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3 Agile Operating Model

The document discusses the Agile Operating Model and its relationship with strategy, business models, and organizational capabilities. It highlights the importance of a modular capability map that allows organizations, like Amazon, to quickly adapt and redeploy resources in response to challenges. Additionally, it references various articles on operating models and principles to strengthen them.

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Dhruv Agarwal
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12 views11 pages

3 Agile Operating Model

The document discusses the Agile Operating Model and its relationship with strategy, business models, and organizational capabilities. It highlights the importance of a modular capability map that allows organizations, like Amazon, to quickly adapt and redeploy resources in response to challenges. Additionally, it references various articles on operating models and principles to strengthen them.

Uploaded by

Dhruv Agarwal
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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Agile Operating Model

(relationship with Strategy, business model and other


business entities)
Operating Model: discuss articles

Article: Architecting an operating model


https://www2.deloitte.com/content/dam/insights/us/articles/5078_architecting-an-operating-
model/DI_architecting-an-operating-model.pdf

Article: What is an operating model? Indeed.com


https://www.indeed.com/career-advice/career-development/what-is-operating-model

Article: McKinsey: How COVID-19 is redefining the next-normal operating


model

Article: Can your operating model drive more than one business model?
https://www.accenture.com/us-en/blogs/business-functions-blog/can-your-operating-
model-drive-more-than-one-business-model
Operating model
Operating model
A capability map represents where an organization generates value
Organization’s Capabilities
Capabilities can be configured in 4 ways
Principles to strengthen the Operating model
Blueprint for DX
Modular Business Services
Failure or Foresight? How Amazon Turns Setbacks into Capabilities

Experiment What Failed Capability Gained Reused In


Cross-device sync, digital Audible, Prime Video,
Kindle (hardware) Limited hardware success
content delivery Alexa
Voice UI, visual
Poor adoption, app Echo, Alexa, visual search
Fire Phone recognition, device
ecosystem weak in app
integration
Low traction in travel Location data, real-time
Amazon Destinations Amazon Go, local offers
booking inventory
IoT-to-order, 1-click
Alexa Reorder, Smart
Dash Buttons Phased out, not scalable reordering, usage
Replenishment
patterns
Couldn’t compete in food Real-time logistics, local Amazon Fresh, Whole
Amazon Restaurants
delivery operations Foods delivery

Amazon exemplifies nimbleness in its capability map with its highly adaptable service architecture enabling rapid pivots
across industries.
Modular Capability Map Drives Agility

The agility of a modern company comes is largely determined by -


how modular and granular its capability map is -
allowing it to quickly redeploy or scale resources to meet emerging challenges.

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