Operational excellence (OPEX), like most departments in business, is at a crossroads. Advanced technology like artificial intelligence (AI) and new expectations of the workforce are driving OPEX professionals to rethink their approach. In addition, businesses are in a constant state of transformation, which means talent must quickly and willingly adapt.
As a result, one theme that continues to emerge is that people must be at the center of processes. Here is proof of this evolution in OPEX, which is elevating the human role amid rapid technologial and transformative progress.
Empathy in OPEX
Empathetic leadership is more vital than ever. At PEX Network’s All Access: OPEX 2024 webinar series, 43 percent of audience respondents said new leadership practices emphasizing empathy will be the biggest game changer in balancing operational precision and empathy in the future. As automation becomes more prevalent and change is thrown at people at rapid speed, they want to turn to those who care about their wellbeing even as they demand KPIs are met.
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This kind of leadership should be part of a culture that is built on keeping people's needs a top priority. Recently, this point was made by Colin Dover, senior director at SAP Business Technology Platform Center of Excellence, when talking about applying data to business goals.
“We do see that the strategy has to be something that adequately and comprehensively captures the outcomes that matter most to the organization,” says Dover. “That’s a reflection of the culture that exists within the organization and the ambitions that the organization has for how data is used.”
Focus on psychological safety at work
Before leaders can begin to focus on these matters, they must have the right setting. Part of creating a psychologically safe workplace is dependent on having empathetic leaders who champion a positive culture. It’s about creating a safe space for employees to be creative, fail fast and buy into greater goals.
Watch the full session to hear thought leaders discuss building a culture of continuous improvement
Making communication a priority
Communication is paramount, according to the audience at All Access: OPEX 2024. Good communication on the part of leadership topped a number of polls. Transparent communication from leadership was the top priority for fostering a human-centric environment.
Nearly 40 percent of respondents said clear communication on how their contributions make an impact was the most effective way to engage employees in continuous improvement strategies. More than 45 percent said clear communication and transparency about transformation was the best strategy for gaining buy-in from different stakeholders.
Businesses are still struggling to stay connected with talent. While 47 percent of audience respondents said that their organizations communicated with them often about changes and practices, only 11 percent heard from leadership very frequently.
Helping people overcome resistance to change
Change fatigue is real, and leaders have no choice but to recognize this challenge. They should listen to people’s concerns, validate their feelings and show some level of sensitivity before executing a change strategy.
Watch the full session to learn about bringing people along on the transformation journey
Grab at employees’ hearts
Finding a way to reach people on an emotional level can go a long way to keeping them motivated and willing to sustain transformation. Leaders should show that they prioritize the growth of their employees.
When asked how to sustain excellence post-transformation, 35 percent of respondents said performance metrics and monitoring were the best approach. Another 32 percent said feedback and improvement loops should be the priority. These two responses topped the list and indicate that people long to continuously improve themselves along with the organization.
Watch the full session to learn more about how to reach employees
Make the customer a priority
People are not limited to employees. Ultimately, any process that a business is improving is meant to eventually make the customer experience better. Indeed, experts stress the importance of always keeping customers in mind.
“Start with the customer pain point,” says Ekaterina ‘Katie’ Curry, managing director, head of operations, Multifamily/LeaseTrack at Millennial Specialty Insurance and PEX Network Advisory Board member. “When you have a customer pain point, it’s a lot easier to get buy-in for OPEX because it’s coming from your paying customers.”
To stay on track, leaders must continually ask themselves questions and assess their approach.
“When we look at our processes, how do we infuse intelligent automation, remove friction, ensure quality and really unlock value for our customers?” says Wayson Vannatta, chief information officer at Nintex.
Coach people
All people – employees and customers – want to know what’s in it for them whenever they face these major changes. Leaders can help people stay motivated. Creating Centers of Excellence (CoEs), which are focused on improving processes, is one way to empower people.
“You should look at a CoE as being a fulcrum for facilitating development, not just in one area, but across the enterprise,” says Narendran Thillaisthanam, CTO at WNS Vuram.
Let people participate from the start
One way to keep people at the center of a business is to make them part of the solutions to your problems from the very beginning. This is more important in the age of AI and other advanced technologies.
“People are still a very important part of the process,” says Michael Hill, editor of PEX Network. “I think somthing not to be overlooked is ensuring that training, communication and engagement with workers occur alongside the adoption of new technologies.”
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Keeping humans in the loop
Some on PEX Network have suggested that leaders should manage AI technologies as though they are employees who are working alongside the humans. This next point makes the case for that kind of thinking.
“Modern applications are orchestrations, not just systems talking to each other but systems interacting with humans to accomplish the goals of the business in a process orchestration,” says Malcolm Ross, SVP of product strategy at Appian.
In fact, others make an even bigger distinction, one with an eye on the future.
“What we’re achieving is not the same thing as RPA. It’s now what we call agentic process automation, where humans and robots are logging into the same systems, performing the same work and being held to the same rules, the same level of accountability,” says Nathaniel Palmer, CEO of Infocap.
If leaders are committed to keeping humans in the loop even as they automate more processes, then they must help them overcome fears of potential job loss.
“It’s really more about reprioritizing the focus on more high-value work, not replacing people,” says Aaron Adsit, VP of sales at GBTEC. “Automation and AI are there to enable employees to do more meaningful tasks.”
Watch the full session to learn more about agentic AI and the impact it will have
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