Courtesy of BPM-D's 'Dr. Mathias Kirchmer', below is a transcript of the webinar session on 'The Discipline of Process Management: Foundation for Value-driven Digital Transformation' to Build a Thriving Enterprise.
The Discipline of Process Management: Foundation for Value-driven Digital Transformation
Most organizations have started their digital transformation journey or at least plan for it. However, many companies struggle to realize the full business potential of their digital solutions. As a consequence, business cases are often not or not fully met. The Discipline of Business Process Management addresses this issue. It enables a value-driven digital transformation, focusing systematically on the expected business outcomes.
A successful digital transformation targets business value and works towards a well-defined business case. This value of the transformation is delivered through new or enhanced business processes. Digitalization only delivers its business benefits if you improve what you do or if it helps to do something new that provides additional value. The discipline of process management organizes this focus on systematic and pragmatic identification and realization of business results.
To optimize the time-to-value, fast but well-informed decisions are required. This is achieved through process-related data about current and future process performance – delivered through process management. Process management tools like modeling, repository, or mining tools form the infrastructure for the process management discipline, supporting an efficient and reliable “process of process management”.
This presentation discussed the key elements of the discipline of business process management and how they provide the foundation for a value-driven digital transformation. This is illustrated using case examples from consumer goods and technology manufacturing companies.
You get an experienced practitioner and thought leader in the field of business management and digital transformation. He co-founded PP&E and before that he wasn't mentioned, and global lead of Exchange, and see up in the infamous and Japan or ideation.
Doctor Kuchma has made numerous transformation and process improvement initiatives in Michigan issues of clients around the world.
He has published books and over 150 articles at the University of Pennsylvania and an widening university here soon as an affiliated faculty between teams.
He received a research and teaching apprenticeship, Japan Society, but the promotion of science.
I'll now hand you over to doctor Ritchie.
Yeah, thank you very much, Sean, for that nice introduction.
And so, yeah, welcome, everybody, to our today's Webinar on The boat, Business Process Management.
And I look at it as an emerging management discipline and the impact each or bites, to get real business value out of digital transformations.
And I have structured our session into C major parts.
First, some general comments via digital transformation needs, pauses management, and how in general pauses management its value in that sort of fields.
We will then look at some more specific examples of the impact of PPM, in digital transformations, and, in the last part, show how pauses management also helps the, to sustain the effects we have achieved in our transformation.
Business for the digital transformation, It's about combining products or services, people, and doing that using digital technologies.
That's, in a nutshell, the definition of digital transformation.
But, what is important?
That's the value of that digital transformation, is delivered through new and enhanced processes.
Just putting some technologies in our companies doesn't really move us forward. It's only, when we use them to do something better, to do something new, then we get real value out of it.
And that's why it's also not a surprise that.
industry, Research from industry analysts have shown that, basically, all companies who realize the full, business potential of digital technologies, they also have well, defined causes management disciplining in place.
And such a process management is simply most in the past, or, let's defer to, as a set of methods and tools and all that. But in the last, say, 5 to 10 years, it has law and won't be defined as, really the management, the sickening. That moves strategy into people and technology based execution. And that's that fast and reliably.
And that's the definition of process management. It's not just the project related topic, but really a discipline that we need in our organization to keep the digitalization and transformation journey going.
That is very, very key and process management tasks that basically buy.
Aligning the organizations who the management of our poses a life scientist was through the design of processes that reflect our strategy, the appropriate implementation, and execution of those processes. And then, the control to see where we can lift the Salesforce. Is this or we need to do future just Bets.
At the end of the day, the key benefit of process management for transformation, and for the realization of our enterprise strategy, is the transparency.
It's telling us, business process management provides the visibility in your organization that helps you to take fast but well informed decisions and set appropriate actions.
It helps to mitigate the trade offs of conflict, the goal.
It's like equality and efficiency. For example, in a call. send that process.
That whole number of steps that drive does not really care about, and then you would optimize it based on efficiency aspects.
Then, there are certain steps that clients really care about. They are also ready to pay money for that. You would optimize based on quality aspects and transparency.
That business process management delivers, helps you to address both aspects or same with agility and compliance. one, just, but we also have pauses areas that we have to follow a compliance guidelines, where we have to follow our company standards and they can.
