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I.

The underlying issues of the article/case. Business Excellence (BE) is about developing and strengthening the

management systems and processes of an organization to improve performance and create value for stakeholders. BE is much more than having a quality system in place. BE is about achieving excellence in everything that an organization does (including leadership, strategy, customer focus, information management, people and processes) and most importantly achieving superior business results. In order to achieve such results various business models or quality award models are used like Deming, Baldrige, Australian, BEM, etc. In this article The role of the business excellence model in operational and strategic decision making by Denis Leonard & Rodney McAdam, the quality award model which is Business Excellence Model (BEM) of European Foundation for Quality Management (EFQM) is given focused or being studied upon. Business Excellence Model (BEM) is a widely used framework that helps companies to review their performance and practices in a number of areas and identify targets and actions for improvement. It is a benchmarking and audit framework originally developed in the European Foundation for Quality Management (EFQM). The EFQM Excellence Models reflects the way in which successful organizations can develop a winning formula to achieve competitive advantage.

As Ive run through the article several issues are shown in relation to quality award models specifically BEM which are as follows:

1. Using Business Excellence Model (BEM) clearly omits the key determinants of success like marketing, strategic positioning, and organizational design. 2. Innovation is a result or a precept of the model itself. 3. BEM is one to two years outdated. 4. BEM is more on operational decision making than strategic decision making. 5. How BEM is used within the organization and how did it increased the benefits of the organization? and; 6. All quality award models (BEM, Baldrige, Deming,

Australian,etc.) are not generic business models or corporate strategic blueprints of success. In general, all models are not a complete award for corporate excellence.

I.

Findings of the article. In order to achieve the aim of this article which is to determine the

managements thinking on how the Business Excellence Model (BEM) is used within the organization and to determine how organizations can increase the benefits of using the model, the researchers used inductive research method

called Ground Theory. With the use of this method, the article provided the following findings to satisfy their aim or goal. BEM is a structured approach to business improvement. 1. BEM provides a framework and co-coordinating basis from which an organization can actually plug in various tools, techniques, improvement projects that are planned or underway in an organization. 2. BEM offers structured approach to examine business

improvements. 3. BEM is a non-strategic level it does not include so much to markets which drives the company to strategic terms. It is more tactical or operational in nature. 4. The BEM is used as a conceptual framework at senior management level through which improvement activities can be coordinated and implemented in a structured manner. BEM is a method of assessment and measurement. 1. It is linked to conceptual approach wherein the organization needs to identify key factors by which the initiatives can be monitored and measured. 2. It is the operational level that is the real driver of the model in practice.

3. The model creates an opportunity to assess and create benchmark itself in a company. BEM is a mechanism to structure and deliver planning: translating strategy at tactical level. 1. It does not influence the structure of the organization but these structures are merged to BEM. 2. It is a framework for the organizations structure and the mechanism for doing strategic planning. 3. It is a means of translating the strategy into achievable activities. 4. It is also used within the organization at a tactical level, a position at which it co-ordinates and guides the initiatives and activities to fulfill the corporate strategy. A grounded model of BEM for operational or strategic decision making. The grounded model pointed out the various functions and applications of BEM in the three organizational levels which are strategic level, tactical level and operational level. 1. At strategic level, BEM was used as conceptual framework for overviewing the organization and a tool for senior management to perceive effectiveness of TQM related initiatives in the organization. It is not used as a strategic driver.

2. At tactical level, the strategic goals obtained are being allocated and determined of how they can be achieved or planned. At this level the structured benefits of BEM are applied and become apparent and at this level the BEM is most effectively used. 3. At operational level, BEM considered to it as the main part of its application in terms of the planning being put into practice and where the results are made or lost.

II.

Relevance to the existing body of knowledge based on the article. The role of Business Excellence Models (BEM) in strategic and

operational decision making is widely used in big and prestigious companies nowadays. It is used by some organizations for continuous self-assessment as a driver of continuous improvement, for designing and managing a performance measurement system, strategy formulation, visioning, project management, supplier management, etc. In Strategic Decision Making or Planning, BEM is a useful tool for strategy formulation. Strategic decision making, or strategic planning, describes the process of creating a company's mission and objectives and deciding upon the courses of action a company should pursue to achieve those goals (Hamel & Media). With BEM, it provides a comprehensive assessment of organizational performance. This then provides the raw data for launching, and resourcing, the strategic initiatives that drive success against the critical few strategic objectives found on the organizations Strategy Map.

