BPI 'To-Be' Process Model – Design High Level Phase

Description

• Conception, design and documentation of how work will be accomplished according to redesigned business processes. This deliverable is comprised of a process flow diagram illustrating the activities of the new process, with corresponding inputs/outputs (e.g. information requirements), and with preliminary indications of impacts on workflow, people, physical infrastructure, etc.

Client Value

• The 'To-Be' Process     Model captures the creative 'rethinking of the business' of the process design team. This process redesign enables the organization to achieve its Stretch Targets.
• If this deliverable is not completed the project is at risk of:   
• Remaining within the 'As-Is' environment                
• Focusing on organizational functions or 'silos', rather than taking a     cross-functional 'process view'       
• Constraining the design of the business solution by merely 'tweaking the status quo', and therefore not satisfying the Stretch Targets and consequently the (Confirmed) Business Vision.

Approach

This deliverable is completed through a series of creative work sessions during which existing assumptions and ways of doing business are challenged. The design team continuously validates proposed ideas against pre-established 'design principles' as it defines the process flow and identifies the interaction/integration with other elements. Discussions surrounding workflow, technology and organization usually go through several iterations.

1. Inventory change ideas and organize them into a useful formal        
1. Review Priority Opportunities, Design Charters and Best Practice Comparisons in preparation for the design sessions.   
2. Document 'design principles' for design sessions on posters or summary sheets to ensure they remain visible during design sessions
2. Create the new process (Process Streamlining and Simplification)    
3. There     are many 'white paper' (i.e. no imposed constraints on creativity) approaches to generating new process designs.
1. A practical approach to generate new process designs:   
4. Decide on approach for workshops
1. Identify team and experts roles for design   
2. repare     for work sessions   
3. Identify scope of the process (beginning and end, inputs and outputs)
4. Identify key players involved in the execution of the process
5. Identify major process milestones or events and sequence them in a general     time line.       
6. Create new process   
7. Define     workflow of new processes
5. Document the new design (Process Modeling Tools)
1. Define     steps   
2. Describe attributes
6. Identify the impacts of the 'To-Be' Technology Architecture and 'To-Be' Human Resource Model on the 'To-Be' Process Model.

Guidelines

Problems/Solutions

• In some cases, there     may be a lack of ownership or buy-in of the Stretch Targets     established previously. In this case, revalidate these targets with the design team before proceeding. Be aware that in extreme cases, it may become necessary to remove certain individuals from the design team if their lack of 'buy-in' and constant pessimism hinder     the team’s progress.
• If the design team is unable to come up with dramatic change ideas, attempt to diagnose and address the underlying cause of their reticence (e.g. doubt, based on company history, that management will ever truly allow the proposed changes to occur).
• Do not let team members backslide into functional 'silo' mentality. If this occurs, bring in the project sponsor to reinforce expectations of the team. (It is important to recognize that team members may be concerned about their ability to go back to their func­tional     'homes' if they have not protected their own turf. Forewarn team members of this possibility ahead of time.)
• Do not let process design documentation become too detailed. Set a time limit on the dura­tion of this activity to help control the level of detail.

Tactics/Helpful Hints

• Constantly use best practices, case studies, technology enablers,     and expert consultants during the course of redesign activities to stimulate new and innovative ideas

   

• Encourage the design team to develop alternate design scenarios if the team is unable to agree on a significant element of the new design. Document the advantages and disadvantages of each for later presentation to management.

Resources/Timing

• Scoping and timeframe are, at least in part, based on the complexity of the process and the speed at which the design team is capable of operating. Common scoping issues are as follows:   
• Larger design teams     (e.g. more than 10 people) tend to be harder to manage, and take longer to reach consensus. Conversely, fewer than 6 participants in a design workshop rarely generate a desired 'group dynamic' whereby peer pressure causes the optimal solution to be proposedÑeven if it may be perceived as detrimental to the interests of one or more design workshop participants.
• Geography affects the logistics and timeframes required to assemble design teams. Take advantage of the presence of the full group, by conducting collect additional data such as costs and benefits at the same time.
• The amount of detail in the design of the 'To-Be' Process Model, and in the analysis of benefits and costs can add significantly to the time required to     complete the design effort.   
• Staff design teams should ideally possess the following knowledge/skills (represented by either the client or the consultant team members):    
• Industry or specific-process expertise   
• Human resources and training expertise   
• Comparative analysis skills (to analyze and evaluate alternative options)
• General information technology expertise (drawing upon enabling technology     specialists, as required)   
• Operations analysis (to determine the impact of proposed technology on         operations)            
• Workshop facilitation.

BPI Best Practice Comparisons – Design High Level Phase

Description

• Compilation and presentation of 'leading edge' approaches of competitors and industry leaders, in areas such as business process, technology and human resource management. Best Practice Comparisons are largely qualitative in nature and refer to innovative ideas that have successfully proven to yield high performance levels elsewhere. The presentation of Best Practice Comparisons includes a description of  the leading edge practice and its rationale for use, performance levels its adoption has yielded and constraints/risks associated with its implementation.
• Best Practice Comparisons can refer to a wide variety of elements. For example, 'enablers' for process improvement can range from names of leading software packages to unique approaches to customer service used in unrelated industries. Furthermore, 'lessons learned' (e.g. limitations of solutions, actual payback from implemented changes, what others would do differently, etc.) can be equally valuable to an organization undertaking BPI.

