#ProcessManagement

[short-factoz]

Process Management: Value & Non-Value

In today's competitive business environment, efficiency and productivity are more important than ever. Process management plays a crucial role in achieving these goals by streamlining operations and ensuring that every activity adds value to the organization. Understanding the distinction between value-added and non-value-added activities is essential for any business looking to optimize its processes. This article delves into the intricacies of process management, exploring the concepts of value and non-value, and offering strategies for enhancing business efficiency.

What is Process Management?

Definition and Key Concepts

Process management involves the planning, monitoring, and optimizing of business processes to ensure they are as efficient and effective as possible. It focuses on improving the way tasks are completed to achieve better outcomes. This can include everything from production processes in manufacturing to service delivery in customer service.

Historical Evolution of Process Management

The concept of process management has evolved over the decades, influenced by various management theories and practices. From Frederick Taylor's scientific management principles to modern-day lean and Six Sigma methodologies, the focus has always been on enhancing efficiency and reducing waste.

Importance in Modern Business Operations

In the modern business landscape, process management is vital for staying competitive. It helps organizations streamline their operations, reduce costs, improve quality, and deliver better customer experiences. Effective process management also enables businesses to adapt quickly to changing market conditions and customer needs.

Understanding Value and Non-Value Activities

Definition of Value-Added Activities

Value-added activities are tasks that directly contribute to meeting customer needs and enhancing the product or service. These activities are essential for creating value and are something the customer is willing to pay for. Examples include manufacturing a product, delivering a service, or providing customer support.

Definition of Non-Value-Added Activities

Non-value-added activities, on the other hand, do not add any value to the product or service from the customer's perspective. These activities often involve waste and inefficiencies that can be eliminated without affecting the overall quality or functionality of the product or service. Examples include excessive paperwork, redundant approvals, and unnecessary movement of materials.

Differentiating Between Value and Non-Value

The key to effective process management is identifying which activities add value and which do not. This involves a thorough analysis of all business processes and a critical evaluation of each task. By distinguishing between value-added and non-value-added activities, organizations can focus their efforts on optimizing the former and eliminating the latter.

Identifying Value-Added Activities

Criteria for Value-Added Activities

To determine if an activity is value-added, consider the following criteria:

Does the activity directly contribute to meeting customer needs?

Is the customer willing to pay for this activity?

Does the activity transform the product or service in a meaningful way?

If the answer to these questions is yes, the activity is likely value-added.

Examples of Value-Added Activities in Different Industries

In manufacturing, value-added activities include assembling parts, painting products, and performing quality inspections. In the service industry, value-added activities might involve providing expert advice, offering personalized customer support, and delivering timely services.

Benefits of Focusing on Value-Added Activities

By concentrating on value-added activities, businesses can improve efficiency, enhance customer satisfaction, and increase profitability. This focus also helps in identifying and eliminating waste, leading to leaner and more agile operations.

Identifying Non-Value-Added Activities

Criteria for Non-Value-Added Activities

Non-value-added activities can be identified using the following criteria:

Does the activity create waste or inefficiency?

Does it involve redundant steps or unnecessary approvals?

Can the activity be eliminated without affecting the quality or functionality of the product or service?

If the answer to these questions is yes, the activity is likely non-value-added.

Examples of Non-Value-Added Activities

Examples of non-value-added activities include excessive documentation, redundant inspections, unnecessary transportation of materials, and waiting times between process steps. These activities do not contribute to the final product or service and can often be eliminated or reduced.

Impact of Non-Value-Added Activities on Business Efficiency

Non-value-added activities can significantly impact business efficiency by increasing costs, slowing down processes, and reducing overall productivity. Eliminating these activities is essential for streamlining operations and improving business performance.

Techniques for Analyzing Business Processes

Process Mapping

Process mapping involves creating a visual representation of a business process to understand its flow and identify areas for improvement. This technique helps in spotting inefficiencies, redundancies, and bottlenecks.

Value Stream Mapping

Value stream mapping is a lean management tool that provides a detailed visualization of the flow of materials and information through a process. It helps in identifying value-added and non-value-added activities, enabling organizations to focus on process improvement.

