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OPERATIONAL EXCELLENCE AND BUSINESS EXCELLENCE FRAMEWORK

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Introduction

Operational excellences refer to the improvisation and betterment in the performance of the

employees and the organisation. Employees act as an integral part in the production process

whose performance is parallel to the productivity of the organization. Skilled and experienced

employees help in deriving positive outcome and meet the expectation of customer’s need.

Pharmaceutical industry deals with the production of drugs and medicines. It needs a group of

skilled chemist, physician and employees in preparation, marketing and selling of the drugs and

medicines. The operational process in the pharmaceutical industry is more productive and

experimental as compared to other sectors. The medicines and drug acts as the sustenance of life

for the people suffering from diseases. Skilled labours and experimental operational process need

to be controlled in producing the medicines for any negligence can result in discrepancy that will

affect the health of people. Operational excellence helps in reducing operational complexities

and chance of occurrence of risks.

Overview of the business model

The facet of operational excellence refers to the definite framework with the help of which the

management of philosophy associated with leadership takes place, which ultimately results in

continuous improvement throughout the premises of the organisation. On the other hand, in the

viewpoint of Pandey and Bharadwaj (2016), it is also important to note that, there are varied

approaches and models, which are associated with the working principles of operational

excellence. In the context of the pharmaceutical industry, it can be said that, the definite facets

and processes associated with operational excellence tends to play an important role in the

promulgation of the definite operative methods, which needs to be taken into effective account.

Therefore, as per commented by Chaturvedi et al. (2017), it is to be noted that, in order to

facilitate the current overview of the pharmaceutical industry, with an emphasis on the

operational excellence, the operational excellence strategy model has been chosen to proceed

with the study. It is to be noted that, the propositions that are prevalent in the strategic business

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model is considered to be a manifestation of the definite processes and procedures that are

relative of the current working condition of the pharmaceutical industry.

In the viewpoint of Lawrence and Kopcha (2017), it is to be noted that, an operational excellence

strategy model tends to create a proper business management process that effectively encourages

the improvement of the denoted processes. On the other hand, it is also important to note that, the

facet of operational excellence tends to serve as the primary focus on the event based model of

development towards a definite long term change in the organisational culture.

As per the propositions of the operational excellence framework and model, it can be said that, in

the present scenario of the pharmaceutical industry, the organisations need to reshape and rethink

about their definite approach towards the proper execution of the development methods that are

being adopted by them. As per commented by Kleinebudde et al. (2016), it is to be noted that,

the adequate achievement of the operational excellence model tends to require an accomplishing

implementation of the strategic interventions that are prevalent in the pharmaceutical industry.

However, it is to be noted that, the integration of the operational excellence model is based on

four definite building blocks, which are as follows:

Strategy development: the facet of strategy development comprises of strategic mapping of the

definite processes and procedures that are to be adopted by the pharmaceutical industry. On the

other hand, in the viewpoint of Jone et al. (2015), this facet also refers to the definition of a well

implemented strategy that tends to serve the needs and requirements of the definite processes that

tend to ensure effective collaboration and alignment. Within the different parts of the

organisation, strategy development tends to play a significant role in the promulgation of the

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definite processes and procedures. However, as per commented by Gereffi (2017), it can be said

that, after much assessment, it has been found that, based on definite Balanced Scorecards, the

initiation of the critical operational excellence takes place in the context of definite projects and

assigned activities.

Performance management: the second building block of operational excellence model is the

aspect of performance management. It is to be noted that, the operational excellence processes

that are prevalent within the premises of the organisation tends to significantly translate the

definite features that are associated with strategic or operational objectives. These objectives

tend to ensure effective alignment among the different levels and parts of the desired

pharmaceutical organisations. Performance management helps in ensuring alignment of definite

organisations under the pharmaceutical industries towards the achievement of common and

specified goals and objectives (Messner, 2016).

Process excellence: the primary characteristic feature of the pharmaceutical industry is

essentially process centered organisations, which are well designed, effective and efficient. In the

viewpoint of Haleem et al. (2015) are responsible for value creation and tend to support the

processes in order to significantly deliver the pharmaceutical products and services to their

customers in a convenient manner. The significance of process excellence lies in the fact that,

with the help of effective methods and processes, it will be easy and convenient for the

pharmaceutical industry to adopt significant operational excellence within the premises of the

definite organisation.

