A Health & Wellness Approach to Enterprise Process Management

A Health & Wellness Model for Enterprise Process Management

Brett ChamplinPresident, ABPMPAssociation of Business Process Management Professionalswww.abpm.org

© Copyright, Brett Champlin, 2004-2007

2Brainstorm BPM Conference, Chicago, April 10, 2007

A Medical Model

Preliminary Assessment Determine Patient Health Goals Diagnose Patient Health Reassess Health Goals Develop Treatment Plan Prescribe Treatments Schedule Follow Up Visits


Emergency Assessment Bleeding Breathing Breaks Consciousness

Awake Alert

Shock Complaint

Expenditures Cash FlowsOperationsMarketing

ResponsiveEffective

ManagementComplaint


Office/Hospital Preliminary Assessment

Pulse Height Weight Respiration Temperature Blood Pressure Complaint

Cash Flow Industry(ies) Market Share Revenues Operating Costs Product Lifecycle Complaint


Determine Patient Health Goals

Save Life Ease Suffering Cure Disease Prevent

Disease Improve Overall

Health

Stop Gap Measures Fix Problems Redesign Processes Process

Management Strategic Process

Planning


Diagnose Patient Health

Symptoms

Disease

Etiology

Long Term Health Risks

Known Problems

Process Performance

Business Environment

Long Term Viability


Which System(s) Are Affected?

Core Circulatory, Respiratory, Neurological,

Digestive, Reproductive

Support Skeletal, Musculature, Skin

Control Nervous System, Sensory, Endocrine,

Immune


Which System(s) Are Affected? Core Operational Processes

Engage Customer, Transact Business, Fulfill Expectations, Service Customer Needs

Enabling Processes Resource Management Financial – Human – Physical – Material -

Information Control Processes

Process Management Strategic Positioning – Performance Monitoring –

Process Transformation - Change Mgt - Compliance


Business Process Architecture

StrategyLevel

Business ProcessLevel

ApplicationArchitecture

DataArchitecture

NetworkArchitecture

ApplicationDesigns and

Code

Database &Data Quality

Design

Connectivity &Communication

Design

Data Center, Processor and Operating Systems Architectures

Human-IT

InterfaceModel

Screens&

Reports

SpecificProcess

Business Process

JobDesign

ActivityMeasurement

ActivityManagement

Job Aids&

TrainingPrograms

PerformanceMonitoring

System

Planning Organizing Directing Controlling Delegating

EstablishOrganization Plans

& Goals

ImplementationLevel

Process Automated via IT SystemsProcess Performed by Employees

Physical Plant and Technology Specification

The Business Process ArchiectureDefines the Organizations' Value Chains andHow All its Business Processes Fit Together,

are Managed and Measured, etc.

The Process ModelDefines a Specific Processin terms of Subprocesses,

Activites, etc.

Source: Paul Harmon, BP TrendsSource: Paul Harmon, BP Trends


Measurement Cycle/Handling/Throughput Time Resource Utilization Rework/Reprocess Defect Rates Waste WIP Queues Customer Retention/Satisfaction Market Growth/Loss


Diagnostic Tools

Process Mapping Simulation Statistical Analysis (Six Sigma ) Activity-Based Cost Analysis (ABC/M) Relationship Analysis Root Cause Analysis


Relationship MappingGOVERNMENT

VENDORS(SUPPLIERS)

MARKETS(CUSTOMERS)

<YOUR BUSINESS>

COMPETITORS

CHANNELS(SALES &

DISTRIBUTION)

COMMUNITY


Reassess Health Goals

Immediate Short Term Long Term


Generic Process Maturity ModelIntegrated

(6)Coordinated Process

Initial(1)ad hoc Process

Repeatable(2)Stable Process

Defined(3)

Standard Process

Managed(4)

Measured Process

Optimized(5)Effective Process

Process Control

Process Measurement

Process Definition

Basic Management

Control

Process Integration

Consistent Execution

Controlled Environment

Quality and Productivity

Improvement

Continuing Improvement

Chaotic

Cooperative Optimization

A Health Assessment ToolA Health Assessment Tool


Assess Organization

Traditional (Functional Organization) Involvement Management Process Management Cross-Functional Management Matrix Management Process Focused

Styles of Work Management, Dan Madison,“Process Mapping, Process Improvement, and Process Management”


Traditional – Involvement


President

Accounting MarketingCustomerService

Manufacturing

Manager

Supervisor

Worker

President


Manufacturing

Manager

Supervisor

Teams andtask force


Process Management – Cross-Functional Management


President


Manufacturing

President


Manufacturing

= Improved Processes = Improved Processes


Matrix – Process Focused (f-type)


President


Manufacturing

= Improved Processesoverseen by Process Consultants

Process Consultant

Process Consultant

Process Consultant


Manufacturing

= Improved Processesoverseen by Process Owners

Process Owner

Process Owner

Process Owner

CEOOr

COO

CEOOr

COO


Work Management and Effectiveness

Traditional Involvement Process Cross-Functional

Matrix F-Type

World Class

Extremely Wasteful

Total organizational effectiveness and efficiency scale



Process Management Plan

Continuously Improving Process

Predictable Process

Disciplined Procedures

Consistent Process

Optimized Process

(5)

