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Flevy Management Insights Case Study
AgriTech Operational Excellence Initiative in Precision Farming


There are countless scenarios that require Obeya. Fortune 500 companies typically bring on global consulting firms, like McKinsey, BCG, Bain, Deloitte, and Accenture, or boutique consulting firms specializing in Obeya to thoroughly analyze their unique business challenges and competitive situations. These firms provide strategic recommendations based on consulting frameworks, subject matter expertise, benchmark data, best practices, and other tools developed from past client work. Let us analyze the following scenario.

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Consider this scenario: The organization is a leader in the precision agriculture industry, leveraging advanced technologies to increase crop yield and optimize resource use.

Despite their innovative approach, they are struggling with the integration and efficiency of their Obeya—centralized command centers where cross-functional teams meet to discuss project status and make decisions. The organization has seen a decline in decision-making speed and project alignment, which has become a barrier to their ability to adapt to market changes and maintain a competitive edge.



In light of the described situation, a hypothesis might be that the organization's Obeya lacks clear protocols and structured approaches to decision-making, leading to inefficiencies and misalignments. Another hypothesis could be that there is an insufficient integration of real-time data analytics into the Obeya, hindering effective operational oversight. A third hypothesis might consider whether there is a skills gap among team members in utilizing Obeya principles effectively.

Strategic Analysis and Execution Methodology

The organization’s challenges with Obeya can be addressed through a robust 5-phase consulting methodology. This process ensures a systematic approach to identify inefficiencies, streamline communication, and enhance decision-making capabilities within the Obeya.

  1. Assessment of Current State: The first phase involves assessing the existing Obeya setup, evaluating communication flows, decision-making processes, and the integration of data analytics. Key questions include: How are decisions currently made and communicated? What data is available, and how is it used?
  2. Design of Best Practice Framework: In the second phase, we define a best practice framework for Obeya operations, drawing from industry standards. Activities include benchmarking against leading practices and tailoring a framework to the organization’s unique needs.
  3. Development of a Change Management Plan: The third phase focuses on developing a comprehensive change management plan to transition to the new Obeya framework. This involves stakeholder analysis, communication planning, and training programs to ensure buy-in and capability building.
  4. Implementation and Monitoring: The fourth phase involves the implementation of the new Obeya framework, with continuous monitoring to ensure adherence to new processes and resolve any issues that arise.
  5. Performance Analysis and Continuous Improvement: In the final phase, we analyze performance against pre-defined KPIs and establish a continuous improvement loop to refine Obeya processes over time.

Learn more about Change Management Continuous Improvement Stakeholder Analysis

For effective implementation, take a look at these Obeya best practices:

Obeya - The Brain of your Project (29-slide PowerPoint deck)
The Anatomy of an Obeya Room (1-page PDF document)
Obeya Toolkit: Elevate Visual Management Efforts (153-slide PowerPoint deck)
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Obeya Implementation Challenges & Considerations

Adopting a new Obeya framework may raise questions about the time required for implementation and the potential disruption to current operations. To mitigate these concerns, a phased implementation approach with clear milestones can be utilized to ensure business continuity.

Executives might also be curious about the ROI of investing in an improved Obeya system. By enhancing decision-making efficiency and project execution, organizations can expect to see measurable improvements in operational performance and reduced time to market.

Resistance to change is a common challenge in any organizational transformation. To address this, a strong emphasis on change management, including leadership alignment and staff engagement, is crucial for successful adoption of the new Obeya practices.

Learn more about Organizational Transformation

Obeya KPIs

KPIS are crucial throughout the implementation process. They provide quantifiable checkpoints to validate the alignment of operational activities with our strategic goals, ensuring that execution is not just activity-driven, but results-oriented. Further, these KPIs act as early indicators of progress or deviation, enabling agile decision-making and course correction if needed.


In God we trust. All others must bring data.
     – W. Edwards Deming

  • Decision-Making Time: Reduction in time from data analysis to decision implementation.
  • Project Alignment Score: Degree of alignment between project outcomes and strategic objectives.
  • Resource Utilization Rate: Optimization of resource allocation and usage efficiency.
  • Change Readiness Index: Measurement of organizational readiness and staff adaptability to new processes.

For more KPIs, take a look at the Flevy KPI Library, one of the most comprehensive databases of KPIs available. Having a centralized library of KPIs saves you significant time and effort in researching and developing metrics, allowing you to focus more on analysis, implementation of strategies, and other more value-added activities.

Learn more about Flevy KPI Library KPI Management Performance Management Balanced Scorecard

Implementation Insights

Throughout the implementation, it becomes evident that a key factor for success is the integration of agile principles within the Obeya. According to McKinsey, companies that have successfully integrated agile practices report a 30-50% increase in operational performance. This underscores the importance of flexibility and responsiveness in the Obeya system.

Another insight pertains to the critical role of data in decision-making. Firms that effectively leverage data analytics in their Obeya can make more informed decisions, leading to a significant competitive advantage in the precision farming market.

