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Process Mining Europe Live - SPEAKER SPOTLIGHT: How and Why Mining Will Define Your Organizations Future Success

Courtesy of Mark McGregor's below is a transcript of his speaking session on 'How and Why Mining Will Define Your Organizations Future Success' to Build a Thriving Enterprise that took place at the Process Mining Europe Live - A Virtual Conference.



Session Information:

How and Why Mining Will Define Your Organizations Future Success

In an increasingly automated world, traditional approaches to process management will no longer be enough to get and stay ahead. Whatever industry you are in, whatever part of the world you work in and wherever you are in the organization things are changing. Relying solely on subject matter experts, and subjective viewpoints is no longer enough.

Your future success will be defined by your ability to make rapid changes based on getting actionable intelligence from unresponsive machines! Mining is a key technology in shining a light into hitherto impenetrable systems. While mining might be thought of as a “fashion” today, it is likely to become the “must-have” of tomorrow.

In today’s opening address Mark will set the scene for the next two days by looking at and sharing with us;

  •  How Mining is a Key Technology for All Five of Your Primary Business Initiatives.
  •  The Need to Avoid the Mining Vocabulary Confusion.
  •  Why Mining Means More Than Just Process.
  •  What Are the Key Deliverables to Expect from Your Mining Efforts?
  •  The Benefit of Using Mining to Deliver on the Triple Crown.

Session Transcript:

Should be good to go, So how and why mining is key to your future?

She says, now, what I want you to do with this session this morning is rather than going in, doing a full-blown presentation of teaching Initial, is to try and give you some context, which I hope you're gonna find useful as we go into the other sessions and listen to the other speakers.

But also, to frame the mindset that says, you know, the stuff that we're going to be learning this morning from all of the speakers, is actually going to be critical to our future success.

It may not be changing our success mode, literally, today, But, for sure, as we go forward in life, it's actually fundamentally going to change the way that we think, the way that we work and the results that we get. So fingers crossed.

OK, There we go.

So, my question to start us off with this morning is, Do we know what we don't know.

And I know some of you will remember the or the the old quote that we often use, the Donald Rumsfeld quote from all those years ago, you as a known knowns, The unknown unknowns and the unknown unknowns.

For so much of what we're trying to do is, we look to seek to improve our organizations. Is now really going to be about making sure that we're clear on understanding what it is, that we don't know What it is that we do know, But what is it that we don't know?

And it's a really challenging question that sometimes we don't ask ourselves enough. And as we're going to go through this, we're going to see, is that mining as a technology offers us a great opportunity to spend a little more time thinking about what it is that we don't know?

Mark McGregor-3Learning more about, not just what we can discover, but just go one level deeper in understanding what it is We don't know, and indeed, can't know as we'll see.

So, I thought that, as we go through, that, we would use, roughly speaking, this agenda, I wanted to spend some time talking about the mining vocabulary, and I think that, for anyone that's relatively new on that, now, this is going to be really, really important as we go through, Whether it's today's presentations, was rich.

Other presentations that you receive on process modeling from vendors, or whatever, is to think carefully about the vocabulary, and to be able to ask key questions.

Then, what I want to talk about is mining, and what I call the five key initiatives.

And we'll go into those in more detail why mining.

And if you notice my presentation title was about mining, not specifically Process Mining I don't want to talk about mining in the context of moles and just process.

Then look at some of the main deliverables that people talk about about mining and look at those contexts.

Some examples of mining use cases Mining in the context of what I call the triple crown and then I have just a couple of stories to share with everyone.

Just to get you thinking about why, it is that I see it as being so important, and why I think is going to make a big difference, too.

Your abilities to be competitive in the world ahead.

So, process mining may not be what you think.

The reason I say this is that, depending on what you read and the research that you do, you're going to be hearing about process mining. Obviously, you're going to have other people joking, about process discovery, some will talk about automated process discovery, as we'll hear more.

Btog CTASome will talk about toss mining, and then, and journey mining. And then, we'll use, people will talk about in the context of, Hey, well, is, you know. You can use mining and create your process models. And this is going to be great because you can assure conformance and check for various, et cetera. And then you've got a slew of new vendors now, also using the phrase process intelligence.

