Business process strategies & organizational design
Objectives: •Present an overview on the concept of Process Management and Process Reengineering •Analyse existing workflow to be able to align current resources and capabilities to achieve optimum process performance
Definition of Terms: Business Process Management is the process of aligning the resources of the organization to improve business process performance. Business Process Reengineering (BPR) is the analysis and redesign of workflow within and between enterprises. It shifts the focus from operational improvement to operational innovation. Cross Functional Groups – Individuals with different functional expertise working toward a common goal.
Basic Business Process Reengineering Principles: 1. Organize around outcomes, not tasks. OPERATIONS •COMPLETION OF PROCESS FINANCE HR •SEND & •DELIVER COLLECT MANPOWER BILLINGS REQUIREMENT CUSTOMER OUTWARD FLOW DIAGRAM SATISFACTION (OUTCOME) Focus on TASKS instead of Outcomes SHARED SERVICES/IT SALES •COMPLETION •CLOSE A SALE; OF DELIVERY HIT QUOTA QUALITY •PVR, SCHEDULES
Basic Business Process Reengineering Principles: 2. Identify all the processes in an organization and prioritise them in order of redesign urgency. 3. Integrate information processing work into the real work that produces the information. 4. Treat geographically dispersed resources as though they were centralized. 5. Link parallel activities in the workflow instead of just integrating their results. 6. Put the decision point where the work is performed, and build control into the process. 7. Capture information once and at the source.
CROSS FUNCTIONAL TEAMMARKET CORE CLIENT PLANNINGDEMAND PROCESSES SATISFACTION PRODUCT DEVELOPMENT SALES SERVICE DELIVERY BILLING & COLLECTION
PRODUCT SERVICE BILLING & SALES DEVELOPMENT DELIVERY COLLECTION SUPPLIER INPUT PROCESS OUTPUT CLIENT MARKETING market research latest technology trend IT capabilities of existing system financial data FINANCE analysis of ROIPROCUREMENT costing of required resources PRODUCT NEW PRODUCT / SALES client feedback - additional service DEVELOPMENT SERVICESOPERATIONS requirements evaluation results QUALITY identified system & process improvements HR manpower / skills requirementSubject Matter Experts Expertise
•QUALITY & SERVICE QUALITY COST •DEFECT RATES•CONSUMPTION OF RESOURCES ENVIRONMENT PERFORMANCE COST PRODUCT •COST OF OWNERSHIP •COST TO CUSTOMERS (BREAKTHROUGH, EXTENSIONS, IMPROVEMENTS) •ADVANCED FEATURES •WIDE VARIETIES •SERVICE •PRODUCTION & PERFORMANCE DELIVERY LEAD TIME AVAILABILITY INNOVATIVENESS
PRODUCTION / SYSTEM CONCEPT DETAILED TESTING / SERVICEPLANNING LEVEL DEVELOPMENT DESIGN REFINEMENT DELIVERY DESIGN RAMP UP
PRODUCT SERVICE BILLING & DEVELOPMENT SALES DELIVERY COLLECTION SUPPLIER INPUT PROCESS OUTPUT CLIENT service offering / market strategy map inclusions MARKETING identified target market Sales Group service design pricing scheme competitors price document requirements - proposals / new clients quotation, service agreements, job order demo / presentation service renewals SALES prospects Service Delivery Group existing clients pricing scheme SALES new products/ services, Sales, Development renewals, product "Group" OPERATIONS client inquiries modifications identified resource Sales, HR, IT, Shared capacity plan requirement Services logistics resourcesSHARED SERVICES Sales supplies direct / indirect cost pricing scheme Sales FINANCE billing - charges billing / invoice Client manpower skilled and motivated HR training manpower All Groups hr initiatives / programs
PRODUCT SALES SERVICE BILLING & DEVELOPMENT DELIVERY COLLECTION SUPPLIER INPUT PROCESS OUTPUT CLIENT signed job order processed data Implementation, SALES Operations service agreement service level agreement MKTG Monitor product performance Product assessment Product Devt. Team data set-upIMPLEMENTATION approved process flow Operations clearbook new products / services, Sales, Development client inquiries / requests / feedback renewals, product "Group" modifications OPERATIONS SERVICE service support / follow through high client satisfaction level Client capacity plan DELIVERY identified resource Sales, HR, IT, Shared (from requirement Services Implementation, quality policies implementation toQUALITY GROUP quality product / service Operations, Other Groups client feedback) quality controls Client logistics Clients, ProspectsSHARED SERVICES resources supplies All Groups reliable infrastructure & system All Groups IT application performance efficiency technical support All Groups FINANCE billing – charges; resources Collection; mobility Client; All groups skilled and motivated manpower manpower HR All Groups performance management high performance levels hr initiatives / programs
SERVICE LEVEL AGREEMENT CLIENT RELATIONSHIP IMPLEMENTATION MANAGEMENTPERFORMANCE SERVICE PROCESSMANAGEMENT MANAGEMENT DELIVERY SUPPORT INFRASTRUCTURE QUALITY MANAGEMENT
PRODUCT BILLING & SALES SERVICE DELIVERY DEVELOPMENT COLLECTION SUPPLIER INPUT PROCESS OUTPUT CLIENT signed job order SALES pricing scheme billing Finance service level agreement transaction count / details BILLING & OPERATIONS billing Finance COLLECTION additional costsSHARED SERVICES logistics billing Finance, Clients billing - charges receivables Client FINANCE collected payments funds availability Finance