Business Process Improvement
Silica Associates utilises different techniques to assist in improving the way a business process operates, dependent on what the perceived issue is ; who’s involved ; the scope of the process and the commitment of the Sponsor.
- Do you need all your business processes to operate effectively, i.e. only do the ones that add value and remove the ones that don’t ?
- Do you need your business processes to be more efficient, i.e. faster, better and lower cost ?
- Do you think your team have different perceptions as to what the problems are ?
- Do you think your team have different perceptions as to what adds value to the customer or not ?
- Do you feel sometimes that some of your business processes do not support your business strategy ?
If the answer to some or all of the above is YES, then it may be necessary to implement a business process improvement initiative.
“Rama provides a strong focus on governance and organisational structure of a project and thus achieves high levels of business buy-in and genuine and sustained process change and improvement.”
Business Process Improvement (BPI) is a systematic approach to helping an organisation analyse and improve its processes. A business process is a collection of activities that creates an output that is of value to the customer.
The main objective of BPI is to make processes effective, efficient and flexible. Effectiveness of a process is measured by the extent desired specified results are produced right first time (i.e. outcomes with zero defects). Efficiency of a process is measured by the extent various business processes minimise the consumption of the business resources (Juran, 1992). The flexibility of a process is measured by the extent business processes are easily modified to meet or exceed customers’ expectations for products and service delivery.
The ability to meet the above objectives depends upon the following criteria :
1. Does the process add any value in the final outcome ?
2. Can the process time be reduced ?
3. Can the activities be performed concurrently instead of sequentially ?
Typically, BPI uses information technology to help change business process so that costs can be reduced, service is improved, or cycle times are reduced. Several BPI methodologies exist. Most methodologies require the construction of an ‘As-Is’ and ‘To-Be’ model.
Initially there is a need to identify an organisation (or part of an organisation) that needs improvement. Next, we analyse the current system, investigate possible solutions, redesign the current system and propose a plan to move from the ‘As-Is’ stage to the ‘To-Be’ stage.
is a process validation exercise.
It is a means of identifying all the processes within the role of a team/department/company ; to ensure nothing is omitted and to identify & confirm opportunities for removing non-value added activities and/or to improve / redesign part of the overall process.
is about removing overload.
It is a means to allow people who carry out a multitude of tasks who wish to get rid of the ‘unnecessary’ ones, i.e. the ones that do not add value to their Customer.
is about improving processes that do add value to the Customer.
It is about bringing together people of all positions and functions to focus on a problem or opportunity to re-design a process.
is about growing options, value & excellence.
It is about finding new value adding customer services by turning ideas into platforms for action.