Root Cause Analysis

Root cause analysis involves identifying the underlying causes of problems or inefficiencies within a process. By addressing the root causes, rather than just the symptoms, organizations can implement more effective solutions.

Strategies for Eliminating Non-Value-Added Activities

Lean Principles

Lean principles focus on creating more value with fewer resources by eliminating waste. Techniques such as 5S (Sort, Set in order, Shine, Standardize, Sustain) and Kanban are commonly used to streamline processes and improve efficiency.

Six Sigma Methodology

Six Sigma is a data-driven approach to process improvement that aims to reduce variation and defects. By using statistical analysis, organizations can identify areas for improvement and implement solutions that enhance quality and efficiency.

Continuous Improvement (Kaizen)

Kaizen is a philosophy of continuous improvement that involves all employees in identifying and implementing small, incremental changes. This approach fosters a culture of ongoing improvement and helps in maintaining long-term efficiency gains.

Case Studies

Successful Examples of Process Management

One example of successful process management is Toyota's implementation of lean manufacturing principles, which revolutionized their production processes and significantly improved efficiency. Another example is General Electric's adoption of Six Sigma, which led to substantial cost savings and quality improvements.

Real-World Applications in Various Industries

In the healthcare industry, process management techniques have been used to streamline patient care processes, reduce wait times, and improve service quality. In the financial sector, banks have employed process management to optimize transaction processes and enhance customer satisfaction.

Tools and Technologies for Process Management

Software Solutions

Various software solutions are available for process management, including business process management (BPM) software, workflow automation tools, and project management platforms. These tools help in designing, monitoring, and optimizing business processes.

Automation and Robotics

Automation and robotics can play a significant role in eliminating non-value-added activities. By automating repetitive and manual tasks, organizations can reduce errors, save time, and improve efficiency.

Analytics and Reporting Tools

Analytics and reporting tools provide valuable insights into process performance, helping organizations identify areas for improvement and measure the impact of process changes. These tools enable data-driven decision-making and continuous improvement.

Challenges in Process Management

Common Obstacles

Common obstacles in process management include resistance to change, lack of employee engagement, and insufficient resources. These challenges can hinder the successful implementation of process improvement initiatives.

Overcoming Resistance to Change

Overcoming resistance to change requires effective communication, employee involvement, and leadership support. By involving employees in the process improvement efforts and addressing their concerns, organizations can build a culture of acceptance and collaboration.

Maintaining Continuous Improvement

Maintaining continuous improvement involves regularly reviewing processes, measuring performance, and making necessary adjustments. This ongoing effort ensures that processes remain efficient and effective over time.

[ltslean]

Why is the Balanced Scorecard important for Healthcare Management?

The Balanced Scorecard is indispensable for healthcare management because it provides a holistic and balanced approach to strategic planning, execution, and performance measurement.

Read More: https://balancedscorecard.ltslean.com/medical-health-balanced-scorecard-software#Why-is-the-Balanced-Scorecard-important-for-Healthcare-Management

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[jinactusconsulting]

Intelligent Automation in BPOs with Process Orchestration

"BPO companies are realizing that a cheaper workforce and low-cost benefits cannot be their only USPs as in the past. Witnessing the deepened integration of automation in everyday processes, BPO is now transitioning from only human-led processes to BPA, automation frameworks and robotics." - Forbes

The outsourcing industry is one of the few in the world that uses a labour arbitrage model. BPOs, in particular, employ a massive workforce to tackle their front-office and back-office workload.

In recent years, there has been an increase in demand for business process outsourcing. The reason for this is that companies strive to increase profits and improve their efficiency while maintaining a clear focus on their core competencies.

As a general rule, BPOs scale their manpower to meet an increase in demand. However, the introduction of Intelligent Automation (a combination of Robotic Process Automation (RPA) and technologies like AI, OCR, ML, NLP, etc.) has revolutionized the functioning of the BPO industry by increasing productivity while reducing manual labour and labour costs.

