Scenario 1: Acquisition of Software

Business Excellence Drives Business Success

Driven by the rise of complexity and uncertainty in today’s world, business excellence is key to enabling change that drives project and business success.

ADVOCATING BUSINESS EXCELLENCE® FOR ORGANIZATIONS

DID YOU KNOW?
Companies that invest in business excellence processes and capabilities see a return on investment (ROI) of 3.5 times their initial investment, on average. LEARN MORE

There's Value in Building Business Excellence Processes & Capability

Building business excellence capability is essential for organizations that want to remain competitive and achieve sustainable success in today's rapidly changing business environment.

Business excellence helps organizations to focus on delivering high-quality products and services that meet or exceed customer expectations, while also continuously improving operations, reducing waste, and optimizing efficiency.

Excellence Points

The African Excellence Model acknowledges that excellence can be achieved through excellence in operations and results. Thus, the model is based on the philosophy of causality, with enabling criteria and results criteria each worth 500 excellence points, resulting in a cumulative total of 1000 excellence points.

Commitment to Quality

building business excellence capability can lead to better financial performance, improved brand reputation, and increased stakeholder satisfaction. It demonstrates an organization's commitment to quality, customer satisfaction, and continuous improvement, which can differentiate it from its competitors and attract new customers and investors.

DID YOU KNOW?
Organizations with strong business excellence capabilities outperform their peers in terms of revenue growth and shareholder value creation. Companies with high business excellence scores had a revenue growth rate of 6.5%, compared to 4.4% for those with low scores. LEARN MORE

African Excellence Model

The African Excellence Model (AEM) is a performance excellence framework developed by the African Excellence Forum (AEF) to provide a structured approach to achieving excellence in African organizations.

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The Model is a comprehensive enterprise-wide management system that integrates logical and operational excellence criteria with results criteria. This model has been widely recognized as one of the best frameworks that promotes humanity, trinity, and a high level of excellence by the Global Excellence Council. Organizations in Africa that adopt this framework are committed to operating at a high culture of excellence to achieve sustainable superior results and can become members of the African Excellence Forum. As a member of the African Excellence Forum, we can assist you in implementing this management system, providing toolsets, and digital systems to support your organization's journey towards business excellence.

Support and resources to help build Business Excellence capability

We are here to help you get the buy-in. Contact us.

Mohammad Sheriff

Corporate Account Executive, BEX

Email: eep@bexcertification.org

1021 Capitol Hill

Monrovia, Liberia

Three resources to help you advocate. Get started.

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DID YOU KNOW?
Companies that prioritize business excellence processes and capabilities report higher levels of customer satisfaction, employee engagement, and financial performance. LEARN MORE

Direction

The Direction category of the African Excellence Model provides a framework for the development and execution of a clear direction and purpose for the organization. This criterion covers the organization's vision, mission, and values, which set the foundation for the direction and guide the organization towards achieving its goals. It also encompasses strategic planning.

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Advancing Business Capability Drives Transformational Success

GoldSkin, a mid-sized lotion manufacturing firm, had been struggling with inconsistent performance and a lack of clear direction for several years. The leadership team recognized that in order to achieve sustainable success, they needed to clarify the company's vision, mission, and values, and develop a strategic plan to guide decision-making and performance.

READ BUSINESS EXCELLENCE STORY

Governance

The Governance criterion of the African Excellence Model focuses on the leadership and governance structures that the organization has in place, as well as its risk management practices. Effective governance is essential for ensuring that an organization is well-managed and operates in accordance with legal and regulatory requirements.

The Role Business Excellence Professionals Play in the Success of Organizations

MTN Group, a multinational telecommunications company based in South Africa has a clear governance structure that includes a board of directors and various committees responsible for oversight and risk management. Through effective leadership, clear governance structures, and robust risk management practices, MTN has been able to achieve sustainable growth and deliver value to its stakeholders. The company has also been recognized for its commitment to governance, receiving awards and recognition for its ethical business practices.

READ BUSINESS EXCELLENCE STORY

DID YOU KNOW?
Implementing a business excellence framework such as ISO 9001 can result in cost savings, improved efficiency, and increased customer satisfaction. The ISO estimates that for every $1 spent on implementing ISO 9001, organizations can expect to see a return of $6 in improved efficiency and reduced waste (The International Organization for Standardization. LEARN MORE

Realization

Realization is an important criterion of the African Excellence Model as it covers the operational and process management practices of an organization. It encompasses the effective implementation of an organization's strategy and objectives through efficient processes and operations. This criterion includes areas such as innovation, quality management, process improvement, and risk management while demonstrating a culture of continuous improvement that encourages innovation and creativity among employees. This can be achieved through the use of tools and techniques such as Lean Six Sigma, process mapping, and root cause analysis.

