Process optimization

Is it worth it? A common and probably the simplest definition of a process says that it is a set of interrelated activities that lead to the achievement of the assumed goal.

 

It is therefore obvious that as an organization, we want to achieve the assumed goal as soon as possible, with the lowest possible expenditure, while guaranteeing that the customer's expectations in terms of quality and timeliness of the products or services offered are met. In order to be able to continuously and systematically adapt to the ever-changing business environment, we must optimize processes. It should be remembered that process improvement is one of the final stages in the process approach. It must be preceded by a series of activities involving a.o. on:
• process modeling - describing processes using selected tools,
• implementation of indicators measuring the effectiveness and efficiency of the process,
• analysis of measurement results.
Very often on projects, we come across the statement that "now everything is fine, so why change, why optimize?"

First of all, since not all processes have been measured, it is difficult to say whether it is really "good". Process measurement is therefore essential here.

Secondly, according to the Lean management philosophy, things are never so good that they cannot be better. As long as it is economically justified, there is no end to continuous improvement. However, before we answer this question, a few words about the process itself and its optimization. 

Thirdly, process optimization is not a "whim", because someone invented something and now we are all improving processes. This state of affairs is forced by the constantly changing business environment, growing competition, increasing labor costs and purchased production materials, over which the organization has limited influence. Therefore, let's control and improve what we can influence - processes.
So is it worth optimizing processes? It is worth it, and even necessary, because there is no other way.

 

What benefits?

In addition to the financial benefits of process optimization, other advantages should be mentioned that are not necessarily easy to quantify in the form of money. When working on processes (modeling, "indicating", analysis and optimization), it is necessary to actively involve all its participants. This leads to broader knowledge about the course of the process and the problems that occur in it, which must be permanently solved. In addition, thanks to our teamwork, we go beyond our departments (vertical structure, silos). Instead of the traditional vertical structure, the basis of the organization are multifunctional teams that break the silos of the enterprise. As experts emphasize, changes are inevitable, and failure to adapt to them can negatively affect the efficiency of companies. The process management model is more friendly - both for the organization's managers and regular employees. The former can use it to analyze and find "bottlenecks" of the organization and make changes on an ongoing basis. In turn, the latter will appreciate the intuitiveness of the system, "guiding the user's hand" and a detailed description of processes and activities, as well as roles assigned to specific people. The market changes very quickly. The silo shot hinders the development of the company, because it does not allow understanding what is really going on in it. So what should we do to check whether our company is managed effectively? The best method is to look at the organization from a bird's eye view. Only then will it be possible to see that although we work in different departments, the effects of our work come thanks to joint efforts. A company is not a few departments connected with each other by specific relations and tasks, but people who create common processes that make up its functioning.

 

Challenges and measurement.

Can there be any negative effects of process improvement? Yes, both social and economic. The consequence of process improvement is the imposition of new duties on executive employees related to the need to develop and possess analytical and conceptual skills previously reserved for middle and higher levels of management. Thus, the differences in the skills and knowledge required at the top, middle and lower levels are blurred. Employees are required to be able to find innovative solutions. In their activities, employees focus on innovation, which in turn is related to meeting customer expectations and creating value for customers. Formal power is replaced by the time-varying influence of specific people on the course of the process. Roles in the organization change a lot. Therefore, employees are focused on improving their qualifications, expanding or acquiring new knowledge and skills, and on personal development. In practice, this is not always met with the approval of the employees. They are unsure of their qualifications, i.e. their suitability in the workplace. This causes fear of losing employment. In addition, they may be tired of the volatility of the tasks assigned to them and the constantly new expectations that are set for them. All activities are focused on cooperation and customer satisfaction. In practice, priority is given to external customers [1].

Process improvement is based on assessments made using specific metrics. The result is the development of an internally consistent process monitoring system using adequate and reliable measures. As confirmed by the conducted research, in the practice of an organization this is not an easy task. Appropriate evaluation indicators are not always selected, which is especially visible when measuring the expectations and satisfaction of internal customers. The conducted research shows that organizations often lack the ability to define the goals of processes and, therefore, adjust the assessment measures. Among the assessment measures, the aggregated result of the company's activity (profit or market share) is most often used, there are no partial measures that would determine the effectiveness of the processes themselves [2]. The lack of these measures may mean that we do not have the full knowledge necessary to make strategic decisions determining the direction of the organization's activities.
Process optimization is certainly not easy and fast, but if done well, it leads to improved working conditions, product quality, competitiveness of the company and allows for more efficient implementation of changes in the organization.

 

[1] Koźmiński A.K., Piotrowski W., Zarządzanie. Teoria i praktyka, PWN, Warszawa 1996.
[2] Szczepańska K., Praktyka podejścia procesowego, „Problemy Jakości” 2008, nr 8.
Is it worth it? A common and probably the simplest definition of a process says that it is a set of interrelated activities that lead to the achievement of the assumed goal.

