What exactly do we mean by Business Excellence?
In the following weeks, we're going to talk about various angles of Business Excellence, both about the general idea behind it and many of its aspects covered in depth.
Business Excellence has become an integral part of our work-related plans and habits. We often hear the term, but what does it actually refer to?
Each company is based on a vision, and each vision comes with a set of fundamental values. Simply put, Business Excellence symbolises exceptional managerial work while going with the flow.
However, that is nowhere close to the whole picture. In time, several widely accepted and consistent business excellence practices have led to the creation of business excellence models.
These models keep evolving through extensive studies of practices and values of the world's top performing organisations. They are used in at least 83 countries as a crucial mechanism in helping companies improve their business.
BEMs (Business Excellence Models) are used to evaluate strengths and areas that need to improve inside a company, but they are also there to provide guidelines for upcoming actions.
BEMs Basic Functions
They serve as a framework through which companies perform day-to-day activities. Overall, they apply to all areas and dimensions of an organisation, particularly to factors that drive performance. In a way, a BEM serves as the company's own internal business consultant. Simultaneously, it:
- makes sure that the decisions incorporate the needs of every stakeholder
- keeps them in line with the organisation's objectives
- follows trends of contemporary international best practices.
- provides information to senior management based on the assessment of an organisation's strengths and areas that need improvement.
How to tell if you are BE?
There are many metrics to help you decide whether your business follows a BEM. You can apply for our International Business Excellence Awards and our qualified judges will assess it for you.
Business Excellence is often mixed up with Process Excellence and Operational Excellence. Despite them being connected to each other, let's try to find what sets them apart.
Process Excellence deals with process effectiveness and efficiency. It demands processes to be outlined and improved for consistent delivery with minimum variation and minimum waste.
Operational Excellence is broader than this. It is based on the concept of end-to-end process flows in core and support processes, including organisation’s culture (and with it HR) in its domain. It requires the comprehension of the staff in terms of how the organisation works as a value creation system. Also, it has to have structures and empowerment that let the people fix problems when needed.
Business Excellence covers the whole organization, including strategy, communication with all stakeholders, and – crucially – the results achieved.
An organisation may have first-class processes and products, but if its strategy is wrong or if its results are poor, then it needs to work on its Business Excellence.
If you want to evaluate your Business Excellence, feel free to join our International Business Excellence Awards!