Managed Process

(4)

Defined Process

(3)

Repeatable Process

(2)

Initial State(1)

IntegratedProcess

(6)Cooperative

Process

Need Quality Management

Program

Need Management Regulation

Ignored(1)

Manage/Plan(5)

Participate/Control

(4)

Support/Direct

(3)

Recognize/Organize

(2)

Lead/Collaborate

(6)Need Enterprise Integration

Process Management Maturity Process Maturity


Develop Treatment Plan

Ease Symptoms Cure Disease Rehabilitation Plan Maintenance Plan Wellness

Improvement Plan


Health AssessmentProcess

Assessment

Initial(1)

ad hoc Process

Repeatable(2)

Stable Process

Defined(3)

Standard Process

Managed(4)

Measured Process

Optimized(5)

Effective Process

Integrated(6)

Coordinated Process

WellnessEvaluation

Life Threatening

Seriously ill

Stable but ill

Basically Healthy

Robust and Active

Excellent Long Term Health

ImmediateTreatment

Stabilize,Treat life critical

symptoms

Aggressively treat symptoms and disease(s)

Holistically treat disease(s),

evaluate etiology

Prescribe health improvement

plan

Prescribe health maintenance plan

Monitor and maintain healthy

behaviors


Prescribe Treatment

Alternatives What to do now How often How much How long


Business Process Strategy MapBusiness Strategy Mergers, Acquisitions, Core/Context, Divestiture, Joint VentureBusiness Strategy Mergers, Acquisitions, Core/Context, Divestiture, Joint Venture

Business Portfolio Mgt Enhance/Retain, Outsource, In-source, Co-sourceWhite Label, Aggregate, Orchestrate

Business Portfolio Mgt Enhance/Retain, Outsource, In-source, Co-sourceWhite Label, Aggregate, Orchestrate

Business Processes (Supply Chain, Value Chain, Product Design,Marketing)

Business Processes (Supply Chain, Value Chain, Product Design,Marketing)

Business Process Management Metrics, KPIs, Change Management, Collaboration

Business Process Management System

Process execution lifecycleProcess design lifecycle

Business Process Management System

Process execution lifecycleProcess design lifecycle

DiscoverDesignDeployExecuteOperateInteractAnalyzeOptimize

Web Services &EAI Integration

Source: Howard Smith, CSC & BPMISource: Howard Smith, CSC & BPMI


A Plethora of Treatment Options ABCD Checklist for Operational Excellence Activity based costing (ABC) Affinity Diagram Assigned Process Balanced Scorecard Benchmarking Brainstorming Business Systems Planning (BSP) Cause/Effect Diagram Consensus Building Continuous Flow Optimization (TOC) Cross Functional Process Map Customer Research Cycle Time Reduction Decision Matrix Decision process re-engineering Earned Value Analysis Force Field Diagram Functional Economic Analysis Gantt Chart Human Resource Development Improvement Process Interrelationship Digraph ISO-9000 Kaizen Meeting Process Multivoting P/R Measurements; Leading, Lagging Indicators

Pareto Diagram Process Decision Program Chart Process Flow Chart Purpose, Vision, Goals, Strategies, & Plans Process Improvement Process Management Process Redesign Process Reengineering Organizational Development Relationship Diagram Relationship Strategies Scoreboard Stage Theory - Stages of Team Growth Storyboarding Strategic Business Planning Strategic Fit Analysis Supply Chain Management Six Sigma and Lean Manufacturing Six Thinking Hats Streamlining Systematic Diagram Total Quality Management Quality Function Deployment (QFD) Value Chain Mapping Value-Added Step Analysis Waste Search Workflow Diagram More…


Process Improvement Plan

Generic Process Maturity Model Where are we? Where do we want to be? When? What do we need to do to get there? How will we get there?


Process Improvement PlanASSESSMENT

Initial(1)

ad hoc Process

Repeatable(2)

Stable Process

Defined(3)

Standard Process

Managed(4)

Measured Process

Optimized(5)

Effective Process

Integrated(6)

Coordinated Process

PRESCRIPTION

RadicalReengineering

Reengineering/ Redesign

Process Improvement (Six Sigma)

ProcessRedesign

Analyze Systems Dynamics

Manage Relationships

GOAL

Obliterate and Innovate

- Level 4 or better

Leverage What Works

- Level 4 or better

Well Controlled Process

- Level 4 or better

Process Refinement

- Level 5

Process Integration

- Level 6

Strengthen and Nurture

Relationships


Schedule Follow Ups

Regular Visits Self Assessments Periodic Checkup If Side Effects Occur


The Process Doctor’s Advice Process Health Clinic Holistic Patient Treatment Long Term Health & Wellness Plan

A Health & Wellness Approach to Enterprise Process Management

Business

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