What is Business Excellence?
Business Excellence is primarily referred “excellence” in Strategies, Business practices and Stakeholder- related performance results that have been validated by assessments using proven business excellence models.
Business excellence models guide organizations towards sustainable world-class business results, and are based on business principles that have been proven to work.
These business principles or core concepts are similar for most business excellence models.
The first business excellence models were developed in the mid-1980s and came about as a result of the quality movement in the West, which in turn was a response to the advancements in quality and competitiveness in Japan.
The models themselves began as quality award or Total Quality Management (TQM) models, as TQM had emerged in the mid-1980s as the new philosophy and panacea for businesses.
Over time, the term “Business Excellence” started to replace the terms “Quality” and “TQM”, partly as a result of the considerable confusion as to the meaning of TQM, since all types of business improvement programs were being called TQM.
Today, many countries view business excellence models as a key mechanism for improving the performance of organizations, as well as national competitiveness.
Business Excellence Models
Several business excellence models are in use today. These models are designed to guide and help organizations to improve their performance and benchmark world-class levels. In addition, national bodies use business excellence models as a basis for award programs, which serve to identify and recognize role model organizations.
The vast majority of organizations use business excellence self-assessments to identify opportunities for improvement as well as their areas of strength to put in place actions for moving forward.
When used as a basis for an organization’s improvement culture, the business excellence model criteria’s broadly channel and encourage the use of best practices into areas where their effect will be most beneficial to performance. It is recommended that organizations undertake regular self-assessments and occasional award-style assessments.
Almost 70% of the countries currently have national business excellence awards in one or the other forms.
Primarily all award programs have the following five objectives:
1. Focused Leadership
2. Continuous Improvement (Customer Driven)
3. Innovation and Benchmarking Practices
4. Employee Satisfaction and Development
5. Results and their value
6. Social Responsibility
The best-known business excellence models are the Baldrige Criteria for Performance Excellence and the EFQM Excellence Model.
Apart from the above two, The Deming Prize was created in 1951 and played an instrumental role in Japan’s quality movement and economic success. It is viewed by many as the precursor to the current business excellence models and awards, and still operates today.
Moreover, there are many National and Organization Level Business Excellence Models which i would attempt to cover in upcoming posts along with the major challenges and their way forward in implementing Business Excellence practices..
Till then, Stay tuned.. leave your valuable comments and help me learn..
Happy Reading.. :-)
Business Excellence is primarily referred “excellence” in Strategies, Business practices and Stakeholder- related performance results that have been validated by assessments using proven business excellence models.
Business excellence models guide organizations towards sustainable world-class business results, and are based on business principles that have been proven to work.
These business principles or core concepts are similar for most business excellence models.
The first business excellence models were developed in the mid-1980s and came about as a result of the quality movement in the West, which in turn was a response to the advancements in quality and competitiveness in Japan.
The models themselves began as quality award or Total Quality Management (TQM) models, as TQM had emerged in the mid-1980s as the new philosophy and panacea for businesses.
Over time, the term “Business Excellence” started to replace the terms “Quality” and “TQM”, partly as a result of the considerable confusion as to the meaning of TQM, since all types of business improvement programs were being called TQM.
Today, many countries view business excellence models as a key mechanism for improving the performance of organizations, as well as national competitiveness.
Business Excellence Models
Several business excellence models are in use today. These models are designed to guide and help organizations to improve their performance and benchmark world-class levels. In addition, national bodies use business excellence models as a basis for award programs, which serve to identify and recognize role model organizations.
The vast majority of organizations use business excellence self-assessments to identify opportunities for improvement as well as their areas of strength to put in place actions for moving forward.
When used as a basis for an organization’s improvement culture, the business excellence model criteria’s broadly channel and encourage the use of best practices into areas where their effect will be most beneficial to performance. It is recommended that organizations undertake regular self-assessments and occasional award-style assessments.
Almost 70% of the countries currently have national business excellence awards in one or the other forms.
Primarily all award programs have the following five objectives:
1. Focused Leadership
2. Continuous Improvement (Customer Driven)
3. Innovation and Benchmarking Practices
4. Employee Satisfaction and Development
5. Results and their value
6. Social Responsibility
The best-known business excellence models are the Baldrige Criteria for Performance Excellence and the EFQM Excellence Model.
Apart from the above two, The Deming Prize was created in 1951 and played an instrumental role in Japan’s quality movement and economic success. It is viewed by many as the precursor to the current business excellence models and awards, and still operates today.
Moreover, there are many National and Organization Level Business Excellence Models which i would attempt to cover in upcoming posts along with the major challenges and their way forward in implementing Business Excellence practices..
Till then, Stay tuned.. leave your valuable comments and help me learn..
Happy Reading.. :-)