High performance work team: the work teams those are present in the pharmaceutical industry

needs to have a right and proper attitude, which will be convenient to carry out the necessary

processes and procedures that needs to be taken into effective consideration. The organisations

with operational excellence tend to achieve and sustain the right mindset and competencies in

order to strive an increase in the education and engagement of the necessary processes and

propositions, which are to be taken into consideration. With the help of strong values and

guiding principles along with competence development in a constant manner, it will be easy and

convenient to attain high performance work teams (Gereffi, 2017).

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Key principles of the OE model

Operational Excellence Strategy Model is an element that stresses on the usage of principles and

tools and that results in supportable improvement for the key performing procedures in the

metrics. The Model works under some strategies that helps in completing the works on time and

easily are as follows:

1. It offers predictive reporting performance metrics which involves the closure rate, quality

and system in different format which is more appropriate that occurs in the operational

excellence strategy model.

2. Incorporation of the different methodology that is being used in the company and makes

it an efficient working process.

3. It helps in providing the metric process that encourages the improvement of works and in

this strategy model excellence.

4. It offers accessibility to the different process documentation and different operating

procedures that impacts the performance metrics of the company.

5. Incorporates the innovatively determined strategies that helps in working in the overall

system of the operations that are being done as per the systems

The provided points help in determining the different strategies under which the model works

and make it easy for the company to complete the works on time and efficiently. The principles

under which the company on are as follows that helps in making the performances as per the

needs and wants of the customers.

Principle 1: Design lean value streams

Designing end-to-end value stream flow that will help in starting the time received from the

order or requires from the different services that is being worked out in the company. This helps

in setting up the future stage map for the company. This process helps in knowing the

information that will make the flow effective in various ways possible. The connections are

being created through the different process through which products are being done and make it

effective for the company in various ways possible.

Principle 2: Make lean value the streams flow

The products that had been developed through the process of lean value system may need to be

done in efficient manner. This will provide the company to work and perform the work as per the

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needs of the customers. Under this the company may need to take care of the products in an

efficient manner. If the flow will be efficient in performing the tasks, then the company would be

able to take up the charge and work efficiently. It is the duty of the higher authority to make

specify the communication system among the employees in terms of bring clarity in the process

of specifying the instruction.

Principle 3: Make flow optical

The performances that is being done will need to be visible to the customers this will improve

the performance of the company even more. This will take up the works to the point under which

the performance of the company will make it effective for the company to take a look at the

performances of the company in different ways possible. In the strategic plan the management

can provide stress on efficiency of team work as well as the responsibility of the team leader.

Assessing the performance and knowledge, management can provide responsibility to the

employee to play the role of leader.

Principle 4: Create an standard of work flow

It may need to be the duty of the company to effectively deal with the works that are being done

and on the virtue of which the standards that had been set up helps in working and performing

efficiently. Management of organizations can follow the program relating to the departments

such as govern, design, implement and nurture the organisational excellence. The standard will

be helpful in completing the works in time and without any problem. Under this the company

needs to take up the performance as per the needs of the customers. This may need to be the duty

of the customers to know about the performances of the company on the virtue of which it may

lead the products to be observed in market.

Principle 5: Creating of abnormal flow visuals

If there will be any abnormal flow of working, the company may need to take care of the works

and perform in an effective manner. Under this way the company may need to be on the mark

and perform as per the ways this will take up the performance to the next level. There may be

some abnormal visuals way of performances under which the performance may need to be taken

into consideration in the different ways possible.

Principle 6: creating a standard work for the abnormal flow of works

The standard of works may need to be maintained under which the performance of the company

will lead up to a great extent. This standard will lead up the performances of the company to be

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done as per the ways the company may get up to the next level of performance (Haleem et al.

2015). Under this the abnormal flow of work it may need to be taken care in different efficient

processes as follows. This will take up the works to the point under which the performance of the

company will make it effective for the company to take a look at the performances of the

company in different ways possible.

