Applicants’ Guide No.

The Excellence Model

Sheikh Khalifa Excellence Award (SKEA)

SKEA E.M. / 1R

1nd Run - 2016

Publisher: Abu Dhabi Chamber of Commerce & Industry (ADCCI)

Copyright © Abu Dhabi Chamber

Abu Dhabi Chamber of Commerce & Industry PO Box: 662, Abu Dhabi U.A.E ‫ اإلمارات العربية المتحدة‬،‫ أبوظبي‬،662 ‫ب‬.‫غرفة تجارة وصناعة أبوظبي ص‬
: +971 2 621 4000 : +971 2 621 5867 : contact.us@adcci.gov.ae : www.abudhabichamber.ae
This guide is based on the European Foundation for Quality Management (EFQM) Model 2013. SKEA
acknowledges that the EFQM Excellence Model is the sole property of the EFQM.

This guide is extracted from EFQM publications, which SKEA has prepared to help spread awareness and
encourage implementation.

For Further Information:

P.O. Box : 662, Abu Dhabi, United Arab Emirates
Tel : +971 2 6177 552 / 533 / 531 / 484
Fax : +971 2 6177077
Email: info@skea.ae
www.skea.ae
Table of Contents

Introduction.............................................................7

The Need for a Model.............................................8

The SKEA Model......................................................9

The Fundamental Concepts of Excellence.........11

The Criteria............................................................15

RADAR....................................................................23

Scoring for the Award..........................................29

Glossary.................................................................32
 SKEA - The Model 7

Introduction
This is the latest version of the Sheikh Khalifa Excellence Award’s (SKEA) Model and criteria guidance manual. It
is intended to be for people from all sectors of the economy with one thing in common – they wish to improve
their performance through participating in the award program and the implementation of the SKEA Model as
a framework for such an improvement. No need for any prior knowledge or experience in Business Excellence
to understand this manual and use it to the benefit of your organization and to properly prepare submission
documents.

This SKEA Model and criteria manual should be read in conjunction with other publications from the award’s
office, which were prepared by the Award’s office to render further support for all applicants from different
sectors of the economy.

The Applicants’guide goes some way in explaining applicants’ role in participating in the award programme. It also
offers clear guidance on how to prepare the submission documents according to the outlines of the SKEA office.

Although the guidance notes offer deep insight into the SKEA Process, they are by no means sufficient and
applicants are strongly advised to pursue other ways to learn more about the SKEA Model via attending training
seminars and other ways that are available through the Award’s office at the Abu Dhabi Chamber of Commerce
and Industry.

Prof. Hadi El Tigani

SKEA General Coordinator
Sheikh Khalifa Excellence Award’s Office
Abu Dhabi Chamber of Commerce & Industry
8 SKEA - The Model

The Need for a Model

Regardless of sector, size, structure or maturity, organisations need to establish an appropriate management
framework to be successful. The EFQM Excellence Model is a practical, non-prescriptive framework that enables
organisations to:

✯ Assess where they are on the path to excellence; helping them to understand their key strengths and potential
gaps in relation to their stated Vision and Mission.

✯ Provide a common vocabulary and way of thinking about the organisation that facilitates the effective
communication of ideas, both within and outside the organisation.

✯ Integrate existing and planned initiatives, removing duplication and identifying gaps.

✯ Provide a basic structure for the organisation’s management system.

Whilst there are numerous management tools and techniques commonly used, the EFQM Excellence Model
provides an holistic view of the organisation and it can be used to determine how these different methods fit
together and complement each other. The Model can therefore be used in conjunction with any number of
these tools, based on the needs and function of the organisation, as an overarching framework for developing
sustainable excellence.
 SKEA - The Model 9

The SKEA Model

The model is comprised of three integrated components:

The Fundamental Concepts of Excellence:

Adding Value for Customers
Sustaining Outstanding Results

Creating a Sustainable Future

The underlying principles which

are the essential foundation of Succeeding through the
Talent of People
achieving sustainable excellence Developing Organisational
for any organisation. Capability

