Integrated Enterprise Excellence

Executive leadership needs to assess its business system, especially in times of economic challenge, to determine if its current management system can handle the increasing complexity of business. What organizations need is an enhanced methodology that provides the framework for leadership to systematically understand and manage its organization through an ever-changing environment. This paper describes a 9-step Integrated Enterprise Excellence business management governance system. This system is more than a problem solving project execution system such as Lean Six Sigma or Lean kaizen events. Provided in this 9-step methodology is a system that goes beyond the balanced scorecard and truly integrates (predictive) scorecards, (analytically/innovatively determined) strategic planning, and business process improvement efforts so that the business as a whole benefits and moves toward achieving the three Rs of business; i.e., everyone doing the Right things and doing them Right at the Right time.

Key Performance Indicators (KPI’s) might be created for tracking how well an organization is moving toward achievement goals aligned to executive-retreated-worded strategies. The balanced scorecard and hoshin kanri are techniques that are to then provide a vehicle for aligning organizational-chart work efforts to these executive retreat strategies and goals. Traditional management systems might also use red-yellow-green scorecards or dashboards to assess how well every business area is doing relative to achieving their individual business goal. However, what is the implication of this business management approach? Does it lead everyone in the organization to do what is best for the business as a whole? What is really important for success is that the business moves toward achievement of the 3 Rs of business; i.e., everyone doing the Right things, and doing them Right, at the Right time. This whitepaper describes a Corporate Performance Management (CPM) system that helps organizations move toward achievement of the 3 Rs of business through a no-nonsense framework for: establishing a predictive value chain scorecard system; incorporating effective analytics using such tools as Theory of Constraints (TOC) to determine where improvement efforts should focus; conducting analytically/innovatively strategic planning efforts to identify targeted areas for improvement that help the entire business; utilizing a business improvement system so that the enterprise as a whole benefits. This Integrated Enterprise Excellence (IEE) business management system goes beyond the balanced scorecard and a Lean Six Sigma project-based improvement system.