Discovering and Modeling Agile Processes Sandy Kemsley Kemsley Design Ltd. www.column2.com

Process Discovery

Drivers for Process Improvement Competitive pressure Quality management initiatives Regulatory compliance Enterprise architecture and SOA Corporate performance management

Competitive pressure

Quality management initiatives

Regulatory compliance

Enterprise architecture and SOA

Corporate performance management

Think Process How to start thinking about new processes: Customer touchpoints Key performance indicators Process steps contributing to KPIs Moving from a functional silo view to a business process view

How to start thinking about new processes:

Customer touchpoints

Key performance indicators

Process steps contributing to KPIs

Moving from a functional silo view to a business process view

Discovering Hidden Process Improvement Opportunities Discovering the processes hiding in email and manual procedures Moving from as-is analysis to to-be opportunities Types of process improvement Automation Geographic Disintermediation

Discovering the processes hiding in email and manual procedures

Moving from as-is analysis to to-be opportunities

Types of process improvement

Automation

Geographic

Disintermediation

Crowdsourcing process discovery A social networking approach to process modeling Involve more (business) people in modeling: Captures the wisdom of the crowd Encourages ownership Reduces resistance to change

A social networking approach to process modeling

Involve more (business) people in modeling:

Captures the wisdom of the crowd

Encourages ownership

Reduces resistance to change

Process Modeling and Design Patterns

Key Design Patterns Process initiation Types of automated steps Types of human tasks Role of content Volume of work Process complexity

Process initiation

Types of automated steps

Types of human tasks

Role of content

Volume of work

Process complexity

BPM and SOA Service A Service B Service C Service D Service E Legacy System Database ERP System Process Step 1 Process Step 2 Process Step 3 Process Step 4

BPM and SOA together BPM is the “killer app” for SOA; SOA is the enabling infrastructure for BPM SOA alone only allows you to design and build a set of services BPM alone would require custom coding for each system integration BPM + SOA orchestrates people and services into a business process

BPM is the “killer app” for SOA; SOA is the enabling infrastructure for BPM

SOA alone only allows you to design and build a set of services

BPM alone would require custom coding for each system integration

BPM + SOA orchestrates people and services into a business process

SOA in process modeling Discovering services What services already exist Whether existing services meet the needs Specifying services What new services need to be created What legacy functions need to be wrapped in services

Discovering services

What services already exist

Whether existing services meet the needs

Specifying services

What new services need to be created

What legacy functions need to be wrapped in services

Simulation and optimization Identify key performance indicators Estimate parameters: Arrivals Time per step Participants Cost per step Run and compare scenarios

Identify key performance indicators

Estimate parameters:

Arrivals

Time per step

Participants

Cost per step

Run and compare scenarios

Simulation example

Modeling for ROI

Improve efficiencies Automate manual work steps Directly integrate data between systems Provide process monitoring and control Automate process statistics gathering and analysis

Automate manual work steps

Directly integrate data between systems

Provide process monitoring and control

Automate process statistics gathering and analysis

Cut out the middle man Provide customer self-service to initiate processes Provide process visibility to customer

Provide customer self-service to initiate processes

Provide process visibility to customer

Location, location, location Share redundant processes between business units Identify steps that can be completed in isolation Automate escalation and handoffs Allow remote work

Share redundant processes between business units

Identify steps that can be completed in isolation

Automate escalation and handoffs

Allow remote work

ROI: reduce costs Reduce manual tasks Reduce error rates Allow customer self-service Reduce compliance costs Reduce time to implement changes Reduce functional redundancy Allow outsourcing

Reduce manual tasks

Reduce error rates

Allow customer self-service

Reduce compliance costs

Reduce time to implement changes

Reduce functional redundancy

Allow outsourcing

ROI: increase competitive advantage Reduce time to market Reduce end-to-end cycle time Improve customer service Increase capacity Improve decision-making

Reduce time to market

Reduce end-to-end cycle time

Improve customer service

Increase capacity

Improve decision-making

Common ROI pitfalls Increased capacity does not guarantee increased revenue Cost reduction may require FTE reductions Providing self-service does not guarantee that customers will use it Remote work and outsourcing can have hidden costs

Increased capacity does not guarantee increased revenue

Cost reduction may require FTE reductions

Providing self-service does not guarantee that customers will use it

Remote work and outsourcing can have hidden costs

BPM, BR and BI

Business Rules and BPM Key to agility in business processes Routing decisions Work assignment Set parameters Changing rules without changing the process Applying rules consistently in processes and other applications

Key to agility in business processes

Routing decisions

Work assignment

Set parameters

Changing rules without changing the process

Applying rules consistently in processes and other applications

Business Intelligence and BPM Key to visibility in business processes Process monitoring and reporting Process analysis and optimization Predictive analytics May contribute to process agility Trigger processes Automate steps based on prior decisions Suggest decision for human task

Key to visibility in business processes

Process monitoring and reporting

Process analysis and optimization

Predictive analytics

May contribute to process agility

Trigger processes

Automate steps based on prior decisions

Suggest decision for human task

BPM + BR + BI Self-learning decisions within processes: Process statistics captured with BI Statistics analyzed and fed back to inform business rules Business rules modify process behavior BR + BI = decision management

Self-learning decisions within processes:

Process statistics captured with BI

Statistics analyzed and fed back to inform business rules

Business rules modify process behavior

BR + BI = decision management

Summary

What makes a process agile? Business involvement in process discovery and modeling Round trip: model-execute-optimize Minimal customization Business rules Services

Business involvement in process discovery and modeling

Round trip: model-execute-optimize

Minimal customization

Business rules

Services

Questions? Sandy Kemsley Kemsley Design Ltd. www.column2.com