7 Keys to successful Business Process Management
Tue, May 12, 2009 at 16:00 How to get real value from Business Processes in each organisation
Many methods and models exist for the sustainable improvement of business processes. So what are the right choices to make when your organisation decides to embark on a journey toward greater operational performance? In fact, all existing approaches have a few key points in common which are decisive for the success of the process venture and the achievement of your business objectives. 1. Create transparency Ensure that all relevant business processes are identified, described and documented. This also implies a consistent process repository and a clear numbering system. 2. Invest in communication and training The process performers–those who execute every single process step–have to be trained and enabled. This sounds simple, but can be quite a challenge, especially in large and dynamic organisations. 3. Fix the process objectives Every process has an unambiguous objective that should be decided upon and communicated to all process stakeholders. Sadly though, this is often not the case! Only with a clear objective it is possible to measure the performance and overall success of the process. 4. Assign process owners Every process needs an owner. Process owners are people responsible for the achievement of process objectives and the realisation of process improvements. Sustainable process management is impossible without appointed process owners.
5. Focus on process implementation and real execution Any business process can only contribute to the achievement of an organisation’s objectives if it is really executed. This also sounds simple, but it is the weak point of operations management. Real process execution means leaving the PowerPoint universe and digging into the real life of the people in the trenches. All investments into process management are waste of money and effort if the processes are not “lived“ as intended. 6. Use the correct order: first ensure execution, then optimise Don’t take the second step before the first. Many organisations optimise processes that do not exist in reality (i.e., they are not really executed, see topic 5). That is just a waste of time and money. Ensure real process execution first and then do the optimisation. (Or change the process when you realise that it does not work in reality.) The right order not only saves time and money but it generates higher employee satisfaction. 7. Consider the organisation’s process maturity Organisations are on different levels with respect to business process management. Pay attention when planning the implementation of a new approach. For instance, there is no point in fixing process objectives when there are no process owners assigned. Employees can become frustrated (and customers dissatisfied) if you drive compliance without clear definition and communication of business process standards. That reflects a real case in a company assessed by the author. Do it better and develop your organisation’s process maturity step by step.
Hint: plan a fixed budget for training.
Hint: It is essential that the individual objectives of process owners are reflected in the organisation’s reward and incentive systems.
Hint: conduct interviews with process performers to find out how they actually execute the process. You may be surprised by the outcomes!
Hint: the leadership team should make clear which scope of business process management it wants to see implemented and within what time period.
Reader Comments (1)
Excellent approach, straight forward and completely going in the right direction. In particular aspects around process objectives and process owners are very often lacking in organisations. I would in particular add another aspect in between, which is doing a prioritization and achieving clear focus on those topics, where the highest process improvement potential exists in terms of top-line (revenue) and bottom-line (profitability) impact.