In Operational Decision Making or Planning, BEM examines how organization designs, manages, and improves its work systems and work processes to deliver customer value and achieve organizational success and sustainability. Thus designed model is used as a self-assessment tool, which enables a comprehensive, systematic and regular review of an organizations activities and results. In addition to its relevance, BEMs help organizations to assess their strengths and areas for improvement and guide them on what to do next. BEMs provide senior managers with a holistic method with which to manage their business and get buy-in to key decisions that will lead to sustainable and measurable success. In a sense, the BEMs serve as the organizations own internal business consultant ensuring that business decisions incorporate the needs of all stakeholders, are aligned to the organizations objectives and take into account current thought on international best practices.

III.

Your own assessment or opinion of the article. This article introduced new knowledge or information for me as a student

engaged in a business related course. It informed me about things and tools that can improve the business or an organization as a whole in order to assess strengths and determine the areas of improvement in order to have sustainable success within the organization. This article opened new information and does not limit my understanding in the business world, hence

it widened my ideas about such things necessary to business excellence and improvement. As to technicality aspects, the article showed various issues about the quality award models specifically on Business Excellence Model of European Foundation for Quality Management (EFQM), however some of the issues presented were not completely answered by the findings and results obtained. But besides all of that, the article conveyed many use and applications of BEM in all organizational levels (strategic, tactical, and operational level), the information gathered were clearly presented and explained. Thus provides better understanding and comprehension about the topics and issues presented. In general, the article gives me the idea about Quality Award Models specifically BEM (Business Excellence Model) and how it is used and how it contributed excellence within the organization. The findings of the article showed a lot of advantages and uses of BEM and because of this it helped me to understand better what the article is all about. The article contained pieces of information from various users, acquired facts and opinion from them and lump it into a generalized body of material information. In addition the article brought to me the existence of Quality Award Models, how it is used and what it contributes to an entity as a whole. Research indicates that organizations with a business excellence approach obtain significant benefits. Beyond improvement in financial indicators, other

benefits include enhanced innovation and idea generation, customer satisfaction, organizational growth (employees), employee satisfaction and involvement, efficiency and effectiveness and product reliability. When used as a basis for an organizations improvement culture, the business excellence criteria within the models broadly channel and encourage the use of best practices into areas where their effect will be most beneficial to performance. When used simply for self-assessment the 'criteria' can clearly identify strong and weak areas of management practice so that tools such

as benchmarking can be used to identify best-practice to enable the gaps to be closed. These critical links between business excellence models, best practice, and benchmarking are fundamental to the success of the models as tools of continuous improvement. (www.bpir.com). But despite of all the strengths, weaknesses also exist. Of all the strengths provided by the Quality Award Models such as BEM, there are also corresponding weaknesses like its strategic implementation as what the article says, and in addition to that based on what Ive researched are the following, no focus / priorities, criteria are not specific within the company/no possibility for differentiation, not suitable for enterprise communication, tendency to bureaucracy, absence of guidelines how to design and conduct effective performance measurement. Thus as what Ive understood BEM or other quality models does not provide absolute success or excellence in the organization. BEM and other quality models only provides criteria and responding with the organizations practices or results to give enlightenment

relating to what the organization should be considering. The models do not give specific advice on how to improve performance. Therefore, the success or excellence of the organization is left up to the user of the model to find ways to improve in the areas identified. In general, in todays competitive global marketplace, excellence is not an option; it is essential to success. Thus with this article it is conclusive that BEM and other quality award models are tools for success, its our need to apply and use it in order to provide a framework for us that will guide us to the steps of excellence and success of the organization which is left in our hands.

IV.

Potential for future research for the Philippine setting. Business Excellence Model can be used in business firms, schools,

hospitals, public safety services, local government institution, etc. which provides these entities with common management terminology and tools, thus facilitating the sharing of best practices among entities of different sectors (Ray,2003). With the existence of this article we can also conduct studies or researches of the use of BEM in the Philippine setting. Through this article wherein the functions and use of BEM are being summarized, we can use this as one of the main reference to assess the use, function and applicability of BEM in the Philippine setting. Philippines as one of the growing economy in the world, urbanization and industrialization of many areas on it are apparent. Growing businesses,

