p2g proposition

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Our approach to Business Process Management

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  • a different proposition in business process management

    rob rensmanprocess2go limitedinstant process transformationMay 2007

    Network Meeting 31 May 2007

  • What is BPMManagement discipline in its own rightHammer and Champy: Re-engineering the Corporation (1993) became synonymous with de-layering and downsizingFrom ERP to e-business (late nineties) off-the-shelf business processesBPM and Six Sigma, uncomfortable partners (2001)

    Attempt to definition: an approach that aims at delivering continued improvement in an organisations performance by evaluating and aligning processes against a desired business model.

    BPM both enables and drives change

    Network Meeting 31 May 2007

  • Some truismsMore than 80% of all business processes are manual or require human intervention so why do we still believe that systems will drive BPM?When people think process they think administration, compliance and complexity - so why do we still talk about processes?Process and function are in constant conflict with each other If a function fails, a process will not work, if a process fails, a company starts losing customers or money. Most functions can be replaced, most processes are part of the non-tangible assets of an organisation and typically have a longer shelf-lifeA process is just the way we do our jobs, not a managerial straight-jacket if only that was understood!!!Process-based organisations are better tuned to changes in their environment and have a better chance to compete outside their traditional markets

    Network Meeting 31 May 2007

  • So what IS a process-based organisationExecutive understands which processes are the companys key differentiator in the market and protects its IPR; only the companys brand is worth more to themThe economic value of each process is understood and constantly evaluatedWhen one process changes, the process owners agree the allowable impact on other processesLow value processes are off-shored or outsourcedOften, IT systems are aligned to business processes (and not the other way around)

    Network Meeting 31 May 2007

  • Examples of process-based organisations (and why they perform better!)Dell e-businessMass online customisation of computer equipment and peripherals revolutionised the business and computer marketMarlborough Stirling Mortgage Processing (STP)Eliminating the number of human interventions in verifying and approving mortgage applications and loan origination, as opposed to wrapping human interventions around automated processesMorning Star - US Tomato Processing Plant without functional hierarchyAll business processes are the result of voluntary agreements between self-regulating teams who contract services (read: processes) to each other to maximise operational efficiency. The CEO is the process architect and protects the vision of the company.

    Network Meeting 31 May 2007

  • So why dont all companies aspire to be process-driven?Process-driven organisations require a paradigm shift at the executive level of the organisation in times when competitive pressures allow little time for a rethink of company modelsThere is a misconception that all processes need to be defined in detail before companies can start seeing the value of BPM - you do not need an enterprise-wide process model to start delivering real benefitsThere is a reluctance to change existing organisational structures as they reflect traditional functional hierarchies and the established power base at the executive level.Typically, existing financial, budgeting and reward systems do not recognise the costs nor value the contribution of any process to the bottom-line of the organisationLegacy systems (including ERP!!!) often complicate swift process alignment across the organisation

    Network Meeting 31 May 2007

  • What does Process2go aim for:We combine the power of human-centric process design with structured change management techniques to:Challenge organisations to manage processes as assets and liabilities, not just as necessary work flowsTransform the way teams interact, deliver and are motivated.In doing so, we support organisations in maximising the true economic value of processes and improve their operational performance.

    Network Meeting 31 May 2007

  • What makes P2Gs proposition differentP2G seeks immediate alignment with financial function and puts a financially motivated business case at the heart of its successP2G works closely with HR/People Managers to ensure job roles, responsibilities and rewards can be adjusted to support the changeIts methodology is light, adaptable and can be easily scaled in response to the business challenge. The tools and techniques are carefully matched to the maturity of the organisation

    Network Meeting 31 May 2007

  • A High Level Approach(each step has its own decision making tools, templates and stage-gates)

    Network Meeting 31 May 2007

  • Our BPM toolkit includes:BPM Business Case Development Kit - a series of templates that help identify a BPM value proposition, promotes quantification of benefits and savings and helps to get buy-in from business management, line managers and finance managers alikeRapid as is process analysis using the OneMinuteProcess tool - a process definition template that explains in clear steps and plain language how to execute a process from the perspective of the customer or operator, not the system!Process Mobilisation Force how to create a BPM cell in your organisation and what should their role be in moving towards a process-based organisationCapability Transfer &Transition before winding down the assignment the methodology is portable and can be easily adapted to fit the customers programme or process environment. This makes it easy to train change and process-champions and leave behind the capability to mature the approach and accelerate the positive results of BPM.

    Network Meeting 31 May 2007

  • A Taster

    Network Meeting 31 May 2007

  • Typical opportunities we aspire to get involved inBusiness start-ups that require a head-start with Best-in-class processesRapidly changing organisations that need to prioritise and align process or service improvement initiativesMergers & Acquisitions: challenges of colliding business models and processesRequirement for BPM method and tool-selectionOur clients value our approach: see testimonials on website: www.process2go.com

    Network Meeting 31 May 2007

  • Myth BustersERP and CRM accelerate the creation of process-based organisations on the contrary: they only do so in introducing functions processes are left to the departments to sort out after the consultants have left + garbage in = garbage outSix Sigma is the only method in town to deliver BPM thoroughly statistical process analysis (the fundamental premise of Six Sigma) is only a small part of the approach all the other elements have been long tried and tested in Change Management and BPMBPMS will revolutionise business processes and make organisations infinitely more agile there are no quick fixes to BPM these systems will only work when part of a BPM initiativeBPM is not WorkflowBPM is not e-business (although e-businesses are certainly the best examples of process-based organisations)BPM is certainly not EAI (when staffware was taken over by Tibco, it largely lost its credibility as a true BPM player)

    Network Meeting 31 May 2007

  • AcknowledgementsAlex Popov, Senior Process Manager T-Mobile for his frequent contributions and challengesRobert S Kaplan, David P. Norton for redefining corporate performance in Alignment, Using the Balanced Scorecard to Create Corporate Synergies, Harvard 2006Peter G.W. Keen for writing one of the more interesting contributions to BPM in The Process Edge, Creating Value Where it Counts, Harvard 1997Keith Harrison-Broninski, for his insight in Human Interactions, The Heart and Soul of Business Process Management, Tampa FL 2005Roger T. Burlton for his standard work on BPM Business Process Management, Profiting from Process, Indianapolis 2001

    Network Meeting 31 May 2007

    Although BPM has been around since the late 90s it has only been for the last 5 years that companies have embraced it as a strategic approach rather than a business analysis toolIt is still difficult to move the approach away from the analysts onto board room agendasThere is a wealth of good experience out there where BPM is used in business transformation, compliance and e-business projects that have demonstrated the value of BPMTypical scenario - Global SAP implementation - processes are redefined using best practice, they are implemented, staff are trained in a vacuum and upon returning into the office they have to weave the new and old processes together in their own environment.Processes are often a fore and afterthought in a project - what happens during implementation and how much embedding takes place? What tools do we provide our staff to operate in the changed environment?If process design and maintenance is important, but expensive to have consultants deconstruct and construct in every project there seems to be a case for taking process management as a going concern more seriouslyThe CEO of a well-known mobile operator told me once: I know you are having difficulties in getting your processes designed and accepted, but to me they are part of the asset we are building, so keep going. The day he left it started to crumble.There are methods out there that allow us to measure and monitor the value of business processes in a way that increasingly excites financial managers - it is often the functional hierarchy that stop executives from applying these techniquesOnce the value of processes is understood - change initiatives are easily prioritised and executed as the impact on the