And I can't speak for you, but I find it challenging when I'm looking at various values. So, for example, keeping it really simple: IC toss, mining vendors, talking about discovering process an IC process, mining vendors, say they're discovering and doing tasks.

When in actual fact, process, mining, and toss mining issue, completely different disciplines, capturing two completely different types of information for different purposes.

But it's one of those things that says, well, archive your process mining vendor, without toss mining, and you see all the interests that everyone gets in, mining, it becomes very tempting to say, Oh, yeah, yeah, yeah. Well, it's really just the same thing.

Or for the task mining vendors, you know, what, let's just tell everyone that we're capturing processes, Let's don't tell them that what, what would you? And it all gets very messy.

You've got some process mining vendors, now, tell you no longer need to do any manual process discovery. You don't need any of the workshop type stuff, that we've all been brought up on. We can just use automated process discovery, and use mining to do all the process discovery for us, and make all modeling tools redundant.

Well, it doesn't actually do that, it solves a different problem, because remember, we can only run process mining, all systems that we've already built.

So what we're looking at, manual processes, either totally or highly manual processes.

This money can't replace business analysis and process discovery workshops. It can supplement and complement, but it can't replace them.

If we're looking to, oh, capture manual activity with a view should potentially automate chain.

And actually, that's really the domain of task mining.

The task money isn't really capturing, excuse me.

Full end to end processes is really capturing how people interact with systems is not capturing how people interact with people. For example.

I would say that it's not necessarily capturing a process. It's more likely capturing a procedure, you know, how somebody fills uniform isn't really a process. Yes, we use the terms interchangeably.

So, and when we're looking at Performance, you know, great.

We can run Process modeling, and we check on Conformance, but conformance to watch.

If we don't start with a model, we may have created a modeling tool having a pressure, then we don't know whether it's conforming to that. So, we've got to be careful how we use the terms and terminology.

So, as I say, the language is, the mining vendors can be varied and pretty confusing.

So, I would argue that business problems, the main problems that we're all trying to address, through process improvement, process management, process automation, et cetera, et cetera, pretty common to most industries and sizes of organization.

Uh, I've oversimplified them, of course, but, you know, we all want to improve customer experience. We all want to improve customer satisfaction.

We all know that we need to find ways of improving and optimizing those customer facing processes, as well as all the backend stuff that we've historically done.

We know that there's a pressure on all of us to be continually increasing our revenues, and ideally our revenue per customer.

We know that on the right hand side here is that we need to constantly be looking to remove waste, some cases that people think about that as removing cost. I always prefer to think about it as removing waste with removing purely from a cost perspective.

We can actually kill an organization.

I don't think there's many of us on the, on the session here today, that wouldn't argue that, actually, whatever business that we're in, we're looking to increase efficiency.

Looking back to the left again.

We know that we need to be re-inventing many of our products and services, so that that's suitable cable for digital age, digital digitizing, and digitalization of business, And, of course, they are not the same thing.

And too often, they get confused.

Now we've got all of these things going on, whether it's on the bottom of the right, you know, applying and scaling, RPA, ELP migrations, managing risks, all of those things.

I tend to put those in what I see as five buckets as the five key, the business initiatives.

We're either focus through our customer excellence, business transformation, operational excellence, risk and compliance, or technology transformation.

And of course, in most of our organizations, we've got projects or programs going in all of these areas at the same time.

And the thing that underpins all of those, of course, is process, because it's our processes that enable constrain and connect everything our organizations do would either within ourselves, internally, or engage with the outside world.

So naturally, of course, we need to be very, very focused on process, because it isn't what we do.

But how we do it?

That makes the difference, you know, I've used in other sessions, Some of you will have heard me using the examples of Smartphones.

That's one example of saying, now all the same parts are available to everyone, everyone connects them up or we can make phone calls or news apps on any device.

But there are a couple of organizations that excelled.

What they do and the processes they use to create, market, sell or monetize those devices, and then that is all about that process, largely about supply chain, but principally, it's all around that laser focus on process.

So, whatever it is that we're doing, whatever projects that we're looking at, the fundamental differentiation into how good or bad we're going to be, is processed.