Process management, allows you to combine both aspects by identifying where can we give them, to me, to be a really ..., based on current developments and where are we have to follow, the more or less rigid way, our compliance, that nuts.
That transparency also helps in the collaboration with market partners. So, these external networks, it helps aligning people internally to, what's the goals of the organization?
And very importantly, especially in the topic, in the field of digital transformation, It helps you to identify, wow.
Is it really worth to come up with complete new pauses to be really innovative?
But also to see, where do we have good practices in place that helped to move our company forward and then move on to conserve? So, that balance between innovating, right is important, and conserving goods existing practice is very, very important.
Well, then comes, of course, the next question. How do we achieve that?
How do we establish such pieces, forest management, discipline, ants?
In order to answer that question, we can just take it. Take a step back and think about, well, how do we implement the asset management discipline?
like like Salvia human Resources, You establish it. Smoother, appropriates, HR processes, hiring, pauses, promotion, pauses, and so on.
And for business process management, as a management discipline, that's exactly the same topic. It's ... through what I like to call the process of pauses management.
And we have done quite some intensive research, also to get service a few academic institutions, And there's about 25 capabilities that you would develop in order to get such shouldn't process of pauses management up and running.
But if you look at it from a high level, such a process of pauses management is about speed topic, it's about focus, It's about improve.
And it's about sustaining those improvements.
The focus part, it's important to know that an organization only competes for about 15 to 20% of their processes, 15 to 20%.
Those high impact process areas, it is worth two large systems, Sophisticated optimization and improvement innovation initiatives that normally pays off.
In the 80 plus percent of commodity processes, it's completely OK to standardize based on industry best practices that can still need to mean that you have to improve what you do, because you may not be on an industry above each performance level. That also may still need your goals, some digitalization efforts. However, you benefit from what is already existing in the market, and don't have the vision to get better than your competition. You focus your work and your creativity on the 15 to 20% high impact courses and business process management helps you to identify those.
Then, of course, move on, need to improve our processes, our digitalization. And that poses management helps into base. On one hand, served by providing the end to end view on our processes, so that you don't fix something in one area and create issues in associates.
And that's the, really identify, what, where the improvement opportunities are, and how do we best touch that. Paul says, This is really an automation requirement, or can we make a focus, is just some organizational change, is how do we best mix technology and organization that adjustments?
All those questions need to be onsets, so inappropriate pauses management discipline.
And once we have our, improve processes in place, of course, things keep, on moving, we need to make sure that we keep those processes on track, and that we keep on benefiting from the, the benefits we have achieved and take the decision for that site improvement transformation initiative, when this is required.
So the process causes management is all about focus, about improve in a context and about sustaining those improvements.
Now let's have a look, but that's a process management is simply can help recent how it looks like in the digital transformation.
And as mentioned, in a first step, it's about setting the right focus of our digital initiatives of our transformation initiative in Genoa.
And that can be done. School, causes, impact assessments.
The Closest Impact Assessment does two things. It's on one hand. It identifies, what are the high impact processes in our organization, and which of those have a low maturity level, so that it's really important to touch them.
And once that is defined, you can really then define the scope of your transformation in a way that it delivers most of the value and really focuses on the areas that your organization needs to transform to move to the next level.
Basis offsets opposes impact assessment is the transfer of your strategic directions into a more operational value drivers those operational value drivers are then linked to the different business processes. And finally, pauses, it's defined, which impact does it have on which value drivers, so that you then can then define the overall impact of your business courses, and we said, You can defy the high impact processes as call for your further transformation.
In many of those business courses, transformations, and digitalization initiatives, the first face, it's less about optimization or flow on our processes, but about standardizing pauses shifts to the right level across different business units. And that makes sense, because we need works differently. It's basically impossible to come up with a consistent digitalization strategy. And you will never be a really exciting, because it will always take too long to just the whole organization.
I can say that in the last, I would say, 6 to 10 years, I received even more requests for pool standardization initiatives, then for pure improvement projects, and those standardization initiatives can very well be supported, Will persist forces management, and a good tool to do that, is the use of so-called process reference modules.
Reference models, in the digitalization context, show how you would, sir.
Organize and execute the process in this fashion.
Business domain, for example, our pure to pay process and how that's a process can be an a bit slower.
