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"What to do When Process Modeling Doesn't Work" - a chapter from "Mastering the Unpredictable" by ActionBase


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Unstructured, unpredictable human processes make up the bulk of processes in today's organizations. This is the kind of work carried out by knowledge workers using email, documents and meetings.

Adaptive case management is an approach to managing these processes, and the book "Mastering the Unpredictable" brings together a number of thought leaders in this new emerging area.

This presentation is on the second chapter - "What to do When Modeling Doesn't Work?"

Published in: Business
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"What to do When Process Modeling Doesn't Work" - a chapter from "Mastering the Unpredictable" by ActionBase

  1. 1. What to do when process modeling doesn’t work?<br />Using adaptive case management (ACM) for ad-hoc, unpredictable human processes<br />Jacob Ukelson, D.Sc.<br />April 15, 2010<br /><br />
  2. 2. Agenda<br /><ul><li>Are there really ad-hoc, unpredictable business processes that can’t (or shouldn’t) be modeled?
  3. 3. What type of processes can’t be modeled?
  4. 4. How are they handled today?
  5. 5. Is that a problem?
  6. 6. Can adaptive case management (ACM) help?
  7. 7. Does ACM replace traditional BPM?</li></li></ul><li>Most Business Processes are Ad-hoc and Unpredictable<br />10-20% of processes<br />80-90% of processes<br />(aka Knowledge Worker Processes)<br />
  8. 8. Classification of Knowledge Intensive Processes<br />Davenport, T. (2005) <br />Thinking for a Living.<br />Harvard Business Press<br />Processes that can be modeled<br />Processes that can’t (shouldn’t) be modeled<br />
  9. 9. When Shouldn’t a Process be Modeled?<br /><ul><li>Processes that consist mainly of interactions between human participants
  10. 10. Collaboration
  11. 11. Negotiation
  12. 12. Content (aka documents)is an integral part of the work, it is both consumed and produced as part of the process
  13. 13. The participantscontrol the process, and change it on a case-by-case basis
  14. 14. Flow changes
  15. 15. Participant changes
  16. 16. Activity changes</li></li></ul><li>Knowledge Intensive Processes Today<br />Documents<br />Email<br />Group Collaboration<br />RealTime communication<br />
  17. 17. Information Overload<br />
  18. 18. Ad-hoc, Unpredictable Process Scenarios <br />Decisions and Reviews<br />Board<br />of Directors<br />international <br />banking<br />division <br />real <br />estate <br />division <br />CFO<br />
  19. 19. Ad-hoc, Unpredictable Process Scenarios <br />Complex and Personalized Processes<br />Customer<br />Request<br />Customer<br />rep<br />CFO<br />Products<br />
  20. 20. Ad-hoc, Unpredictable Process Scenarios <br />Audits and Compliance<br />>50 audit review documents<br />~3-4 versions per document<br />Aggregating findings and recommendations<br />Tracking ~5000 actions <br />Compiling reports manually<br />“Chasing” information and status updates<br />
  21. 21. MoreAd-hoc, Unpredictable Process Scenarios <br /><ul><li>Complex Project Management
  22. 22. Regulatory Process Handling
  23. 23. Exception Handling
  24. 24. Investigations
  25. 25. Contract Management
  26. 26. RFPRFI Management
  27. 27. New plant planning</li></li></ul><li>Ignoring Ad-hoc, Unpredictable Processes is Expensive<br />45% of knowledge workers spend over 4 hours a week on email follow-up! <br />41% spend more than 4 hours each week on passing documents between decision makers to get approvals<br />8 hours a week ~ 20% of working time ~ $10,000 - $15,000 wasted each year per employee<br />41%<br />An ACM system can cut that waste by about 50% (on average)<br /><br />$6000-$10,000 annual savings per knowledge worker<br />45%<br />Disciplined Autonomy, Resolving the tension between flexibility and control Laserfiche and the Economist Intelligence Unit Survey of 227 executives<br />
  28. 28. Ignoring Ad-hoc, Unpredictable Processes is Dangerous<br />Operational Risk Factors<br />Process Risk<br />PéterFehér- BACEE-ISACA Conference on Operational Risk in the Financial Sector 2009<br />
  29. 29. What can Adaptive Case Management Do?<br /><ul><li>Ensure every process instance has an owner
  30. 30. Ensure every process instance has a goal, deadline and a defined work product
  31. 31. a goal defines what must get done, not how the process is done
  32. 32. may also provide an associated guideline or best practice that gives a generic outline of the process
  33. 33. Provide visibility within the context of the execution of a process instance, or after it is complete
  34. 34. details on both the emerging flow of the process (the hand-offs between participants) and the work done by each participant (either in summary or detail form)
  35. 35. Failed handoffs are the most likely cause of process failure
  36. 36. Provide management and control through tracking, deadlines and goals
  37. 37. process participants decide how to best achieve their goals,
  38. 38. process owner can track the current process state and progress
  39. 39. “Hawthrone effect” can change participant behavior</li></li></ul><li>ACM and BPM are Complementary<br /><ul><li>Many important business processes are actually a mix of routine and unpredictable processes
  40. 40. e.g. exception handling, environment changes, innovation
  41. 41. ACM can be used for “in-situ” process discovery and as process management quick start
  42. 42. Gartner – Design by doing, not Doing by design
  43. 43. ACM extends process management to new use cases
  44. 44. e.g. MeetingsDecision Management
  45. 45. Case handling
  46. 46. Operational process warehouse
  47. 47. and process system of record</li></li></ul><li>This was an excerpt from the book:<br />Mastering <br /> the <br />Unpredictable<br />The new book on how <br />Adaptive Case Management <br />will revolutionize the way <br />that knowledge workers <br />get things done.<br /><br />