Fundamentals of Business Process management - F: Process Redesign

9 important questions on Fundamentals of Business Process management - F: Process Redesign

What is process monitoring?

Aggregation, analysis and presentation of real time information about activities or processes inside organizations. On Quality, Cost, Time, ....

Is a drive for business process improvement

What are the design criteria on Time

Cycle time including
- service time
- transport time
- waiting time

Several ways to improve time properties
- improve average
- improve variance
- increase ability to meet due dates
- increase perception of wait time

What are the design criteria on quality?

- product meets specifications and/or expectations

- promises made are met
- data and documents are handled correctly
- decisions made in the process are correct
- correct & timely information is provided to the customer
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What are the design criteria on cost?

Type of costs
- fixed or variable
- per time unit, per use
- processing, management, or support
- human, system(hard or software) or external

What are the design criteria on flexibility

Ability to react to changes

Flexibility of:
- resources
- process
- management
- organization

What three process improvements are there

1. Process re-engineering
proponent of redesigning processes from scratch

2. Implementing 'reference frameworks'
copying industry 'best practices'

3. Business process improvement
punctual improvements to processen
by applying management theories such as LEAN process management

What is the clean slate approach?
And the best practices approach?

From Michael Hammer
- Ignores existing processes and organization
- Goal: to achieve substantial improvements
- Advises:
to reconsider processes in order to max customer value, while minimizing resource consumption
"small imporvements are useless"

Best practices and previous experiences
- start from blueprint or reference processes
- redefine and adapt those processes to the own organisation

What is the process optimization approach?

- most frequently used
- start from existing processes
- no radical changes
- based on problems experienced during operations
- bases on problems detected through BP analysis
- defines process performance objectives (KPIs)

What is process redesign?

Purpose: identify possibilities for improving the design of a process, "as is" -> "to be"
No silver bullet: requires creativity
Redesign heuristics can be used to generate ideas

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