Specific automation platform, for example, especially system.
And it's the reference model shows how that is done in a general way so it basically visualizes the impact of a digital technology on you are on the business process.
And in the first step, you would then adjusted to your specific organization showing what which parts of that opposes to that really matter for us, you will stand out. There are additional steps that we need to take in our organization so that you come up with a company specific reference model.
And in that company specific restaurant, Smarter, Denmark, where other parts of that's referenced courses, that's can be adjusted in different business units, for example, to two different channels that are supported through different products, through different legal requirements, in different states, or different countries.
And it's, uh, process areas that we really require to be the same across business units so that you can use such a reference model to manage an appropriate standardization or better even to talk about the pauses harmonization. But what's the standard? Whether it is possible, but it's also aware of the fact that we need to adjust in certain areas to a specific process variants. So, using such reference models to manage pauses Standardization, very, very powerful impact of business process management.
We were talking before about the need for innovation and the opportunity for innovation through such a digital transformation. And this is also an area where a business process management plays an important role.
In Kenya, for example, operationalize techniques like design thinking.
Design thinking is about empathy. It's about the transfer of practices from one field into. And that's how it's about the agility to achieve quick benefits. And it's about storytelling to create the right mindset and business process management helps in all of those areas.
The use of stakeholder journey maps, like customer journey maps, or supplier journey maps, or employee journey maps to have an outside. Didn't look at your processes and identify what is the current experience of our stakeholders? What is the desired experience of our stakeholders, and how to make that happen.
The use of the reference models, I just mentioned, help to transfer good and successful practices from one business field into a NASA flight songdo in a biotech company that has to configure the, find the products to ought to have patient specific medication.
Can leverage some of the forces know-how from the machinery industry, where machines are configured to order.
And we set, achieve significant innovation.
The definition of pauses scenarios, how to move from one step to the other, supports an agile approach, so that be a chief Greek benefits, but also, set the right expectations. And, by embedding our process, work into an overall operating model, and show what kind of which forces we currently addressed, and how they interact with us, and has helped to tell the right story by V two, It's how we will change the organization, and is that it creates the right mindset in our company.
So, business process management, very important, and a pillar of the, the use of design thinking, and especially the topic around stakeholder journey maps is something more and more used, and here, I have to say that it's key to really have from the porch or what I call integrate.
It's a journey of planning: that means I look, of course, at my stakeholder experience, like, for example, in my customer journey map, and the different touchpoints that my customer has with the organization, but then I link that's to move the underlying processes.
So, that I know, how do I have to adjust those processes to really improve the customer experience, so that integration between the stakeholder journey mapping and the underlying processes to come up with the right actions to improve? That's a customer that's a customer or stakeholder experience, for example, in a large consumer retail organization popped up, issues, service.
The pricing areas, lots of discussions, and it turned out that, depending on the channel, that's a customer use. The dev at different pricing engines involve that could lead to different prices. So, the analysis of the processes allowed to exactly, identify the, the, the issue for a bad experience come form and how to fix it in a pretty straightforward way.
When we design our processes, our to be a applauses is how we were going to work in the future and have an idea about how we work today. Then, of course, we've got a really know, is it rose to go? to go that way?
Really paying off, do I need my business case? So, that's a journey.
That's why process management also helps to quantify, that's, uh, benefits, that A move to the new situation, to a, to B process, would bring in a way to do that, is the use of simple and pragmatic simulation techniques. And I stress the point A simpler than the pragmatic. Because if you try to make the simulation, the science, that can be a never ending story. But if you do that in a pragmatic way that you collect your cost and time attributes, for example, as a byproduct in, as is individuals, then you come up with the process models, that's a really telling you a story about.
What the financial impacts of your transformation charity will be like here in that example.
Former major insurance company in a small product area. The first pilot, and could show that for that, that process, is to move from the as is to the, to be, it would be and huge saving of costs of almost 50% combined VISTA and scalability effect of the factor nine.
And when we did that simulation company in that organization, people first a bit skeptical. So, they decided just to implement it in one product barrier, to see how the outcomes. And, as a matter of fact, the reality was then very, very close to what was predicted to these simulations, so that the old, she got rolled out across the whole organization. So, that's a SQL nation of processes to get the quantitative information. Very important to justify especially larger transformation initiatives.