Robots approximately cost one-third of the price of offshore full-time employees and one-fifth of the price of an onshore full-time employee. - Institute for Robotic Process Automation

BPOs have started to predominantly employ intelligent automation for back-office tasks because robots can work with high accuracy on repetitive tasks without any breaks. However, most front-office tasks still require the cognitive skills of humans, which no AI can replicate as of now.

Thus, the BPO industry serves as an ideal environment to establish a well-balanced work ecosystem of digital and manual workers working together as a holistic unit.

So, how is Intelligent Automation being implemented in the BPO Industry?

Leading BPOs use intelligent automation to handle substantial amounts of data and provide optimal customer satisfaction by meeting SLAs. Further, intelligent automation assists BPOs with the significant reduction of AHTs and TATs.

Listed below are some of the use cases for intelligent automation (IA) in BPOs:

Increase Workforce Efficiency:  BPOs can relieve their employees from mundane back-office tasks and employ them far more effectively in areas that require cognitive and interpersonal skills, such as enhancing customer experience.

Data Entry & Validation: The process of manually updating and validating data is prone to errors, and inaccuracies, affecting operational efficiency. Nevertheless, by implementing IA in data handling, BPOs can enter, validate, and process data more rapidly with fewer resources and maintain consistency without making any errors.

File & Data Manipulation: BPOs exhaustively rely on data in the form of files, records, and reports which become increasingly difficult to store and locate. Using IA overcomes this challenge because it assists with pulling, analyzing, formatting, mining, copying, and deleting datum/data.

Reconciliations: Discrepancies in data, human error, and inconsistencies are commonplace in this process, whereby introducing IA reduces risk, ensures accuracy, and builds reliability within.

Factors Driving Intelligent Automation in the BPO Industry

1. Governance: From overseeing manual processes & bot activity, enforcing SLAs, and optimizing human & bot utilization, to maintaining compliance with standards, governance contributes to establishing trust in the automation ecosystem.

2. Process Discovery: Bottlenecks in complex BPO processes are identified by data-driven process discovery tools. These bottlenecks can be minimized with automation, thus increasing operational efficiency.

3. Scalability: Most automation implementations in the BPO industry struggle to scale up over a few bots due to insufficient human-bot governance, weak exception handling, incompatibility with multiple bot vendors, and other future-of-work technologies, leading to write-offs. But scalability is imperative for resilience and growth.

To reap these benefits to the fullest, organizations need Robotic Process Orchestration (RPO).

How can Robotic Process Orchestration (RPO) boost Intelligent Automation in BPO while addressing the above factors?

RPO increases RPA efficiencies through effective Governance: Roadblocks in the forms of weak governance, inferior exception handling, multiple bot vendor incompatibility, and human handoff lapses lead to delays, affecting automation implementation. But RPO makes human-RPA/bot handoffs effortless, streamlines human-bot governance, provides multi-vendor compatibility, and upgrades exception handling.

RPO also identifies high potential processes for automation: RPO displays business intelligence in determining potential activities for automation – proposes the suitable technology, supplies metadata on savings potential & propounds a plan for continuous automation evolution based on human-bot activity.

RPO delivers end-to-end process automation while facilitating scalability: With RPO, manage harmonious handoffs between humans and bots placed in any order any number of times. Bots can carry out menial tasks while humans take care of exceptions and complex tasks in the end-to-end service cycle. It guarantees scalability, especially in drawn-out, complicated processes like reconciliation and F&A.

Is RPO the right fit for you?

RPO has proven successful in increasing work efficiency by up to 10%, in addition to work allocation transparency and robust MIS reporting. RPO leads to clear data and delivers continuous improvement. Moreover, RPO reduces service delivery times and/or turnaround times by 10%, which demonstrates a successful vendor-customer partnership. From strategy to pilot to production through strong project ownership and a focus on the human side of processes, RPO provides the right inputs for efficient outputs.

Download the whitepaper: Intelligent Automation in BPO – Powered by Enate’s Robotic Orchestration for better competitive advantage and operational agility than your peers in the industry, better customer experience, and improvement in bottom-line and workforce productivity.