Event Email Graphic Virtual Conferences (26)So naturally, we need to have the maximum information that we can in order to deal with that.

So when we look at it through the lens of process mining, then really we're looking at what I think of as three prime deliverables.

So we're going to undertake a Monday project, we're going to see some illumination.

OK, and so going back to the We don't know what we don't know.

We're gonna shine a light into those dark rooms and lynch of those dusty corners, and we're going to see things that we hadn't even seen before.

I'll come back to that as to why that's going to be critically important to your future success, especially in the regulated industries.

As a result of shining that light, hopefully, the process mining technologies that we use, I'll get insights, because, yeah, just being able to see everything is great.

But actually, what we really want to see is how things are connected, what does it mean, if we move that, what else is going on.

And then fundamentally, from those insights, we want to be looking at making improvements.

So on the illumination, I just want to give you an example here.

So, often when you're looking at process mining technology to also manage technology, you have in mind a project or improving a process whether it's hire to retire, order to cash, procure, et cetera. We see that bandied about all the time, and there are some great things to to get from that.

But I would argue that you need to be thinking harder, particularly in the regulated industries.

So I've just been working on a paper with a great friend of mine, Andrew Perry, where I've been looking at some of the issues around Boston compliance regarding AI and the regulations around AI.

one of the things that's interesting is the one we look at highly regulated industries, in particular, financial.

What we see is, the, people are putting in place programs, too, uh, not just use the AI, but be very cognizant of the trust and regulatory issues around AI, and these sorts of decisions.

From the point of view that, we've got to make sure we're not discriminating, let's keep it really simple in discrimination, but the regulations don't just suggest that you've got to be careful that the rules and the algorithms that you're using in your new AI system on discriminatory, the regulation just says your systems.

So, you've been building many of your systems for 30, 40 years.

The regulative doesn't actually distinguish between whether you're using a 30 year old system or a brand new system.

I think what many of us are going to find is that, actually, without using mining technology, we're not going to know what we don't know, because we didn't realize that we'd already embedded whether it's in a rules engine, or just simply the embedded program logic in old systems.

That actually may cause us to be outside of compliance for some of these new regulatory changes that are coming down the line, and the actually, some of the biases and discriminations.

The people are accusing organizations of making actually deeply embedded in systems, and nobody knows anymore, So please don't say, the process mining is only for you.

El Pais system, or your ...

system, process mining in a highly regulated industry, particularly in the area of rushed, is going to be important for you to actually go back into really old systems where you really don't know how they are. You don't know where the decision is or how the decisions making to uncover and eliminate some of those hitherto unknown decisions.

So it offers some amazing uses in that.

And that's some of the areas now, in terms of the insights, then this is where we get into the areas, your predictive ability, right? Because it's one thing to be running our mining and say, in the rear view, mirror, what's going on?

But actually, we want to spend that time looking at the future and say, well, how does the future look like?

And there's some really great stuff being done now using binding technology to predict what's likely to happen.

Now, the interesting thing, there is most likely to happen, based on the past, But also, what's likely to happen, based on an increase in volume, or you're going to be starting to put more cases through this scenario, or you're going to do less. And what impact is that going to have?

And then, fundamentally, of course, it's offered us that ability for improvement.

And, you know, I would argue, and have in other places, that I think that process, mining technology, you know, process mining, per se.

But process mining technology will become continuous process improvement system for the 21st century.

Hopefully, that will become a little more obvious, as we go through the next few slides.

So, as I say, mining means more than just process.

We're seeing precious money president. My name is, the mining is an underlying technology. Now, we know of our process. We're hearing a lot about task.

Anyone that's been involved in an ERP projects, for sure, will know and constantly about tall smiling because obviously tos, recording Charles mining paste, became more known and more important with the advent of RPA, got far greater usage than that.

And I'll come into some of those in a minute.

We need to mine processes with HR and tasks, and we need to be connecting processing tasks if we want to see a full picture of how processes are occurring, and what's happening.

The other one that I think that there's not yet be enough attention on, is the area of journey mining, and I think this will potentially be An amazing area for changing the results. Particularly those people looking at revenue is where we can really see what journeys people are going on.