Client Value

• Best Practice     Comparisons allow the client organization to learn from other     companies' successes and failures prior to adopting proposed performance-enhancing opportunities itself. Exploring 'how others do it' also challenges the way business is currently conducted and broadens the perspective of client team members.
• Without this type of information, design teams cannot ensure that the processes that they are designing will incorporate the Best Practice Comparisons used by the leading companies in the world. Consequently, 'catching up' and surpassing the competition is unlikely.
• By looking at Best Practices outside of the client’s industry, process improvements and “best processes” can be discovered that are not currently implemented in the client’s industry. These “best processes” from other industries can provide the insight and innovation that allows the client to surpass competitors in it’s own industry.

Approach

External comparisons can vary in complexity. Standard, support-process activities (e.g. order entry, invoicing, ac­counts receivable/payables, etc.) can often be readily transferred from company to company, with relatively minor adjustments to the specific client. Industry-specific processes can be ad­dressed through industry consultants or other 'experts'.

Comparison efforts should not only include travelling to view how other organizations man­age the same process but also trading information on process per­for­mance, sharing models that show how the process operates and understanding how an organiza­tion sup­ports a process. If possible, the design team should locate information about how competitors manage the same process. Some relevant information for the competitive anal­ysis may be found in the client's existing competitive evaluations

1. Identify and select activities for which Best Practice Comparisons are to be obtained.
2. Specify the scope (e.g. appropriate 'targets' for comparison) and a measurement method for identified activities.
3. Plan data collection activities and responsibilities.   
1. Determine information needed for analysis
2. Identify method for information gathering
3. Identify frameworks for summarizing information
4. Assign responsibilities
5. Prepare for and schedule workshops, design forums, interviews, facility         'walkthroughs', etc       
4. Collect appropriate external data.   

      

Collecting external     comparison data

   

5. Summarize/synthesize results
6. Prepare a presentation for review by senior management.

Guidelines

Problems/Solutions

• Competitive/external     comparisons risk reinforcing certain individuals' views that the     client organization's current performance is 'good enough'. Do not     let the objectives for the BPI project be limited by others'     performance.

Tactics/Helpful Hints

• Best Practices may be useful earlier in the BPI exercise to determine the Focus Areas     and Priority Opportunities. At this point, when areas have     been pinpointed, Best Practices will help in designing versus focusing.   
• Obtain     information on technology enablers from the technology-trade press,     industry analysts and competitor research as the basis for "clean     slate" brainstorming sessions.   
• Be prepared to give something (information, results of study, etc.) in return for site visits to other companies.
• Look for best practice processes in different industries. Making comparisons only with direct competitors only allows the client to “catch up” to the competition. Often, to develop “break through” improvements that will catapult the client past its competitors, Best Practices outside the clients industry must be researched.   
• Remember that the objective with respect to technology is only for an understanding of technology to be applied in the redesign of business processes. The team should exercise care to avoid letting technology fascination obscure the objectives of the exercise.

Resources/Timing

• Optimize resources through simultaneous analysis of multiple processes.
• Charter a separate team to identify Best Practice Comparisons if design team     resources are more effectively deployed in the redesign effort.
• Process expertise of industry-specialist consultants is critical to identifying appropriate Best Practice Comparisons quickly.

BPI Design Charters - Focus Phase

Description

• Documents which serve as the "terms of reference" to guide Design Teams during the BPI program. They provide specific focused direction and set of expectations to each team being commissioned to proceed with a defined Focus Area. While Design Charters typically outline an approach to be taken in achieving the team’s objectives, the detailed activities and worksteps are usually developed by the teams themselves, and may take the form of Work Packages.    

Client Value

• Design Charters provide Design Teams with a focused mandate and set of expectations, and more-manageable, shorter-term timeframes. Charters are particularly valuable in coordinating multiple teams’ activities (i.e., when several initiatives are proceeding in parallel). Having a clearly-defined Design Charter gives Design Teams a greater sense of control over meeting their mandated     goals. The omission of Design Charters leads to problems of overlapping mandates and duplicated (and often contradictory) design efforts.

Approach

Development of a Design Charter involves defining at a high level the scope, targets and approach for a given Focus Area (which may comprise one or several processes). Once appointed, key team members work together to 'flesh out' additional details of the assignment they will be accepting. For example, they translate the overall Stretch Targets into process-specific improvement targets. Multiple Design Charters are approved by management who validate the scope of the project and the approach to be taken.

1. Confirm the scope (start/finish points) and success targets for the defined area of work.
2. Establish major (high-level) activities that must take place within the given time-frame.
3. Designate key team members, and with their input define:
1. Background and Case for Change project rationale and history as they relate to the Focus Area
2. Objectives the 'vision' for the Focus Area as it relates to process customers and/or     'end-users'
3. Refined Improvement Targets the contribution of this Focus Area to achieving the overall Stretch Targets for the BPI program
4. Scope of the Design Charter activities and relevant go-forward issues Guiding 'design principles' directions given by senior management regarding how to (and how not to) orient 'To-Be' solutions during process design workshops
5. Approach general recommended approach for proceeding (e.g. a series of workshops)
6. Resources and Time-frame number of participants, schedule and duration of meetings
7. Interdependencies with other activities.
4. Review output of Step 3.0 with sponsor(s) and obtain sign-off agreement that this output represents the team's Design Charter.

Guidelines

Problems/Solutions

• There may be several initiatives running in parallel at a particular point in time, and therefore several charters. Ensure that every Design Charter is placed into the 'Program Book', and also that every Charter includes steps for co-ordinating with other interdependent activities.

Tactics/Helpful Hints

• Wait until the team is assembled before completing the Charter. The Charter should be     owned by the team, not by the project.

Resources and Timing

• Keep Charter time-frames short, no more than several months. The team is able to visualize a clear road ahead and an end in sight, and will receive     early gratification.