Think "Business Processes" Not "Departments" - 5 Compelling ReasonsLearn Management Articles on management-info.biz. Think "Business Processes" Not "Departments" - 5 Compelling Reasons article will help answer your questions on Management Articles.We at management-info.biz specialize in Management Articles. Management Articles at management-info.biz provides the most up to date news and articles. If you have questions please do not hesitate to contact us.
A business process is a collection of interrelated work tasks triggered by an event and geared towards providing results or outcomes valued by the 'customer'. The adoption of process thinking causes an organisation to align its activities and systems with the natural flow of materials and information from the start to the end of the value chain. Functional thinking creates silos with boundaries across which information and other resource flows are not seamless, leading to the absence of a shared understanding of what the business is about, what factors are critical to the achievement of objectives and how efforts can be coordinated to best attain those objectives. Carry out an experiment in your organisation. Take any core process: ask five managers in different departments involved in the process the following questions.
* Describe this process If yours is a functionally oriented organisation, their answers, where they understand your questions at all, are likely to be all different. Some processes you might consider are order processing, product development, recruitment etc. 2. Business Process Thinking focuses the organisation on customer needs Because of the insistence on definite identifiable outcomes valued by the customer, process thinking helps the organisation focus on correctly identifying and satisfactorily meeting and exceeding their expectations. Measures of performance are tied to current customer satisfaction levels as well as the enhancement of capacity to satisfy the customer in the future. Departmental or functional thinking is, on the other hand, focused on internal measures of no value to the customer. Examples of the different kinds of measures are input measures (e.g. items delivered by suppliers), process measures (e.g. cost, time, involvement, efficiency) and output (e.g. timeliness, quality, ease of use, returns on investment) measures. Decisions on appropriate measures must meet the dual requirements of value to the customer and improvability. 3. Business Process Thinking Encourages Focus on Value Addition Organisations that have adopted a business process mentality constantly strive to ensure that certainly all their processes, and as much as possible, all activities within those processes contribute towards the final outcome paid for by the customer. All non-value adding processes and activities are eliminated or minimised. Many functionally oriented organisations for example have lengthy approval requirements that serve no purpose. A company drastically collapsed its approval chain after an experiment in which unsuspecting approvers failed to detect that the documents they had just endorsed only had the usual cover sheet followed by a sheaf of blank sheets. This meant they were approving requests without reading the contents! Talk about non-value addition! Consider also that in many processes the actual contact time between a process document or work piece and the workers or process operators is usually a ridiculously small fraction of the process cycle time. The balance of the time is wasted on such non-value activities as waiting, unnecessary movement, locating misplaced items or documents etc. 4. Business Process Thinking Encourages a Focus on Quality The bane of good quality products or services in majority of organisations is the variation or inconsistency of process outcomes. Organisations with a process mentality continuously ferret out and eliminate sources of variation to achieve consistent results. This is almost impossible to achieve within functionally oriented organisations as their narrow focus prevents awareness of the causes of problems that span functional boundaries. While a functional organisation might call for an arbitrary amount of improvement in quality (e.g. 10% reduction in defects) process oriented organisations apply a fact-based understanding of the relationship between results and the processes that drive them. Statistical tools are used to study what factors have the most significant impact and effort is focused on influencing these factors. 5. Business Process Thinking Institutionalises High Performance and Guarantees Execution of Organisational Priorities A focus on business processes institutionalises high performance in the following ways.
* Uses measures of performance that are meaningful to the customer and other stakeholders. This is very important in view of the axiom that what gets measured gets done. Rewards are aligned to measures, which in turn support valued customer and organisational outcomes.
|
More Articles:1. Project Management, A Forgotten Perspective By Jeff Klem Effective project managers know how to get the job done, and get it done right. Success comes not only from wise selection of the team members and utilization of the best project management software tools; effective managers know how to lead, and how to encourage project team members to do their best. This includes clearly setting and communicating project goals, providing proper training and/or equipment, as well as other necessary items and expertise. Effective project management also requir… 2. Supply Chain Management 101 By Dan Johnson Answering the question of what Supply Chain Management is, is as simple as breaking down the phrase into its component parts. Supplies are those inputs that a company relies upon to produce the product that will ultimately reach its customers. The chain is the group of suppliers that bring those inputs to a company and the process whereby those inputs are integrated into the company. And finally, management is the coordination and organization of all these inputs and their implementation. … 3. Employee Discipline: How to Nip Problems in the Bud By Marcia Zidle Are you uncomfortable with delivering disciplinary action, even involving employees you know deserve it? You're not alone. Disciplinary action is one of the least favored tasks a supervisor must occasionally perform.Disciplining employees is so dreaded by so many supervisors that many look the other way when trouble develops, perhaps in the hope that the matter will correct itself. But most of the time it doesn’t – it tends to go from bad to worse. Rather than allow that to happen, take positi… 4. 6 Simple Steps to Dealing with Difficult Managers By Martin Haworth The challenge of managing difficult managers can be rather daunting, especially when you inherit them! If they are your own born and bred, then hopefully they would have evolved into great managers!Experience shows that difficult managers are difficult because they are angry and frustrated about something or somebody (even themselves - especially where they are, or have become, a square peg in a round hole of a job), so the steps to take are these:-Always a first is to build great relationship… |
||||
