Process Improvement

A topic that deals with multiple methods to improve and make a particular process better.

There are some methods to improve a process :

1. PDCA in LEAN
2. DMAIC in Six Sigma

LEAN

Principles

1. Define Value
2. Map Value Stream
3. Create Flow
4. Establish Pull
5. Pursuit Perfection

Implementation

When you implement a Lean Process Improvement approach an organization can: • Minimize waste • Reduce inventory • Increase productivity • Improve quality • Increase customer satisfaction • Reduce costs • Increase profits

Lean Process Improvement can apply to production environments but also extend to other environments such as healthcare, software development, service, and government.

The ideal with Lean is to meet customer expectations by creating a near perfect process. The process minimizes waste, uses as few resources as possible, and encourages continuous improvement. Some basics of Lean Processes:

To accomplish ideal Lean processes, here are some of the techniques:

• look at the overall flow of products and services • do not focus only on separate technologies and departments but look at the big picture • look at all assets, technologies, and departments involved • eliminate waste along the entire process not just separate points

Compared to a traditional approach a Lean approach can use less space, less money, and less time to make products and deliver services. For example, instead of keeping a large inventory of products, you have the inventory you need for your immediate orders. This approach can help you streamline your operations plus respond as customer preferences change. Some misconceptions:

Lean is not just a way to reduce costs. Instead, it is a way of thinking. It is not a short term solution. It is the way a group operates. It is actually a long term approach that requires discipline.

Lean is not just for manufacturing. Groups outside of manufacturing have used a Lean approach and had good results. This can include service groups, healthcare, and government. A short history of Lean Process Improvement:

The term Lean appeared in the 1980s to describe an approach Toyota was taking. Dr. Jim Womack of MIT and his team coined the term. Womack and Jones wrote Lean Thinking where they described basics of Lean organizations and characteristics of their supply chain.

Womack founded the Lean Enterprise Institute while Jones founded the Lean Enterprise Academy. Their book describes the thinking that should accompany a Lean operation. The basics of Lean thinking:

Lean thinking should involve purpose, people, and process. With purpose we should ask – what customer problems will your organization solve and then prosper?

Concerning process, we should ask how a group will look at each value stream. Each stream should be valuable and adequate. Each step should be linked to flow.

Concerning people, we should ask how a group can be sure that an individual is responsible for evaluating every process. Everyone should be thinking about constant improvement. We should look all the time at the Lean process and business results. Everyone should be actively involved. Some more basics of Lean Process Improvement:

Here are some techniques to help with the Lean vision:

• Pick a specific process or problem to improve • Put someone in charge of the project • Put together a team that understands and works on the related process not just managers • Make communication a top priority

Here is a way to look at Lean through phases.

1. Define – This is where you determine your goal.
2. Measure – This is where you are specific about the data you will look at
3. Analyze – Here you look at root causes to solve problems and meet your goal.
4. Generate – Look here at solutions.
5. Implement – Take action with your solution.
6. Control – Make sure you have achieved your goal and keep the solution in place.

We make use of the following diagrams in order to improve any particular process in a company :

1. Process Maps
2. Fishbone Diagrams
3. Histogram Charts
4. Scatter Diagrams
5. Pareto Chart

Process Maps

Business process mapping is a powerful technique inside business process management (BPM) to visually depict process steps and show how a process should function from start to finish. With this technique, business processes are laid out visually so every stakeholder in your organization can understand and adhere to the proper functioning.

Business process mapping uses charts, flowcharts, and symbols to answer the following three essential questions: What are the tasks in the process?

Processes are made up of individual tasks that must be done in a particular sequence in order to complete an item. When you map business processes, you clearly identify every step in the process and make sure everyone knows where one task ends and another begins.

Who does each task?

In business process mapping, you must identify exactly who is responsible for a particular task. Task assignment might be static (Karen always does it), or dynamic (the initiator’s manager always does it), or might be dependent on data in the form. But business process mapping makes it clear on roles and responsibilities.

When does each task occur?

A process mapping tool will set each task within the sequence of the entire process. Does it happen first? After another task? Can this task happen simultaneously with other tasks, or is it dependent on other data being processed first?

You can also set deadlines and SLAs with business process mapping. How long should each step take? 24 hours? Two business days? Does it depend on the priority of the item?

Why Do You Need Business Process Mapping?

Business process mapping is an essential part of running an efficient business. Without a visual representation around how predictable processes run in your company, employees are left to guess and make mistakes as to what the best practices are. If you don’t clearly define a business process through mapping, each department and individual is left to create his/her own sequence and assignment. This leads to chaos, confusion, and blame when the task owners are not clearly assigned.

The benefits of business process mapping include:

1. Corporate clarity around the process
2. Systematic control over how the process functions
3. Established operational norms
4. Elimination of redundancies
5. Increased process visibility
6. Better compliance with industry standards
7. More uniform employee training

How to Create a Process Map?

1. Gather all the stakeholders. You need several voices of people who are both responsible for the process and who are actively involved in the day-to-day activities.

2. List out all the human tasks. What are all the things that humans do as a part of this process? Initially, this is often best done with sticky notes that can be easily moved around later.

3. List out all the system tasks. There are many tasks such as data transfers, sending emails, or simple folder creation that can be done better by a machine than a human.

4. Identify redundancies. Go back and check your list of tasks and see if some can be eliminated, converted to a notification, or switched to a system task.

5. Determine who is responsible for each task. Most tasks will have a single owner. Some might be able to be assigned to a group of people, but someone should be ultimately held accountable for the timely completion. System tasks also need someone responsible in case there are any errors.

6. Set the sequence of tasks. What needs to happen first? Can some tasks be done at the same time? Which tasks are dependent on others? When is the process complete? While this phase is best done with physical objects like moveable cards, eventually, you will want to move to a business process mapping tool that can digitize what you’ve created.

Best Practices

Best Practices for Business Process Mapping

1. Reduce complexity. The process map should be as simple as possible and easy for anyone to follow.
2. Don’t let it go stale. Revisit the process map regularly to determine if it can be improved.
3. Establish the main goal. Are you trying to make this process faster? Or produce better quality items? Or reduce communication breakdowns? Focus on these as you map.
4. Recognize the “as-is” and “could-be” differences. If a certain step usually takes three days to complete, don’t mark it as 24 hours even though you’d like it to be that way.
5. Start with common. There will always be exceptions to how your process flows, but it’s best to start with the normal situations and build exceptions in later.

Business Process Mapping can make use of 3 types of flowcharts.

1. Basic Flowchart
2. Business Process Model Notation 2.0
3. Data Flow Diagram

Fishbone Diagrams

Histogram Charts

Scatter Diagrams

Pareto Chart