PROCESS

MANAGEMENTDr. Małgorzata Wiśniewska

Faculty of Engineering Management

11 Strzelecka Str., room 303A

email: malgorzata.wisniewska@put.poznan.pl

How to pass?

Attendance and preparation.

Set of excercises (written form) sent by email

as PDF file till 30.01.2017.

Resources

1.Skrzypek E., Hofman M., Zarządzanie procesami

w przedsiębiorstwie. Oficyna Wolters Kluwer Business, Warszawa,

2010.

2.Adamczyk M., Trzcieliński S., Procesowe kształtowanie struktury

organizacyjnej przedsiębiorstwa - niektóre wyniki badań literaturowych,

Zeszyty Naukowe Politechniki Poznańskiej, Organizacja i Zarządzanie,

nr 40, Poznań, 2005.

3.Hammer M., Champy J., Reengineering w przedsiębiorstwie,

Neumann Management Institute, Warszawa, 1996.

4.Burlton R.T., Business Process Management: Profiting From Process,

Sams Publishing, USA, 2001.

Program

1. Company’s characteristic (real case)

• Organizational type and profile

• History

• Human resources and organizational chart

• Offer

• Key customers

2. Strategic goals

• Mission

• Vision

• Strategic goals

3. Identification and modelling of processes in the organization

• Customer’s model

• Measurement of standards of customer service

• Process modelling

• Process mapping

4. Process management (abilities of process leaders and owners, process

planning and changing)

1. Business characteristic

• Organizational type and profile

• History

• Human resources and organizational chart

• Offer

• Key customers

2. Strategic goals

• Mission

• Vision

• Strategic goals

SMART Rule

Specific

Measurable

Achievable

Realistic

Timed

3. Identification and modelling of

processes in the organization

• Customer’s model

• Measurement of standards of customer service

• Process modelling

• Process mapping

Model of Customers

Task: Draw a customer model

In this task, we identify external customers, their

needs and expectations, and an interaction

between the organization and its customers.

1. Who are your customers? Divide them into

the groups.

2. What are their needs and wants?

3. What are the relations between your

company and your customers?

Present above information in the form of an

appropriate model.

Measurement of standards

of customer service

Task: Define and measure the effects.

In this task, there are introduced measure

outcomes as a reference point of customer

expectations.

1. Determine the types of performance measures

that best measure the effects of activities in the

areas most important to customers.

2. Specify the norms and standards and identify

problems in achieving these results, if

necessary.

Examples

a. The delivery time - from receipt to shipment

of goods.

b. The percentage of contracts implemented

due to the order - accurately and completely.

c. The percentage of defective products.

d. The time required for meeting liabilities

(eg. complaints).

e. ???

Analysis of the delivery time process - from receipt to

shipment of goods on the example

of ABC Toy Company

Two standards:

1. Orders placed for the first time (new customer)

Standard: 4 weeks

• Met at 90%

Problem: the order adopted at the end of the season for

toys and thus realized too late.

2. Orders retried (loyal customer)

Standard: 2 weeks

• Met at 80%

Problem: quickly ending stocks.

Process modelling

Task: Model the Key Process

1. Make the list of key processes (main,

performed daily, having the greatest impact on

the ultimate success or failure of the company).

2. Select one key process and organize state

changes (actions) for this one only.

3. Define the objectives of the process and the

critical success factors.

4. Set Inputs of the resources to the process and

its Outputs.

Example of key processes

1. Develop product

2. Produce

3. Check order

4. Handle customer inquiries

5. Lead customer accounts

6. Develop human resources

7. Reward

8. Provide funds

9. Adapt to the needs

10. Acquire orders

Changing the stateList the activities carried out in the company of ABC Toy Company

during the Check order process

Posted

Posted TO Pre-

processed

Pre-processed TO

Processed and

Complete

Identify customer

Add if the new

Identify a reseller

Locate% commission

Give the order number

If it is a change order - make adjustments

Check credit

If necessary, specify additional conditions (prepayment, cash)

Check inventory

Make the allocation, if necessary

Create a list of goods to be taken

Determine the date of dispatch

Set a work schedule

Receive relevant goods – complete

Mark, what has been downloaded

Update inventory

Review your order - prepare an order for products 1/2

Changing the state List the activities carried out in the company of ABC Toy Company

during the Check order process

Complete TO Packed

Packed TO Sent

Sent TO Charged

receivable

Verify your order

Prepare mailings

Pack

Determine the shipping method

Determine the size of the fee

Consolidate

Send

Prepare invoice

Send Invoice

2/2

The model of the process

„Check order”

Process mapping

Task: Make a map of the process based on the

company organizational chart.

1. Adjust (if necessary simplify) the organization

chart.

2. Identify the organization of workplaces involved

in the action, and the nature of their involvement

(the responsibility, what provides, what accepts).

Map of „Check the order” process - example

Activities

Identify

custo

mer

Add

ifth

e n

ew

Identify

a r

eselle

r

Locate

% c

om

mis

sio

n

Giv

eth

e o

rder

num

ber

If it is

a c

hange o

rder

-m

ake a

dju

stm

ents

Check c

redit

If n

ecessary

, specify a

dditio

nal conditio

ns

Check

invento

ry

Make the a

llocation, if n

ecessary

Cre

ate

a lis

t of goods to b

e taken

Dete

rmin

e the d

ate

of dis

patc

h

Set a w

ork

schedule

Receiv

ere

levant

goods

–com

ple

te

Mark

, w

hat

has b

een d

ow

nlo

aded

Update

invento

ryR

evie

w y

our

ord

er

-pre

pare

an o

rder

for

pro

ducts

Verify

your

ord

er

Pre

pare

maili

ngs

Pack

Dete

rmin

eth

e s

hip

pin

gm

eth

od

Dete

rmin

e the s

ize o

f th

e f

ee

Consolid

ate

Send

Pre

pare

invoic

e

Send

invoic

e

Marketing SalesI I N

Realization of orders R R R R R N N R R N

Logistics

Inventory controlN R R N

ShipmentR R R R R R N N N N

WarehousingN R R R R I

Manufacturing Production planningN N

Accounting

ChargesI I

LoansR R R

InvoicingN N R R R R R

R - RESPONSIBLE I - IN N - NOTICED

4. Process management

Tasks:

1. Identify the owner of the process, determine

his/her responsibilities for: work management and

development of employees.

2. Perform process analysis and process

management in the context of the mission, vision

and strategic objectives of the organization.

3. Decide on the need for organizational changes.

Make a program of change.