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Process Mining - How to survive the Pitch in front of the Management Board
- 1. DATANOMIQ GmbH | Franklinstr. 11 | 10587 Berlin Motivating Process Mining to Decision Makers How to finally get started with Process Mining in your Company!
- 2. Chief Data Scientist (and Founder) Since 2015 Since 2015 Founder & Author Since 2016 Lecturer Data Science & Data Strategy Benjamin Aunkofer
- 5. With Process Mining specialized data miningalgorithms are applied to event log data in order to identify trends, patterns and details contained in event logs recordedby an informationsystem like an ERP- or CRM-System. Process mining aims to improveprocess efficiency and audit capability as well as better process understanding. Target 1 Realtime Process Discovery Transparency of recently, daily or near-realtime appearing eventsis the main target of doing Process Mining. Target 2 Process Optimization ProcessMining is the best method to find potential improvementof process performance by identifying bottlenecks, waiting time and unnecessary loops. Target 3 Process Audit Together with analytical methods like Journal Entry Testing is ProcessMining the best analytical compliance check, e.g. for Segregationof Duties Testing. Process Mining
- 6. Process Mining – Stakeholder`s unbelief Process Mining should create transparency about the processes. That's not everyone's interest. Furthermore, Process Mining does need data. It does need somebody to sit in front of it. It does need communication.
- 7. CIO Process Mining CEO COO We know our processes very well. And they are documented. There is no need for observation. With Process Mining we will just find out what we already do know.
- 8. Is it possible to describe the process in few sentences? If no, Process Mining probably makes sense!
- 10. CIO Process Mining CEO COO We should not waste our capacity with understanding micro-processes such like O2C or P2P. That’s why Process Mining is not the right thing for us. We need a high-level approach.
- 11. Typical first projects starts with O2C- or P2P- processes. If you want to start small and roll-out roll-up for the whole company, it is a bottom-up approach. Of course, you can do it the other way around. And sometimes you should!
- 12. Top Down Approach Bottom Up Approach Process Overview Process Audit Analytics Process Performance Analytics Detail (Change) Logs Exotic Process Variants Target-Process Deviation Process Loops Waiting Time Double Work / Inefficiency Prozess Standardization Material Flow Business Events
- 13. CIO Process Mining CEO COO We have already a lot tools for this and that. We should better clean up our IT- infrastructure instead of starting with new tools.
- 14. Process Mining is not a tool! It’s an analytical method!
- 15. Tools for Process Mining can run on your own server / cloud. But also stand-alone on anybody’s notebook. Or let it run in the external Cloud. Or integrated already in your existing tool set? (e.g. Power BI)
- 16. Furthermore, if you are clever… … you stay independent of specific Process Mining Tools.
- 17. CIO Process Mining CEO COO Process Mining tools are too expensive.
- 18. It depends! ☺ Is Process Mining expensive? … on the tool, the database, in-house skills and consultant partners.
- 19. CIO Process Mining CEO COO We haven´t even documented the target process. We still do not know how the process looks like. An observation makes no sense for the next years.
- 20. A lot leaders want to find “their process model” in any Process Discovery. Process Mining is not modelling something into a process.
- 21. But Process Mining can be used, to understand the real process. And in the real process we will find bad and good patterns. We will find best practise. And we can use the understanding of real best practise to model the target process.
- 22. CIO Process Mining CEO COO We need to understand the customer demand, improving our products and services. Process Mining is not the right tool to do that.
- 23. Process Mining is not a tool! It’s an analytical method!
- 24. Yes, other analytical approaches make more sense if it comes to customer understanding and best offering. But if we are dealing with a lot service processes such like customer services, logistics and warranty… … Process Mining can not just reduce process costs, but also increase customer satisfaction!
- 25. CIO Process Mining CEO COO All fine. But we do not have the data to do that.
- 26. Let’s get started! Missing Data = Incident to report. But some data is there, right?
- 27. We do not get started gaining transparency, because the process is not transparent? Let’s get started. Fill blind spots! We have a critical process?
- 28. CRIPS-DM stands for „Cross-Industry Standard Process for Data Mining“ CRISP-DM
- 29. CIO Process Mining CEO COO We might get the data with a little effort, but I guess the data quality is too bad.
- 30. Oh well, let’s see! You will never know before you tried. Data Quality too bad?
- 31. By the way: Process Mining will result not just in Process Transparency… … but also in Data Transparency!
- 33. Missing data or datasets with bad quality are an incident!
- 34. CIO Process Mining CEO COO It is too expensive to log all the events in the productive system, e.g. all purchase order adjustments.
- 35. A matter of time! Ad-Hoc (past few months) Hourly Realtime (milliseconds..) Daily-Base (daily updated) Near-Realtime (updated every second)
- 36. CIO Process Mining CEO COO Process Mining is not AI. It’s not Predictive.CMO So it’s not fancy.
- 37. Process Mining + Machine Learning = Process Analytics