OR­GAN­I­SA­TIONAL PER­FOR­MANCE

When we talk about or­gan­i­sa­tional health, we are not dis­cussing the pros and cons of an em­ployee healthcare plan. Or­gan­i­sa­tional health is about the per­for­mance and well­be­ing of both the com­pany and its peo­ple. And this is some­thing that is vi­tal the effi

Business First - - FEATURE -

Ac­cord­ing to a re­cent ar­ti­cle in McKin­sey Quar­terly, or­gan­i­sa­tions dis­play­ing the signs of good health typ­i­cally gen­er­ate three times the to­tal re­turns to share­hold­ers of com­pa­nies op­er­at­ing in a state of dis­com­fort or, as Chase Per­for­mance de­fines it, ‘pain’. Ad­di­tion­ally com­pa­nies that man­age both their health and per­for­mance dou­ble the prob­a­bil­ity of out­per­form­ing their com­peti­tors.

What does a healthy or­gan­i­sa­tion look like?

CEOs who fo­cus equally on three pil­lars of op­ti­mal or­gan­i­sa­tional health and per­for­mance health are the ones driv­ing bal­anced, healthy and sus­tain­able busi­nesses.

These three pil­lars are Peo­ple, Process and Pur­pose. A crit­i­cal pil­lar is that of peo­ple and fo­cuses on cul­ture, em­pow­er­ment and en­gage­ment. Process re­volves around stan­dard­ised work, knowl­edge man­age­ment and struc­tured prob­lem solv­ing. Pur­pose is about defin­ing or­gan­i­sa­tion and lead­er­ship struc­ture, cus­tomer and mar­ket fo­cus, strat­egy and per­for­mance met­rics.

When si­mul­ta­ne­ously har­nessed and op­ti­mised, they de­liver: • En­hanced ef­fi­cien­cies • Qual­ity prod­ucts and ser­vices • Im­proved pro­duc­tiv­ity • Grow­ing prof­itabil­ity • In­creased busi­ness val­u­a­tion

Our goal as busi­ness lead­ers should be to ap­ply what we know about or­gan­i­sa­tional health to build re­silient busi­nesses, ca­pa­ble of with­stand­ing change and thriv­ing in fluc­tu­at­ing en­vi­ron­ments. As best-selling au­thor, An­drew Win­ston, so elo­quently put it: “We live in a fun­da­men­tally changed world. It’s time for your ap­proach to strat­egy to change, too.”

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