Having trouble viewing this email? Click here
You're receiving this Newsletter because of your relationship with Process Strategy Group. Please
confirm your continued interest in receiving our monthly Newsletter.
You may unsubscribe if you no longer wish to receive our emails.
In This Issue:
To Manage a Process, You
Need to Measure it!
How is Process
Performance tied to
New article by Andrew
Each month we will
showcase a question from
the Quick Assessment.
How is process
performance tied to
Process Perspectives Newsletter
June 2013 -How are your Processes Performing?
Welcome to this month's issue of the Process Perspectives
Our goal is to provide you with specific insights so you can help your
organization make progress on the road to Process Based Management
In the main article we review that to manage a process, you need to
The Quick Assessment discussion this month is around the question:
"How is process performance tied to performance plans?" The results
show that few organizations tie process performance to performance
plans. It is no wonder that so few process efforts provide long term
value to organizations. We look at the responses based on the role of
the person completing the assessment, which provides insight into
different perspectives. If you were to complete an organizational
Quick Assessment, how would these roles in your organization answer
In the last section, we point out a new article by our Alliance partner
Andrew Spanyi, "BPM Competence: Are We There Yet". Andrew
focuses on what is important to senior managers, which is improving
the performance of the organization.
Let us know if there is a specific topic you would like to see covered.
Keep up the good work on process; your customers see the
Process Strategy Group
To Manage a Process, You Need to
Organizations have all kinds of metrics and measures they report on an
View additional Process
content from PSG on
Check out our company
page on LinkedIn for more
"Assessment Services of
the Process Strategy
Group are built on
Baldrige, etc.). Instead of
looking specifically at
quality related issues,
they are looking for the
Process characteristics of
are not concerned with
the Org Chart, they are
concerned with turning
their payment into
product or service. PBM
Assessments examine if
and how a company is
aligned with the Value
Streams of payment to
provision. ...where profits
Click here or on the
icon to see more
recommendations for our
products and services.
Try our FREE Quick
PBM Quick Assessment
PI Quick Assessment
ongoing basis. Here are some examples:
Departments report on their actual spending against their
Sales is measured based on sale targets
Management has ROI, Net income and EPS targets they track
IT is measured based on all kinds of metrics that only they
Where do we track how we are doing in providing products and
services to our customers?
Some organizations track customer satisfaction (based on surveys and
other approaches). Measuring Customer Satisfaction is important, but
not nearly enough! That measure is after the fact: it is a lagging
indicator of what has already taken place.
Organizations need to measure and monitor how they provide products
and services to their customers, which is through their cross
functional processes. These processes need measurements in place to
track in real time how they are performing. The result of a well
designed (and customer focused) process will lead to customer
Here are some examples of process measures:
Order Fulfillment: % of orders filled completely and on time
Schedule to Produce: % of orders produced accurately and on-
Billing: % that are accurate and on-time
With these measures in place, reward the employees who work in the
process by tying their performance plans to the performance of the
process. As we discuss below, most organizations do not do this very
June PBM Quick Assessment
This month we show a different view of the Quick Assessment results.
We tabulated the responses by role on this Quick Assessment
We now have videos on
YouTube that feature
many process topics.
Click on the logo above
to visit our page.
See what users are
saying about the PBM
If have enjoyed this
newsletter and have found
value in the information,
please send it along to
others by clicking the link
Based on the the role completing the Quick Assessment, we see
different perspectives when we ask this question:
Over 50% of all roles indicate that their is no correlation; in
other words, over half of the organizations that have taken the
quick assessment do not tie process performance to
10-20% of all roles reward process teams informally for team
10-20% of most roles indicate that Process Teams have process
performance measures in their performance plans. Process
performers were the outlier at 30%.
Less that 10% of all respondents indicated that all roles involved
in the process efforts have process performance measures.
Senior Executives and Process Team members responded that
none of this was in place.
The results indicate that few organizations have tied process
performance to performance plans. Most employees focus on the items
that are listed in their performance plans; solid performance versus
your performance plan usually impacts your compensation. Without
tying process performance to employees performance plans,
organizations are signaling that they will not be held accountable (or
rewarded for) process performance.
Since these responses are from various organizations, they do not
provide the level of insight that would come from many people in the
same organization taking the Quick assessment, and comparing those
results across roles.
Do you know what the different roles in your
organization think about your process efforts? If
not, then our PBM Quick Assessment for an
Organization would be an ideal starting point!
New Article by Andrew Spanyi
Our Alliance Partner, Andrew Spanyi, Managing
Director of Spanyi International, recently wrote
an article for BPM Institute titled, "BPM
Competence: Are We There Yet?". Andrew
points out that a common theme underlying all
process maturity models is the lack of a clear
link to performance improvement and financial
results. He adds further that this linkage is
"precisely what senior managers care about most- improved
performance-and that is much more a matter of competence than
To read the full article, click here.
This email was sent to firstname.lastname@example.org by email@example.com |
Process Strategy Group | 715 Foxdale | Winnetka | IL | 60093