C7-III MICS

8/7/2019 C7-III MICS

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3/14/2011 1BUSINESS PROCESSES


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EFF0RTSBY

AnchalPundir

10609135

KartikeyPandey

10609152

FaisalShah

10609147

Priyamva-da

10609165


KNOWLEDGEAR

EA 3


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A business process is a logicalenvelope that co-ordinates andgives purpose to business

activities; generally where anactivity delivers an output and aprocess delivers an outcome.

A business process is a high level

component of a business that iscomprised of a number of lowerlevel business activities.

BUSINESS PROCESSES



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It connects one partof the organization to

the other.

The connectives linesin an organizationchart tell us who

reports to whom butnot what people do.

ORGANIZATION CHART



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Identifying Business Process

Identifying Business Process

In the context of change and uncertainty , it is important to be able

to develop and agree a clear understanding of what a business sets

out to achieve at a high level.

From the high level of the corporate vision, which provides a

rationale and a general direction, down to the definition of

operational activities, an organisation needs to be able to understand

what is to be done and how it is to be done.

Based on an understanding of what stakeholders expect from an

organisation we can derive idealised process sets, and then get towork on the difference between what we are doing and what we

should be doing.



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The value chain as an early indicator of process thinking

The internal value chain shows how the various activities and

functions in a business unit contribute to the customer'srequirements, and how costs are incurred in doing so.

The value chain helps to get beyond the detail of current

arrangements in order to see the bigger picture in relation to the

whole business & the way that customers see it.3/14/2011 6BUSINESS PROCESSES


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BUSINESS PROCESS REDESIGN

The value chain is based on concern for the customer.

We must seek out an analytical approach that will deal with all

stakeholders, and take some account of their relative importance

Business processes can be radically redesigned and significant

benefits can be gained from rationalisation and reorganisation of

processes.

Two major issues to be dealt here are :

Depth of ChangeScope of Change



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DEPTHOFCHANGE

BUSINESSPROCESS

IMPROVEMENT

Finding activitiesthat are inefficientor timeconsuming.

Exploring theapplication of

informationtechnology to theirimprovement.

BUSINESSPROCESS

REDESIGN

Look for ways in

which activitiescombine intobusiness processes.

Wholesale change:elimination ofredundant activities,

redeployment ofinventory, closesharing ofinformation withpartners.

BUSINESSPROCESS

INVENTION

Find completelynew businessprocess models &use totally newthinking.



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SCOPE OF CHANGE

It tells whether we are dealing with one department, with a wholebusiness unit, or with a complete industry.

Scope of change can be defined at different levels:

1. LOCAL REDESIGN

2.INTERNAL REDESIGN

3.INTERFACE REDESIGN

4.INDUSTRY NETWORK REDESIGN



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LOCALREDESIGN:

Redesigning within a single

functional area of our business,either in the value-adding streamor in the supporting activities.

INTERNALREDESIGN:

Straddling different functional

areas of the business in order toachieve improved informationflow and tighter integration of

activities.

INTERFACE REDESIGN:

Set out to build links with externalparties. The timescales involvedin external partnerships can be

considerably extended, and not allpartners will pull with the same

enthusiasm.

INDUSTRYNETWORK

REDESIGN:

Customers and suppliers decideto get together and exclude our

business altogether from the chainof industry activity -

Disintermediation.

SCOPEOFCHANGE



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PRINCIPLES OF BUSINESS PROCESS REDESIGN

Organise around outcomes, not tasks.

Have those who use the output perform the process.

Subsume information processing into the real work.

Treat dispersed resources as centralised.

Link parallel activities.

Put the decision point where the work is performed.

Capture information only once, at source.



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BUSINESS MODELLING

A process model of a business isimportant as it sits between the high

and low level viewpoints and helpsto communicate what is envisionedand what is intended to change

A process model sits comfortablybetween the new vision and thepractical considerations .

It allows to be assure of theviability and completeness of ourvision for the business.



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APPROACHES TOBUSINESS MODELLING

TOP-DOWNAPPROACH

One approach to business process analysis that embraces both

visionary and operational viewpoints and that provides an informal

but structured analytical method that enables reconciliation of these

different levels of thinking.

THESEAPPRACHES WORKS ON TWO FRONTS:

1: What are we to do as a business , and why?

2: How are we to do it?



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GENERALAPPROACH TOBUSINESS

MODELLING

Develop a Vision

Determine What must be done

Determine How it shall be done

Reconcile activities with processes

Assess current performance



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ANANALYSIS METHOD

1.Develop a Vision : A vision statement must be negotiated with the senior management

team.

A good vision statement sets a target to aim at. It makes clear the principal outcome of all the efforts of the

business .

A vision is about choices: positioning, scoping and differentiating .



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2. Identify Stakeholders :

A stakeholder is any identifiable type of individual or organisation

that can influence the course of the business.

Different stakeholder groups may share the same expectations orhave conflicting hopes and aspirations .



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3.Tabulate Stakeholder Expectations

:



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a. Out of a consolidated list ofall expectations , identify whatkind of process will satisfy the

expectation?

b. For the first expectation,create a process that will

satisfy it.

c. For subsequent

expectations, examine whetherthey will be satisfied by any of

the processes so farestablished.

d.For any new processes,review their possiblecontribution to other

expectations.

4.Derive list ofideal processes:



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5. Process-expectation map :

Build up a matrix showing how each of the processesthat have been nominated contribute to each of theexpectations from the consolidated list.

Note the strength of the contribution.

Processes assessed by the extent to which they satisfyexpectations and the importance of those expectationsaccording to the mission statement .



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6. Tabulate Business Objects :

Populate each Business activity with the activities (at a lower level)

that will "realise" the process.

- Brainstorming

- Reduction With the vision statement to hand, tabulate and organise a list of the

high level objects in a business.

Include high level objects that represent key components of the

business .



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7. Derive activities using object lifecycle

analysis :



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8. Activityprocesses map :

Each process has a proportionate number of activities .

A process may have no activities, or very few .

An activity may not be mapped to any process.



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9. Assess Business Performance :

Assess current process performance .

Rational view of the difference between our views of business

performance and assess it against evidence of what our stakeholders

think.

Performance of each process judged according to the performance

of the weakest activity contributing to it.

The transformational processes are critical to the future of the

organisation, and so their importance is a function of the need to

change, or the desire to change.



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We are concerned with business processes in order to deliver

business performance that is appropriate to the expectations of our

stakeholders, and to ensure that we are investing in information

systems in the most appropriate areas of activity.3/14/2011 27BUSINESS PROCESSES


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Managerial Issues in Process Management

Business

modelling

Process

Management

StakeholdersChange

management



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Documents

C7-III MICS