The missing component of Operational Excellence: Consistently delivering results via Operating Disciplines
While Operational Excellence (OE) is an ongoing journey towards sustained Transformations, Operating Disciplines emerge as a critical factor in successfully navigating this journey. By adhering to well-defined processes and consistently executing them correctly, Operating Disciplines become the driving force behind cultural change, improved performance, and a significant step change in behaviour improvement. In this article, we will explore the importance of Operating Discipline and its link to successful Operations Transformations in the heavy industry sector.
Defining Operating Disciplines
Operating Discipline is not to be confused with Operational Excellence. Rather, it is an integral component of the journey to OE. It encompasses the deeply rooted dedication and commitment of every member of the organisation to carry out tasks the right way every time. It involves complying with well-thought-out and well-defined processes, executing them correctly, and fostering a culture of reliability and efficiency.
The Role of Leadership
While Operating Discipline is crucial, it is leadership that drives organisations from being "error-free" to becoming consistently high-performing entities on the path to Operational Excellence. Effective leadership establishes the appropriate organisational structure, focused processes, and shared values necessary for OE. By providing direction, tools, training, and clear communication, leaders create an environment where Operating Discipline thrives.
Leadership fosters collaboration and empowers employees to take ownership and contribute to continuous improvement. By setting the tone at the top and demonstrating a commitment to Operating Discipline, leaders inspire and engage employees at all levels, driving the organisation towards achieving Operational Excellence.
Cultivating a Culture of Interdependency
Achieving Operational Excellence requires a culture of interdependency, where employees collaborate, trust one another, and continuously strive for improvement. By promoting transparency, encouraging open dialogue, and fostering a fair and just environment, organisations create the conditions for OE to flourish. Empowered employees assume greater responsibilities, leading to a more reliable and efficient organisation.
In summary, Operating Discipline is the cornerstone of successful Operations Transformations in an industry. By prioritising practices such as knowledge sharing, employee engagement, talent development, personal ownership, consequence management, meaningful values, awareness, leadership focus, excellent housekeeping, and consistent procedures, organisations can drive a culture of Operating Discipline. This culture, when led by effective leadership, paves the way for Operational Excellence, resulting in sustainable growth, improved performance, and increased shareholder value. Embracing Operating Discipline is not only a means to mitigate risks but a strategic enabler for industry executives seeking to transform their operations and achieve bottom-line sustained results.