Managing with Agility

Harnessing Creativity & Innovation

Leading with Vision, Inspiration & Integrity

The EFQM Excellence Model

Enablers Results

Leadership People Processes, People Results Business Results

Products &
Services
A framework to help organisations
Strategy Customer Results
convert the Fundamental Concepts and
RADAR logic into practice.
Partnerships & Society Results
Resources

Learning, Creativity and Innovation

RADAR logic
Plan and develop
APPROACHES

A dynamic assessment framework and powerful management

tool that provides the backbone to support an organisation Required DEPLOY
RESULTS Approaches
as it addresses the challenges it must overcome if it is to
realise its aspiration to achieve sustainable excellence.
ASSESS AND REFINE
Approaches and deployment
Fundamental Concepts
of Excellence
12 SKEA - The Model

Fundamental Concepts of Excellence

Adding Value for Customers

Sustaining Outstanding Results

Creating a Sustainable Future

Succeeding through the

Talent of People

Developing Organisational
Capability

Managing with Agility

Harnessing Creativity & Innovation

Leading with Vision, Inspiration & Integrity

Adding Value for Customers

Excellent organisations consistently add value for customers by understanding, anticipating and fulfilling needs,
expectations and opportunities.

Creating a Sustainable Future

Excellent organisations have a positive impact on the world around them by enhancing their performance
whilst simultaneously advancing the economic, environmental and social conditions within the communities
they touch.

Developing Organisational Capability

Excellent organisations enhance their capabilities by effectively managing change within and beyond the
organisational boundaries.
 SKEA - The Model 13

Harnessing Creativity & Innovation

Excellent organisations generate increased value and levels of performance through continual improvement
and systematic innovation by harnessing the creativity of their stakeholders.

Leading with Vision, Inspiration & Integrity

Excellent organisations have leaders who shape the future and make it happen, acting as role models for its
values and ethics.

Managing with Agility

Excellent organisations are widely recognised for their ability to identify and respond effectively and efficiently
to opportunities and threats.

Succeeding through the Talent of People

Excellent organisations value their people and create a culture of empowerment for the achievement of both
organisational and personal goals.

Sustaining Outstanding Results

Excellent organisations achieve sustained outstanding results that meet both the short and long term needs of
all their stakeholders, within the context of their operating environment.
The Criteria
16 SKEA - The Model

The Criteria

Enablers Results

Leadership People Processes, People Results Business Results

Products &
Services

Strategy Customer Results

Partnerships & Society Results

Resources

Learning, Creativity and Innovation

The EFQM Excellence Model represented is a non-prescriptive framework based on nine criteria; five of these are
‘Enablers’ and four are ‘Results’.

The ‘Enabler’ criteria cover what an organisation does and how it does it.

The ‘Results’ criteria cover what an organisation achieves.

‘Results’ are caused by ‘Enablers’ and ‘Enablers’ are improved using feedback from ‘Results’.

The arrows emphasise the dynamic nature of the Model, showing learning, creativity and innovation helping to
improve the Enablers that in turn lead to improved Results.
 SKEA - The Model 17

1. Leadership
Excellent organisations have leaders who shape the future and make it happen, acting as role models for its
values and ethics and inspiring trust at all times. They are flexible, enabling the organisation to anticipate and
react in a timely manner to ensure the on-going success of the organisation.

✯ 1a. Leaders develop the mission, vision, values and ethics and act as role models.
✯ 1b. Leaders define, monitor, review and drive the improvement of the organisation’s management system and
performance.
✯ 1c. Leaders engage with external stakeholders.
✯ 1d. Leaders reinforce a culture of excellence with the organisation’s people.
✯ 1e. Leaders ensure that the organisation is flexible and manages change effectively.

2. Strategy
Excellent organisations implement their Mission and Vision by developing a stakeholder focused strategy. Policies,
plans, objectives and processes are developed and deployed to deliver the strategy.