Principle 7: having employees that may help in improving the works

Employees would need to be the person who may need to take care of the performances of the

company and on the virtue of which it may lead up the works in different ways possible. It can

be added that the organization is required to focus on the business process through understanding

the performance and capability. Employees are referred as the main individual who take up all

the works of the company and performs in different efficient ways possible. Under this way of

working the employees are the responsible individual that looks after the performance of the

organization in an efficient way possible. It is the duty of the higher authority to make specify

the communication system among the employees in terms of bring clarity in the process of

specifying the instruction.

Principle 8: Performing offense activities

It is to be noted that, the facets and features that are associated with operational excellence is

characterized by effective business growth. On the other hand, it is also important to note that,

this tends to give management ability to the running of operation into the growth of business.

Therefore, in the context of pharmaceutical industry, it can be said that, effective business

propositions can only take place with the help of reducing and eliminating the pointed put

activities and operations that are performed by the managerial heads of the organisations. The

different activities related to offense and its principle attached with the harmful consideration of

different situation that can lead towards harming the individual. The preventive measures and

actions thus need to guide the entre perspective in a suitable manner. Principles of utility and its

planning-based activities cordially s connected with another set of offense activities. Civilised

community often purposefully or non-purposefully exercise some of the unlawful actions that

directs towards social issues against the will of an individual if any action get initiated or not

getting informed by the entire criteria, forcefully indulge into something wrong. The declaration

of different rights of men needs to be advocated within eth industry in conducting smooth

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operational process. The principles justifying different legislations incorporating some of the

important rules and regulations will be able to prevent the occurrence of risk within eth industry.

Addressing some of the specific problem within the setting of pharmaceutical sector needs to

consist of solution-based evidences. For the purpose of this paper, the principles essentially

follow up the distinctions and exposition of the situational variants catered the systematic way

out while the offense principle has been received the scant attention with the incorporation of

significant exposition. The Justification of Federal Communication Commission , the federal

government and authority of overseas has been shouldering the power of revoking the license of

authorized companies.

Key elements of the model

After an assessment, regarding the proper assonance of operational excellence, it can be said

that, there are certain elements and key determinants, which tends to act as a significant

manifestation of the existing rules and regulations along with necessary business propositions,

which needs to be taken into consideration. On the other hand, it is also important to note that,

these key elements tend to act as an epitome of the definite processes methodologies, which are

associative of the current overview of the pharmaceutical industry. Thus, in the viewpoint of

Sieckmann et al. (2018), the projected determinants and key elements of the operational

excellence model vested are as follows:

Manufacturing strategy: the research that is based on the manufacturing of the strategy is well

known and is effectively accepted in the organisations. The compositional and elemental facets

those are associated with the processes of manufacturing strategy tends to objectify the

distinctions that are prevalent under the competitive priorities. It is to be noted that, these definite

strategies are required to draw customer attention towards the acquisition of the pharmaceutical

propositions of the definite industry. On the other hand, in the viewpoint of Lee et al. (2015), it

is to be noted that, product quality in the pharmaceutical industry is often considered as qualifier

in the facets of operational excellence that needs to be met for effective market access. Thus, in

the markets of the pharmaceutical industry, it is essential and mandatory to meet up with the

quality requirements in order to grant market access in a convenient manner. Thus, it can be

propagated by stating the fact that, the manufacturing strategy and the processes that are

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associated with the current business framework of the pharmaceutical industry, it is important to

point out the essential necessary requirements, which needs to be taken into consideration

(Dodgson, 2018).

Manufacturing output and capabilities: this particular aspect states the fact that, there have

been a number of strategic priorities, which needs to define the key manufacturing strategies that

are being propagated by the organisations under the pharmaceutical industry. In the viewpoint of

Adamo et al. (2016), it is to be noted that, as per the current scenario and overview of the

communicable and non-communicable diseases, the primary focus of the pharmaceutical

industry lies in the fact that, it intends at the strengthening of the disease management processes

in order to entrust the responsibility of a dedicated task force in order to effectively locate the

manufacturing capabilities in each of the medical vertical in the production of pharmaceutical

products. With a set of competitive priorities, it is important to specify and measure the extent to

which a definite pharmaceutical dimension that are applied in order to control the manufacturing

capability of the in order to improve the change. It is to be noted that, the existence of

manufacturing capability tends to create an opportunity to attain creativity and effective

productivity within the premises of the pharmaceutical industry (Gutmann et al. 2015).