And those process models that we have created to define where we want to go in the future.
And to understand how we work today, they are the key to aligning business and technology, doing the transformation.
Because those models, those two P modules, basically, on one hand, reflects the capabilities of our technology, but won't be assigned.
They then show how people now use that technology in our organizations, so, how to configure the system.
And, on the other hand, the comparison between the S is two, B gives us a great input for our people change management. So, for our information communication and training.
And it's a ...
model, causes management, and possibly told me to let you then compare those courses. So that you can see, well, there are steps eliminated. Where do we have to do some additional, some new steps that we have been doing today? And modifications of activities.
So that it's a very good basis to plan for the change management, to have some idea how, how, that, how the size of the change will look like and how it impacts the people and the people aspect. I cannot stress enough in the digital transformation, that is often underestimated.
But even if you now try to automate many of your activities, for example, this RPA, robotic process automation, need to see that this means for people, that they now have to focus on handling the exception. So, the work gets much more difficult, because all the simplest, transactional. It's gotten, no, so to prepare people for that and train them accordingly, and inform them upfront, and get. The input is very, very key, and opposes management helps to facilitate this communication and helps to avoid misunderstandings or to forget the important aspects.
What we then live with our new opposes this one of course see if we really achieve the value and that opposes management can help again, ... through a process mining techniques that means that you get information about your new digital processes. And you get that information, really, the performance information?
About your process is in the context of your processes so that you, know, for example, not just how long does your or cure to pay pauses take, but how long does it take from the point that I end purchase like, musician, continued support to the other is a client and so on. So you get detailed information about how you achieve your goal.
Very important G you will get also details.
Conformance information. How well do we follow our process? so that we see two things: Do we really meet our performance goals, so that we realized our business gains?
And second, do we follow our to be pauses and say, Well, if we don't follow how to be pauses and we don't meet our performance goals, you already have a clear idea of what to do, you have to really figured out by certain steps are not executed. And just sit down. Very interesting case where we could show in the maintenance area that's almost three months, the number of variants solar we didn't follow, our two peoples. This basically went back four months, two months, very significantly so deferred. For the percent that showed, OK. Yeah, That would be to really standardize our processes and move to what I want to be.
We could also show that's the 11% of processes that still have variance. We could show that these are there the maintenance forces, some specific equipment, numbers were not assigned to our maintenance on us, which led to additional time. And exactly those cases, the side, the time of our maintenance rock, was much larger than in that cases. So, we had a very key action to grit and could even see that it's both in certain locations. So, we could address that school appropriate training and move things into the right direction. So, the use of a process mining to try the value ...
after our applause is, Our digital processes are in place. It's very, very powerful.
And, uh, I really think there is a big trend in this direction.
Having said that, I very well know also, that it's often discussed. Well, that's a whole mining topic. Could be also the way to start with, why should we do, here? The traditional, as is in them used to get the transparency law developed today. Might. Not just to the mining right away.
And I have to say, there are situations where that works, especially when the school systems already, they support it through IT systems so that I have the information available.
But in most of the cases, that's the does not merely, because many steps of the courses is people use spreadsheets, They use manual documents and those that binding approach, Father, S, East capturing. You would lose a lot of information which causes of caused a major issue. And, second, you would create the incubation and the adapters to load the data in just for that as these analysis. And then you can basically sold them away.
So, that's the time and effort you gain is also not speaks or you invest, and you don't gets real, solid, and we're inside out of it.
That's why, in most of the cases, use that mining approach for the valuable ... and the ongoing governance of our processes, but for the initial capturing of the pauses, the more traditional way Ws, which can nowadays be done here, and to be more ... online, so a very efficient.
Fact, we saw now, that's a process management, can help digital transformation, severely, from the first point of the targeting value setting, the right priorities for the standardization, the innovation, the automation, of our processes. And then, the value will be on the station. And that's a good transition into our last topic.
Sustain the length of those improvements.
And when we talk about sustaining those opposes this, that's one very important aspects you see, in Digital transformation stays a very big trend.
That's more and more of the technology itself, moves outside The organization, moves into the clouds.
What stays in our company, ah, the business processes.
So the real assets in the organization is not the technology itself.
