A comprehensive strategy for globally integrated operations

Purpose – To aid business leaders struggling to implement global integration, IBM Consulting developed an “R‐O‐I Framework” that emphasizes repeatable processes, optimized assets and integrated operations, all on a global basis. This paper aims to look at this framework. Design/methodology/approach – The researchers first examined data from and IBM 2008 CEO Study (more than a 1,000 respondents), and then selected 20 best practice cases to identify patterns among strategies that strong global integrators were using. Findings – The IBM approach has identified three elements of the R‐O‐I framework that must be addressed concurrently: repeatable processes – eliminating inefficiency, optimizing effectiveness, and managing exceptions; optimized assets – managing core versus non‐core activities, optimizing locations and establishing virtual operations; and integrated operations – Optimizing global competencies via partnering and managing end‐to‐end processes on a global basis. Practical implications – In concert with the R‐O‐I elements, three additional elements underpin the global integration transformation process and serve as the foundation that enables globally integrated operations: leadership, organization and technology. Originality/value – The final step to global integration is managing on a global basis for every process from end‐to‐end, within and beyond company walls. Key to this is a systems view of global operations, with tools and methodologies in place to continually monitor end‐to‐end processes while adjusting to changes wherever and whenever they arise, while maintaining a continual focus on global optimization.