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Business Process management

Business process management

 What is process?

Meaning of making things better, it is set of activity which need to be identified, analyzed and improved for better by removing bottlenecks and gaps which will increase profit, reducing costs and performance in the organization.

A business process is an activity or set of activities that will accomplish a specific organizational goal, making an organization’s workflow more effective, more efficient and more capable of adapting to an ever-changing environment.

Every process shall be identified in the group and subgroup which consist of activity, where each activity have an input and output received or submitted from other activities in the same or different subgroups.

The goal of Business Process Management is to reduce human error, optimizing and automate the organization’s equipments and core operations.

Business process management is often a connection point between management and the IT departments.

How it work

Mostly when process need to be analyzed for improvement you need to ask yourself how to get started, which team to chose, what are theyre activities and duties, what we will succeed.

Every process needs the team and team leader who will follow the process. Team should be employees which currently have experience in the process and have knowledge of their subprocess, which can be useful to define gaps and bottlenecks.

If the process group is running from different subprocess, on each subprocess need to be selected one team leader.

After identification of the groups and subgroup of the process team should identify as a priority (based on Process hierarchy structure of the organization) levels of Organisation.

Six signa (DMAIC) phases

The standard Six Sigma methodology consists of five phases: Define, Measure, Analyze, Improve, and Control (DMAIC).

It sequences the steps that are essential to achieving results:

  • Define the projects, the goals and the deliverables to customers (internal and external);
  • Measure the current performance of the process;
  • Analyze and determine the root cause(s) of the defects;
  • Improve the process to eliminate defects; and
  • Control the performance of the process.

Each phase has key deliverables that are used as documentation and evaluation.

1. Define: A clear and explicit definition of the problem is vital in project selection and prioritization. A well defined problem sets ground rules for improvement.

At this phase as a primary part should be prepared the Project Startup which will identify objectives and key process.

Project startup or Project charter will identify objective of the key subprocess as an example of Quality improvement, Increase Productivity, Reduce cost, Timecycle and so on.

Each subprocess should have different objectives based on the process group.

Every process need the team and team leader who will follow the process. Team should be employees which currently have experience in the process and have knowledge of the existing process, which can be useful to define gaps and bottlenecks.

Every team should held the interview with the focus group. After minutes of meeting group should provide the data collected to team leader and start preparing the process as a first draft. After finished first draft of current process flowchart (AS-IS process), draf t should be revised with the team to identify the activity, roles and responsibility of the team involved in the process.

Second step of defined phase are Procedure standard operations based on the flowchart designed for the subprocess which are linked in one process group.

After AS-iS flowchart defined and finished, prepared and approved procedure from the stockholders, the second phase of DMAIC is measurement phase.

2, Measure: In the first phase (Define phase) the prior part is identifying the Key objectives and goals/achievements, second phase is Measurement phase meaning collecting primary data between the activity. Without measurement there is no control.

With the methodology of measurement, can be identified where defects are and what you need to do to improve defects in the process.

3. Analyse: In the second phase of DMAIC the measurement phase consist of collecting the primary data based on the Process group, checking where are bottlenecks and how to improve process AS-IS.

This phase consist of analysis secondary data informations from the existing sources, tools and equipment.

After collected Primary data and Secondary data team will have the clear picture where the  deviations are in the process group.

In this phase comparison of the Primary data and Secondary data will give the alternatives for each activity by identifying the delays and bottlenecks of the process group.

Using the right approach, analytical tools or methods will help to find a clearly defined solution. Data is analyzed into information to create a knowledge base and make decisions for actions.

Each alternative shall be reviewed with the team defining the best solutions with the minimal expenses of the process.

4. Improve: Given alternative in the 3rd phase as a continued part is improvement of the process.

This phase include requirements or datasheet for Business Process Automation to eliminate the deviations and bottlenecks of the process which need to be approved from the stakeholders.

Select and implement the best solution to remove the cause of a problem will bring the desired result. Improvements are corrective and preventive actions. This phase consist of changes in the process flowchart TO-BE, parts where deviations are higher and need to take an action for improvement. With subprocess updates, Procedure standard operations shall be updated based on the alternatives given in the project implementation plan.

5. Control: After the approved part of the stakeholders for implementation of the improvement activities, monitoring becomes essential part of the process control. This phase include follow up of system implementation for Business Process Automation, updates of the timeline and Gantt Chart and continuously inform the stakeholders for updates.

Part of the control shall include collaboration and training plan for the team involved in the Process group. After finished system and trainings Team leader of the process shall prepare the Project Closure defining the risks and issues during the phases and submit to stakeholders for review and approve.

 

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