Target Operating Model - Free Template
A target operating model connects what your organisation exists to do with how it creates value. This toolkit walks you through the cascade - from purpose through the people you serve, the services you deliver, and the work that makes delivery happen - giving you a structured way to design or redesign your operating model. Use it to test alignment between strategy and delivery, identify where the gaps are, and design the mechanism that closes them.
Based on our full guide to the Target Operating Model.
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What's in this Target Operating Model template
- The target operating model cascade diagram showing the four-stage value-creation flow from purpose to delivery, with operating infrastructure and climate
- A summary card with the model's key elements, practical steps for using it, and common pitfalls
- A quick-start reference for designing your TOM - from defining purpose and value through to mapping processes and infrastructure
Tips for using it
- Start with both poles: define purpose and value first. Everything in between is the mechanism that connects them.
- Map the current state before designing the target. The gap between them is where the real work lives.
- Test for alignment by tracing any activity backwards through the cascade. If the chain breaks, you have found a problem.
- Do not underestimate climate. Two identical operating designs produce different results depending on the culture they operate in.
Organisational Design
If your leadership team is questioning whether the current operating model can deliver the next phase of strategy, that is often where we start - with a structured assessment of the cascade from purpose to delivery, and the design choices that would close the gap.
Organisational Alignment During Restructuring
When a global payments company prepared for independence, the challenge wasn't rebranding - it was building organisational coherence across six departments that had never needed to work as one.
Read the case study →