Learn more about Competitive Advantage Agile Data Analytics

Obeya Deliverables

  • Operational Excellence Roadmap (PowerPoint)
  • Obeya Best Practice Framework (PDF)
  • Change Management Plan (MS Word)
  • Performance Dashboard Template (Excel)
  • Post-Implementation Review Report (PowerPoint)

Explore more Obeya deliverables

Obeya Best Practices

To improve the effectiveness of implementation, we can leverage best practice documents in Obeya. These resources below were developed by management consulting firms and Obeya subject matter experts.

Obeya Case Studies

A multinational energy corporation implemented a new Obeya framework that resulted in a 20% reduction in project cycle times and a 15% improvement in cross-functional team collaboration.

An international shipping company redesigned its Obeya processes, leading to a 25% increase in operational efficiency and a significant reduction in decision-making bottlenecks.

A global logistics firm integrated predictive analytics into its Obeya, enabling proactive risk management and a 10% increase in customer satisfaction.

Explore additional related case studies

Adaptation of Obeya to Different Organizational Cultures

Establishing an Obeya is not a one-size-fits-all solution; it must be adapted to align with the organization's culture. For instance, a firm with a hierarchical culture may struggle with the flat decision-making structure that Obeya promotes. The solution lies in customizing the framework to gradually introduce elements of collaborative decision-making while respecting existing hierarchies. This can be facilitated through leadership workshops and targeted communication strategies that underscore the value of collective expertise in decision-making.

Furthermore, as per a BCG study, organizations that successfully adapt their management practices to their cultures can realize a 35% greater impact on financial performance than those that overlook cultural alignment. Therefore, cultural considerations are not merely an afterthought but a strategic imperative when implementing an Obeya framework.

Integration of Digital Tools in Obeya

The digitalization of Obeya is critical to enhance its effectiveness. Executives often inquire about the specific digital tools that can be integrated within the Obeya to foster real-time data analysis and decision-making. Advanced analytics platforms, collaboration software, and project management tools are essential to create a digital Obeya that can support dynamic decision-making. The introduction of these tools should be accompanied by training programs to ensure that all team members are proficient in their use.

According to McKinsey, companies that digitize their management practices can see productivity gains of up to 25%. In the context of Obeya, digital tools enable the visualization of complex data sets, facilitate remote collaboration, and streamline communication across teams, thereby enhancing overall productivity.

Learn more about Project Management Data Analysis

Scaling Obeya Across the Organization

Scaling the Obeya concept across different departments and geographies presents a unique set of challenges. To achieve this, it is vital to establish a core set of Obeya principles that are applicable organization-wide, while allowing for localized adaptations. This ensures consistency in approach while providing the flexibility needed to cater to diverse team dynamics and regional considerations. A governance structure can be set up to oversee the implementation across various units and ensure that the core principles are upheld.

Accenture research indicates that scalability is a key factor in the success of organizational practices, with scalable initiatives achieving 5 times the ROI compared to isolated implementations. Hence, a strategic plan for scaling Obeya is not only beneficial but necessary for maximizing the return on investment.

Learn more about Return on Investment

Measuring the Impact of Obeya on Decision-Making

Executives are keen to understand how the impact of an improved Obeya system on decision-making can be measured effectively. While KPIs such as decision-making time and project alignment score provide quantifiable measures, it is also important to assess the qualitative aspects of decision-making. This includes the level of cross-functional collaboration, the quality of decisions made, and the satisfaction of team members with the decision-making process. Surveys, feedback mechanisms, and decision audits can be employed to gain insights into these qualitative measures.

A study by Forrester revealed that organizations that actively measure both quantitative and qualitative aspects of decision-making are 1.5 times more likely to report significant improvements in market position. Therefore, a comprehensive measurement approach is crucial for understanding the full impact of Obeya on decision-making.

Additional Resources Relevant to Obeya

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Key Findings and Results

Here is a summary of the key results of this case study:

  • Reduced decision-making time by 20% through the integration of real-time data analytics into the Obeya.
  • Improved project alignment score by 15% post-implementation, enhancing strategic objective adherence.
  • Increased resource utilization rate by 12%, optimizing resource allocation and usage efficiency.
  • Enhanced change readiness index by 25%, indicating improved organizational readiness and staff adaptability to new processes.

The initiative has yielded significant improvements in decision-making efficiency, project alignment, resource utilization, and change readiness. The integration of real-time data analytics into the Obeya resulted in a 20% reduction in decision-making time, addressing the initial challenge of declining decision-making speed. The 15% improvement in project alignment score demonstrates successful alignment between project outcomes and strategic objectives, indicating enhanced project management capabilities. Additionally, the 12% increase in resource utilization rate signifies improved efficiency in resource allocation and usage, contributing to cost savings and operational optimization. However, the change readiness index improvement of 25% indicates a successful transition to the new Obeya framework, mitigating concerns regarding staff adaptability. Despite these successes, the initiative fell short in fully integrating agile principles within the Obeya and leveraging digital tools to their full potential. Alternative strategies could have included a more phased approach to agile integration and targeted training programs for digital tool proficiency.

Going forward, it is recommended to further embed agile principles within the Obeya to enhance flexibility and responsiveness. Additionally, maximizing the utilization of digital tools and providing comprehensive training programs for their effective use can drive further improvements in decision-making and operational performance.

Source: AgriTech Operational Excellence Initiative in Precision Farming, Flevy Management Insights, 2024

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