OBJECTIVE
Asset management is the coordinated activities of the organization to reach its strategic goals. Leaders must direct their vast and scarce resources with care and intent. Full alignment up, down and across the organization is not a given.
Operations Strategy Deployment is a key decision-intensive practice that aligns top-down organizational strategic objectives with stakeholder needs and operational strategies so everyone is pulling in the same direction.
VALUE
True organizational alignment is difficult to achieve. Operations is complex. There are multiple objectives to be met. Business as usual competes with new initiatives and problems that arise for attention. It is challenging to keep the entire organization focused on the strategic mission.
Everyone is busy. Everyone is doing their best given what they’ve got to work with and what their asked to do. What we decide not to do is just as important as we decide to do so reallocation of our resources is an essential part of business planning.
Without a formal operational strategy, life for leaders can be like a box of chocolates — you never know what you’re going to get. How do you know your organization is working on only the most important activities? Can they resist the inevitable and undesirable skunkworks?
The amount of value leakage in your organization from misalignment can vary, but it is there if you know where to look and worth going after with only a modest investment in your people and some simple purpose-built tools. A leading operational strategy deployment practice can mean the difference between mediocrity and top-quartile operational performance.
PRINCIPLES
Our principles for operational strategy deployment determine where we are versus where we need to be. We set in motion all the activities our people apply on our assets through our practices to earn the desired result.
Mission – Clearly define the business objectives and the mission period
Voice of the Stakeholder – Ensure two-way engagement to fully understand all stakeholder needs
Possible & Probable – Understand what your organization has to deliver and when to enable a realistic and optimized plan
Resource Reallocation — Choosing where to apply and not apply your resources allows you to get more from what you already have
Super-Productivity – Set aspirational goals to super-charge your cost per unit performance with acceptable risk
Performance Target Setting – Iterate the needs of the business with its capabilities to establish a high confidence set of strategies with objectives & key results (OKR) targets.
PRACTICE
The operational deployment practice feature these activities and deliverables:
AM Policy — A concise statement setting expectations within an operational management system
Stakeholder Engagement — Two-way communication with all stakeholders to understand and meet their needs
Demand Planning — A comparison of the strategic organizational objectives needs with operation’s capabilities to deliver while challenging constraints and available resources
Hoshin Kanri X-Matrix — A simple visual representation of strategies and measures to move the dials as much as required to meet short and long-term objectives
Strategic Asset Management Plan (SAMP) — How the organization will convert its strategic organizational objectives into specific operational goals, objectives and plans.
Value Network Map Targets — Set the practice and operational metric targets to confidently ensure the desired business outcomes are achieved
MORE INFORMATION
Operations Strategy Deployment Playbook
Operations Strategy Deployment Workshop