Pragmatic asserts that every
Enterprise consists of four distinct conceptual parts which a) totally and
completely defines all Enterprises without overlaps or gaps, b) are the most
fundamentally important to the Board and the sustainability of the Enterprise
and c) have different operating models, different cultures, different languages,
different drivers, different mind-sets, different tools, different processes,
different artefacts, etc.
Direction is that part which exists solely to provide
direction and leadership to the rest of the Enterprise. This is where the
C-Suite, Partners and Exec Management team generally sit working on things
like Vision, Mission, Goals, Objectives, Strategies, Tactics, Business Models
and Operating Models.
Operation is that part which exists solely to fulfil that
Enterprises Mission and thereby helping it to fulfil its Vision.
Transformation is that part which exists solely to
transform the Enterprise. If the Enterprise never needed to change, this area
would simply not exist.
Support is that part which exists solely for the purposes
of dealing with problems and issues from the rest of the Enterprise and from
customers and suppliers outside the Enterprise.
Direction tends to be different for some Enterprises, based
on the type of Enterprise - Private, Public, Charity, Partnership, Academic,
Operations tends to different for many Enterprises, based on
what sector they operate within (energy, transportation, financial services, retail,
etc) and then their place within that sector (wholesale gas, train
manufacturing, insurance, grocery store).
Transformation tends to be (or perhaps more importantly can
be) very similar for most Enterprises. Whilst what is being transformed (mostly
the Operations part of an Enterprise) varies from Enterprise to Enterprise, how
that transformation is effected generally does not.
Support tends to be (or perhaps more importantly can be)
very similar from Enterprise to Enterprise, at least the high level structure. Most
Enterprise have an IT Support function where tickets are generated and problems
go through 1st and 2nd line, but most Enterprises also
deal with other types of problems such as when employees have problems with
their holiday entitlements or paychecks. These are problems that deserve to be
handled in the same way as IT problems, where a ticket is raised and managed until
the problem is resolved. Doing so would be much more efficient.
Using DOTS is a very useful way to think about Enterprises
(and perhaps to even physically structure them) because the areas are so
fundamentally different but all are strategically important. No one (currently)
thinks of structuring an Enterprise in this way, but Pragmatic
says there are major benefits in doing so.