Determine the Management Strategy: Define the leadership and management structures necessary to oversee and drive the execution of the operational strategy. This includes establishing clear roles and responsibilities, reporting structure, fostering a culture of accountability, promoting effective communication channels, and developing leadership capabilities within the organization. Strong management practices are essential for guiding teams, resolving conflicts, and maintaining momentum throughout the implementation process.

Step 6: Determine the Infrastructure Strategy: Evaluate the infrastructure needs required to support the operational strategy. This may encompass physical assets such as facilities, equipment, and logistical support, as well as virtual infrastructure such as cloud computing platforms, network systems, and cybersecurity measures. Assess the current state of infrastructure, identify gaps or deficiencies, and develop plans to address them in alignment with the operational goals.

Step 7: Determine Information Strategy: Develop a strategy for managing and leveraging information to support decision-making and drive performance improvements. This includes establishing data governance frameworks, implementing reporting and analytics tools, and ensuring data security and privacy. Effective information management is essential for providing insights, measuring progress, and making informed decisions throughout the execution of the operational strategy.

Step 8: Document a Comprehensive Operational Strategy: Consolidate the findings and decisions from the preceding steps into a comprehensive operational strategy document. This document serves as a roadmap for guiding implementation efforts, outlining the goals, objectives, initiatives, and action plans necessary to achieve success. Communicate the operational strategy to stakeholders across the organization, ensuring clarity, alignment, and commitment to execution.

In conclusion, the formulation of an effective operational strategy is a multifaceted process that requires careful consideration of organizational objectives, resources, capabilities, and external factors. By following the outlined steps and integrating human resources, technology, management, infrastructure, and information strategies, operational leaders can create a robust framework for executing the business strategy and driving sustainable growth and success.

Need help to craft and align your operational strategy? Contact Us

Operational leadership stands as the linchpin between lofty organizational strategies and their practical execution. Operational leadership plays a pivotal role in translating organizational strategy into actionable plans that drive business success. In this blog, we unveil five indispensable steps utilized by adept operational leaders to seamlessly connect strategic visions with tangible results to bridge strategy-implementation gap.

Step 1: Formulate Operational Strategy: This foundational step involves developing a clear plan to achieve business objectives in alignment with the overarching business strategy. Operational leaders work closely with senior management to define strategic priorities and outline the operational tactics required to realize them.

Step 2: Establish Operational Policies: Once the strategic direction is established, operational leaders set the standards and guidelines that will govern day-to-day operations. These policies serve as the framework for decision-making and ensure consistency and compliance across the organization.

Step 3: Define Operational Processes: With strategic objectives and policies in place, operational leaders design and implement the processes necessary to execute the strategy effectively. This involves identifying the specific tasks, workflows, and procedures required to deliver products or services in line with organizational goals.

Step 4: Adequately Align Operational Strategy, Policies, and Processes: Successful execution hinges on the seamless alignment of operational strategy, policies, and processes. Operational leaders continually assess and refine these elements to ensure they remain in sync with evolving business priorities and market dynamics.

Step 5: Build and Lead an Effective Operational Team: Finally, effective operational leadership requires assembling and empowering a capable team to execute the operational strategy. Operational leaders cultivate a culture of collaboration, accountability, and continuous improvement, providing guidance and support to ensure team members are equipped to succeed.

By following these five steps, operational leaders can bridge the gap between strategy and implementation, driving organizational performance and achieving sustainable business results.

Need help to boost your operational leadership? Contact Us.