Activate the use that technology to really achieve business value. So to make our business policies, tension and manage, and to have at this simply a role and that's just as we have disagreeing about technology, IT. We need knowledge.
So, the discipline about our processes to really, really a, treat them as assets, and make sure that we really don't miss anything and get the best value of our cloud based technologies.
And in order to do that, it is required to have also a bit of a structure around that, and to organize our pauses management this simply. And that's in one hand, of course, to have the right roles in place. That was the sponsor poses on ... Stewart, the Center of Excellence. With the transformation or BPM lead, though, I like also to refer to them as the chief process officer, and it's there. It's not enough just to identify those roles and have the full description, but it's important to have really the underlying processes.
How do they, how do they really act? How do they govern processes? How do they interact with the rest of the business? And in most of the cases, those governance roles are part of the business. But spent that time, mainly on looking across organizational boundaries, and the Center of Excellence, the ACOG, and ..., basically.
Thanks to your system as their clients and helps to prepare and execute the related transformation project. Provides the standards guidelines and the necessary tools.
And that such a governance organization works. You need, as we saw before, also, the set of tools. so the BPM discipline itself also needs to be, did you do, and digitalize the in the right way?
And simpler architecture of the tools that you need for the, working towards this management distinctly is shown here, and you need a way to set the top-down direction, and that's hybrids school. We know Pulpits, pauses modeling and the positive Toby approach. And, on the other hand, you need to know, well, to be really follow up, because this is, how well are we doing. So you need the bottom-up control and that happens.
School, business poses, monitoring approach, And, of course, we need, then, the execution environment on the top, This automation platform, and then that's on kind of each of your tools integrated to that. And in order to keep on checking our priorities, it's also recommended to have some tools to identify the impact of our processes, and how that changes. As well as the maturity of our courses is compared to the, to the industry. And, I know that it's often, that's a discussion about, do we need modeling and mining.
Do we only need one of both, but, as I explained before, my very, very strong belief is that you need both units. The modeling really to set your top down direction and to understand and visualize processes that are not very neatly automated, and you need TO pauses mining to make the governments and the control of the causes this much, much more efficient. So, both areas.
Complement each other. So, both should be part of the system architecture supporting our process, of course, is management.
And to make sure that we can really seamlessly roll out the causes management, is simply make it part of the way we work in our organization.
We have seen it as very practical to have something in place that we like to refer to as PPM, Playbook that is related to our forces of pauses management, that is, of course, defined in, it was supposed to, totally, just, as any surface forces, But, that's a BPM playbook, is basically something like the standard operating procedures. For your pauses or flow.
Proposes management defines the, the modeling of this teaching standards, but also, it describes how an improvement initiative is organized, describes the government support. And so that's your.
That's your pauses management discipline really can be rolled out and applied across the organization.
And we set up, basically, at the end of that short presentation, we have seen that the process is realized, at the end of the day, the value of our digital transformation.
In order to get the best value out of that, each of your transformation, it's important to set the right priorities. And pauses management helps yes, to our pauses impact assessments.
Killing the transformation, which is about standardizing, innovating, automating. And that leads to be value treatment of the areas where we really get most out of intense database, The one I know school opiates, simulation and quantitative techniques. That we really go the right way and once prevents the digital transformation needs to make sure that we have an environment in place that provides the appropriate governance and basically keeps that process of pauses management up and running. And now of course, the right and ably towards play a key role.
And at the end of the day, you basically establish then a business process management as a management, this simply, that keeps your transformation and digitalization journey going.
Thank you very much.
K, Seyfried, ready, we can move to Q and A couple of questions.
The first one that I've got A's, do you recommend any specific tools to run simulations?
So my recommendation is to use the tools that you also use for your applause as a modeling, so that you have everything in one environment.
And it's this, of course, many clauses, modeling and positively tools. In the market, I see, as the leading ones here, of course, areas from SoftBank Team, but also this Club, your, from S A P, and that many law, that's really broke, but I would always recommend to do the simulation in the Same Tube Institute of Alternate.
Next question is, Is VPN in 2.2 modeling methodologies automated process?
Can you please repeat it? I couldn't hear you correctly.
Sorry, speak louder! OK, is the BPM in two point, I'm modeling a mandatory safety data sheet to alternate approaches.
