The operating model describes how strategy is translated into day-to-day work. We put five elements in order, starting with the one that slows decisions down the most.
Inputs
- Current organisational structure
- List of the most important decisions from the last quarter
- Contracts with key vendors
Process
- 01Teams and rolesTeam structure and accountability for results.
- 02Decision rightsWho decides on the roadmap, budget and priorities, who advises, and who is informed.
- 03Review cycleQuarterly goals, a weekly review in teams and a monthly board review.
- 04Vendors and SLAsSelection criteria, contracts with a measurable SLA, review schedule.
- 05CapabilitiesCapability gaps, including in AI, and a plan to close them.
Example application
In a SaaS company with 1–49 employees, most decisions in the last quarter required the CEO's involvement. The decision map hands roadmap priorities to the head of product, with an escalation threshold for any change to a quarterly goal, and the calendar includes a weekly review in teams and a monthly board review.
An illustrative scenario showing how the method works.
Diagnostic questions
- How many decisions in the last quarter required the CEO's involvement?
- Does every quarterly goal have a single owner?
- Which SLA terms were enforced in the last year?
Which established models is the method based on?
The Operating Model combines elements of proven models with implementation practice. Source models are listed with their authors; the method description is Lemur Media's own work.
| Model | Author and year | What we use |
|---|---|---|
| RAPID | Paul Rogers, Marcia Blenko (Bain & Company), Harvard Business Review, 2006 | Roles in decision-making |
| Team Topologies | Matthew Skelton, Manuel Pais, 2019 | Team types and interaction modes |
| OKR | Andy Grove, John Doerr | Quarterly team goals |
Deliverables
- Target structure and decision rights
- Review calendar
- Capability plan
Limitations of the method
The method covers product, technology and data. It does not replace designing the company's entire organisational structure.