customer intimacy, meet operational excellence
Post on 01-Nov-2014
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There are three common strategic themes or ‘customer value propositions’.
Best Product
Consistent Best Total Solution
Operational Excellence
Customer Intimacy
Product Leadership
Travel agent Financial consultant
Source: “The Discipline of Market Leaders”, Michael Treacy and Fred Wiersema
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L.L.Bean Is Increasing Operational Excellence to Address a Performance Gap
Product Leadership
Operational Excellence
Customer Intimacy
Competitively Disadvantaged
World-Class
Competitive Parity
Industry Leadership
X = Where we are performing today
G = Goal
X X
X G
G G
Performance Gap
L.L.Bean’s Journey to Operational Transformation
From • Home-grown
systems • Complexity, heroics • High cost
To • Standard systems for
back-office functions • Standard processes • Operational excellence
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4
ThedaCare Is Using Operational Excellence To Differentiate Itself
Product Leadership
Operational Excellence
Customer Intimacy
Competitively Disadvantaged
World-Class
Competitive Parity
Industry Leadership
X = Where we are performing today
G = Goal
X X
X G
G G
Performance Advantage Opportunity
ThedaCare’s Journey to Operational Transformation
From • Ad hoc improvement
efforts • Inconsistent clinical
performance • Average cost
To • ThedaCare Improvement
System • Consistent clinical
performance • Lowest costs in the state
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Can You Have Both Customer Intimacy and Operational Excellence?
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Standards for consistency, reliability, and low cost
Autonomy to make customer-specific decisions
Continue the Dialogue
q Hammer Forum: Connecting Across Boundaries Best Practices Conference October 17-18, 2013 The Westin Copley Place Boston, MA
q Process Redesign Hammer Process Mastery November 19-22, 2013 The Colonnade Hotel Boston, MA
q The Power of Process Hammer Process Mastery November 25-26, 2013 The Colonnade Hotel Boston, MA
q Leading Business Transformation Hammer Process Mastery December 3-5, 2013 The Colonnade Hotel Boston, MA
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