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Maturing business excellence into a vibrant capability with consistent execution

Dunkan Filling Station, a petroleum retail company in Liberia applied the Realisation criterion of the African Excellence Model by implementing a Total Quality Management (TQM) system. The company defined its processes and set quality standards for each step of the production process. They also trained employees on the TQM principles and encouraged them to identify areas for improvement. Through continuous monitoring and improvement, the company was able to reduce waste, improve product quality, and increase customer satisfaction.

READ BUSINESS EXCELLENCE STORY

Human Capital

The Human Capital category of the African Excellence Model recognizes that an organization's success is largely dependent on its people. It covers areas such as recruitment, training and development, retention, and diversity and inclusivity practices. The core concepts of Valuing people and Organizational learning are particularly relevant in this category, as they emphasize the importance of investing in people's development and building a culture of learning.

Maturing business analysis into a vibrant capability with consistent execution

A nonprofit organization in Liberia, TeensMom values diversity and inclusivity in its hiring practices benefit from a wider range of perspectives and ideas, leading to more innovative solutions to business challenges. By investing in its employees' development, a company can build a strong pipeline of talent for leadership positions, ensuring long-term success and sustainability.

The Human Capital category of the African Excellence Model highlights the importance of investing in people's development and creating a culture of learning and inclusivity, which can lead to improved organizational performance and long-term success.

READ BUSINESS EXCELLENCE STORY

Intelligence

Intelligence is a key component of the African Excellence Model, which focuses on ensuring that organizations have the right data, tools, and processes in place to support effective decision-making. This criterion covers a range of areas, including measurement, analysis, and knowledge management. Measurement involves identifying the key performance indicators (KPIs) that are most important to the organization's success and establishing processes for tracking and reporting on these metrics. This can involve everything from customer satisfaction surveys to financial reporting to employee performance evaluations.

Maturing business evaluation into a vibrant capability with consistent execution

AfriHub is a South African software company identified the need to improve its measurement, analysis, and knowledge management practices to enhance its decision-making processes and gain a competitive advantage in the market.

To achieve this, the company implemented various initiatives, such as investing in business intelligence software, conducting customer satisfaction surveys, and developing a knowledge-sharing platform. The software provided real-time data on sales, inventory, and customer behavior, enabling the company to make informed decisions quickly. The surveys helped the company to better understand customer preferences and expectations, and the knowledge-sharing platform allowed employees to share best practices and insights across departments.

READ BUSINESS EXCELLENCE STORY

Outcomes

The Outcomes criterion of the African Excellence Model focuses on measuring an organization's results and achievements in different areas, such as financial, customer satisfaction, and social impact. This includes assessing the effectiveness of the organization's processes and initiatives in achieving its desired outcomes, and identifying areas where improvement is needed. The Outcomes criterion can also be used to assess the organization's social impact. This may include measuring the company's contribution to the community, such as through philanthropic activities or environmental initiatives.

Maturing business excellence into a vibrant capability with consistent execution

For example, a company that implements the African Excellence Model may use the Outcomes criterion to evaluate its financial performance, customer satisfaction, and impact on the environment and society. By tracking and analyzing financial data, the organization can identify areas where it may need to adjust its strategies or operations to improve profitability. Similarly, by surveying customers and analyzing their feedback, the company can gain insights into their needs and preferences, and make improvements to its products or services.

READ BUSINESS EXCELLENCE STORY

Roadmap for Successful Business Transformation

Excellence Model Component: Management By Fact

Management by fact is one of the 12 core components of the Business Excellence Model. It is an approach to decision-making that emphasizes the use of data and facts rather than intuition, personal experience, or opinion. This approach involves collecting and analyzing data to gain insights into organizational performance, identify areas for improvement, and inform decision-making.

To implement management by fact, organizations need to establish a culture of data-driven decision-making. This involves setting clear goals and objectives, identifying key performance indicators (KPIs) to measure progress towards those goals, and collecting data on those KPIs. Data should be collected in a consistent and standardized manner to ensure accuracy and reliability.

Once data has been collected, it should be analyzed to identify trends, patterns, and areas for improvement. This analysis should be used to inform decision-making and drive continuous improvement efforts. Key stakeholders should be involved in the analysis process to ensure buy-in and alignment.

