Optimal enterprise velocity is the rate at which an organization does business without sacrificing the quality of their offerings. Essentially, how fast an organization can move and still be effective. Knowing when to slow down and when to speed up, and having the ability to accelerate and brake accordingly, can change the position of a company overnight.
Imagine your organization is like a train. The track you follow is the strategy you have developed. The direction you have decided to pursue. The train stations are the different milestones along the way towards your final destination, the successful achievement of your objectives for the organization. For trains, there are signals along the way that tell the conductor to speed up because another train is catching up, or slow down because there is a blockage ahead. What are the signals your organization uses to know when to speed up and when to slow down?
These signals are the measurements and indicators you use to show progress and monitor performance. These are your indicators for achieving optimal speed.
I take some of my best clients through a process to help them determine the optimal speed for their organizations. Here are the questions we begin with for each of their key areas:
- How fast are you currently going?
- How fast could you go (what is your optimal speed)?
- What impact would it have if you achieved optimal speed?
- What are the key indicators we should use to determine when to slow down and when to speed up?
- What plan do we need to put in place to implement and maintain optimal speed?
Organizations often use the wrong indicators to measure performance because they focus only on increasing speed and going faster, not establishing, regulating and maximizing their speed.
Do you practice responsible speed or are you putting your organization at risk?