✯ 2a. Strategy is based on understanding the needs and expectations of both stakeholders and the external
environment.
✯ 2b. Strategy is based on understanding internal performance and capabilities.
✯ 2c. Strategy and supporting policies are developed, reviewed and updated.
✯ 2d. Strategy and supporting policies are communicated, implemented and monitored.
18 SKEA - The Model

3. People
Excellent organisations value their people and create a culture that allows the mutually beneficial achievement
of organisational and personal goals. They develop the capabilities of their people and promote fairness and
equality. They care for, communicate, reward and recognise, in a way that motivates people, builds commitment
and enables them to use their skills and knowledge for the benefit of the organisation.

✯ 3a. People plans support the organisation’s strategy.

✯ 3b. People’s knowledge and capabilities are developed.
✯ 3c. People are aligned, involved and empowered.
✯ 3d. People communicate effectively throughout the organisation.
✯ 3e. People are rewarded, recognised and cared for.

4. Partnerships & Resources

Excellent organisations plan and manage external partnerships, suppliers and internal resources in order to support
their strategy, policies and the effective operation of processes. They ensure that they effectively manage their
environmental and societal impact.

✯ 4a. Partners and suppliers are managed for sustainable benefit.

✯ 4b. Finances are managed to secure sustained success.
✯ 4c. Buildings, equipment, materials and natural resources are managed in a sustainable way.
✯ 4d. Technology is managed to support the delivery of strategy.
✯ 4e. Information and knowledge are managed to support effective decision making and to build the organisation’s
capability.

5. Processes, Products & Services

Excellent organisations design, manage and improve processes, products and services to generate increasing
value for customers and other stakeholders.

✯ 5a. Processes are designed and managed to optimise stakeholder value.

✯ 5b. Products and services are developed to create optimum value for customers.
✯ 5c. Products and services are effectively promoted and marketed.
✯ 5d. Products and services are produced, delivered and managed.
✯ 5e. Customer relationships are managed and enhanced.
 SKEA - The Model 19

6. Customer Results
Excellent organisations achieve and sustain outstanding results that meet or exceed the needs and expectations
of their customers.

6a. Perceptions
These are the customers’ perceptions of the organisation. These may be obtained from a number of sources,
including surveys, focus groups, ratings, compliments and complaints. These perceptions should give a clear
understanding of the effectiveness, from the customers’ perspective, of the deployment and outcomes of the
organisation’s customer strategy, supporting policies and processes.
Measures Could Include Perceptions of:
✯ Reputation and image
✯ Product and service value
✯ Product and service delivery
✯ Customer service, relationship and support
✯ Customer loyalty and engagement

6b. Performance Indicators

These are the internal measures used by the organisation in order to monitor, understand, predict and improve
the performance of the organisation and to predict their impact on the perceptions of its customers. These
indicators should give a clear understanding of the deployment and impact of the organisation’s customer
strategy, supporting policies and processes.
Measures Could Include Performance Indicators on:
✯ Product and service delivery
✯ Customer service, relationships and support
✯ Complaints handling
✯ Involvement of customers and partners in the design of products, processes, etc.
20 SKEA - The Model

7. People Results
Excellent organisations achieve and sustain outstanding results that meet or exceed the needs and expectations
of their people.

7a. Perceptions
These are the people’s perception of the organisation. These may be obtained from a number of sources, including
surveys, focus groups, interviews and structured appraisals. These perceptions should give a clear understanding
of the effectiveness, from the people’s perspective of the deployment and outcomes of the organisation’s people
strategy and supporting policies and processes.
Measures Could Include Perceptions of:
✯ Satisfaction, involvement and engagement
✯ Motivation and empowerment
✯ Leadership and management
✯ Competency and performance management
✯ Training and career development
✯ Effective communications
✯ Working conditions

7b. Performance Indicators

These are the internal measures used by the organisation in order to monitor, understand, predict and improve
the performance of the organisation’s people and to predict their impact on perceptions. These indicators should
give a clear understanding of the deployment and impact of the organisation’s people strategy and supporting
policies and processes.
Measures Could Include Performance Indicators on:
✯ Involvement and engagement activities
✯ Competency and performance management activities
✯ Leadership performance
✯ Training and career development activities
✯ Internal communications
 SKEA - The Model 21

8. Society Results
Excellent organisations achieve and sustain outstanding results that meet or exceed the needs and expectations
of relevant stakeholders within society.

