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Rational Perspectives

First Edition, Feb., 2010

Excellent Performance. Delivered.

HOW TO ACHIEVE PROCESS EXCELLENCE


A Roadmap for Process Transformation

Manage & Leverage Processes: Achieve Process Excellence Business processes are the primary vehicle for delivering customer value and satisfaction. A typical organizational consists mainly of two broad process categories: the value chain and the supply chain (even though this categorization is debatable) Processes are those sequences of related steps and activities that your employee must carry out and /or perform in order to meet the needs of your customers. In order to satisfy your customers, your business processes must be well defined, simple and accessible by your employees, and standardized to deliver the same level of excellent customer service across your organization. Organizations will also need to ensure that their employees strictly followed the well-defined business processes and comply with the guiding business rules/policies (internal and regulatory controls) that bound the processes in the course of their day-to-day work of meeting customers needs. The Process Challenge: The inability to effectively and efficiently manage & leverage processes (optimizing the value chain) The challenge with most organizations today is that business processes are define and documented in a form that makes it impossible for employees to quickly access and follow/use during the course of work. Processes today are defined, modeled/documented on paper or electronic mediums such as word documents and diagramming/modeling applications and stored away in file cabinets or digital folders, with no means for employees to quickly and/or easily access them during the course of doing their work. These process documentations are often commonly referred to as Standard Operating Procedures (SOPs). Due to this apparent difficulty in accessing the process repository (SOP document), most employees results to asking their fellow colleagues on how to perform a process or in some cases develop their own unique versions of how to perform the process in the course of doing their work. This apparent lack of easy and quick access to the process repository (SOP documents) also makes it impossible for employees that are performing business processes to send their feedback and/or inputs on how to improve the business processes to the business process units or process owners. Organizations today also lack the capability to manage and leverage their business processes effectively and efficiently, such capabilities as: The ability to maintain the currency of business processes (due to the rate of business change today, it is almost impossible for business process units or process owners to keep up with maintaining the currency of their SOP documents) The ability to communicate/disseminate process changes quickly to process participants or users and other stakeholders like IT in real-time, Ability to work collaboratively with all process stakeholders on business process definition and improvement, The ability to manage process versions when making improve changes to business processes. The ability to measure and control process performance The ability to audit, govern and ensure process compliance

The trouble with process at this company is that everybody has one - New employee at a
global corporation

In order to overcome the challenges of business and process dynamism, organizations continuously spend scarce resources on training and re-training of employees on the workings of business processes. As organizations and its processes are dynamic and constantly changing, the task of training employees on new processes and/or changes to old processes has become very costly and time consuming. Our Recommendations To solve these problems organizations must seek to do the following: Make business process repository available in graphical (visual), self explanatory and self-service manner across the entire organization their by making business process easy to access understand and utilized by process participants Deploy an automated tool to make it easy for employees to submit process improvement recommendations so as to aid continuous process improvement Adopt Business Process Management (BPM) methodology as the de-facto standard for process management and use automated tools for developing business process repositories, an automated tool that will support collaborative process definitions, version management, auditing and compliance monitoring Separate process definition and improvement initiatives/projects from process automation, as improvement comes before automation, and single-minded focus on improvement is critical to the achievement of process excellence. Coupled with the fact that not all business processes are worthy of automation Use technology to enable effective and efficient Business Process Management The adoption of Business Process Management (BPM) methodology is critical to the achievement of process excellence and consequently the achievement of operational excellence, customer excellence and product excellence, the three (3) dependencies of process excellence. The Benefit of Our Recommendations The benefit of this approach is to help you achieve process excellence through; reduce training costs, easy access to process repository/reference to business process documentations during the course of work by employees, easy dissemination of process changes across the organization in real-time, improve internal controls and regulatory compliance. Gartner captures BPMs practical and strategic value in an observation: Business process management wins the triple crown of saving money, saving time and adding value. It also spans the business and technological gap to create synergy, with proven results. Typical strategic intents that BPM methodology and solutions helps to enable are:

Improving processes to better serve current customer Using strong processes to enter new markets Expanding processes to provide additional services Creating new processes to deliver new goods and services
Adapting processes in which you excel to the creation and delivery of other goods or services By improving the processes within a business, whether it is administrative, marketing, research and development, or anything else, a company can significantly produce better products, making higher profits, and create a happy and loyal customer-base.
By Solomon Baba
solomon.baba@rationalsteps.com

Rational Steps Ltd 9th Floor, Fortune Towers 27/29 Adeyemo Alakija Street Victoria Island, Lagos

Phone +234 1 270 5839 +234 803 97 55 630 Fax +234 1 270 3372 Email info@rationalsteps.com www.rationalsteps.com

Copyright 2010, Rational Steps and/or its affiliates. All rights reserved. This document is provided for information purposes only and the contents hereof are subject to change without notice. This document is not warranted to be error-free, nor subject to any other warranties or conditions, whether expressed orally or implied in law, including implied warranties and conditions of merchantability or fitness for a particular purpose. We specifically disclaim any liability with respect to this document and no contractual obligations are formed either directly or indirectly by this document. This document may not be reproduced or transmitted in any form or by any means, electronic or mechanical, for any purpose, without our prior written permission.

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