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improved schools and health institutions, etc. are some of the clear evidence of our growing economy. Since business entities is everywhere,

improvements or achieving success is one of their aim not only in one level of an organizational structure but to satisfy all the levels. Thus, one of the tools that can be use is the Business Excellence Model (BEM) which helps the entities assess their progress to excellence and continuous improvement. These concepts are expressed and specified in nine criteria that are divided into five key implementation factors or enablers and four results in order to measure excellence (Calvo-Mora et al., 2005). Among the five enabling activities the model included: leadership, people, policy & strategy, partnership & resources and processes. The enablers drive the four sets of results: people, customer, society and key performance results. There are numerous BEMs used in Asia. Asian countries and member countries of the APO with business excellence awards are China, Fiji, India, Indonesia, Iran, Japan, Korea, Malaysia, Mongolia, Nepal, Pakistan, Philippines, Republic of China, Singapore, Sri-Lanka, Thailand, and Vietnam. The most common model in Asia is the Baldrige Criteria for Performance Excellence. Moreover, the criteria being satisfied by the Philippines in 2011 using Baldrige includes leadership, strategic planning, operations focus, customer focus, measurement, analysis, and knowledge management, workforce focus and results. The information sited above is based on the research conducted in 2011 about Understanding Business Excellence

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(Mann,Mohammad,et.al). It showed the applicability of Quality Award Model in the Philippine setting. In addition, Quality Award Models as being tackled in this article which like the Baldrige Model is being adopted and patterned by the Philippines through the enactment of R.A No. 9013 which is the Philippine Quality Award (PQA). It was being established to promote international competitiveness and continuous improvement among private and public sector enterprises along the quality management principles (Sibal, 2008). The article maybe used as being a potential reference for research in the Philippine setting, with the knowledge it conveyed of such quality award models and the facts and opinions it collected from various users. In country like the Philippines, where the level of corruption in public service is high from the perceptions of its constituents, the application of quality management philosophy and employee participation in improving the quality of government service is a necessary agenda (Sibal, 2008). Hence, improving quality management as one of the goal and criteria in the Business Excellence Model can be used in order to achieve and assess the management and to assure its quality within the organization and its employee. In connection to that the usefulness and the application of BEM in the Philippine setting can be used as a potential research to assess the level of usefulness, applicability and efficiency of Business Excellence Model.

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V.

References.

Online Sources: Striteska,M. & Spickova,M., Measurement Studies, 2012. (2012).Review Systems. Retrieved and of Comparison of

Performance Management

Journal on

Organizational 10,2012,

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from,http://www.ibimapublishing.com/journals/JOMS/2012/114900/ 114900.pdf Using the EFQM Excellence Model. Retrived on November 9,2012 from,http://www.sixdc.com/globalcn/files/Global%20Business%20E xcellence%20Snapshot%20Guide.pdf Understanding Business Excellence, Retrieved on November 9, 2012 from http://www.apo-tokyo.org/coe/files/Understanding-BusinessExcellence.pdf Business Excellence Framework . Retrieved on November 10,2012 from,http://www.spring.gov.sg/QualityStandards/be/Documents/BE _Framework.pdf Development of a Business Excellence Model of Safety Culture. Retrieved on November 10,2012 from,http://www.hse.gov.uk/research/nuclear/safetycult.pdf.

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Leonard,D. & McAdam,R. The role of Business Excellence Models in strategic and operational decision making. Management Decision, 2002. USING THE EFQM EXCELLENCE MODEL. Retrieved on November 9,2012 from,http://www.itq.ch/pdf/Using_the_EFQM_Excellence.pdf Retrieved on November 10,2012 from http://www.fkm.utm.my/~shari/download/Business_Excellence_Mod el.pdf A DuPont Integrated Systems Approach. Retrieved on November 9,2012 from http://www2.dupont.com/Consulting_Services/pt_BR/assets/downlo ads/OP%20E_White%20Paper_FINAL_12%2014%2005.pdf Books: Sibal, Jorge V.,(2008),Human Resource Development, Industrial Relations Central Book 147. Pearce & Robison, (2005), Strategic Management: Formulation, Management, Implementation and Control, 9th Edition, McGraw-Hill Companies, Inc., New York, p.4. Dias & Shah, (2009), Introduction to Business , McGraw-Hill Companies, Inc., New York, p.193. and Management in the Philippine Setting: A GuideBook, Supply, Inc., Quezon Avenue, Quezon City, pp. 146-