Now, again, just like separating the process of the task, I want to be careful with journey that we don't just say customer journey, because there are numbers of different journeys that we can look at.

I don't know what, in our next presentation, my old friend Richard is going to talk about.

But I know that, for example, if we take abyei, then they would say that actually, you can look at a case, a mortgage application journey, or an insurance claim journey.

So actually, we can look at that, the way that the file, the, the folder, or the entity, blows through systems flows through the organization.

So, we kinda think journey from that perspective.

Some of the earliest and most evasive work around journeys is actually in health care.

where we look at patient pathways and patient journeys in going, moving through hospitals, getting different treatments and predicting what are the better ways to treat people and what patient outcomes you're going to be. Some really great work around that. We've got employee journeys out. How does the employee navigate through our organization? We can look at user journeys. So, how does a user navigate through a system?

Screenshot (4)So, there are lots of different uses of journey, many of which, and fundamentally changed the way that we think about productivity.

And then I've hinted at it from the regulatory and compliance perspective.

But let's think about the decision mining, because a lot of the variance that we see when we look at the spaghetti diagrams of of a process mining output are actually really questioning the decisions because it isn't necessary, The X number of cases went this way.

Why number of cases went that way? What? we actually one-on-one coverage, or what was the decision.

Because it could well be that we put in, for example, an insurance claims process that claims under €100 go a certain way under a thousand GHO a third way.

And under 10000 go sorry, and over a third way could well be that when we look at the volumes going through those, that actually the thing that we need to question isn't the pathways or the alternative paths, simply questioning. That said, well, actually, when we put in the ...

limit, how much was a euro worth?

Oh, actually, maybe we need to change that now to 250, or moves one thousand up to 2000.

Suddenly just by changing the decision or the rule, we can significantly change it.

And we saw a lot of this years ago in developing process workshops where we realized that some of the biggest cost savings will be amazed by simply eliminating redundant rules and decisions, and amending other pools and decisions to bring them up to date and make them fit for the modern workforce. So often, we can make tremendous process improvements by looking at decisions.

So, when you're taking on mining, think about your solutions and their ability to capture, support, and provide insight for all of those different areas.

Now, when we're looking at use cases, there's a little bit of a fixation at the moment around precious mining to do with robotic process automation, other other types of process automation.

I have something to share with all of you.

If you're looking at taking on board process mining, that you may find it difficult to justify the continued use of process mining.

If you're only thinking in terms of those two use cases, It's a bit like saying, great, is it. You know, people talk about it as an MRI scanner, or as an x-ray, etcetera.

You don't have an x-ray or an MRI and every local doctor's surgery, right? It's a specialist piece of equipment. gets brought out on appropriate occasions.

So one thing that I think for the vendors is that we need to make it more like an ultrasound scanner, which is easy to use, far cheaper, used by different levels of people and many, many more problems.

But, the real key in making sure that mining is constantly delivering value to you, is to apply it as a monitoring mechanism, for the ongoing mechanism of what's going on. So, not just Mining, what is constantly populating was real-time information, giving you those real-time dashboards, and those real-time insights, that can enable you to constantly action react.

And, of course, that's the foundation of that continuous process improvement from the 21st Century.

So you will forever be optimizing, tweaking from an efficiency point of view, doesn't replace the nature step back and question.

Whether you're doing the right things, but assuming that you're happy with what you're doing, and you aren't doing OK, then it will help you make sure that they work there.

But the other thing that is, should significantly help and seems to be a massive economic puzzle worldwide, is the area of productivity.

And this is especially, so in the case of Toss mind.

So we think of chalk mining for RPA.

But I wonder, how many of you think about the fact that, for anyone in the products business, that actually, we could use charts, mining, desktop recording, as a way of identifying how new users, how users might interact with new functionality in our product?

Mark McGregor-3Talking about product management point of view, we can now capture real insight into how people actually use our products, The paths that people actually go down, the way that they actually deliver, thereby increasing the productivity of product management.

As a tool to bring in the facts and the feelings for business analysts, we can massively increase the productivity of a business analyst.