8a. Perceptions
This is society’s perception of the organisation. This may be obtained from a number of sources, including
surveys, reports, press articles, public meetings, Non-Governmental Organisations, public representatives and
governmental authorities. These perceptions should give a clear understanding of the effectiveness, from
society’s perspective of the deployment and outcomes of the organisation’s societal and environmental strategy
and supporting policies and processes.
Measures Could Include Perceptions of:
✯ Environmental impact
✯ Image and reputation
✯ Societal impact
✯ Workplace impact
✯ Awards and media coverage

8b. Performance Indicators

These are the internal measures used by the organisation in order to monitor, understand, predict and improve the
performance of the organisation and to predict their impact on the perceptions of the relevant stakeholder within
society. These indicators should give a clear understanding of the deployment and impact of the organisation’s
societal and environmental strategy and supporting policies and processes.
Measures Could Include Performance Indicators on:
✯ Environmental, economic and societal activities
✯ Regulatory and governance compliance
✯ Health and safety performance
✯ Responsible sourcing and procurement performance
22 SKEA - The Model

9. Business Results
Excellent organisations achieve and sustain outstanding results that meet or exceed the needs and expectations
of their business stakeholders.

9a. Business Outcomes

These are the key financial and non-financial business outcomes which demonstrate the success of the
organisation’s deployment of their strategy. The set of measures and relevant targets will be defined and agreed
with the business stakeholders.
Measures Could Include Perceptions of:
✯ Financial outcomes
✯ Business stakeholder perceptions
✯ Performance against budget
✯ Volume of key products or services delivered
✯ Key process outcomes

9b. Business Performance Indicators

These are the key financial and non-financial business indicators that are used to measure the organisation’s
operational performance. They help monitor, understand, predict and improve the organisation’s likely business
outcomes.
Measures Could Include Performance Indicators on:
✯ Financial indicators
✯ Project costs
✯ Key process performance indicators
✯ Partner and supplier performance
✯ Technology, information and knowledge
 SKEA - The Model 23

RADAR
24 SKEA - The Model

RADAR

Plan and develop

APPROACHES

Required DEPLOY
RESULTS Approaches

ASSESS AND REFINE

Approaches and deployment

The RADAR logic is a dynamic assessment framework and powerful management tool that provides a
structured approach to questioning the performance of an organisation.

At the highest level, RADAR logic states that an organisation needs to:

✯ Determine the Results it is aiming to achieve as part of its strategy.

✯ Plan and develop an integrated set of sound Approaches to deliver the required results both now and
in the future.
✯ Deploy the approaches in a systematic way to ensure implementation.
✯ Assess and refine the deployed approaches based on monitoring and analysis of the results achieved
and ongoing learning activities.
 SKEA - The Model 25

To help support robust analysis, the RADAR elements can be broken down into a series of attributes, shown
below:

Analysis of Enablers
Elements Attributes Guidance
The approaches have a clear rationale, based on the
Sound relevant stakeholder needs, and are process based.
Approach
The approaches support strategy and are linked to
Integrated other relevant approaches.
The approaches are implemented in relevant areas, in
Implemented a timely manner.
Deployment
The execution is structured and enables flexibility
Structured and organisational agility.
The effectiveness and efficiency of the approaches
Measurement and their deployment are appropriately measured.
Learning & creativity is used to generate opportunities
Assessment & Learning & Creativity for improvement or innovation.
Refinement
Outputs from measurement, learning & creativity
Improvement & Innovation are used to evaluate, prioritise and implement
improvements & innovations.

