I have worked in organizations that had rigorous operational controls, and those that had, well. None.
For the organizations with zero operational controls, I have always called them a Cowboy Culture.Meaning the wild, wild west of organizations fueled on Red Bull and last minute emergencies.
I have often argued that for organizational success, improving the operational part of your business (even for software startups) can pay huge dividends.
It now seems that some research targeting software development organizations is witnessing the same thing.
Researchers Shanling Li, Jennifer Shang, Sandra A. Slaughter in the INFORMATION SYSTEMS RESEARCH Journal Vol. 21, No. 3, September 2010 write (Parenthesis mine);
Unexpectedly, our results reveal that higher OP (Operations) capability increases software firm survival more than higher MK (Marketing) and RD (Research & Development) capabilities.
The rigor of ensuring that operational excellence is taking place in your organization crosses all functional boundaries. Operational excellence provides the foundation to look at the metrics across all organizational silo’s.
If we look at software development organizations – usually founded by superb engineers, it can be easy to look at engineering excellence. Overlooking everything else. As leaders we need to open up our minds look across our organizations, not within the function we are most comfortable with.
Are Marketing and R&D not important?
Of course they are! But like our human cardiovascular system, the processes and controls that we use to guide and monitor our business are a key point in the building and health of that business.
As a leader, technology leaders included, take a break from the ‘tech’. Look operationally at each and every internal business process. Look carefully where improvements can be made.
As the above article states;
Our findings suggest that the firms that persist and survive over the long term in the dynamic software industry are able to capitalize on their competitive actions because of their greater capabilities, and particularly OP capabilities.
Photo Credit Kevin Zollmanvia flickr