From a systems analyst point of view, we can use a combination of process.

And Charles Mining two actually create system requirements.

We can use it for system migrations if we want to move from all, shall we say, legacy on premise solution, so a new cloud solution, we can capture those kinds of requirements.

We can use them for workforce optimization.

We can use it for training.

There was a whole list of things there that can significantly improve productivity, not just on a one shot or an ongoing basis.

Which brings us to the fact that in all of our projects, I argue that whatever projects or programs that we're working on, our goal should always be to deliver on the Triple Crown.

That is, in a single project, rather than just saying, this project is all about lowering costs or this project all about increasing revenues.

Actually, if we look at it through the lens of say, Let's focus on how this can increase customer satisfaction, employee satisfaction, patient satisfaction, substitute, what, what you want in there.

Then, actually, by doing that, and just going off of that one focus, then you will almost, inevitably find that you lower costs and increase revenue. Now, you might say, in healthcare, we don't look at increasing revenues, but of course, that depends on which aspects of health care you're in. Some do, some don't. So you're obviously not everything that.

But mining has a massive impact on your ability, particularly when you're looking through the lenses of journeys and costs, sorry, journeys and decisions by default.

Then you can massively focus around that customer patient citizen type approach and deliver those things in spades. And it makes such a difference to the ongoing part of an organization.

So if you're not sure, how important or whether mining is for you, just a couple of stories to finish off with today.

So in the top picture, this is a old process workshop that I ran some years ago in South Africa, and you can see people using the classic post it note approaches, which I'm still a massive fan of. So, you know, I hope they never go away.

But I have to agree that in our ever robotic ever systemized world, that you know, putting all your D to C stray PO in the room doesn't quite have the same effect.

They don't seem to be only kean to share with me what it is they do.

Know, it's a bit, like, lose, the ******* bringing, is it. We're not going to tell him what we do. So I can't use the workshopping technique. It doesn't matter whether I want to, whether unlike it, the fact is that inevitably, increasing digitized world, I can't do I need a different way.

So unfortunately, whether we like it or not, mining is that different way to run those discovery workshops, assuming that the processes, procedures, decisions, journeys, et cetera, all now locked in a system of some kind.

And then as we're rushing into our digitized world and we're looking at these things.

I'm not sure how many of you will remember.

But some years ago, now, about 3, 4 years ago, then a Colorado, who were perceived as an online grocery store, what Now, is Almost, although they're still doing that, is all machine as a, As a tech company, providing fully automated.

Picking and packing for groceries in the warehousing, sells the technology all over the place, had a massive fire.

This file wipes millions and millions of pounds, overnight, off of their stock price.

As this totally automated factory, both goes off.

The factory was, you know, the warehouse was a pride because of the levels of automation.

And they put in all the automation.

But yeah, going back to our beginning worse, they didn't know what they didn't know.

What they didn't know.

Well, that if you build are totally automated warehouse stroke system.

You put in all the robots and all the systems all picking and packing, right?

And you have a failure. Fire suppression system, fire alarm system.

If there are no humans left in the building, there's nobody left to smell smoke.

So, when we're looking at putting in all the technologies that we look to put in, and certainly, even in those AI scenarios, and you're gonna see a lot of this coming out with the regulators, they still talk about human in the loop.

So, although we're doing all of our mining, and we're doing all of the analysis, and using our toss mining's and putting in systems, we still need to remember, in our organizations, who is there to smell the smoke When something's not going, as it should be.

Event Email Graphic Virtual Conferences (26)How, and who's going to do it? We put in that process monitoring.

Have we put in monitoring systems for those tasks, because the robots just going to repeatedly do what it does. What happens if he gets bad information?

Where are we doing that monitoring? What kind of process intelligence and predictability?

Are we applying?

So hopefully that's given you a few things to think about and shapes some of your thoughts and ideas as we go into the, Like, the sessions, please, really happy for you, too.

To reach out to me with those questions, can see that we've got a couple in the chat and I'm just going to turn the sharing of the presentation off here and let you go back and say yeah, with that, Jimmy, so OK, so just a couple of questions then we'll try and do.