Analysis of Results
Elements Attributes Guidance
A coherent set of results, including key results, are
identified that demonstrate the performance of
Scope & Relevance the organisation in terms of its strategy, objectives
and the needs and expectations of the relevant
Relevance & Usability stakeholders.
Integrity Results are timely, reliable & accurate.
Results are appropriately segmented to provide
Segmentation meaningful insights.
Positive trends or sustained good performance over
Trends at least 3 years.
Relevant targets are set and consistently achieved for
Targets the key results, in line with the strategic goals.

Performance Relevant external comparisons are made and are

Comparisons favourable for the key results, in line with the
strategic goals.
There is confidence that performance levels will be
Confidence sustained into the future, based on established cause
& effect relationships.
26 SKEA - The Model

RADAR for Enablers

The Enabler matrix is used to support the analysis of the approaches within the five Enabler criteria.

Applying the Enablers Matrix

✯ Based on all the evidence available, apply the Enabler RADAR to the set of approaches adopted.
✯ RADAR contains guidance on what we expect the organisation to demonstrate.
✯ The overall score should not exceed that of the approaches adopted. For example, if the approaches are not
sound or do not fully cover the criterion part being assessed, no matter how well all other attributes have been
scored, the score given will be limited to that given to the soundness of the approaches.

Recognised
Unable to Limited ability Able to Fully able to
Attributes Guidance as Global
demonstrate to demonstrate demonstrate demonstrate
Role Model

The approach have a clear

rationale, based on the
Sound relevant stakeholder needs, and
are process
Approach based.

The approaches support strategy

Integrated and are linked
to other relevant approaches.

The approaches are implemented

Implemented in relevant
areas, in a timely manner.
Deployment
The execution is structured and
Structured enables flexibility
and organisational agility.

The effectiveness & efficiency

of the
Measurement approaches and their
deployment are
appropriately measured.

Learning & creativity is used to

Assessment & Learning & generate
Refinement Creativity opportunities for improvement
or innovation.

Outputs from measurement,

learning & creativity
Improvement &
are used to evaluate, prioritise
Innovation
and implement
improvements & innovations.

Scale %0 %25 %50 %75 %100

Overall Score
 SKEA - The Model 27

RADAR for Results

The Results matrix is used to support the analysis of the results within the four Results criteria.

Applying the Results Matrix

✯ Based on all the evidence available, apply the Results RADAR to the set of results used.
✯ RADAR contains guidance on what we expect the organisation to demonstrate.
✯ The overall score cannot exceed that of the “Scope and Relevance” of the results available. For example,
if the scope of the results available does not fully cover the criterion part being assessed, in line with the
organisation’s strategic goals, the overall score given will be limited to that given to the “Scope and Relevance”
of the data available.

Recognised
Unable to Limited ability Able to Fully able to
Attributes Guidance as Global
demonstrate to demonstrate demonstrate demonstrate
Role Model

A coherent set of results,

including key results, are
identified that demonstrate the
Scope & performance of the organisation
Relevance in terms of its strategy,
objectives and the needs and
Relevance & expectations of the relevant
Usability stakeholders.

Results are timely, reliable &

Integrity
accurate

Results are properly segmented

Segmentation
to provide meaningful insights

Positive trends or sustained

Trends good performance over at least
3 years

Relevant targets are set and

consistently achieved for the key
Targets
results, in line with the strategic
goals

Performance Relevant external comparisons

are made and are favourable for
Comparisons
the key results, in line with the
strategic goals

There is confidence that

performance levels will be
Confidence sustained into the future, based
on established cause & effect
relationships

Scale %0 %25 %50 %75 %100

Overall Score
Scoring for the Award
30 SKEA - The Model

Scoring for the Award

The RADAR Assessment and Management tool is the evaluation method used to score organisations applying
for the SKEA, EFQM Excellence Award and most national Excellence awards in Europe. It can also be used by
organisations carrying out Self-Assessment and wishing to use a score for benchmarking or other purposes.