 

It is therefore obvious that as an organization, we want to achieve the assumed goal as soon as possible, with the lowest possible expenditure, while guaranteeing that the customer's expectations in terms of quality and timeliness of the products or services offered are met. In order to be able to continuously and systematically adapt to the ever-changing business environment, we must optimize processes. It should be remembered that process improvement is one of the final stages in the process approach. It must be preceded by a series of activities involving a.o. on:
• process modeling - describing processes using selected tools,
• implementation of indicators measuring the effectiveness and efficiency of the process,
• analysis of measurement results.
Very often on projects, we come across the statement that "now everything is fine, so why change, why optimize?"

First of all, since not all processes have been measured, it is difficult to say whether it is really "good". Process measurement is therefore essential here.

Secondly, according to the Lean management philosophy, things are never so good that they cannot be better. As long as it is economically justified, there is no end to continuous improvement. However, before we answer this question, a few words about the process itself and its optimization. 

Thirdly, process optimization is not a "whim", because someone invented something and now we are all improving processes. This state of affairs is forced by the constantly changing business environment, growing competition, increasing labor costs and purchased production materials, over which the organization has limited influence. Therefore, let's control and improve what we can influence - processes.
So is it worth optimizing processes? It is worth it, and even necessary, because there is no other way.

 

What benefits?

In addition to the financial benefits of process optimization, other advantages should be mentioned that are not necessarily easy to quantify in the form of money. When working on processes (modeling, "indicating", analysis and optimization), it is necessary to actively involve all its participants. This leads to broader knowledge about the course of the process and the problems that occur in it, which must be permanently solved. In addition, thanks to our teamwork, we go beyond our departments (vertical structure, silos). Instead of the traditional vertical structure, the basis of the organization are multifunctional teams that break the silos of the enterprise. As experts emphasize, changes are inevitable, and failure to adapt to them can negatively affect the efficiency of companies. The process management model is more friendly - both for the organization's managers and regular employees. The former can use it to analyze and find "bottlenecks" of the organization and make changes on an ongoing basis. In turn, the latter will appreciate the intuitiveness of the system, "guiding the user's hand" and a detailed description of processes and activities, as well as roles assigned to specific people. The market changes very quickly. The silo shot hinders the development of the company, because it does not allow understanding what is really going on in it. So what should we do to check whether our company is managed effectively? The best method is to look at the organization from a bird's eye view. Only then will it be possible to see that although we work in different departments, the effects of our work come thanks to joint efforts. A company is not a few departments connected with each other by specific relations and tasks, but people who create common processes that make up its functioning.

 

Challenges and measurement.

Can there be any negative effects of process improvement? Yes, both social and economic. The consequence of process improvement is the imposition of new duties on executive employees related to the need to develop and possess analytical and conceptual skills previously reserved for middle and higher levels of management. Thus, the differences in the skills and knowledge required at the top, middle and lower levels are blurred. Employees are required to be able to find innovative solutions. In their activities, employees focus on innovation, which in turn is related to meeting customer expectations and creating value for customers. Formal power is replaced by the time-varying influence of specific people on the course of the process. Roles in the organization change a lot. Therefore, employees are focused on improving their qualifications, expanding or acquiring new knowledge and skills, and on personal development. In practice, this is not always met with the approval of the employees. They are unsure of their qualifications, i.e. their suitability in the workplace. This causes fear of losing employment. In addition, they may be tired of the volatility of the tasks assigned to them and the constantly new expectations that are set for them. All activities are focused on cooperation and customer satisfaction. In practice, priority is given to external customers [1].

Process improvement is based on assessments made using specific metrics. The result is the development of an internally consistent process monitoring system using adequate and reliable measures. As confirmed by the conducted research, in the practice of an organization this is not an easy task. Appropriate evaluation indicators are not always selected, which is especially visible when measuring the expectations and satisfaction of internal customers. The conducted research shows that organizations often lack the ability to define the goals of processes and, therefore, adjust the assessment measures. Among the assessment measures, the aggregated result of the company's activity (profit or market share) is most often used, there are no partial measures that would determine the effectiveness of the processes themselves [2]. The lack of these measures may mean that we do not have the full knowledge necessary to make strategic decisions determining the direction of the organization's activities.
Process optimization is certainly not easy and fast, but if done well, it leads to improved working conditions, product quality, competitiveness of the company and allows for more efficient implementation of changes in the organization.

 

[1] Koźmiński A.K., Piotrowski W., Zarządzanie. Teoria i praktyka, PWN, Warszawa 1996.
[2] Szczepańska K., Praktyka podejścia procesowego, „Problemy Jakości” 2008, nr 8.
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