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We are often asked if continuous improvement and operational excellence are the same. They are not, but they are closely related. Continuous improvement involves constantly improving your business processes to reduce waste, cut costs, improve quality, and maximize human potential. It focuses on making each existing process perfect. Operational excellence goes further. It involves setting the organization up for growth by understanding what the market wants and creating an uninterrupted value stream that continuously feeds the need.
It is essential to understand the difference between these two complementary paradigms that guide business operations management so that you can apply elements of both to streamline operations and achieve your most critical strategic goals.