Total productive maintenance: the primary aim of TPM is designed to effectively denote the

equipments that are required for the easy access and affordability of the designated efficiency,

which occurs throughout the organisational premises. On the other hand, in the viewpoint of

Madhav et al. (2018), it is also important to note that, the maintenance of management within the

premises of the TPM program are usually divided into definite short term activities in order to

attain long term efforts.

Total quality management: it is often considered as one of the dominant aspects and

paradigms, which are associated with quality management. On the other hand, as per commented

by Singh and Bhatia (2015), it is also important to note that, the theoretical and practical

approaches that are associated with the attainment of recognizable results tend to play an

important role in the promulgation of necessary facets and procedures. The controlling and

inspection of the final product is essentially inspected into the sorting out of the defensive units

by a definite and separate department and procedures. The current modern approaches that are

associated with total quality management tends to focus on the process quality and with the

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implementation of the prevention of failure methods, it will be easy and convenient to undertake

and adopt definite facilitations that are present in the pharmaceutical industry.

Lean manufacturing: the processes and procedures that are associated with lean production in

the pharmaceutical industry tend to state the fact that, in the times of global competition, the

manufacturing companies essentially strive for the improvement of the performance level. On

the other hand, in the viewpoint of Jain et al. (2014), it is also important to note that, the

application and implementation of the lean approaches that are associated in the tenets of the

pharmaceutical industry, intends at influencing the practical approaches of lean production in the

delivery of products and services.

Implementation of good governance: it is to be noted that, the implementation of good

governance tends to play an important role in the effective governance principles of the

identification of the necessary responsibilities that are being implemented in order to manage the

legal as well as financial and ethical obligations (Valmohammadi and Roshanzamir, 2015).

Therefore, in the viewpoint of Annabi et al. (2015), it is important to speculate that, after an

extensive assessment, it can be propagated by stating the fact that, the predominant elements of

operational excellence plays a significant role in the propagation and formulation of the

necessary processes and procedures that needs to be taken into account. It is to be noted that, the

primary goal that is assigned to operational excellence tends to state the fact that, the

management of business in the present pharmaceutical industry, has become integrated largely

and is characterised by the specification of provision of equipments, which include supply chain

as well as technical capabilities. On the other hand, it is also important to note that, the

complexities that are prevalent in the overview of the pharmaceutical industry can be a

challenging aspect through the process of implementation. It is also important to note that, the

facet of product development and application of thinking also tends to play an important function

in the growth of business. Thus, in the context of pharmaceutical industry, it can be said that, it is

important to identify the necessary propositions, which are associated with the factors relative of

leadership and management (Schilling and Neubauer, 2017). The definite value system that is

present in the pharmaceutical industry defines the presence of stakeholders that tends to denote

the ways by which the organisation essentially operates. Thus, it can be said that, the current

employees who are working with the industry needs to be provided with a developmental path,

which will eventually result in the management of teamwork and development. However, as per

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the tenets generated by business excellence framework, it can be said that, with the development

of value proposition and release of individual skill of the employees of the organisations, it will

be beneficial for the continuous improvement of the effective responsiveness and adaptability of

the processes and procedures that needs to be taken into effective account. Furthermore, it is

imperative to note that, the pharmaceutical industry also needs to focus on the sustainable results

that are effectively pointed out in order to attain results and definite outcomes. Improvement of

performance with the use of relevant data and logistic in order to understand the variability of

improving strategic as well as operational decision making processes. The cost and performance

management in the premises of the pharmaceutical industry is also an important facet, which is

associated with the improvement of the basic methods that are extensively followed (Brown and

Grundy, 2016).

Assessment and implementation of model

As per the proposition of operational excellence, it can be said that, the operational excellence

model and the propositions that are associated with it tends to play an important role in the

promulgation of the necessary processes and procedures that needs to be taken into effective

consideration. Thus, the assessment and implementation of the model is as such that, the

strategic interventions need to be adopted by the pharmaceutical industry in order to attain

creativity and significant productivity in the organisational premises.

