The next-gen target operating model is the future of success for any organization, and it's important to make sure you get it right!

It's easy to get overwhelmed by the questions that must be asked when thinking about the design of your Target Operating Model.

What will it look like?

How can I transition from my current model to something new and more effective?

These questions and more can be answered by evaluating key considerations from the onset.

Your target operating model should have components that are digital, aligned to your existing work, incredibly robust for future scenarios, and well-thought-out for success.

Aim for a clearly articulated blueprint of both the target business model and the target operating model to ensure the highest benchmarks are met.

With the correct focus and dedication, the transition to a more perfect target operating model is possible!

Take control of your business: Maximize profitability and efficiency with Target Operating Model KPIs:

1) Quality of product/services delivered: The quality of the output delivered in a Target Operating Model must be monitored and evaluated on a regular basis against pre-defined standards and expectations

2) Cost efficiency: A successful TOM will maximize resources for cost efficiency and strive for continuous improvement.

3) Lead times: This involves measuring how long it takes for inputs to be turned into outputs, thereby providing an indication of process efficiency.

4) Compliance: This KPI gauges the ability of organizations to adhere to applicable laws, contracts, guidelines, regulations, and internal policies.

5) Process automation: The degree of process automation should be assessed and measured in a TOM initiative to ensure maximum performance efficiency and cost-effectiveness.

6) System Integration: An important part of any TOM seeks to optimise system integration, to ensure that disparate departments / function can interact with each other seamlessly and efficiently.

7) Employee satisfaction: Constructive feedback from staff is essential in determining the success of any TOM, so this KPI is particularly important.

8) Customer satisfaction: Moreover, customer satisfaction scores are critical in monitoring the effectiveness of TOM initiatives as customer service is an important element of an operating model.

9) Business agility: This measures the speed and ease with which an organisation can adapt to changing market conditions and customer requirements.

10) Operational performance: It is important to measure the performance of core business processes to assess the overall TOM health.
 

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