Week 4

1
Week 4

• Scoping an Enterprise Process

2
Before we start

• Phase 1 due today
• IF possible, feedback will be provided today
• Guidelines for Phase 2 are posted

3
Learning Objectives

• Context and overview
• Activities involved in the scoping phase
• Illustration Paloma Bank
• Application exercise
• Warning Templates are provided now BUT will not
  be provided during the exam!

4
Phases of Business Process RedesignPhase 3 of 5
includes 3 sub-phases
5
Sub-Phase 1 Scoping

• Activities
• Set explicit process performance targets
• Define process boundaries
• Identify key process issues
• Understand / be aware of best practices
• Outline data collection plan
• Plan for process modeling (Baselining)
• Deliverables
• Process Scoping Report
• Key Participants
• Process owners
• Customers
• BPR team
• Objective of todays
  lecture

6
Sub-Phase 2 Modeling, Analysis Redesign

• Activities
• Continue data collection (sampling)
• Model AS-IS baseline process
• Analyze and diagnose AS-IS process
• Design and model TO-BE process
• Analyze TO-BE alternatives and select best one
• Plan for the process integration
• Deliverables
• Software-based process model
• Process reengineering report
• Key participants
• Process participants BPR team
• Objective of lecture 5 and 6

7
Sub-Phase 3 Planning process integration

• Activities
• Examine alternative IT integration options
• Adjust process design
• Plan for the process implementation
• Deliverables
• Process integration plan
• Key participants
• IS design team
• BPR team
• In ITEC 4030 the focus is on IT (All
  lectures after week 7)

8
Case Study Paloma Bank

• Company Profile (p.81)
• Broad array of high caliber services
• Emphasis on LT customer relationships
• Firm foundation in banking technology
• Process under study Research Adjustment
• BPR triggers (p.82)
• Cost 20 million could be saved
• Increased response-time starting to trigger
  complains
• Linking imaging technology to RA process as a
  strategic opportunity

9
1.1 Set process performance targets

• What Statement of BPR project goals into
  concrete process performance targets (explicit
  measures)
• How
• BPR team meets with process owner
• They agree upon BPR project goals and their order
  of priority
• They identify explicit measures for each
  performance target (and group them)
• They identify the resources needed in the AS-IS
  and the TO-BE process
• More
• Targets can be revised
• Explicit measures will help assess the success of
  the BPR effort
• Template available
• Illustration Paloma Bank (p.85)

10
1.2 Process boundaries

• What
• Get a picture of the process to redesign
• Map of where to collect data
• How BPR team meets with process owner to
  identify
• The customers of the process
• The inputs (triggers) and the outputs of the
  process
• The departments and external partners involved
• The other BPs that interface/interact with the
  process under study
• The possible sub-processes into which the process
  can be divided
• More
• Boundaries can be revised
• Template available
• Illustration Paloma Bank (p.88)

11
1.3 Identify key issues

• What Get customer input and flag areas requiring
  attention
• How
• BPR team collect data (questionnaires/interviews)
  from customers
• Key issues are summarized in 2 forms
• SWOT analysis assesses the process (current
  situation and how to improve it)
• Assessment of work environment around the process
  
• IT infrastructure
• What exists and can be re-used to shape and
  support the redesigned process
• What exists and cannot be re-used to shape and
  support the redesigned process (and why!)
• What needs to be acquired/developed to shape and
  support the redesigned process
• Elements from the other 2 boxes Organizational
  design and HR training
• More
• Assessment continues throughout Sub-Phase 2
• Template available
• Illustration Paloma Bank
• Structure for questionnaire/interview (p.90 and
  103)
• SWOT analysis (p.95)

12
1.4 Other activities from the scoping phase

• Be aware of / understand best practices and
  relevant computer-based apps (IT)
• Adapting existing computer-based apps helps with
  a rapid yet robust redesign
• If questions remain, contact experts in the field
  (in ITEC 4030, you ARE the expert!)
• Become familiar with BPR software
• Outline data collection plan
• Identify source for data (key informants and
  archives)
• Select categorization criteria for the various BP
  versions (type of customer, type of trigger,
  etc.)
• Define the organizational data (cost of
  resources) and the process data (objects) needed
• Select data collection methods (structured,
  unstructured and hybrid)
• Collect baseline data
• Modeling process with typical cases ? BPR project
  focuses on 90 of all cases
• Modeling process with squeaky wheel cases ? BPR
  project focuses on cases with a "problem"
• Exhaustive modeling (all cases) ? BPR project
  aimed at redesigning all the process

13
Process Scoping Report

• Deliverable from the process scoping phase
  includes
• Executive summary
• Brief explanation of the steps taken
• Process performance targets (templates)
• Process boundaries (templates)
• Key process issues (templates)
• Preliminary vision of new process
• Data collection plan
• Plan for Sub-Phase 2

14
Thank you