What is Enate?

Enate is a UK-based enterprise software company. Its Robotic Process Orchestration technology combines lightweight Workflow, BPM & work management into a no-code quick SaaS offering. 

The technology delivers end-to-end process automation by connecting human workers & digital bots (RPA, OCR, AI/ML, etc.) into one hybrid workforce and managing operations across them. It enables organizations to save at least 20 to 30% on operating costs by scaling automation & streamlining operations to improve efficiency. 

The platform's customers include global brands like Infosys, Mizuho Bank, Capgemini, EY, Utmost (erstwhile Generali Link), and many more.

[fortunatelycoldengineer]

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[enconadotorg]

CALLING ALL PROSPECTIVE VDA 6.3 AUDITORS!!! It's here! The option to complete your VDA 6.3 Process Auditing course and examination fully online is now available... This five-day training addresses quality management personnel tasked with conducting process audits in their own organizations (internally) or in the supply chain (externally), as well as external auditors (deployment as service providers). ID 381 VDA 6.3:2023 – Process-Auditor – Qualification (Days 1-4) This leads to Qualification as an Internal or Supplier Auditor ID 382 VDA 6.3:2023 – Process-Auditor – Examination (Day 5) This leads to full Certification as an External Auditor 👉 https://lnkd.in/e6WhVD66 #training #supplychain #quality #vda #certification #qualification #processmanagement #processimprovement #processexcellence #onlineeducation #onlineclasses #onlinecourses #onlineexams #onlineexam https://www.instagram.com/p/CnOw7qJr8xP/?igshid=NGJjMDIxMWI=

[emakinbpm]

Son zamanlarda, müşterilerde sık karşılaştığımız bir durumdan bahsetmek istiyorum. Soru şu; "Bu platform no-code mu? Low-code mu?" Ya da doğrudan; "Biz low-code platform istiyoruz." Sebebini sorduğumuzda ise bir başka gerçekle karşılaşıyoruz; Kurumdaki ihtiyacın asıl nedeni ya da bu ihtiyacın yakında hangi boyuta varacağı yeterince irdelenmemiş. Bu durumda, talep edilen çözüm, müşteri için kısa vadeli bir çözümden öteye gitmeyecek. Şöyle düşünün; Hasta, doktora gidiyor ve başının ağrıdığını ve ağrı kesiciye ihtiyacı olduğunu söylüyor. Oysa onun rahatsızlığı, başka bir tedavi gerektiren, kök nedeni farklı bir rahatsızlık olabilir. Elbette bunu anlatmak görevimiz ve bunu yapıyoruz da. Ancak ne yazık ki her zaman işe yaramıyor. İşte bu yüzden, Low-Code ve No-Code kodlamayı anlatmakta fayda var. Böylece hangi durumda hangisinin tercih edileceğine daha kolay karar verilebilir;

[ibexsystems]

Business Process Re-engineering - Ibex Systems Consulting

To survive and thrive in today’s rapidly changing business environment, organizations must transform to accomplish strategic goals and stay ahead of the competition. Essentially, most transformation journeys start with Business Process Re-engineering (BPR). BPR is the practice of rethinking and redesigning the way work is done to better assist organizations in achieving radical improvements in all aspects of operations (productivity, quality, costs).  Ibex Systems provides process improvement, organization improvement & business process reengineering consulting in Dubai.

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[gauravchowmean]

DevOps Interview Questions: How to kill a running process. kill, pkill, killall

DevOps Interview Questions: How to kill a running process. kill, pkill, killall

Hi in this article we will talk about a very easy DevOps interview question. How to kill a running process. Earlier we have talked about VPC design, logging system design, monitoring system design, page fault, etc. kill, pkill and killall So we can use kill, pkill and killall commands to kill a process in Linux. All of these commands are wrappers over a kill system call. Kill system call takes…

[fortunatelycoldengineer]

What is Job Pool? . . . . for more information https://bit.ly/41M7Xw5 check the above link

[scrutinysoft-india]

To ensure seamless business services to your organization, Scrutinysoft Operations provides seamless additional supporting services

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