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drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY
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Page 1: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

drmasanom 1

Chapter 5: Prepare for the Journey

PROJECT METHODOLOGY

Page 2: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

ObjectivesObjectives

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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.

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.

Page 3: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

8 DECISION POINTS BPR PROJECT8 DECISION POINTS BPR PROJECT

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1.0 Do we need to reengineer/redesign this business operation?

- Boundaries, scope, and interface points?

- How should we structure the project?

- Who should be on the team?

2.0 What is the end vision of the results of the reengineering/redesign?

- Goals, priorities?

- Values, principles reflected in the vision?

1.0 Do we need to reengineer/redesign this business operation?

- Boundaries, scope, and interface points?

- How should we structure the project?

- Who should be on the team?

2.0 What is the end vision of the results of the reengineering/redesign?

- Goals, priorities?

- Values, principles reflected in the vision?

Page 4: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

8 DECISION POINTS BPR PROJECT8 DECISION POINTS BPR PROJECT

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3.0 What is the detailed design for our reengineered business operation?

- How do the processes function?

- Systems and infrastructure needed.

- 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?

3.0 What is the detailed design for our reengineered business operation?

- How do the processes function?

- Systems and infrastructure needed.

- 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?

Page 5: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

8 DECISION POINTS8 DECISION POINTS

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6.0 Should we fund the implementation of the BPR?

7.0 Is the implementation going as planned?

- Corrections and changes to make to ensure complete transition to the vision environment.

8.0 Is the reengineered/redesign business operation ready to take on responsibility for continuous improvement to the processes?

- Yes – provide skills and knowledge to people to do it right.

- No – keep working with them until they’re ready.

6.0 Should we fund the implementation of the BPR?

7.0 Is the implementation going as planned?

- Corrections and changes to make to ensure complete transition to the vision environment.

8.0 Is the reengineered/redesign business operation ready to take on responsibility for continuous improvement to the processes?

- Yes – provide skills and knowledge to people to do it right.

- No – keep working with them until they’re ready.

Page 6: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

BPR PROJECT METHODOLOGYBPR PROJECT METHODOLOGY

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STEP NAME OUTCOME ELAPSED TIME

1 Frame the Project Framework Statement 2 weeks - 6 months Rational decision is made to start or stop the project

2 Create Vision, Values & Goals Vision, Values & Goals Statement 1 day - 2 weeks

3 Redesign Business Operations Blueprint 1 month - 2 months Create design and implementation plan

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 Resources and commitment are obtained

7 Implement the Redesign Measurement Results 6 months - 3 years

8 Transition to a Continuous Improvement Higher Performance Standards Ongoing Environment reengineered

Environment

Page 7: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

Step 1: Frame The ProjectStep 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.

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.

Page 8: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

Step 1: Frame The ProjectStep 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.

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.

Page 9: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

Step 1: Frame The ProjectStep 1: Frame The Project

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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.

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.

Page 10: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

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.

Page 11: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

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Page 12: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

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."

Page 13: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

Step 2: Create The Vision, Values, and GoalsStep 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.

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.

Page 14: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

Step 2: Create The Vision, Values, and GoalsStep 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.

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.

Page 15: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

Step 3: Redesign the Business OperationStep 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.

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.

Page 16: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

Step 3: Redesign the Business OperationStep 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?

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?

Page 17: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

Step 3: Redesign the Business OperationStep 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.

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.

Page 18: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

Step 3: Redesign the Business OperationStep 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.

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.

Page 19: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

Step 3: Redesign the Business OperationStep 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.

Infrastructure Component

a. Management strategy

b. Management system

Value Component

a. Organizational culture

b. Power utilization

c. Belief systems.

Page 20: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

Step 3: Redesign the Business OperationStep 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.

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.

Page 21: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

Step 4: Conduct Proof of ConceptStep 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.

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.

Page 22: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

Step 5: Plan the ImplementationStep 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.

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.

Page 23: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

Step 6: Obtain Implementation ApprovalStep 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.

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.

Page 24: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

Step 7: Implement the RedesignStep 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.

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.

Page 25: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

Step 7: Implement the RedesignStep 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.

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.

Page 26: Drmasanom 1 Chapter 5: Prepare for the Journey PROJECT METHODOLOGY.

Step 8: Transition to a Continuous Improvement StateStep 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.

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.