That's an interesting question. I would say, it's not mandatory, but it is a highly recommended. And the reason, therefore, is that, in ..., two, or diagrams, you can, you have a very systematic, a description of the process itself. But also, of the way that's a tool says, is supported school technology, and you have even the possibility to take this by Darwin, and even described, and technology specific aspects. So, the use of P P M N, two points, yellow really is, in the meantime, really the communication and a description standards for our business processes and I would highly recommend QC.
Great, thanks for that.
How can an organization begin to develop the VPN Playbook?
Yeah, that's a very good question. And let me answer that in two steps. First, I clearly have to say such a BPM playbook is never finished, it's a living document, that is always updated.
I would start, like every BPM initiatives in those areas where you have the biggest needs. Let me give you some examples. If you start with a huge initiative that you need to create pores this, moderates then The Baby A good start to define your model the Standards and Guidelines first. and then it's the other components over time.
If you are in the phase that you will say, OK, we need to put our opposes governance in place, and our poses owners don't exactly know how to work. The more guidance that you may start this part of your governance process. And then adding the check in, the, in, the playbook about how you organize your governments. So, I would start the playbook always in the context of the specific topics.
And how would you incorporate proces discoveries?
Yeah, I thought, again, that is the point that is often discussed. Do I need to do pauses discovery?
Can I, Why can I not, by the way, this is defined by two P And ignore that my very strong belief is that you need to at least, roughly understand, your S is the clauses if you want to transform them, because only they understand how big the transformation is, it gives you the hint of what kind of people are affected in a rich way. It gives you the information that you need for your business case, that there's plenty of reasons to do that, and then, of course, no cheating. You do that at the very beginning of your initiative, and that, I have to say, in the past, that loss of the very, very time consuming pauses, where you had to go to many locations at the new thing, or the people, nowadays, that you can do that, all in online sessions may experience, and this can be very, very efficient.
If you just, basically, having an online session or two people, one, asking the question, the ..., the ..., two model in the interview, so that you can review that and have arrived at faces and then standards later on for verifications that goes very efficient G So, I recommend doing that as this capturing and doing it. So, it's such a transformation initiative after the prioritization.
All right, OK. How much does the IOT to impact the process? Definition?
Huh. I'm not sure. If I understand the question correctly, I can say that the tool should not impact the pauses the definition itself, because that's.
That's guided, smoothly content, however, it impacts the efficiency of the process definition, and, uh, that's efficiency.
Depends basically on the usability of the tool, you see, if you want to capture in a transformation to a large amount of business, closes this toy to then be.
A nightmare because. It takes too long to create the graphics, it's a unique ways too difficult to update and change them. So the use of the real professional professional modeling and possibly totally tool makes it just more efficient to create those pauses definition, but it does not really influence the content itself.
Is there any standard or BDP of governance models, not only them logging?
I don't know and stand up of the flaws of governance models. The ice some broad agreement on certain roles like the ones I mentioned Divulged opposes owner was this one's opposes Stewart, but the entire governance model and the underlying governance processes. I've not seen the standard template for it. And, to be honest, I also have my doubts, if that would be.
Yeah, if that is possible to define that independent of the specific organization, because the governance has to reflect, somehow the culture and the structure of your current organization, and that's why you always need to be a Kubernetes specific, however, to have, for reference models, as starting points is clearly goods.
Yeah, a good way to launch the journey, that's up to now, all those those tokens from a specific cause algae called the nice, I've not seen a cross industry standards.
OK, our next question is, Transparency is a key in BPM, it seems. But if a company is not comfortable sharing their key core processes to stop, even if it had been developed, is a risk than outside of my copy.
Yeah, that's, that's a very good question. You know, when I moved to the states from Germany 27 years ago, I had a discussion with the professor at Penn. And he told me, OK, I like your pauses things, but you should not talk here too much about transparency American companies, and executives don't, like, that's the topic. They don't want to be transparent and show what's going on.
So, said, I wouldn't stress the point if you wanna sell those services. And, I followed his advice, but, the situation has changed dramatically here after the financial crisis in 2008. And, all the following compliance that much better.
And, the, the, the way that the topic, then, about making those processes tend to print and, we said, also having the risk that somebody since then, of course, the service, but the risk that, if you don't document and, therefore, you cannot manage them systematically. And you cannot conserve them systematically. It's much, much higher. And that's why creating that transparency and making it attentively clean. Benefits.
