BREAKING DOWN SILOS FOR OPERATIONAL

EXCELLENCE (EXECUTIVE SUMMARY)

In many organizations, employees are driven to meet individual, team, or functional objectives
without understanding how this supports organizational objectives and what similar or related
initiatives are running in parallel around the company. This approach ultimately results in
overlooked efficiencies, siloed efforts, and a lack of cross-functional communication. There are
many sources of operational silos. However, the most common sources include functional-
focused thinking, unaligned or conflicting measures, and a lack of cross-functional
communications.

In December 2016, APQC conducted its annual Process and Performance Management Priorities
Survey. In addition to questions about topical areas and their related challenges, the survey
included a series of questions on the importance and practices of creating an integrated effort
to pursue operational or business excellence. To further explore these concepts, APQC
conducted a series of case studies to understand how organizations integrate key functions to
reduce operational silos and develop operational excellence within their organizations. These
case studies focused on:

 the impetus to integrate functions,

 which functions are integrated,
 the methods used to integrate functions, and
 the benefits of integration within the organization.

KEY FINDINGS
In conducting this research, APQC identified seven key findings associated with how
organizations integrate key functions in their efforts to reduce operational silos and maximize
improvement efforts. These findings, categorized by theme, follow. The remainder of this report
provides additional details on each finding, along with supporting examples from the featured
organizations.

Which Functions to Include

1. Link improvement efforts to strategic goals by involving the strategy department.
2. Establish a standardized process foundation for improving performance.
3. Incorporate customer journey maps into end-to-end processes to ensure customer value.
4. Include project management capabilities for effective execution.
5. Don’t overlook the need for knowledge management to improve communication and
collaboration.

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 Processes for a Holistic Improvement Portfolio
6. Include performance and process improvements in the strategic project portfolio.
7. Build in communication and collaboration methods.

For detailed case examples and in-depth analysis of the key findings from this research, please
see the full report.

ABOUT APQC
APQC helps organizations work smarter, faster, and with greater confidence. It is the world’s
foremost authority in benchmarking, best practices, process and performance improvement,
and knowledge management. APQC’s unique structure as a member-based nonprofit makes it a
differentiator in the marketplace. APQC partners with more than 500 member organizations
worldwide in all industries. With more than 40 years of experience, APQC remains the world’s
leader in transforming organizations. Visit us at www.apqc.org, and learn how you can make
best practices your practices.

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K08208 ©2017 APQC. ALL RIGHTS RESERVED