The underlying principle for scoring using the RADAR is that when an organisation’s performance improves over
time, their score against the Model will increase. 50% of the points available are allocated to the Enablers and
50% are allocated to the results. This is to ensure the organisation has the capability to sustain this performance
into the future.

When an organisation is scored using the RADAR matrix, weights are given to each of the nine criteria to calculate
the number of points awarded. These weights were established in 1991 as the result of a wide consultation
exercise across Europe. They have been periodically reviewed by EFQM and the diagram below illustrates the
current weightings.
 SKEA - The Model 31

Enablers Results

Leadership People Processes, People Results Business Results

Products &
10% Services 10%

Strategy Customer Results

10% 10% 15% 15%

10%

Partnerships & Society Results

Resources
10% 10%

Learning, Creativity and Innovation

Generally each criterion part is allocated equal weight within that criterion; for example, each of the 5 criterion
parts for Leadership contributes 20% of the 100 points allocated to criterion 1. There are however two exceptions:

✯ Criterion part 6a takes 75% of the points allocated to criterion 6, whilst criterion part 6b takes 25%;
✯ Criterion part 7a takes 75% of the points allocated to criterion 7, whilst criterion part 7b takes 25%.
Each criterion part is assessed using the RADAR matrix and a score agreed. These scores are then combined to
give a score for that criterion. The weighting is then applied to give an overall score from 0 to 1000 points.
32 SKEA - The Model

Glossary
Agility: The organisation’s ability to rapidly and efficiently adapt to changes.

Approach: The overall way by which something is made to happen; an approach comprises of
processes and structured actions within a framework of principles and policies.

Benchmarking: A systematic comparison of approaches with other relevant organisations that gains
insights that will help the organisation to take action to improve its performance.

Business Model: The elements of the business that create and deliver value; these elements normally
include the value proposition, the profit formula, key resources and key processes
of the organisation.

Business Stakeholders: These are the people who provide funding for the organisation; the people who the
Management Team ultimately report to. In companies, this could be the owners,
shareholders or investors. In the public sector, this could be the government,
ministers or politicians.

Capabilities: The quality of being able to turn capacity (see below) into action and results by
accessing relevant knowledge, competence, expertise, resources and processes.

Capacities: A measurement of what can theoretically be achieved, usually expressed in terms of

size, volume or number. In organisations, this often refers to what the theoretical
maximum output is compared to what the actual output is, with the result being
expressed as a percentage.

Change Management: An approach for leading the transition of individuals, teams and organisations from
their current state to a defined, desired future state. It is an organisational process
aimed at helping stakeholders affected to accept and embrace changes in their
business environment.

Comparisons: Data used to compare the performance of one organisation or process with another.

Continual Improvement: The on-going improvement of processes that lead to achievement of higher levels of
performance through incremental change.

Core Competence: A well performed internal activity or capability that is central to the organisation’s
competitiveness, profitability or efficiency.

Corporate Governance: A framework of authority and control within an organisation used to help it fulfil its
legal, financial and ethical obligations.

Creativity: The generation of ideas for new or improved products, services, processes, systems
or social interactions.

Critical success factors: Limited number (usually between 3 to 8) of characteristics, conditions or variables
that have a direct impact on the effectiveness, efficiency and viability of an
organisation, programme or project.

Culture: The specific collection of Values and Norms that are shared by people and groups
in an organisation that control the way they interact with each other and with
stakeholders outside the organisation.
 SKEA - The Model 33

Customer: The recipient of products or services provided by the organisation.

Diversity: The extent to which the people within the organisation recognise, appreciate and
utilise, the characteristics that make individuals unique. Diversity can relate to age,
race, ethnicity, gender, beliefs, physical abilities & sexual orientation.

Employability: A person’s capability for gaining and maintaining employment. The meaning can be
different depending on the perspective taken. For the individual, this could mean
stability or mobility. For the organisation, it could mean flexibility.

Empowerment: The process by which individuals or teams are able to take decision making
responsibilities, and operate with a degree of autonomy in their actions.

