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The Business of Process Excellence Dani Hollis
2 ǀ 2015-‐10-‐23
Abstract ! Process is a hot topic that keeps climbing higher up on the corporate agenda. This is a Ame of
change and growth for process excellence professionals. ! No maFer what your interest – business analysis, business architecture, process excellence,
business process management, workflow management, or operaAons, this session will highlight how you can start seeing things through a process lens and equip you to be a Business Process PracAAoner of the future.
! This presentaAon will arAculate the discipline and technology of business process management while highlighAng the tools, techniques, and core competencies that are shared between seasoned business analysts and process analysts. Through pracAcal experience and lessons learned, Danielle will share how leveraging mulAple standards and methodologies including Six Sigma, Business Process Management, agile, and those set forth by the IIBA can be a winning combinaAon.
! AFendees Will: • Be able to ar5culate what Business Process Management is • Understand the shared core competencies, knowledge areas, and techniques of a
process analyst to a business analyst • Learn what trends are saying about Business Process Prac55oners of the future
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Agenda
§ Bio § Passion for Process § Process Excellence DemysAfied § PSCU PracAcal ApplicaAon § Business Analyst vs. Process Engineer § PuWng it all together § Q&A
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Bio
! All about Dani • Personal • PSCU • Past
§ Tech Girl § ConsulAng § BA Generalist (CBAP) § Cross FuncAonal § Horizontal Focus
Who is PSCU? > Serving Credit Unions
since 1977 > 1,700+ employees > 680 member owners
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Passion for Process
! TED Talks ! Memory Lane • Diagnosis • 12 Step Process • Recovery Process • StaAsAcs
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Process Excellence
! Doesn’t exist in Wikipedia
What is Process Excellence – PEX Network
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Interest In Process Excellence
Source: Business Process Excellence: Trends & Success Factors 2012 October 11th Online Survey of @700 PracAAoners
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PSCU Organiza5onal Alignment
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Responsibility for Process Improvement
Source: Business Process Excellence: Trends & Success Factors 2012 October 11th Online Survey of @700 PracAAoners
Where does responsibility for process improvement sit within your business? The most commonly cited “other” locaAon was that the process improvement funcAon sits
centrally within its own office (called by various names: “Business Performance Improvement, Business TransformaAon Unit, Center of Process Excellence, etc.)
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Key Findings
Source: Business Process Excellence: Trends & Success Factors 2012 October 11th Online Survey of @700 PracAAoners
! Companies are relying on shorter cycle Ames for process improvement projects with a significant increase since 2005 of respondents reporAng average project length of 90 days or less.
! Lean and Six Sigma methodologies remain prevalent although nearly 50% fewer respondents report the use of Six Sigma methodology than in a similar 2005 PEX Network survey.
! Businesses that rate their deployments as “highly successful” tend to have customer saAsfacAon as a key driver and metric of success.
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Methodologies/Tools Being Used
Source: Business Process Excellence: Trends & Success Factors 2012 October 11th Online Survey of @700 PracAAoners
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Methodologies/Tools Overview
Discipline Defini5on and Techniques Characteris5cs Future
Lean • Eliminate waste, non value add processes, and reduce errors • Simple methodology – less abstract than BPM • Mantra “Doing things beFer” • Cultural (i.e. Recycling)
• Fast ImplementaAon • Immediate benefits
• Translate methodology from manufacturing to more unconvenAonal seWngs.
• According to Gartner's “Hype Cycle” of new technologies Lean and Six Sigma are past the peak of inflated expectaAons
• Reliable future
Six Sigma • Quality improvement methodology • Focus on "EffecAveness" -‐ how well you deliver product/services
"Efficiency" -‐ how well you maximize resources in order to deliver product/services.
