This document discusses organizational excellence, specifically competitive organizational excellence. It defines excellence as outstanding achievement that surpasses normal standards. Organizational excellence occurs when an organization promotes human excellence through merit-based practices and synchronizes individual and group efforts to achieve goals. There are different forms of organizational excellence, including competitive excellence which is important for organizations operating in competitive domains or competing for resources, where they must prioritize, develop strategies, control costs, increase productivity, and coordinate effectively. The document uses Singapore Airlines as a case study of competitive excellence, highlighting how it grew rapidly by expanding its fleet, developing routes, delivering high customer service, training staff, controlling costs, and operating as a commercial rather than prestigious enterprise.
2. Road Map
What is Excellence?
What is Organizational Excellence?
Forms of Organizational Excellence
Competitive Excellence
Case Study on Competitive Excellence -
Singapore Airlines
3. Excellence
Excellence means surpassing or outstanding
achievement
E.g. Breaking a record in Olympics, climbing an
unscaled peak, winning a Nobel prize, making
outstanding contribution in his/her field
In the world of mediocrity and incompetence, human
excellence acts like adrenalin
Its not cost free: There is mental and physical effort,
sacrifices made in the pursuit of surpassing
achievement , opportunity forgone
4. Organizational Excellence
Organizations can promote human excellence,
if there is meritocracy, people compete for
promotions and other rewards on the basis of
their good work rather than on the basis of
‘pull’
Organizational design for excellence is largely
a matter of promoting individual and group
level excellence and synchronizing it to
facilitate in achieving organizational level goals
5. Forms of Organizational
Excellence
Competitive
Rejuvenatory
Commitment
Organizational
Excellence
Institutionalis
ed
Missionary Creative
s
Versatile
6. Versatile
Excellence
Commitment to
many
stakeholders
Organizational
Passion for
Excellence
Commitment to
long-run concerns
Commitment to
contribute to an
entity beyond the
organization
Commitment to
few stakeholders
Institutionalized
Excellence
Missionary
Excellence
Commitment to
novel outputs &
ways of operating
Creative
Excellence
Competitive
Rejuvenatory/
Institutionalis
ed
Non – Creative
Excellence
Commitment to familiar
outputs/process
Commitment to
the organization’s
own welfare
Commitment to
short-run
concerns
Competitive
Rejuvenatory/
Institutionalis
ed
Excellence
Competitive excellence
in a competitive field;
Rejuvenatory excellence
in a sickness situation
7. Competitive Organizational
Excellence
A variety of organization compete for clientele i.e.
‘market place’
E.g. Firms, political parties and unions
An even wider variety compete for resources
E.g. Government departments may not compete with
each other for ‘market place’; but they do compete for
government funds.
E.g. Faculties of a University compete for funds.
Universities compete with other universities for faculty
and students
8. Contd...
Competitive excellence becomes critical in
domains where competition for clientele &
resources has a bite to it
It is then that the pressure is build to:
Prioritise sharply
Develop domain-directed strategies
Streamline the organization to control costs
Increase productivity
Coordinate activities effectively
9. Case Study : Singapore Airlines
Owned by the government of Singapore
1969-1979 – Improved its position from being
59th largest in the world to 9th largest, annual
growth of 46%
Profit rose from $28 million in 1977-78 to $105
million in 1981-1982
1980 & 1981- Highest load factor worldwide
10. Contd...
Singapore Airlines was able to ‘win’ because of
following factors
Rapid fleet expansion and modernization. It had youngest airline
fleets to ensure fuel efficiency
Aggressive route development overseas (Singapore is too tiny to
have any air routes within the country)
Adoption of mission of delivering highest quality of customer
service that is safe, reliable and economical
Effective staff training- Spent $30-$40 million a year on T&D
Upgrading and supporting ground service
Lean staff. Labour cost in Singapore airlines were only 16% of
total cost vs 42% for U.S. Carriers
The airline was run as a commercial enterprise rather than as a
prestigious flag carrier