5 signs to know you’re operationally mature

February 8, 2022

Philip L'Esperance

Guest blog writer from

When thinking about operational maturity, people tend to lean heavily on the IT side of the business. They look at the organization’s technical tools and processes and make quick assumptions that if these aspects are running smoothly, the business is in good shape.

But that’s simply not the case.

Looking at operational maturity with such a one-sided view is a surefire way to neglect other crucial components of the business that are required for growth and value creation within the enterprise.

Why does this matter?

For starters, the very livelihood of a business is determined by its level of operational maturity. It’s no secret that operationally mature companies have an easier time discovering new streams of revenue and growth. As Accenture notes, “Maturity progress increases efficiency and profits: Organizations that were one maturity level higher between 2017 and 2020 were, on average, 7.6% more efficient (lower operating expenses per dollar of revenue) and 2.3 percentage points more profitable (EBITDA as a percentage of revenues).”

So, how do you know if you’re on the right path? Here are five things that operationally mature businesses have in common.

They understand that digital transformation is about more than technology

Operationally mature companies approach digital transformation (DX) as a holistic strategy . Many businesses have made the mistake of rushing into new technology adoption as the primary driver of their DX “plan.” While DX often involves incorporating or updating new systems and processes, this is not its primary purpose. An effective DX journey begins with a thoughtful strategy that’s designed to rapidly evolve with a constantly changing market.

They eliminate tribal knowledge

As part of the overarching DX strategy, operationally mature companies work to eliminate tribal knowledge by creating processes that are independent of people. This process typically involves knowledge transfer through technology and improved information sharing. Another crucial step in eliminating tribal knowledge is to identify skills gaps, and work to fill those roles through employee training and strategic hires. An operational partner can help pinpoint the areas in need of improvement.

They’re quick to identify and remediate performance issues

According to Gartner, the average company experiences an operational performance issue three or four times a year. No matter where these issues stem from, they always require corrective action, and the speed of that action is crucial to containing the financial impact.

The same research shows that while 89% of companies can identify issues before they hit the financials, just 19% can remediate issues in a timely manner. And if that weren’t bad enough, the average organization spends 34% more time than it should remediating a performance issue, which can have grave outcomes for the business in terms of lost profit.

They’re more productive

When an organization can quickly remediate issues, it leaves time for bigger and better things. Instead of scrambling to fix what’s broken, team members are now free to focus on meaningful work. This often opens up several new avenues for focus, as leaders have more time for strategy and can tackle a new geographic market or product/service for an existing or adjacent market.

They know when to bring in partners

When there are still lingering performance issues, working with a capable partner can help reduce or eliminate these pain points. With the right operational partner, business leaders can more readily create enterprise value through the application of an extended ecosystem.

Here are a few crucial things an experienced partner can help with:

Mentorship, coaching, and strategy
Marketing, digital design, and development
Objective customer experience
Supply chain and operational performance improvement
Administrative tasks such as bookkeeping, accounting, payroll, and IT
Guidance on organizational design, structure, and governance
Serving as a board member

Takeaway

Once all processes come together to function holistically, that’s when operational maturity reaches its peak. Organizations that take this aligned approach will continue to see success, while their less mature counterparts scramble to catch up.

Why NICE WISE adopted the four-day workweek

April 26, 2022

Larry Faragalli

You’ve heard it a million times before, “What’s good for employees is good for business.” Maybe that’s why companies across the country are making serious strides to help boost employee morale and foster mental health. Shorter workweeks have long been a part of this conversation and are now being implemented by small and large companies, including us here at NICE WISE.

According to the Society for Human Resource Management, 32% of employers in the United States offered a compressed four-day workweek in 2020.

With such a relatively low percentage, why did we make the leap into what is, admittedly, uncertain territory?

Ultimately, it came down to providing the best possible experience for our employees, our partners, our clients — and their customers.

We know that when workers have time to rest and recharge, they’re more efficient, collaborative, and creative. Numerous studies conducted over the years back this up, including one from Iceland, which ran from 2015 through 2019. The study observed 2,500 people who worked between 35-36-hour weeks with no reduction in salary.

The results?

Employees reported less burnout, reduced stress, and better health. All of this equates to happier, more productive employees, which, in turn, produce better business outcomes.

We also know it’s what many workers want.

In this recent survey, 98% of employee respondents favored a shortened workweek, with 97% believing it would improve their mental health and productivity.

For additional perspective, look no further than Gallup’s recent Employee Engagement Survey, which shows some alarming numbers regarding employee engagement:

The percentage of actively disengaged employees is up in the U.S. (14% in 2020 to 15% through June 2021).
74% of employees are either actively looking for new employment or watching for openings.
64% of employees are not engaged in their work and workplace.
15% of employees report miserable work experiences.

Additionally, Gallup notes, “Four in 10 white-collar workers prefer to work from home, including more than half of computer and mathematical occupations. Other fields with a high preference for working from home include arts/design/entertainment/media, life/physical/social sciences, financial/insurance/real estate/consulting and legal occupations,” further proving that flexibility is no longer a “nice to have” but a requirement that employers must begin implementing if they want to retain and attract top talent.

But what does a four-day workweek look like in terms of flexibility?

The answer is different for every business, especially those that might need workers on the floor five to seven days out of the week. While some companies provide a full day off for the same compensation, others have asked employees to make up for the loss of time during the four days they’re “on.”

Some business owners may balk at paying their workers the same amount of money for less time on the job, but even the U.S. is considering legislation that would reduce the 40-hour workweek to 32 hours nationwide, in part to catch up with years of stagnant pay. Still, the right recipe for a shorter workweek should be customized based on the needs of the business, which may fluctuate due to rapidly shifting customer demand.

On the flip side, we know that customer experience (CX) is heavily shaped by the experience of our employees. And with CX being the core of everything we do, scaling down to a four-day workweek was a strategic move for our business. One that we’ve been fortunate to have many of our clients embrace and encourage.

Takeaway

The approach to a shorter workweek is different for every business. We put a great deal of thought and planning behind ours before introducing it to our NICE WISE employees and stakeholders. What works for some companies won’t fly for others. Industries that are still primarily brick-and-mortar — and must remain open a certain number of days per week — will need to take additional considerations into account and create a plan that aligns with both the business and employee needs.