• Set of tools and strategies to limit defects and variability in business processes with goal of process improvement
• DMAIC and DMADV • Belt AccreditaAon • Use of staAsAcal techniques (pareto charts, root cause, etc.) • KPI’s
• Reliance on data • Dominance in
manufacturing • Longer implementaAon
Ames
• ProliferaAon of training • SubstanAal salaries for black
belts (90+ K) • It will survive
Business Process Management
• Management approach • Looks at enterprise holisAcally as a set of business processes • MiAgates silo by helping manage complex, cross-‐departmental
process • Six Sigma is oxen used to improve process before BPM looks to
automate and manage them.
• Adopted by various industries (financial services, healthcare, military, etc.)
• ExponenAal growth of BPM Vendors points to bright future
• Mobile, social, predicAve, and cloud BPM appear to be hoFest trends
Source: Process Excellence Explained. Process Excellence Network 8/28/2013
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PSCU Prac5cal Applica5on
Discipline Tools/Techniques Project/Ini5a5ves
Lean • Kaizen -‐ System that involves every employee to come up with small improvement suggesAons on a regular basis (not major changes)
• Kaizen is based on making liFle changes on a regular basis: always improving producAvity, effecAveness, and reducing waste
• Yearly Lifecycle Project • Submission request form • BoFom-‐Up Processes • 30 Day Sprints • 120 hours or less • BPM Community
Six Sigma • Predominantly DMAIC • Root Cause, Pareto Charts, SWOT analysis, SIPOC, FMEA, Current state
vs. Future State • Mini Tab • Hypothesis TesAng, CorrelaAon Analysis, ANOVA (Analysis of
Variance), etc.)
• Process Engineer assigned to Enterprise Project based business case and goals
• Yearly Savings Goals • Enterprise Dashboards (KPI’s)
Business Process Management & SDLC
• SDLC vs. disciplined 5 step design model • Six Sigma is used to improve process before is brought in as technical
soluAon. • Current state and future state process maps • Formal business and funcAonal requirements captured (requirements
workshops, Focus Groups, Job Shadowing, Surveys, etc.)
• BPM, BA, BI, and QA Resources assigned to Enterprise Projects based on business case and goals
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Comparing the Bodies of Knowledge
PARENT
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People, Process, and Technology
People, Process, and Technology Picking a BeFer Tool is Just the Start
If I replace my Jeep Wrangler with a Maybach Exelero it won’t change my route to work. The commute will be about the same.
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PSCU Center or Process Excellence Core Concepts
! Keep it CollaboraAve (Small teams) – Right People – Right Skills -‐ Right Role ! Keep your eye on the prize – Voice of Customer ! Keep it relevant – Make it Easy to Follow
Center of Process
Excellence
People
Technology Process
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Business Analyst vs. Process Engineer
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Business Analyst vs. Process Engineer
Business Analyst (BPM Analyst)
Process Engineer/Process Improvement Specialist
AnalyAcal Thinking and Problem solving AnalyAcal Thinking and Problem Solving
Stakeholder Management, FacilitaAon, and Leadership Stakeholder Management, FacilitaAon, and Leadership
Requirement elicitaAon and requirements management Process Discovery (Data Driven Decision Making) and Redesign
Technology, soxware tools, and SDLC experience Project Management experience and apAtude
Process Modeling and Mapping StaAsAcal Tools/Techniques and Data analyAcs
Business Knowledge Business Knowledge
CommunicaAon skills and emoAonal intelligence CommunicaAon skills and emoAonal intelligence
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Business Analyst vs. Process Engineer Cont.
! Business Process PracAAoners of the future • “Business Analysts are well-‐paced to become the Business Process pracAAoners for the future” -‐-‐-‐ Paul Harmon, Execu=ve Editor and Founder, Business Process Trends
• Kevin Brennan, Vice President of Professional Development, IIBA suggested that Business Analysts are well paced to be the business pracAAoners of the future and managers of the organizaAons’ BPM Centers.
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PuVng it all together
§ Yearly Lifecycle Project • Resource allocaAon • Methodologies used • Monthly Cadence • Savings • TIMS Community • Forming, storming, norming, performing…..
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