Our next question is, what are the best practices to model when you need to visualize differences between regions, markets?
They say, meaning the same processes, 10 regions, and each see this in the same model.
So there's a lot of regional issuances test to experts that's on one end of the SEC rules.
This is, again, I would just all very straightforward model the causes of each region separately in in different clauses models so that you can compare the Flimsiest. Singularities that's, that's the easiest. When it comes then to the design of the two peoples. This.
Then, I would always go the way I briefly describe the presentation to create a company specific reference model and show that, OK, this is the part of the process. That should be the same thing in all regions. And then, for specific areas, like how to move something on the X, We saw this, your clients, you make a suggestion, that is something like a common practice, but you must reference model that this can be changed.
Individually to the difference of each and modeling tools, even allow you then to have variants of those processes and show how those pauses components look different in different locations.
Going further to be, I would have one motor.
There are variants it can be. And then just document the variants per location.
Thanks for that. We've gotten one way that we all try to try and grow octane to talk people. Nick Bostrom sells 100 aircraft.
Just does this process work for a small company?
or are they just, can you please repeat, It's very difficult to hear you, OK. We're operating a trading floor off chain to talk. People that bought himself 100 per year?
Are we to small? Does this word personal company?
It's a very good question. I'm often asked, and I can say that the approach I describe the smallest company, we have done that this was a 30 people company that we had, was the research institute, and says who, that's initiative. We could increase their small groups by a factor of 10.
So a huge effect.
And therefore my clear answer is also small and medium companies benefits heavily from .... And by my opinion and experience. It's even a much easier starts, because the pictorial pauses, sees easier. You have to interview less less people. Then, once you identify improvement opportunities, taking the decisions to do something goes much faster. Since you have short arrays in smaller organizations, so I can only recommend, also, to small and medium companies to use that, but having said that, use it in a pragmatic way. Don't get lost in the tools, and techniques sync, clearly what you want to get out of it, and use them underlying tools in a pragmatic way.
Oh, OK, what are the differences between low code and RPA automation? Which one is better suited to BPM standards?
In a, in a proposes management and the air force's Cleveland approach helps you to identify the right technologies to realize the movement opportunities that you've identified in your process.
And RPA here before the course is automation basically helps you to to automate seeing each text where people have to do to end manually information or moving from one system to the ESSA, ands and ors.
Basically automated, automate one step in your, in your process, there was such a no code.
A platform, they, they have on one hand, and the workflow components, that means it helps to route state information, smooth, your process. And it allows you to support specific steps by creating appropriates functionality and one step in this automation environments cooked and also support it's a school in RPA a tool.
So, I would see RPA and low code platform as very complimentary and not as a contradiction.
Having said that the dice are often many.
Short term RPA use cases that under longer terms, were more stringent automation approach can be replaced by Justin, more integrated automation folks, ombudsmen such a platform but there's also always steps. Remaining, For example, where you have to, to end it.
Physically, the information that comes from, from clients often, some external to the RPA, then place a whole as part of the overall platform.
OK, when working in an Agile environment, is it necessary to identify the business than the upfront, or can it be done with each iteration?
To identify what upfront I couldn't, is it necessary to identify the business value upfront?
I think it's always recommended to identify the business value upfront.
However, I would recommend to have, then, also, process senatla yours, as I briefly mentioned, in the presentation. You see, if you're an agile approach, you may not move from your current situation to the optimal one, but you have different steps in between. And for the steps in between, you need to set the right expectations, so that people know what can they expect to get out of that.
So, you would address the value into, into several steps, to, you would have a rough estimation. What is the N by two, we go that route. And then, you will have a more detailed value. And this is for every iteration in exile approach that you do. So that's, that you can also take an informed decision, Russia, it's worse to go another step forward or to stop, and do P fuel. A very practical example when you implement some RPA, then at the beginning, you may only have to, some of the simpler cases, school, your RPA. So there's a relatively high amount in exceptions that handled manually.
And then you can, of course, we find that RPA and the, the, the rules in your bots so that you can do more on software exception cases, But vessel that is Russ three, or not really, depends on the economics and on the business impact space. So to have then a, something, like a value analysis before, taking that step is really important, so that you don't create something that doesn't justify the investment.