Strategy to Execution Framework

Curated as a supplemental to BEX® Body of Knowledge Guide, the Strategy to Execution Framework will help those engaged with strategic business excellence processes to work more effectively with the business to create the strategies and elements that guide the business in moving from strategy to execution.

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Below are four specific scenarios of the business excellence value proposition and operating efficiencies with typical financial savings experienced regularly by organizations who have built business excellence practices and capability.

Many organizations invest in customer relationship management (CRM) software to improve their sales and marketing processes, track customer interactions, and gather valuable data for analysis. However, selecting the wrong CRM package can result in lost productivity, missed sales opportunities, and increased expenses. https://static.wixstatic.com/media/fe4d94_43eee3f6f82b4d738d30c4b78d353e31~mv2.webp An experienced business excellence practitioner will begin by thoroughly analyzing the organization's current sales and marketing processes, identifying pain points and inefficiencies, and gathering input from key stakeholders. By prioritizing the organization's unique needs and requirements over flashy marketing pitches from software vendors, the practitioner can help select the CRM package that best fits the organization's needs and budget. https://static.wixstatic.com/media/fe4d94_4b4499ec4a6246b28fbf2ae2456d491b~mv2.webp By choosing the right package and features, the organization can save thousands of dollars in upfront costs and ongoing support expenses. Additionally, by implementing a CRM system that aligns with the organization's sales and marketing strategies, they can improve their customer acquisition and retention rates, resulting in increased revenue and profitability. Typical cost: $15,000 (3 months (480 hours) of business analysis work at annual salary $100k) Minimum savings: $150,000-250,000 (avoid missed sales opportunities, manual workarounds, and costly data migrations) Payback: $135,000-235,000 in the first year for one CRM system!

For organizations that rely on vendors to supply them with goods or services, setting the right terms and conditions in a contract can significantly impact profit margins. If a vendor's capabilities and limitations are not well understood when the contract is signed, organizations may end up spending significantly more money than planned to satisfy the vendor's requirements. This unexpected cost can eat into profits and may even turn what appeared to be a profitable deal into a net loss. An experienced business excellence practitioner can help ensure that the vendor selection process is rigorous and thorough. By analyzing the organization's unique needs and requirements, the practitioner can help identify potential vendors that are best suited to provide the goods or services needed at the right price point. https://static.wixstatic.com/media/fe4d94_e9923a33ae6243cda2f0c4a9123334d4~mv2.webp During the contract negotiation process, the business excellence practitioner can work closely with the vendor to ensure that all requirements are clearly understood and included in the contract. By taking the time to really understand the vendor's capabilities and limitations, the practitioner can help set the vendor up for success and avoid costly surprises down the road. In addition, involving a business excellence practitioner in the vendor selection process can help improve the organization's overall approach to vendor management. By setting clear expectations and requirements up front, the organization can better manage the relationship with the vendor and ensure that they are delivering on their promises. https://static.wixstatic.com/media/fe4d94_96310e63a29f4ce3b6224fa029cd0e99~mv2.webp Typical cost: $8000 (2 weeks (80 hours) of business analysis work at an annual salary $100K) Minimum savings: $50,000-100,000 (avoid costly surprises and overruns) Payback: $42,000-92,000 in the first year for one vendor agreement!

In many organizations, the IT department receives a high volume of requests from both internal business users and external customers. While many of these requests are legitimate and aligned with business objectives, others may not be feasible or cost-justified. Unfortunately, some organizations are hesitant to say no to their customers and users, which can lead to wasted resources and missed opportunities. https://static.wixstatic.com/media/fe4d94_c28259c7ee744429ae0a494d1259ecc2~mv2.webp Experienced business excellence practitioners can help organizations navigate these requests and identify bad ideas early on. By thoroughly analyzing requests and assessing them in the context of the whole organization, practitioners can quickly identify which ideas are worth pursuing and which ones are not. Additionally, by explaining the rationale behind their decisions in a clear and polite manner, they can help stakeholders understand why certain requests may not make good business sense. Alternately, a seemingly bad idea may lead to a great idea if the business excellence practitioner is given the time to brainstorm and collaborate with stakeholders across the organization. By eliciting feedback and facilitating conversations focused on solving problems, practitioners can help turn bad ideas into actionable solutions that benefit the organization. https://static.wixstatic.com/media/fe4d94_3ad1600d254949acb9583c3389e02748~mv2.webp Overall, by carefully assessing and analyzing requests for change, business excellence practitioners can help organizations avoid wasting resources on ideas that don't align with business objectives. This can result in significant cost savings over time. Typical cost per IT request for change to existing software: $50,000 Number of changes (politely) rejected by business analysts: 5/month Savings: $250,000/month

