Business Process Improvement - A Strategic and Supply Chain Perspective

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A short session I conducted at IIM Bangalore on sharing my experience on the what, how and why of business process improvement in strategy and supply chain. Credit for the concepts (and charts) go to my time spent at Booz & Company in Europe doing most of this work.

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Business Process Improvement - A Strategic and Supply Chain Perspective

  1. 1. BPI in Supply Chain A view from the field Amit Kapoor
  2. 2. Write down the first three words that come to you mind when you hear the word Strategy
  3. 3. System Learning Approach Competitive Story Adapt Blueprint Industry Design Quick Method Exploit Subtlety Respond Plan High Ground Scene Culture Planning Profit Strategic Cost Gimmick Action Excellence Focus Competence Setup Execution Program Capabilities Procedure Operational Present Central Policy Quality Core Maneuvering Tactics People Harvest Process
  4. 4. Identity | Advantage
  5. 5. Advantage is Transient “Now, here, you see, it takes all the running you can do, to keep in the same place” said the Red Queen - Lewis Caroll, Alice in Wonderland
  6. 6. Identity is Slow to Change "There is nothing more difficult to take in hand, more perilous to conduct, or more uncertain in its success, than to take the lead in the introduction of a new order of things." — Niccolo Machiavelli, The Prince
  7. 7. Identity is your Strength The innate qualities of an organization that distinguish it from all others — its operational processes, culture, relationships, and distinctive capabilities — are built up gradually, decision by decision, and continually reinforced through organizational practices and conversations. - Art Kleiner, The Right to Win
  8. 8. Identity - Advantage
  9. 9. Supply Chain "A supply chain is a goal-oriented network of processes and stockpoints used to deliver goods and services to customers." “Cost, Quality, Speed, Service and Flexibility are the dimensions on which manufacturing and service enterprise compete” — Wallace Hopp, Supply Chain Science
  10. 10. SC Characteristics Purpose -- there is an ambition to the organisation, beyond traditional business objectives, that motivates the pursuit of excellence Direction -- explicit choices are made about the offerings and markets served, the way value will be created through operations, and the approach that will be differentiated and break traditional constraints Responsiveness -- the organisation maintains awareness in the operating environment -- including customer needs, competitive threats, supply conditions -- and resets its direction accordingly at pace Coherence -- the various elements of the company’s business model -- such as the commercial, operations, and people strategies -- are complementary and mutually supporting
  11. 11. SC Characteristics Empowerment & Trust -- the full extent of a business’s human assets are aimed and engaged in driving performance and trusting each other to deliver Learning -- the key components necessary for a learning organisation are in place: curiosity, humility, experimentation, and communication Execution -- once a decision is made, the organisation can execute effectively, quickly. Decision rights, information flows, incentives, and responsibilities are clear, consistent, and understood
  12. 12. Exemplar
  13. 13. BPI in SC: Conceptual
  14. 14. Thinking about BPI
  15. 15. Four Key Questions What we do? | Inherent How do we do it? | Structural How well do we do it? | Systemic How well do we apply it? | Realized
  16. 16. Value Drivers in SC
  17. 17. How many Trucks?
  18. 18. Careful on an Oil Rig
  19. 19. Don’t mess with the Falcon
  20. 20. Sweet Success of Process
  21. 21. Build Capabilities
  22. 22. Towards a Learning Org
  23. 23. Culture eats Strategy for Breakfast
  24. 24. Amit Kapoor Partner, narrativeVIZ Consulting Website: amitkaps.com Email: amit@narrativeviz.com Twitter: @amitkaps

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