HR Operational Excellence in Global Corporations - Research Paper Example

This has been aided by the use of high-end technology in business processes which include functional integration packages like an ERP which help in linking the different departments of an organization under one single unit. Organizations are also employing different efficiency techniques like TQM and Six Sigma in their operations which have helped them in creating a competitive advantage in the business markets. Operational excellence has become the buzzword for business organizations across the globe. Multinational organizations like Wal-Mart and UPS have developed expertise by employing technologies that have helped in the integration of departments as well as the generation of organizational efficiency. Wal-Mart is a classic exam that ich has set benchmarks in the retail industry by adopting an efficient ERP program which has helped in creating large scale competitive advantage as well as generation of economies of scale and scope which have helped in creating entry barriers for organizations trying to capture the market share in a consumer market. This assumes considerable importance because organizations need to have efficiencies to sustain competition. Adoption of efficiencies also assumes significance because sines organizations operate in rapidly changing situations that demand great taxability’s from the organization. This is only possible when an organization adopts innovations in operations and operational excellence as a part of its business strategy. Operational and organizational excellence includes three essential components. Firstly, it requires the top management of an organization to have the vision to identify the crucial factors at an appropriate time; these factors should be such that they help in adding value to the organization as well as to all the stakeholders including the customers of an organization. Secondly, organizational efficiency also calls upon organizations to achieve excellence and other necessary technological machinery to achieve large-scale efficiencies in the organization. Thirdly organizational excellence and efficiencies also require organizations to have the ability to ensure continuous betterment of business operations and their sustainability in the long run.