Business Excellence Assessments – Learning from Award-winning Organisations

A summary of research findings

By Atif Baig

This article summarises the key findings of recently published research on best practices identified by business excellence (BE) award-winning organisations on their assessment approaches. These tailored BE assessment approaches include mock assessments to better prepare for award assessments, customer-led assessments, the strategic use of external BE consultants and experts, the use of assessments to grow internal capabilities and others. By implementing these proven assessment practices, BE organisations could drive continuous improvement, enhance customer satisfaction, and maintain alignment with their strategic goals.

The full research article is written by Atif Baig, Dr Robin Mann, Dr James Lockhart, and Dr Wayne Macpherson from Massey University, New Zealand. It is available for download and provides comprehensive insights into these best practices and how they can be applied to achieve sustained excellence. A link to the full article is provided at the end of this summary article.

Background

In today’s highly dynamic competitive business landscape, organisations strive to manage sustained performance and stay ahead of the competition. The BE philosophy provides a comprehensive approach to continuous improvement and organisational excellence in response to these challenges. It enables businesses to systematically assess and enhance their processes, leadership, strategy, customer focus, and overall performance.

BE is often institutionalised through BE models (BEMs) such as the Australian Business Excellence Framework (ABEF), Baldrige Excellence Framework, and the European Foundation for Quality Management (EFQM) Model, among others. A critical component of these BE models is the rigorous assessment process, which serves as a foundation for evaluating and advancing organisational maturity and excellence. Through BEM-driven assessments, organisations systematically identify Opportunities for Improvement (OFI) and strengths, prioritise action plans, and progress toward improved organisational performance. Despite the criticality of the BE assessment process, the existing research landscape lacks recent research in guiding organisations on how to approach assessments and embed a sustained culture of excellence.

A recently published article addresses this research gap. It reveals assessment best practices from three award-winning organisations, offering invaluable insights into the assessment approaches that can help other organisations reflect on and review their existing BE assessment practices. The following paragraphs present a summary of key practices.

Use of mock assessments

BE awards are crucial for recognising organisational excellence, benchmarking performance, and driving continuous improvement. BE award-winning organisations often undergo extensive preparation for prestigious BE awards. One key best practice identified in this research is the implementation of mock assessments before the actual award evaluation. These mock assessments, typically conducted six months before the award cycles, help organisations identify key gaps in their existing processes. External BE assessors perform these mock award-style assessments, providing scores, detailed feedback reports, and recommendations for improvement. By utilising recommendations from mock assessment reports, the organisation refines their practices and enhance their readiness for the actual award assessments.

Customers’ led BE assessments

Engaging the main customer in the assessment process has emerged as a best practice practised by a leading healthcare provider in Austria. This collaborative method has led to notable outcomes, such as enhanced customer satisfaction and a strengthened reputation as a preferred and influential healthcare provider. The effectiveness of this strategy is validated through EFQM reports, which highlight its positive impact on the organisation’s performance.

A thorough action plan review process

A thorough action plan review process is essential for ensuring the effective implementation of OFIs that emerge from the assessment process. This research highlights the importance of a robust action plan review process to achieve the strategic outcomes expected from the assessment process. A common approach, identified from three exemplary organisations, is the “Action Plan Review.” Organisations use an annual action plan review process to assess progress and make necessary adjustments, including resource reallocation and involving the management team for support when required. Furthermore, these organisations monitor progress through key metrics aligned with strategic goals, leading to management actions for improvement delivery.

Use of self-assessments to grow internal capabilities

The exemplary cases utilise their self-assessment process to develop internal excellence capabilities. One exemplar demonstrated a unique approach to leveraging self-assessments to enhance internal capabilities and improve their knowledge-sharing process. Drawing from its successful use of the self-assessment process for training during the introduction of the EFQM model in 2003, the same organisation replicated a similar approach in 2020 with the new EFQM Model launch. On both occasions, they formed cross-functional teams to conduct BE self-assessments, a strategy that deepened BE understanding among the assessment team members and other stakeholders.

The strategic use of external BE consultants and experts

External BE consultants and assessors appear to play a pivotal role in the quality of assessments. Their external perspective offers an objective view of organisational performance, free from the internal biases that may hinder accurate internal assessment. It was found that organisations utilise external consultants to facilitate internal assessments, leveraging their expertise to gain valuable insight into internal BE performance improvement. External consultants were also found effective for preparing organisations for the award assessments. These consultants bring a wealth of experience and knowledge, having worked with a variety of organisations, and are adept at identifying best practices and areas for improvement. BE organisations could leverage BE consultants and experts to help improve their BE performance.

Full article can be accessed here.

Also read:  The development of an organizational excellence architecture model to support the implementation of business excellence.

Please feel free to reach Atif Baig, PhD Researcher, COER at  a.baig@massey.ac.nz  or Dr Robin Mann, Director, COER at r.s.mann@coer.org.nz for further information.

Atif is a seasoned professional with over 15 years of banking experience. He worked for leading financial institutions and successfully managed many performance improvement initiatives in different geographies. Atif’s exposure to different territories helped him comprehend organisational performance complexities from a cultural and leadership context. Building on his distinct professional background, Atif is currently concluding his PhD in business excellence. Follow Atif on LinkedIn at https://www.linkedin.com/in/atif-baig/

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