“It is not enough to know, one must apply; it is not enough to want, one must act as well.”
Johann Wolfgang von Goethe - (For the German version of this post, click here).
Business Excellence means top performance. The meaning of it is the best performance that a company has the power to achieve. Excellence drives towards the effective realization of the business potential that is “hidden” in the company.
Top performance is rare, but rewarding
To achieve Business Excellence is challenging, but very profitable. Every percent of sustainable profit growth increases the company value exponentially by a 15 to 20 multiple.
Pursuing this goal and driven by intensified competition many manager start out on the path to excellence. Few keep up the way and reach the desired summit.
The highly successful companies apply for prestigious awards that confirm their top achievements. To name only the most important prizes, these are:
· EFQM – European Foundation for Quality Management - Excellence Model
· MBNQA - Malcom Baldrige National Quality Award
· Deming Prize – Award named after Dr. W. Edward Deming
· Shingo Prize for Operational Excellence
But awards by themselves don’t guarantee sustainable success. Firms like Motorola, Armstrong World Industries, Cadillac (GM), Dana Corporation, Wallace Company and AT&T were Baldrige Award winners and ended up in bankruptcy or as take-over targets.
>> This blog post is number 1 of the blog series “Business Excellence: How to Activate Your Inner Excellence.” To be continued….
For further information on the path to Business Excellence contact the author Andreas Sattlberger, Executive Advisor for Business Excellence at the firm procon in Vienna, Austria. You can reach him at firstname.lastname@example.org