Operating model is the abstract representation of how an organization operates across process, organization and technology domains in order to accomplish its function.
An organization is a complex system. An operating model breaks this system into components to improve understanding and suggest opportunities for improvement.
An operating model can describe the way an organization does business today. Alternatively, a fictional model can communicate how the organization wants to transform its business.
By contrast, a business model describes how an organization creates, delivers and captures value and sustains itself in the process.
Read more about Operating Model: Business/IT Dialogue, Industry Standard Operating Models, See Also
Famous quotes containing the words operating and/or model:
“Many people operate under the assumption that since parenting is a natural adult function, we should instinctively know how to do it—and do it well. The truth is, effective parenting requires study and practice like any other skilled profession. Who would even consider turning an untrained surgeon loose in an operating room? Yet we “operate” on our children every day.”
—Louise Hart (20th century)
“Research shows clearly that parents who have modeled nurturant, reassuring responses to infants’ fears and distress by soothing words and stroking gentleness have toddlers who already can stroke a crying child’s hair. Toddlers whose special adults model kindliness will even pick up a cookie dropped from a peer’s high chair and return it to the crying peer rather than eat it themselves!”
—Alice Sterling Honig (20th century)