An operating model is how an organisation arranges its capabilities, people, decision rights, information, processes, technology and relationships to deliver its purpose and strategy.
It connects what the organisation intends to do with how work actually happens. A sound operating model clarifies how different parts contribute, where decisions are made and how resources and knowledge move across organisational boundaries.
An operating model is not simply an organisational chart or a collection of procedures. Its real test is whether the organisation’s arrangements help people work coherently, respond to changing conditions and learn from consequences.