Building a Sustainable High Performance
A Sustainable High Performance Institution (SHPI™)
is one that consistently optimizes the use of its resources and thus delivers
better results with minimal investment.
Current complex business environment, the dynamic
needs of customers and employees, changing technologies and drastic changes in
policies that affect business operations are making it impossible for poorly
managed and marginally competitive organizations to succeed. Institutions need
to ensure that they attain and maintain sustainable operation. A number of
variables define a sustainable high performance institution. These include:
Environment: Institutions have to
continuously adapt to the dynamic environment, identify and harness the
opportunities it offers, proactively resist its threats and make reasonable
critical assumptions about the future. This includes being sensitive to the
evolving needs and perceptions of customers, staying ahead of the competition,
understanding the technological and social changes, and proactively responding
to the economic and political developments.
Strategy: This defines how an institution
plans to create value at the financial level for stakeholders, at the customer
level, at operational level and at the employee learning and growth level. There
are two parts to the strategy. An organizational strategy is the
personality of the organization and includes the vision, mission, values and
guiding principles. The business strategy tells the organization where it
is going and identifies the core competencies, objectives and key success
factors or key performance measures.
Structure: Structure refers to how people
are organized around the core business unit or process and relates to defining
the coordinates of tasks, roles, responsibilities, reporting lines and
relationships among people. A poorly defined structure often leads to
duplications and possible lack of ownership of functions.
Systems: These are inter-relationships
between tasks and activities, relationships between business units and the
interdependencies of functions. The coordinating systems relate to
information-sharing, goal-setting, performance feedback, etc. while the
development systems address recruitment, selection, training, recognition,
compensation, etc. Systems are standardized and cut across the entire
organization. They are often owned by management or special support function.
Core Process: The flow of work as it goes
through the organization. It is the sequence of events necessary to deliver a
service or get a product out the door.
Culture: This reflects the organizations
operational conduct. It includes the leadership style, employee attitudes and
habits and management practices. Culture mirrors the true philosophy and values
that the organization actually practices. It is a measure of how well an
organization has translated its philosophy (organizational strategy) into
Corporate Governance: This describes how an
institution’s Board of Directors (BOD) or Board of Governors (BOG) discharges
its oversight and stewardship responsibilities to protect the interest of the
stakeholders. It includes the entire process of BOD or BOG composition,
characteristics, process and evaluation. Sustainable institutions must ensure
good corporate governance.
Results: Results define the success or
health of an organization and is the starting point for understanding how well
the organization is functioning. Results indicate where the organization is
strong and what it needs to keep doing, as well as where it is weak and what it
needs to change. They help focus on where the organization wants to go and how
to get there.
TDI successfully applies its well-defined process
to help leaders clearly stratify their institutions into these variables. TDI
also helps these leaders to redesign and optimize each variable in order to
achieve an integrated sustainable high performance.