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Competitive excellence

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Competitive excellence

  1. 1. COMPETITIVE ORGANIZATIONAL EXCELLENCE By, Anam Patel (M016) Hawabee Parkar (P005)
  2. 2. Road Map  What is Excellence?  What is Organizational Excellence?  Forms of Organizational Excellence  Competitive Excellence  Case Study on Competitive Excellence - Singapore Airlines
  3. 3. Excellence  Excellence means surpassing or outstanding achievement  E.g. Breaking a record in Olympics, climbing an unscaled peak, winning a Nobel prize, making outstanding contribution in his/her field  In the world of mediocrity and incompetence, human excellence acts like adrenalin  Its not cost free: There is mental and physical effort, sacrifices made in the pursuit of surpassing achievement , opportunity forgone
  4. 4. Organizational Excellence  Organizations can promote human excellence, if there is meritocracy, people compete for promotions and other rewards on the basis of their good work rather than on the basis of ‘pull’  Organizational design for excellence is largely a matter of promoting individual and group level excellence and synchronizing it to facilitate in achieving organizational level goals
  5. 5. Forms of Organizational Excellence Competitive Rejuvenatory Commitment Organizational Excellence Institutionalis ed Missionary Creative s Versatile
  6. 6. Versatile Excellence Commitment to many stakeholders Organizational Passion for Excellence Commitment to long-run concerns Commitment to contribute to an entity beyond the organization Commitment to few stakeholders Institutionalized Excellence Missionary Excellence Commitment to novel outputs & ways of operating Creative Excellence Competitive Rejuvenatory/ Institutionalis ed Non – Creative Excellence Commitment to familiar outputs/process Commitment to the organization’s own welfare Commitment to short-run concerns Competitive Rejuvenatory/ Institutionalis ed Excellence Competitive excellence in a competitive field; Rejuvenatory excellence in a sickness situation
  7. 7. Competitive Organizational Excellence  A variety of organization compete for clientele i.e. ‘market place’  E.g. Firms, political parties and unions  An even wider variety compete for resources  E.g. Government departments may not compete with each other for ‘market place’; but they do compete for government funds.  E.g. Faculties of a University compete for funds. Universities compete with other universities for faculty and students
  8. 8. Contd...  Competitive excellence becomes critical in domains where competition for clientele & resources has a bite to it  It is then that the pressure is build to:  Prioritise sharply  Develop domain-directed strategies  Streamline the organization to control costs  Increase productivity  Coordinate activities effectively
  9. 9. Case Study : Singapore Airlines  Owned by the government of Singapore  1969-1979 – Improved its position from being 59th largest in the world to 9th largest, annual growth of 46%  Profit rose from $28 million in 1977-78 to $105 million in 1981-1982  1980 & 1981- Highest load factor worldwide
  10. 10. Contd...  Singapore Airlines was able to ‘win’ because of following factors  Rapid fleet expansion and modernization. It had youngest airline fleets to ensure fuel efficiency  Aggressive route development overseas (Singapore is too tiny to have any air routes within the country)  Adoption of mission of delivering highest quality of customer service that is safe, reliable and economical  Effective staff training- Spent $30-$40 million a year on T&D  Upgrading and supporting ground service  Lean staff. Labour cost in Singapore airlines were only 16% of total cost vs 42% for U.S. Carriers  The airline was run as a commercial enterprise rather than as a prestigious flag carrier
  11. 11. Thank You!

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