Operational Excellence Model underpinned by Industry 4.0

Strategic framework for excellence

SUMMARY

Integrating process excellence with the adoption of digital technologies is now, more than a trend, a reality in some industrial sectors, since under this business philosophy higher quality and efficiency in products and services are achieved quickly. Digitalization in industrial processes implies organizational flexibility through innovative methods in the machine-processes-people loop. This study proposes a strategic model for operational excellence supported by a cyber-physical structure, currently known as “Industry 4.0”.

To achieve this objective, it was necessary to identify the linking aspects between the operational excellence philosophy and the functional aspects of Industry 4.0, through expert consultation and judgment. A diagnostic survey was applied to a representative sample of 350 people (women: 36% and men: 64%), with professional studies in various areas, from different organizational levels (strategic: 22%, tactical: 35%, and operational: 43%), across various types of industry (manufacturing, automotive, petrochemical, aerospace, food, consulting, and others) and in different countries (North America, Central America, South America, Europe, and Asia).

As a result of the survey data analysis, an intermediate level of maturity stands out on the path toward understanding and executing digital transformation projects, with operational excellence requirements. Through work with experts, a proposed strategic model was designed, consisting of nine elements.

This model outlines a change roadmap toward aligning business strategy with digital processes and organizational culture. The most notable aspect of this study is the strategy-technology-leadership approach, underpinned by the strategic, tactical, and operational levels of organizations. It is concluded that the success of an operational excellence strategy, supported by Industry 4.0 projects, must be based on effective communication and top management support.

Keywords: operational excellence; Industry 4.0;
digital trans-formation; strategic model.

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