This document outlines a process for documenting business processes and controls. It discusses why documentation is important, what will be documented, and how the documentation process will occur. Key points include identifying current processes and controls, opportunities for improvement, developing new process maps and documentation, and defining a new business model. The overall goal is to guide the organization in clearly defining and documenting methods and procedures.

1. Documentation of Process and
Controls
Jorge Baquedano
May 2012
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2.  Introduction
 ERP and Business Processes
 Process Documentation Process
 Why do we do it
 What do we do
 How do we do it
 When will we do it
 Who will be doing it
 Wrap up
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3. INTERNAL EXTERNAL
INTEGRATION
Manufacture Planning Supply Focusing Info / Supplier
Chain
Finance Execution
Supply Chain
Focused Info / Customer
Administration
HR Supply Chain
Central Functions
Integration ERP Value Generation Functions
Integration
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4. Human Reources:
• HR Administration
• Payroll and Benefits
• HR Self Service
Finance: Manufacturing and Logistics:
• Accounts Receivable • Production Planning
• Accounts Payable HR Manufacturing • Material Management
Planning
And
• Fixed Assets & Control
Logistics • Manufacturing Orders
• Treasury • Warehouse Management
• Costing Management Data Supply • Transport Management
Front- • Project Management
Analysis Chain
Desk
• Maintenance
• Customer Service
ERP
Information Analysis
• Decision Support software
(BO) allows the user to Supply Chain
analyze the transacion data • Advanced Planning Front Office Applications
in order to provide a follow Applications that take into • Sales force automation
up of the business account the restrictions of the • Telemarketing and Call
performance. procutcion, demand forecast Center
and delivery processes. 4

5.  Generally the process integration model works as follows:
Financial Accounting
Sales
Customer
Inventory
Manufacturing
Purchasing
Supplier
Administration Accounting 5

6. • We need to Guide de Organization into the definition and
documentation of methods and procedues using a diferent
methodology.
– Documentation of the current state of the business and the exisitng
control points.
– Be ready to ensure business continuation in case of a leave or position
change.
– Being ready for any kind of audit or certification with solid and backed
up procedures and control points (IAC, ISO, etc.)
– Identify oportunities in our current methods and procedures of
handling the business (practice and IM)
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7. • It is required to assess, interpret and classify every business
process of the company. This also allows to analyze interrelations
and links and to notice their behaviour into the organizational
structure
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8. Customer Oriented Results
Organization Capabilities
Accounting and Administration
Suppliers
Market
Planning Programs Purchasing Production Market
IM / IT
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9.  The 6 essential points to ensure failure:
1. Decision of change is guided by fashion
2. Forcing the changes to the process
3. Start doing changes without a clear idea of the benefits and the
objectives of the project
4. Thinking that process change its “only to please corporate”
5. Thinking that process improvement and control points is another
“invasion from Planning and Control”
6. Once starting to do changes going to the previous way of working
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10. The 6 essential points to ensure SUCESS:
1. Start with a clear and integral vision about the
objectives of the project.
2. Constantly enforce the goals of the project
3. Meassure success based on results in the business
4. Implementation should be based on business processes
5. Adopt technology and processes as a facilitator not as a
solution
6. Implement best practices and make the system to work
FOR the process
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11. Identification Identification
of the current of opportunity
state of the areas
business
Development
Validation
Documentation of a new
Workshops
of current control business
points model
Phase 1 Phase 2
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12. Prepare the
organization to 4 1 and
Mapping
Objective recognition
of the current state of
implement new the processes and
Definition of a documentation
processes business practice
new business of practices
within gthe business
model and processes
and organization
within the structure
business
Phase 1
BUSINESS
Phase 2 PROCESSES
AND
PRACTICES
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Identification of
best practices Identification 2 Current documentation
and of lack or
Define a better opertaion information excess of must be prepared with all
platfform and administration requirements controls the controls to fulfill audit
of the business using the and certification
right tools and organization requirements
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13. Current State Mapping and Analysys
Team definition and
responsibilities
1 PRODUCTS
• Using this methodology we will obtain process maps, manuals and
current state of the processes and business practices.
• Will assist all the responsible of the areas on the application of the
Training and objectives of a methodology
documentation process • Will assist all the responsible of the areas on the analysis
Organization Mapping • Will assist all the responsible of the areas into conclusions
Process Mapping • Will assist all the responsible on the areas into the validation
Control Points Mapping workshops (Maps, analysis, conclusions, implications and next
steps)
• Agreement about the current state of the business
Analysis of the
Organization process and
DELIVERABLES
abilities (Business Model)
• Detailed work plan
• Team – roles and responsibilities
Current state of the • Communication and documentation strategy towards the business
business workshop • Mapping progress reporting
• Validation and control point identification opportinities reporting
• Conclusions and implications document
• Next Steps document
•
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Validation workshop assistance

14. Control Points Identification
Control Points Identification
2 PRODUCTS
• Once we have obtained the maps and the manuals we can identify in
a better way the controls that exist
• Assist the reposibles of the project into the application of the
Definition of lack or excess methodology
of control points • Assist the reposibles of the project into the analysis
• Assis the responsibles of the project into the definition of conclusions
Application of control points
DELIVERABLES
• Control Points in Processes Document
• Proposal of addition or elimination of control points document.
Control Point validation
• SAQ Control points document
workshop
• Communication and documentation strategy towards the business
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15. Identification of Best practice definitions, Information Requierment & Organization Changes
opportunities
PRODUCTS
3 • Identify opportunity areas within the business in terms of processes,
Development and proposal practices, abilities and organization
of operative practices • Develop a model that allows the business, using processes,
technological and indicators abilities achieve objectives.
• Validate at a management level the business model proposed and the
Practice validation and requirements for this (enrich the functional requirements)
enrichment workshop • Define and detail the technology required to support the proposed
model (strategic, tactic and operative)
• Identification of the Impact / Benefit of the requirements
• Validate at management team level these requierements
Development of new
process maps and
documentation DELIVERABLES
• Opportunity areas document
Development of • Best practices proposal document
Organization Changes • New maps documented
• New processes documented
• Technological requirements document
Development of
requirements and
indicators
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16. Definition of the new business model
Development of work plan 4 •
PRODUCTS
Work plan definition required to start working on the new tasks
and team responsible
• Define a process to follow up and verification of actions in this phase.
• Define technological requirements (servers, equipments, information ) to
support these new processes.
• Follow up to the work plan and audit of the information and processes
Identification of training
needs
Task classification and
indicators definition
DELIVERABLES
• Work plan document with activities, times and indicators
• IM requirement documents (technical and organization)
Audit, follow up and
• Work team document and training requirements
validation of the information
• Information management document
available
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17. Validate
Enrich Challenge for
improvement
The challenge starts in the management team!
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18. Management Team
Deputy
Project Leader Controller
Commercial IT / IM Audit
Operations Finance
HR Manager Assistant
Initiative Initiative Initiative Initiative
Resp. Resp Resp Resp
Commercial: AR, Sales
Part Time*
Operations: Purchasing, Production
Half Time
Finance and Accounting, AP , Audit, HR
* Around 3 days a week Support team
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