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OPERATING MODEL OPTIMISATION

A formal process that ensures that your operating model is fully optimised to meet the needs of the business.

This process takes a functional view of your business needs from a technology perspective. It’s an an internal and service provider lens on who is doing what. To deliver this, we map both internal and outsourced service providers to a specific function to determine the optimal way to meet the needs of your business, using a combination of outsource and insource. This removes duplication to ensure that your business does not end up with shadow IT - a common, unnecessary cost overhead for many organisations.

Introduction

As the marketplace changes, successful organisations will change over time, so their operating models should change too. An operating model is a systematic organisation of processes that carries out the functions of the firm to best exploit its position in the market, improving its competitive advantages and exploiting any advanced technology capabilities.

Optimising the operating model is a formal process that ensures that an organisation’s operating model supports the changing needs of the business, and should be developed by creating identifiable benchmarks for any successful implementation.

An operating model depends on the size, maturity and complexity of the organisation, and the outcomes they want to achieve from an operating model.

The business strategy and priorities change frequently based on external factors whereas an operating model provides the foundation and flexibility required to execute the firm’s initiatives. A strategy is an integral part of helping achieve the operating model and the operating model influences the strategies.

Engagement with Technology teams

The operating model is not a static entity and should evolve according to changing business needs, it needs to support all the different business groups, as they  may consume technology in different ways, and it should be adaptable enough to allow different implementations based on governance, sourcing, process, and structure.

Developing an Operating Model

Any modification of an operating model follows three simple steps :

  • Step 1: Perform an assessment of the current state - documents the current procedures and develops a functional map for each core process while reviewing the supporting technology infrastructure.

  • Step 2: Redesign future processes and operating model -  creates the revised model, highlighting current gaps and future needs and linked to “best of breed “industry leading practices.

  • Phase 3: Develop an implementation roadmap - developed using the strategic and tactical issues already identified, highlighting a phased migration strategy, where the project team and key stakeholders are aligned.

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