Many organizations struggle with overcommitment and the unrealistic expectation that individuals can successfully juggle multiple tasks and projects simultaneously. This leads to inefficiencies, as individuals are constantly task switching and projects take longer than anticipated to complete. Senior-level business excellence practitioners can help organizations overcome this challenge by providing strategic analysis to help prioritize and focus on the most valuable work. https://static.wixstatic.com/media/fe4d94_c7505ad77302464c99f779f2922d672f~mv2.webp Through a process of continual questioning and analysis, business excellence practitioners can help identify which projects are most important, which have the highest risks, and which are dependent on each other. By focusing on value, cost-benefit analysis, and customer needs, they can help identify which projects are critical to achieving organizational goals and which can be deprioritized or deferred. In addition to helping prioritize projects, business excellence practitioners can also help ensure that projects are completed efficiently and effectively. By closely monitoring progress and identifying potential roadblocks, they can help ensure that projects stay on track and are completed within a reasonable timeframe. https://static.wixstatic.com/media/fe4d94_387d69193d9a42b8ab5cbce1b20ae910~mv2.webp Successful organizations focus like a laser beam on their core goals and make quantifiable progress towards these goals. By leveraging the expertise of experienced business analysts, organizations can prioritize their work and focus on the most valuable initiatives, delivering early value and achieving their goals more quickly. Typical number of projects in process in one department at one time: 15-25 Typical number of projects assigned to employees at the same time: 15-25 Percentage of projects completed within 2 months of initiation: 30-40% Early delivery of value when a project is completed within 2 months: $50,000-75,000

Building Business Excellence Process & Capability is a Good Investment

Investing in building business excellence processes and capabilities can yield significant returns for organizations. Here are some numbers to back up this statement:

Companies that invest in business excellence processes and capabilities see a return on investment (ROI) of 3.5 times their initial investment, on average. (PwC, 2011).
Organizations with strong business excellence capabilities outperform their peers in terms of revenue growth and shareholder value creation. Companies with high business excellence scores had a revenue growth rate of 6.5%, compared to 4.4% for those with low scores. (The McKinsey & Company, 2010).
Companies that prioritize business excellence processes and capabilities report higher levels of customer satisfaction, employee engagement, and financial performance. (ASQ, 2015)
Implementing a business excellence framework such as ISO 9001 can result in cost savings, improved efficiency, and increased customer satisfaction. The ISO estimates that for every $1 spent on implementing ISO 9001, organizations can expect to see a return of $6 in improved efficiency and reduced waste (The International Organization for Standardization (ISO), 2012).
Organizations that implement a business excellence framework like EFQM see a 14% improvement in productivity and a 16% improvement in customer satisfaction. (European Foundation for Quality Management (EFQM), 2010).

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Business Excellence Drives Business Success

Driven by the rise of complexity and uncertainty in today’s world, business excellence is key to enabling change that drives project and business success.

DID YOU KNOW?
Companies that invest in business excellence processes and capabilities see a return on investment (ROI) of 3.5 times their initial investment, on average. LEARN MORE

There's Value in Building Business Excellence Processes & Capability

DID YOU KNOW?
Organizations with strong business excellence capabilities outperform their peers in terms of revenue growth and shareholder value creation. Companies with high business excellence scores had a revenue growth rate of 6.5%, compared to 4.4% for those with low scores. LEARN MORE

African Excellence Model

Support and resources to help build Business Excellence capability

Three resources to help you advocate. Get started.

DID YOU KNOW?
Companies that prioritize business excellence processes and capabilities report higher levels of customer satisfaction, employee engagement, and financial performance. LEARN MORE

Direction

Advancing Business Capability Drives Transformational Success

Governance

The Role Business Excellence Professionals Play in the Success of Organizations

Realization

Maturing business excellence into a vibrant capability with consistent execution

Human Capital

Maturing business analysis into a vibrant capability with consistent execution

Intelligence

Maturing business evaluation into a vibrant capability with consistent execution

Outcomes

Maturing business excellence into a vibrant capability with consistent execution

Roadmap for Successful Business Transformation

Excellence Model Component: Management By Fact

Strategy to Execution Framework

Below are four specific scenarios of the business excellence value proposition and operating efficiencies with typical financial savings experienced regularly by organizations who have built business excellence practices and capability.