The application of OE model by an organisation in Pharmaceutical industry

Operational excellence model can be mentioned by the process through an organisation can

develop their work procedure as well as enhance the business growth of an organisation. It can

be added that the operation excellence model can be implemented in the organisational industry

in terms of creating value of the business process (Stojanovic and Nedic, 2016). In addition to

that, it can be said that the pharmaceutical organisation has to focus on the matter of accuracy in

terms of preparing medicine using drugs. For this reason organisation is needed to focus on the

recruitment procedure in terms of ensuring quality of preparing medicine.

It can be said that management of organisation of a pharmaceutical organisation is needed to

focus on the process of preparing a strategic plan in order to reach the business goal of the

organisation (Schneider et al. 2015). For this reason the management of the organisation is

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required to prepare an effective business operational budget to assess the requirements of the

financial funding in terms of executing the operational plan. Management of organisations can

follow the program relating to the departments such as govern, design, implement and nurture

the organisational excellence.

It can be added that the management of an organisation can focus on the infrastructure as well as

organizational structure. In the strategic plan the management can provide stress on efficiency of

team work as well as the responsibility of the team leader. Assessing the performance and

knowledge, management can provide responsibility to the employee to play the role of leader.

Primarily, strategic planning can be prepared based on the capability of the strength of the

organisation specifically the value creating ability of the employees of the organisation. In the

strategic planning, the management is required to focus on the communication process regarding

the matter of improving the work operation in the organisation. It is the duty of the higher

authority to make specify the communication system among the employees in terms of bring

clarity in the process of specifying the instruction. It can be added that the management is

required to follow the effective and specific communication system in relation to keep evidence

of communication system. On the other hand the management of the organisation can

concentrate on the issue of proper application of feedback relating to the matter of following the

way of work operation. It can be said that it is duty of the management of the pharmaceutical

organisation to implement the procedure through which the employees and the higher authority

or the employees who are provided the responsibility to supervision can be interrelated.

In order to implement the operational excellence planning, the management of a organisation is

required to focus on the matter of keeping organisational structure well. For these reason the

management of the organisation has to control the irrelevant issues like behavioural problems,

ego problems among the employees. In order to reach the goal the management is required to

implement the value such as providing priority in the competency (McGlacken et al. 2018). In

relation to that the management of a pharmaceutical organisation can keep the neutral image and

can control the organisational politics. In addition to that the management can avoid allegation

regarding the matter of biased in the organisation. The management is required to assess the

system of communication in relation to maintain the process of feedback properly. It is needed to

specify the matter of responsibility in terms of performing a particular task. It means an

employee is needed to know that in terms of executing the task if any problem is raised then

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whom to be informed or where to go. On the the other hand the higher authority is also needed to

specify the responsibility in terms of performing the act of supervision (Dubey et al. 2015).

On the other hand the management of the organisation is needed to introduce motivational

approaches regarding the matter of upgrading the work atmosphere of the organisation. It can be

added that these approaches can heighten the business value of the organisation.

Approach of assessing performance of the organisation through the OE model

Successfulness of operational excellence model is depended on the proper system which is

required to implement in order to heighten the business organisation. It can be added that the

organisation is required to focus on the business process through understanding the performance

and capability. The management of the organisation is also needed to keep data and information

in terms of keep the evidence to bring changes in plan as per requirement of organisation and the

market condition.

● Keep proper documentation of the productivity of the employees:

The management of the organisation is required to focus on the the matter of keeping documents

of the performance of the employees in relation to the matter of reaching to the goal and

objective. In addition to that mitigation of deadline can be marked as a criteria to assess the

performance of the employees. On the other hand the management of the organisation is required

to provide stress on the matter of upgrading productivity of the employees relating to the matter

of heightening the business process of the organisation (Chaturvedi et al. 2017). The

management can keep the documentation of the performance of the employee in terms of

assessing the value of the performance in terms of upgrading the performance of the employees.

