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Process-The Hidden Sector

August 7, 2009
tags:
Process
Process Definition lists what happens between the start and end points. It includes all the activities performed by each department, group, or person who are involved in the process. Activities are the major “works” that transform an input into an output. A process rarely has more than six major activities.
For example, a simple sales process might include, Introduce Services, Identify Customer Needs, Suggest Solutions, and Articulate Benefits, Negotiate a Proposal, and Close the Sale.

Processing maps
Using maps to show how work currently gets done or how you want to work to be done, you can also using maps to:
Orient new employees

Evaluate or establish alternative ways to organize your people to get the work done.

Identify improvement opportunities

Evaluate, establish or strengthen performance measures

Process improvement

It is a series of actions taken to identify, analyze and improve existing processes within an organization to meet new goals and objectives

Why we need this process
In today(s) rapidly changing world, on-going process improvement is critical.  Problems seem to be everywhere

On time delivery is poor

Customer service is lacking

Customer satisfaction is declining

Technology keeps on changing and you cannot keep up

Company growth has overwhelmed your ability to be       consistent from one area to the next

Profitability is down

Sales are down

Day(s) sales outstanding are too high

New product development takes too long

The list goes on and on.  Process improvement structure and methodology is designed to solve these process issues.

Process Management
It is the application of knowledge, skills, tools, techniques and systems to define, visualize, measure, control, report and improve processes with the goal to meet customer requirements profitably.
This process management model is easily adapted to focus on improving a single process.The five steps for improving a single process are shown in the figure below.
We need a methodology for each process manager to use.  This is the process management model shown below.

Identify

Involves identifying the internal and external customers and suppliers of the process and their needs and expectations

Document

The second step of the method is to document the processes. This means developing process flow diagram and possibly the standard operating procedures and job work instructions if required. At this point, if there are obvious changes that can be made to improve the process, the changes are implemented.

Measure

The process measurements should be examined in time series format (control charts) so that any changes can be easily detected.

Manage

This involves setting standards for the process, bringing the process into control, determining the process capability and using problem-solving techniques to improve the process if it is not capable of meeting the standard.

Improve

The objective of this step is define what world-class is for the process and take steps to move towards the world-class process and perfection.

Business Process Improvement (BPI)

The Business Process Improvement (BPI) Model provides the structure and processes for reaching the goal of the organization.   In particular,

Provides a systemic approach to help the organization make money in the present as well as the future

Focuses on continual improvement of processes

Includes on-going training for all

Emphasizes the use of data to make decisions

Provides a balance between process and people

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