IS 788 13.11 IS 788 [Process] Change Management Lecture: Detailed look at a real-world process change case (El Sawy, Ch. 6) Presentation and Discussion.

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IS 788 [Process] Change Management

Lecture: Detailed look at a real-world process change case (El Sawy, Ch. 6)

Presentation and Discussion – “Why Change Programs Don’t” – Lisa Anderson

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A semi-real process change example

Based on a real-world case and modified (by IBM) for teaching purposes

Two objectives Redesigning the organizations interface to the

consumer Enterprise integration – better linking front and

back office Both, of course, under the primary objective of

better customer service leading to higher profitability

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Redesign as an iterative (as opposed to a waterfall) process

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El Sawy, p. 139

Note that thismethodologyincludes generating specifications forIS.

Explicit identification of how business

partners will be effected by the

process change.

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Process Scoping Report (phase 1)

Executive summary Process performance targets (goals) Process boundaries Key process issues (problems,

bottlenecks, shortcomings) Preliminary vision of new process Data collection plans for phase 2

Plus

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Several interesting analyses

In El Sawy but not in Harmon

A process SWOT An analysis of the process

environment

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p. 95 – Poloma bank SWOT

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p. 96, Poloma Bank Assessment of Work Environment

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Zyco auto insurance

Streamiline customer service process – preparatory to full ‘e’ing of the business

Enhance (make easier and more profitable) their partner’s dealings with them

One process of many – the auto windshield repair claims process

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3 sub-processes

Check insurance coverage Repair shops must now call agent or

Zyco and either wait for proof of coverage or proceed and risk non-payment

Repair windshield Process claim and pay

Possibility for fraud – customer may add coverage after windshield damage

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Process measures defined before implementation

Performance specifications for the

new process

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Skeleton process with its 3

subprocesses

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Identify problems through AS-IS modeling

Information flow to partners and customers inadequate Repair shops must call insurance agent

or company Customers not sure which shops are

approved Internal information silos

Front office and back office information sharing slow – potential for fraud

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Phase 2 steps

Modeling the AS-IS process Analysis of problems including

Interviews with process actors On site observation and analysis

Measurement of key parameters in the current process

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Note the different cases identified in the course of measurement.

This is critical – the assumption of uniform claims cases would make meaningful analysis impossible.

* Best case* Worst case* Average

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File these with Harmon’s ‘patterns’(from Ch. 10). Analysis heuristicsto focus attention on specific common process issues.

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From problem identification to process improvement!

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Then simulate theTO-BE process.

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Then, the implementation

Note that El Sawy is a a bit “old school” – heavy on analysis and design, but lacking any emphasis on change management.

In fact El Sawy, Ch. 6 ends without a mention of change management or even implementation. (The simulation says its good, so . . . )

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A good way to end any project; summarize all the positive results: Partner Impact Report (1)

Benefits to process actors, both “hard” – quantative and “soft” – qualatative Customer

Shorter cycle time One-stop shopping (no need for multiple

estimates) Agent

No phone calls from glass shops Elimination of denials Better customer perceptions

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Partner Impact Report (2) Zyco

Elimination of phone calls from glass shops to verify coverage

Elimination of denials Added capacity Cost savings = 149K/yr Reduced fraud possibility

Glass Shop No need to call insurance co/agent and wait Better customer service Less financial exposure