So, the first question, the one that I get frequently as, Mark, you know, you're talking about the importance of processing, tasks mining.

But we know from other presentations that you've done, and for articles you've written, that you say that process mining won't exist as a market within a couple of years.

So, yes, I stand by what I suggest. Great question. I stand by what I suggest.

And it's because I separate the mining market from the mining capability.

Know, we've already seen lots of mergers and acquisitions, and even since I was lost sharing on the US version of this, then we've had my graphics, acquiring Log Picker. Other acquisitions as well.

So, there's going to continue to be mergers and acquisitions. But the one thing that I can be sure of is that, well, I'm sure the technology, the mining technology is not going to go away. It's going to become ever more important.

And I think there'll be good Holmes for all of those vendors that seek homes.

Incredible solutions, the broad and the And, by the way, you know no surprises with my background, I'm a real fan of the combination of the modeling with the mining.

And I think it gives us a really great 360 degree view of how to think about plan, and make the improvements going forward.

And, the last question, I'm going to also Undock at the same time, which is, Are there any vendors that I would particularly recommend?

I'm not going to also that, because we've got some great solutions and great vendors being represented here today.

I've worked ways, a number of different vendors, and I think everyone has that strengths and weaknesses.

The main advice that I would have for you is look carefully through that language, make sure that you're not buying something that just addressees a singular problem.

You know, in other presentations, I talk about the fact left, Few businesses have that singular 10 or $100 million problem.

Many of us have lots of million dollar programs, So let's make sure that when you're looking at the technology and you're looking at a vendor, you know, I recommend you look at someone, the square to solve lots of different problems, rather than just 1 singular 1.

I guess, the other piece that I would say is, when you're talking to vendors around the proof of concept, saying, then, let's look at a proof of concept, and more, have them look at a proof of value.

Uh, difference being, a proof of concept, they might come in and look at a little bit of a piece of the process for you.

Relatively low cost. And our proof of value.

You're probably going to make a commitment, But what the vendor is really saying is, If you make that commitment, spend this with me, that I will make commitments on delivery, and what the outcomes convey.

Screenshot (4)So I hope that's helped you in terms of where we're going.

I'm just going to flip back into There we go. Flip back to Mike.

Other background, and we're going to sign off in just a moment.

But we'll be back on the hour with Richard Raybin from Abby. And so I look forward to seeing you all again very shortly and having a great morning. So go grab that coffee. I'm certainly going to We'll catch you all in just a few minutes' time.


About the Author

more-Mar-22-2022-07-10-45-96-AMMark McGregor,
Author, Performance & Business Coach

A former Research Director at leading IT industry analysis firm Gartner, Mark has an extensive background in enterprise architecture, business process management and change management, having held executive positions with a number of technology companies.

Mark has authored or co-authored four books on business and process management, including “Thrive! How to Succeed in the Age of the Customer” and “In Search of BPM Excellence” and  “People-Centric Process Management.  Widely respected for his knowledge and views on business change, he is the creator of “Next Practice” and has variously been described as a ”BPM Guru”, a “Thought Leader” and a “Master of Mindset”. 

Mark is passionate about the people aspects of change, he has spent much of the last ten years traveling the world, learning, teaching and researching the cultural aspects of change and how executives perceive business and process improvement In this capacity he has literally taught hundreds of people and been fortunate to interview and interact with many CEO’s.


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Proqis Digital Virtual Conference Series

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BTOES From Home - On-Demand

The premier Business Transformation & Operational Excellence Conference. Watch sessions on-demand for free. Use code: BFH1120

Proqis Digital Virtual Conference Series

View our schedule of industry leading free to attend virtual conferences. Each a premier gathering of industry thought leaders and experts sharing key solutions to current challenges.



Delivered by Progressive Thought-Leaders


Watch On-Demand Recordings For Free

Watch On-Demand Recording - Access all sessions from progressive thought leaders free of charge from our industry leading virtual conferences.

Best-In-Class Training

Delivered by the industry's most progressive thought leaders from the world's top brands.
Start learning today!

BTOES From Home - On-Demand

The premier Business Transformation & Operational Excellence Conference. Watch sessions on-demand for free. Use code: BFH1120