Creating an effective Target Operating Model (TOM) provides a roadmap for aligning operations with strategic goals. Here’s a quick step-by-step approach to building a TOM:

Set Clear Objectives: Start with measurable goals that reflect your strategy (e.g., improve efficiency, expand market reach).

Engage Key Stakeholders: Involve representatives from operations, HR, technology, and finance to ensure buy-in and a well-rounded approach.

Design Each Component: Align processes, technology, people and culture, structure, location strategy, and performance metrics to meet your objectives.

Choose Frameworks and Tools: Use frameworks like CCPOLDAT+ or POLISM and methodologies like RACI and Lean to add clarity and accountability.

Conduct a Gap Analysis: Identify the current state vs. the target TOM to highlight areas needing resources or improvements.

Develop an Implementation Roadmap: Break down the process into manageable phases for smoother execution.

Review and Adjust: Regularly assess TOM to keep it relevant as your organisation evolves.

Following these steps helps build a TOM that’s adaptable, aligned with strategy, and primed for sustainable growth.

Ready to start building TOM?

You can read our articles on the subject here – The Sixsess Consultancy’s “Insights” Blog:

https://sixsess.org/insights-blog/

and/or join us on one of our residential courses or call us to arrange your own organisation’s bespoke in-house Target Operating Model course:

https://sixsess.org/tom-courses-q4-2024/

Chris Fox, of StratNavApp, our Strategic Partner, also explains how TOM fits into a strategy here:

https://www.stratnavapp.com/Articles/stratchat-operating-models

Barry Eustance
Principal Consultant
The Sixsess Consultancy
Tel:023 8212 1891
Email: clientservices@sixsess.org