Equal opportunity: The practice of ensuring that all people receive fair and equal treatment regardless
of gender, age, race, nationality, religion, disability or sexual orientation.

Fundamental Concepts of Excellence: The set of key and proven principles upon which the EFQM Excellence Model
framework is based.

Good/best practice: Superior approaches, policies, processes or methods that lead to exceptional
achievement. Since it is difficult to find out what is best, the term “good practice” is
preferred by most organisations. Ways to find good practice outside the organisation
can include benchmarking and external learning.

Innovation: The practical translation of ideas into new products, services, processes, systems or
social interactions.

Intellectual Capital: The value of an organisation that is not captured in its traditional financial accounts.
It represents the intangible assets of an organisation and is often the difference
between market and book value.

Key Processes: The processes that are of most important for delivering the strategy and driving the
value chain of the organisation.

Knowledge: Knowledge is expertise and skills acquired by a person through experience and
education, involving the theoretical and/or practical understanding of a subject.
While data are raw facts and information is data with context and perspective,
knowledge is information with guidance/ability for action.

Leaders: The people who coordinate and balance the interests and activities of all who have
a stake in the organisation.

Learning networks: A group of people with a common goal or interest who pool their individual
information, knowledge and experience to actively learn together.

Management System: The framework of processes, related performance/result indicators and process
management and improvement systems used to ensure that the organisation can
fulfil its Mission and Vision.

Mission: A statement that describes the purpose or “raison d’être” of an organisation,

confirmed by its stakeholders.

Mobility: The willingness and capability of people to change their job or the working location.
34 SKEA - The Model

Organisational Agility: The ability to respond and adapt, in a timely way, to an emerging threat or
opportunity.

Organisational Capability: Refers to the ability and capacity of the organisation to achieve specific goals. The
organisation can enhance this capability, for example, through external partnerships
or internal learning & development.

Partner: An external party the organisation strategically chooses to work with, to achieve
common objectives and sustained mutual benefit.

Partnership: A durable working relationship between the organisation and partners, creating and
sharing added value for both parties. Partnerships can be formed e.g. with suppliers,
distributors, educational bodies or customers. Strategic partnerships support the
strategic objectives of the organisation in a particular way.

People: All individuals employed by the organisation (full time, part-time, including
volunteers), including leaders at all levels.

Perception: The opinion stakeholders have of the organisation.

Process: A set of activities that interact with one another because the output from one
activity becomes the input for another activity. Processes add value by transforming
inputs into outputs, using resources.

Products: Commercially distributed goods as a result of a fabrication, manufacturing, or

production process that passes through a distribution channel before being
consumed or used. In a broad sense, products include a wide range of goods, from
commodities to complex installations such as facilities, plants or factories.

Purpose Statement: Used by some organisations instead of either the Mission and / or Vision statements.

Society: The social infrastructure outside the organisation that can be affected by the
organisation.

Stakeholder: Person, group or organisation that has a direct or indirect stake or interest in the
organisation because it can either affect the organisation or be affected by it.
Examples of external stakeholders are owners (shareholders), customers, suppliers,
partners, government agencies and representatives of the community or the society.
Examples for internal stakeholders are people or groups of people. (See also Business
Stakeholders above).

Strategy: A high level plan describing the tactics by which an organisation intends to achieve
its Mission and Vision, that are subsequently translated into aligned strategic goals
and objectives reflecting what the organisation has to do.

Value Proposition: The differentiating value the organisation’s products and services offer to customers.

Values: Operating philosophies or principles that guide an organisation’s internal conduct as

well as its relationship with the external world. Values provide guidance for people
on what is good or desirable and what is not. They exert major influence on the
behaviour of individuals and teams and serve as broad guidelines in all situations.

Vision: Description of what the organisation is attempting to achieve in the long-term

future. It is intended to serve as a clear guide for choosing current and future courses
of action and, along with the Mission, it is the basis for strategies and policies.
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