How it works

Operating models identify how all elements of an organization work in harmony to develop and implement the business strategy and achieve its goals. They provide clarity and guidance for how the organization will operate, coordinate, and manage its resources, execute against its mission and strategy, and generate customer and partner value. Operating models should be designed to clearly convey what will be prioritized in the organization and how those priorities will be reflected in its organizational structure, authority assignments, cross-functional and team coordination, and decision-making across all aspects of the organization.

looks_oneAlign on organizational objectives and guiding principles

A review of the business strategy will help identify the organizational objectives that will guide the operating model. Such a review should leverage existing resources, including the business's strategic plans, prioritized short- and long-term objectives, financial growth projections, and external benchmark data on the organization’s competitive position, to assess the organization’s business strategy and how it creates value for customers.