Companies, thoughts into documented process and being taught to do so, I need to educate the whole team of what we'll be doing as I write the essays crises and tell him what needs and what the company is trying to achieve.
Should the stakeholder response to do this instead of me since I'm a crisis myself?
No SP pain.
It's free, so Sorry, I cannot hear you clearly.
OK, and we try and company starting to document each process.
Same tasks to do so, I need to educate the whole team of what we'll be doing as I write these crises and tell the team what happens next and what the company's trying to achieve.
And she, the stakeholder wants to do this instead of me.
And as I'm only approached his own and myself, SVP in Eastern.
Yeah, very good question. I recommend to do it in two steps. On one hand, the overall process sponsor or owner needs to set the stage and explain a former top level. Why do we go through this transformation, and why? do you need to understand how we got today, and how do we define how the work in the future, and how do we then implement that so that people understand the overall story?
And then in the second step here, the poses, oh, Now, whoever conducts the, those capture, endeavor. And explain the details, and that, I think it's very important that people understand how that is documented. So if the brief introduction is used, understand how the interviews are done, and what is expected from them, so that they don't create an unnecessary anxiety. So I would use both voices on different levels.
OK, my next question is: How much does an outside times need impact? The push towards VPN?
Example, ISO 9001, ISO 1345, Teacher, such. External compliance requirements are often the trigger for causes management initiative.
That's the, then the, this creates the opportunity to take a step back and look at things in the peak of all the way so that you don't just creates the documentation to get your ISO certification, but to that in a, in a way and in a format that. you can use. The same tools as models for your improvement opportunities. That you can use them to explain a new employees, how you can, that you can use them for quality purposes. And there's many, many use cases for that. So I would see that as a trigger point, but then you had to get the full value out of a PM. Put it in a bit.
Bigger picture Does not mean that you need to do right away a much more U boot's. Slightly adjust the way how it seems So that's you.
You create a foundation of four future of broad PPM grout in different areas.
Alright, And I have one more question. Yeah, I'm not sure I understand this question, but it says: What are your business process impacts, source framework origin to speed up the process identification.
in an English company to prices?
Yeah, that's, uh, closest impact assessment to identify our high impact and then our no mature 18 year opposes. The mechanics principle is very, very simple, you just create a matrix. On one side, you have your list of your processes should be on a certain level of detail.
I could explain that a wall, you can check out one of our lives papers, but you go for one sites, the processes. And on the other side of the matrix, you have your key value drivers, and your rates. And then you define fiber, which is what we see in every five axis IV dem oil.
Then, you can calculate the vacancy tojo for all of your for each of your processes. And that's basically calculate the impact of the set of wavelets was sent to your strategy. And that is really quantum mechanics, to a very simple exercise.
Something that also helps you align the key stakeholder, the key stakeholders behind the transformation initiative, and make sure that we all have the same ideas. What is really important and which poses, is, really influence that.
So, it's, the mechanism, itself, is pretty straightforward. We have a white paper out there on our webpage called Targeting Value and the NASA one of prioritization of pauses and vortex that is ... also more detail.
I have no, no questions on my side.
OK, then, yeah, thank you very much, everybody. I appreciate that. He has so many a question. That was really great, and if you have more questions in the future, please feel free to reach out. Always glad to talk.
Thank you very much.
Dr. Mathias Kirchmer,
Affiliated Faculty, Program for Organizational Dynamics, University of Pennsylvania.
Dr. Kirchmer is an experienced practitioner and thought leader in the field of Business Process Management (BPM) and Digital Transformation. He co-founded BPM-D, a consulting company focusing on performance improvements and appropriate digitalization by establishing and applying the discipline of BPM. Before he was Managing Director and Global Lead of BPM at Accenture, and CEO of the Americas and Japan of IDS Scheer, known for its ARIS Software and process consulting.
Dr. Kirchmer has led numerous transformation and process improvement initiatives in various industries at clients around the world. He has published 11 books and over 150 articles. At the University of Pennsylvania and at Widener University he has served as affiliated faculty for over 20 years. He received a research and teaching fellowship from the Japan Society for the Promotion of Science.
Address: 475 Timberline Trail, West Chester, PA 19382, USA
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