In relation to that the higher authority has to recruit neutral performance indicating system in

connection to assess the performance of the organisation. The management can provide the

responsibility to the HR department of the organisation in relation to make assessment of the

performance of the employee. Through the process the management can assess the performance

of the employee based on the effectiveness of the employee. It can be marked that the

management can make decisions assessing on the different qualities of the employees such as the

the decision making ability of the organisation as well as the multitasking ability of the

employees. In addition to that based on the performance of the employees the process of business

growth can be occured.

● Arrange meeting to provide proper feedback:

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Performance indicating process and its result can be implemented by the arrangement of meeting

procedure. It can be added that the management is required to organise meeting in relation to

inform the employees about their strength, weakness and the way out of the problems can be

analyzed in the meeting. The management, especially the HR team is required to focus on the

meeting procedure in terms of clarifying the growth of the employees in relation to their

performance. The HR team is required to handle the situation regarding the matter of the say or

complain of the employees regarding the work procedure (Leker and Utikal, 2017).

● Providing motivational approaches as well as stress free atmosphere:

An organization in pharmaceutical industry needs to focus on motivational process to enhance

the performance of the employees. The HRM needs to implement performance appraisal process

to find out the performing and nonperforming employees. Based on it, an organisation needs to

implement reward policies in which it needs to provide rewards for the achievement of the

employees. An organization can also promote its employees and provide incentive to motivate

them to work effectively. It can also arrange training process of non performing employees and

communicate with them to gain knowledge about their problems. It can be helpful to develop

trust and motivate those employees to improve their work (Leker and Utikal, 2017).

● Arrangement of the training classes to improve the quality regarding the matter of

improving work process: with the implementation of effective training classes, it will

help in the improvement of the quality assurance that are associated with improvement of

work process. In the context of operational excellence, it can be said that, as the

employees who are working with the pharmaceutical industry is provided with proper

training and induction, it will be easy and convenient for the employee to understand the

framework of business excellence that are present within the premises of the industry.

Furthermore, in the viewpoint of Graban (2016), it can also be said that, the basic

objectives that are being protected by the managerial heads of the organisation also tends

to play an important role in the promulgation of the necessary processes and procedures

that needs to be taken into effective consideration. On the other hand, it is also important

to note that, unlike the initiatives of continuous development, the employees are

employed at a lower in order to increase the productivity. However, with the help of

proper training, the employees tend to understand the roles and responsibilities that have

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been assigned to them, in order to create an increase of creativity and excellence towards

their work (Robinson, 2017).

The application of the plan to improve the work process

In pharmaceutical industry, the organisational excellence model is necessary to manage the

workflow and enhance productivity. In this process, different components of organizational

excellence can be implemented effectively to get desired results in the organisations under this

industry. The communication is necessary to maintain the interaction between the employees and

management and also with customers, suppliers and distributors. Effective communication is

helpful to mitigate any conflict between different stakeholders within this industry and the

workflow can be maintained by the management of an organisation. An organisation needs to

maintain internal communication to gain knowledge about different problems and performance

gap and it is helpful to take proper steps to enhance productivity (McGlacken et al. 2018).

The leadership and management is also necessary plan the workflow in the organisations under

pharmaceutical industry. The management needs to divide and allocate the work within different

teams and the leaders must show the correct path to their subordinates to complete the works

effectively within a specific time. The management also needs to conduct performance appraisal

process to identify the employees who can work efficiently.

The human resource is an essential part of the organizational excellence as they are assigned to

manage the organisation. The HRM needs to plan properly to run the organization recruit

employees on their skills and experience. They need to be unbiased in this process and also

conduct effective training and development process or the employees. The training and

development is helpful to enhance the skills of the employees and help them to acquire new skill

that enables their productivity (Nolan and Anderson, 2015).

Conclusion

The global world is undergoing complications and complexities due to the changing needs and

demands of people. Operational excellence depends n the actions and experience of the

employees. The talents, skills and experience need to be exercised effectively within the given

period of time. The employees need to manage their skills and experience and shape them

towards dynamism. Therefore, it can be concluded by stating the fact that, the facets and

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principles of operational excellence tends to play an important role in the promulgation of the

processes and procedures that needs to be taken into consideration. On the other hand, it is also

important to note that, with the proper guidance from the business excellence framework, it

becomes easy and convenient for the industry to get an idea regarding the importance of such

management strategies in a definite industry.

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