Centre of Excellence

What is a Centre of Excellence?

The formal definition of Centre of Excellence (CoE) is a body in an organization that works with different business units or departments (or different product lines within a particular business area) within the organization and has an expert knowledge and competency in that area i.e. “a place where the highest standards are maintained”.

Why have a CoE?

  • Remain committed to excellence, establish visibility and focus.
  • An organization can eliminate risks by having a CoE.
  • CoE bring flexibility to innovate since they are involved with the day-to-day operations of the organization.
  • Centres of Excellence help in maintaining costs by tracking and controlling them.
  • CoE also help the business in measuring KPIs (Key performance Indexes) and its outcomes or ROIs.

When to have a CoE?

  • When expertise is needed in an area used by multiple departments or units in the business. Centre of Excellence defines the strategy, standards and the architecture for that particular component.
  • When a new skill is needed in the organization. The CoE is responsible for training the existing employees with the skill, hire new talent with that particular skill and build partnerships that can be leveraged.

How to set up a Centre of Excellence?

  • Define Strategy and Vision – Find the reason of establishing a CoE, the goals and the scope.
  • Funding – To find whether the business can self-sufficiently run the CoE or it needs to outsource it.
  • Establish – The 5 key elements of a CoE are staffing, governance, marketing, performance measurement and position of CoE.

Examples of Centre of Excellence in different industries:

  • Healthcare Solutions – In the ever-changing and unprecedented environment, there is a need of High expertise is needed in particular medical areas and delivery model to set up a CoE. It leads to an increase in attracting the right patients.
  • Education Software – It can sometimes become necessary to have a Centre of Excellence in educational software so that the team of experts can ensure the quality of educational material being delivered to the students and improve it. With change in the technology, people’s mindset is also changing. Thus, it is necessary to make education softwares even more user-friendly and innovative as per the changing times.
  • ERP Solutions – To align ERP system design as per the changing business goals and requirements. It also helps in management of system upgrades and deploying end-user training. ERP CoEs extend the life of the ERP solutions, allow greater flexibility when adapting to transformations, promotes accountability, ensures organizational alignment and resource optimization etc.
  • Web Development – A web development Centre of Excellence ensures development and enforcement of a strong website architecture and user experience. It brings in-depth expertise, time-tested solutions to deliver a high degree of standardization and scalability in web development. We need to define the relevant standards, governance and security policies and should also provide technology expertise by authoring best practices.
  • Mobile App Development – It includes the best practices to deal with challenges like creating business scenarios with targeted revenue models, staying ahead in terms of technology, avoiding overlaps and costs in different divisions and managing mobile app development lifecycles effectively. Mobile app development centre of excellence involves requires you to be a trusted advisor to business and IT leadership and provide thought leadership on mobile technologies.

Centre of Excellence (CoE) is a great opportunity for organizations to build their niches and grow the businesses. Small and Medium sized businesses can look for outside funding or partners if they don’t have enough funds for an internal CoE. If you need any help for setting up a CoE for your organization, please feel free to Contact us.