Transcript OFFICE BUSINESS PROCESS

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PROJECT METHODOLOGY
Chapter 5: Prepare for the Journey
Objectives
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At the end of this unit, you will be able to:
1.0
Identify the eight key decision points in any BPR
project.
2.0
Explain the steps of the BPR project methodology and
the outcome for each of these steps.
3.0
Explain the importance of a well-structured
methodology.
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8 DECISION POINTS BPR PROJECT
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1.0
2.0
Do we need to reengineer/redesign this business
operation?
-
Boundaries, scope, and interface points?
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How should we structure the project?
-
Who should be on the team?
What is the end vision of the results of the
reengineering/redesign?
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Goals, priorities?
-
Values, principles reflected in the vision?
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8 DECISION POINTS BPR PROJECT
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3.0
What is the detailed design for our reengineered
business operation?
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How do the processes function?
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Systems and infrastructure needed.
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Belief systems and culture that must be in place.
4.0
Will our new design for the business operation work?
5.0
What is the plan for getting that design
implemented?
-
Time, Risks and Costs?
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8 DECISION POINTS
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6.0
Should we fund the implementation of the BPR?
7.0
Is the implementation going as planned?
-
8.0
Corrections and changes to make to ensure
complete transition to the vision environment.
Is the reengineered/redesign business operation
ready to take on responsibility for continuous
improvement to the processes?
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Yes – provide skills and knowledge to people to
do it right.
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No – keep working with them until they’re ready.
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BPR PROJECT METHODOLOGY
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STEP
NAME
OUTCOME
ELAPSED TIME
1
Frame the Project
Framework Statement
2 weeks - 6 months
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Create Vision, Values & Goals
Vision, Values & Goals Statement
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Redesign Business Operations
Blueprint
1 month - 2 months
4
Conduct Proof of Concept
Benefits Statement
2 weeks - 6 months
5
Plan the Implementation
Implementation Plan
2 weeks - 4 weeks
6
Get Implementation Approval
Funded Resource Request
1 week - 2 weeks
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8
Implement the Redesign
Transition to a Continuous Improvement
Environment
Measurement Results
Higher Performance Standards
Rational decision is made to start or stop the project
1 day - 2 weeks
6 months - 3 years
Ongoing
Create design and implementation plan
Resources and commitment are obtained
Environment reengineered
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Step 1: Frame The Project
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Purpose: Decision to proceed/not proceed with project. Define
and structure the project.
Outcome: Project Framework Statement
Provides concrete and documented evidence for
the need to redesign.
The data is required to create the vision the
reengineered decision operation.
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Step 1: Frame The Project
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Key Activities:
1.0
Assemble analysis team – the core group of the project team
2.0
Draft project frame – the team works on the scope, boundaries,
and interface points for the reengineering effort.
3.0
Conduct a current situation analysis (AS IS) – the team
gathers data and analyzes the current situation; this means observing
work flows, determine root causes of problems related to production,
errors, etc. The results should prove or disprove the need for radical
change to the business operation.
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Step 1: Frame The Project
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Key Activities:
4.0
Produce the Framework Statement – the analysis of the current
situation is documented in a framework statement.
5.0
Recommend project go/no-go decision – if the situation
analysis supports the necessity of a reengineering project, then the analysis
team must recommend how to proceed;
specify desired outcomes;
describe techniques necessary to achieve them;
identify executive sponsor(s), a project director, core group,
champion team members by name and organization unit;
develop schedules and allocate funding.
6.0
Contract with executive sponsors – be clear with your executives
that you want a contract to create the reengineering design and develop an
Implementation Plan.
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CAUSE AND EFFECT DIAGRAM
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The Ishikawa diagram is a graphical method for finding the
most likely causes for an undesired effect.
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PARETO CHART
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A special form of vertical bar graph that displays information in such a way
that priorities for process improvement can be established. It shows the
relative importance of all the data and is used to direct efforts to the largest
improvement opportunity by highlighting the "vital few" in contrast to the
"many others."
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Step 2: Create The Vision, Values, and Goals
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Purpose: Create a picture of what the operation wants to
become. Project executives sponsors and the project team must agree to the
vision of the reengineered environment and its supporting values and goals.
Outcome: Vision, Values, and Goals Statement.
Key Activities:
1.0
Prepare for project kickoff meeting and vision session.
2.0
Conduct the project kickoff meeting – promote and formally
announce the project
3.0
Conduct the vision session – team develop and agree on the
vision, values, and goals for the project.
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Step 2: Create The Vision, Values, and Goals
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Key Activities:
4.0
Create the Vision, Values & Goals Statement – this
document becomes the primary means of communicating the
purpose of the reengineering project throughout the organization.
