On this page more about the benefits of an HPO Transformation for your organization. An HPO Transformation gives a comprehensive analysis of the organization’s performance within the HPO Framework, identifying specific areas where performance improvement initiatives will most benefit the organization as a whole.
What is a High Performance Organization (HPO)?
A High Performance Organization (HPO) is one that achieves both financial and non-financial results that are increasingly better than those of its peer group over a period of five years or more, by focusing in a disciplined way on what really matters to the organization. The HPO Framework is the result of over a decade’s research into what really makes a difference to performance.
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THE HPO FRAMEWORK
The HPO framework was developed during a two-phase research project. The first phase involved reviewing over 500 books and academic publications on high performance. The second phase was an extensive testing process in profit, non-profit, and government organizations in 50 different countries. The outcome was a list of 35 characteristics, grouped into 5 distinct HPO factors:
- Management quality
- Openness and action orientation
- Long-term orientation
- Continuous improvement and renewal
- Employee quality
BENEFITS OF BEING AN HPO
Financial Benefits:
- Revenue growth: +4 to 16%
- Profitability: +14 to 44%
- Return On Assets (ROA): +1 to 12%
- Return On Equity (ROE): +9 to 25%
- Return On Investment (ROI): +15 to 26%
- Return On Sales (ROS): +2 to 18%
- Total Shareholder Return: +4 to 42%
Non-Financial Benefits:
- Improved customer satisfaction and loyalty
- Increased employee engagement and satisfaction
- Greater innovation
- Improved reputation
- Improved staff recruitment and retention
- Positive mentality and renewed ‘spirit’
- Greater openness and trust both within the organization and with partners
- More efficiency through improved focus and discipline
HOW DOES THE HPO TRANSFORMATION WORK?
The HPO Transformation consists of three distinct stages:
- HPO Diagnostic: A full HPO diagnosis takes approximately 4 – 6 weeks to complete depending on the size of the organization. It gives a comprehensive analysis of the organization’s performance within the HPO Framework, identifying specific areas where performance improvement initiatives will most benefit the organization.
- HPO Action Plan: Having a clear and defined plan is crucial for a successful HPO journey. This plan should could include the appointment of internal HPO Coaches. When specific and visible HPO interactions become part of the normal way of working, these employees drive a cultural focus on high performance within your organization.
- Delivery – Disciplined Focus: Successful implementation of the HPO Action Plan hinges on disciplined focus and strong leadership. A designated member of the Senior Leadership Team oversees the journey, providing essential support and resources. Additionally, a team of volunteers (HPO Coaches) from various levels within the organization helps drive the HPO culture, ensuring alignment with the HPO Framework.
- Sustainable HPO Progress: After an initial HPO Diagnostic, organizations typically undergo a second assessment between 18-24 months to evaluate progress and identify areas for further improvement. These repeat diagnostics serve as performance benchmarks, help realign organizational focus, and offer an opportunity for celebration and renewed vision.
So don’t wait any longer and discover the benefits of an HPO Transformation for your organization. Take the first step today towards (even) better performance! Contact Marco Schreurs or André de Waal. Or download our HPO-brochure here!