The Operational Programme aims to contribute to improved innovation and the use of knowledge, high value-added production, and enhanced export capacity among the existing enterprises, as well as to encourage the formation of new knowledge-based and technology intensive enterprises. Operational excellence and operational innovation are two very distinct ways in which organizations are looking to 'change' their operational platform. Most of these organizations have radically changed their supply chain organizations, e.g. It’s innovation that gets credit for many technology changes that have improved business procedures in the last decade, but it’s also the crux of many organizational cybersecurity risks. http://hbswk.hbs.edu/archive/4115.html, Pontius, N. (Feb 2017). Retrieved from http://knowledge.wharton.upenn.edu/article/to-make-operational-innovations-you-must-change-your-way-of-thinking/, Hammer, M. (May 2004). But many firms have failed at their efforts to make operational innovation work. Operational innovation means coming up with entirely … Operational innovation can benefit your business by: better matching customer needs or demand, resulting in more market share or better customer retention The power of creating and deploying new ways of performing fundamental business processes is indisputable; it has been the springboard to success for leading companies in virtually every industry. The most basic definition of an operating model is a visualization of how the company operates to provide value to beneficiaries and customers. For most of its history, Progressive focused on high-risk drivers, a market that it served profitably through extremely precise pricing. It will help to fight inflation as it aims directly at increasing the productivity of the Latvian economy. Military Health System innovations in 2020 include a new registry for real-time COVID-19 data and a system to free up hospital beds and protect patients from the disease. Based on experience, I have seen that the following key characteristics between operational excellence and operational innovation: In the picture below, it shows the mis-alignment between projects that follow the operational excellence vs. the operational innovation approach. But in the early 1990s, the insurer believed that much larger companies were about to enter this niche and emulate its approach to pricing; the company’s managers realized it couldn’t compete against larger players on a level playing field. With every great change, there will always be opposition; there will always be internal and external stakeholders that dig in and say it will never work and the company is better off playing it safe. So Progressive decided to win the game by changing the rules. Companies have been able to completely revolutionize their operations by changing the way they think work should be done, and investing heavily in their ability to challenge the status quo. When you use target operating models, on the other hand, you are looking at both wh… Fortunately, like other organizational problems, enlightened leadership, effective manageme… Four Ways to Innovate in Operations. Operational innovation is the invention and deployment of new ways of doing things while excellence and improvement refer to achieving high performance via the existing modes of operation. Wal-Mart growth story is not hidden. Operational innovation has been happening around us for years! INNOVATION FUSES METHODOLOGY VALIDATED AT THE CUSTOMER INTERFACE Historically, innovation has been embedded in organizational structure as the responsibility of the R&D department, focused almost exclusively on the development of technology in supply-driven markets. 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