5.0
Validate the Vision, Values & Goals Statement – the team
revises or refines the statement after the vision statement has been
circulated throughout the organization.
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Step 3: Redesign the Business Operation
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Purpose:
Design a new way of doing business that is in
alignment with the vision, values, and goals.
Outcome: Redesign Blueprint Consisting of Physical/Technical
Infrastructure, and Value Components.
The blueprint provides the foundation for a realistic
and feasible implementation and enables the team to
estimate Implementation costs and forecast
implementation benefits.
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Step 3: Redesign the Business Operation
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Physical/Technical Component
• What work will be required to produce the products or services?
What business policies, practices and controls needed to ensure
effective performance?
• What information do we need to operate effectively? Who will
do what work?
• What computer systems, communication networks, and other
technologies must be used to enable the work to be done
effectively?
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Step 3: Redesign the Business Operation
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Physical/Technical Component of the Blueprint is structured into four
distinct models:
a.
Process Model: is the core of the Blueprint and depicts work processes in
the reengineered environment.
-Key business outcomes (e.g. products, services) and criteria for
judging their quality.
-Business processes required to produce and support the business outcomes.
- Description of how those processes relate to each other, including work
flows, information flows and timing dependencies.
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Step 3: Redesign the Business Operation
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A process must create or transform physical items or data.
A process must add value to an outcome.
b. The Information Model: describes all data required to perform and
make decisions within the reengineered business.
c. Organization Model: defines the new or existing organization structure,
job positions, and job configurations (such as team structures) required
to perform and support the redesigned processes.
d. Technology Model: documents the databases, applications,
communications, and networking required to support the redesigned
business processes.
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Step 3: Redesign the Business Operation
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Infrastructure Component
a. Management strategy
b. Management system
Value Component
a. Organizational culture
b. Power utilization
c. Belief systems.
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Step 3: Redesign the Business Operation
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Key Activities:
1.0
Prepare for the Blueprint sessions.
2.0
Conduct the Blueprint sessions - the team develops and
reaches consensus on the business operation redesign.
3.0
Document the Blueprint – write a concise and
understandable document.
4.0
Validate the Blueprint - refine or correct the blueprint
before publication.
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Step 4: Conduct Proof of Concept
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Purpose:
To refine the estimate of the project’s expected
benefits and to see if the business operation
design performs as expected.
Outcome: Benefits statement – presents qualitative and quantitative
benefits of implementing the business operation redesign based on the results of the
simulation or pilot tests.
Key Activities:
1.0
Determine need for proof of concept – hard data, commitment to
implementation, radical change, initial cost estimates, realistic expectations.
2.0
Select a proof of concept approach – simulation or pilot test?
3.0
Develop proof of concept requirements and plan.
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Step 5: Plan the Implementation
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Purpose:
Develop a realistic action plan for implementing the
reengineering Blueprint.
Outcome: Implementation Plan (provides the road map)- a detail
implementation and action plan with specific milestones and process
owner identified.
Key Activities:
1.0 Prepare for the implementation planning sessions.
2.0 Conduct the implementation planning sessions.
3.0 Document the Implementation Plan.
4.0 Validate the Implementation Plan.
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Step 6: Obtain Implementation Approval
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Purpose: To get the funding and resources to begin
Blueprint Implementation.
Outcome:
Funded Resource Request – human resources, facilities and
equipment, and direct budget for external consulting, and training.
Key Activities:
1.0
Develop the approval strategy – ensure that all stakeholder
executives have the opportunity to become involved in the decision
making for the implementation.
2.0
Ask for approval.
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Step 7: Implement the Redesign
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Purpose: To transition the business operation from the current environment to
the reengineering environment.
Outcome: Measurement results – should show movement toward the
reengineering goals as stated in the Vision, Values, and Goals
Statement.
In the form of progress reports and measurement results.
- frequency and volumes of transactions
- number of customer inquiries, complaints and responses.
- number of errors, discrepancies, changes and corrections.
- elapsed or dedicated time required for process cycle.
- customer satisfaction with services performance and products
delivered.
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Step 7: Implement the Redesign
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Key Activities:
1.0
Consistent periodic meetings – regular meeting to share learning,
monitor implementation progress, and resolve issues as they arise.
2.0
Celebrate success – people who make them happen should be
rewarded.
3.0
Conduct critical reflections – project team should work proactively
with the line organizations to anticipate problems with the
implementation work.
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Step 8: Transition to a Continuous Improvement State
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Purpose: To bring closure to project team activities and have
line organizations continue to improve the
reengineered environment.
Outcome:Continually improved performance – through improved
process reducing unproductive activities and increasing customer
satisfaction.
Key Activities:
Ongoing measurement and critical reflection by
operations units.
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