The owner can improve the company’s efficiency if he manages the business processes. This can be done by regulating and implementing changes in the activities of employees. Each business process needs a different approach, so it is essential to choose the right management tools to help improve the company’s performance.
What is a Business Process?
A business process is a specific sequence of employees’ actions that leads to the desired result of the company, for example, profit-making or product creation.
A business process always involves a team of several people. Even if a person works alone, e.g., as a writer, an editor, designer, and others are interested in creating a book.
Why Regulate Business Processes?
A business process regulation is a document that describes how a process happens. When a business process is defined, it is specified who should do what at each stage is set. Each function is assigned to a responsible employee, and he has to produce the product expected from him to pass it on to the next job. So it goes until it reaches the client.
For example, a print shop receives an order to print 100 catalogs. The business process then consists of the following points:
- The customer gives the job.
- The company calculates the cost of the order.
- The client signs the contract.
- The contract goes to the accounting department, where payment is confirmed.
- The order goes to the prepress department, the client leaves the requirements for the order, specialists edit and prepare everything.
- The order goes to the printing shop.
- The products are shipped and sent to the client.
How to Know if a Business Process will Work?
The business process needs to be tested. When it comes to evaluating the quality of the business process you’ve developed, first ask, “What problems will this process help solve?” and when you implement it, see if it was able to handle it. Let’s say your company isn’t meeting orders on time right now. With a modified business process, you want to fix this to deliver the product strictly by the deadline. Write down in the regulations the actions you need to take to fix the error, implement them, and if the problem with providing orders is solved, the business process is working.
To check the quality of something, you have to have a starting point. For example, you have to check the quality of customer support at TonyBet. You need to know what such support should be. Clearly define what kind of services you want to get at each stage of the business process. This way, you can assess whether everything is going according to plan.
Approaches to Business Process Management
There are several ways to manage business performance. There are several methodologies that we will discuss below. They have in common that they all focus on customer satisfaction with the product the company provides.
Standardization
Standards are descriptions of sample products or services. How products or services should reach customers. If a pattern is documented, then:
- Employees will know exactly what they should get due to their actions.
- New employees will adapt and understand the company’s operations more quickly, and operational risks will be reduced.
Perfection
The control system of business processes should be constantly updated and changed, and this will reduce costs, reduce production cycles and minimize mistakes.
There are two ways to improve business processes:
- Reengineering – completely changing the system that exists at one time.
- Kaizen – continuous improvement of management mechanisms.
Info-technology
It is necessary to introduce information technology into the organization’s business processes. Without it, it is impossible to manage the company in today’s environment. It is essential to collect constantly, process, store, and protect data.
In addition, information technology can independently generate management decisions with the help of embedded systems, thereby automating many management processes.
Groups of Business Processes
Management
This includes processes aimed at ensuring the survival of a company: development, expansion, ability to compete in the market, the realization of goals. Manage the company by planning, accounting, controlling, organizing, and adjusting actions.
Production
These are those processes that bring income to the company by selling goods and services. This includes: purchasing raw materials, receiving customer orders, manufacturing, etc.
Procurement
This includes the processes that help produce the product: hiring personnel, accounting, equipment maintenance, etc.
Each of the processes must be assigned an employee, and he will be responsible for the result produced within each function. If all employees will do the work qualitatively and on time, the company’s customers will be satisfied, they will come again and again and recommend the company to their friends.
Summary
Competent management of business processes increases the efficiency of a business. There are three approaches to the management of business processes:
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- Standardization.
- Perfection.
- Info-technology.
These approaches focus on meeting the customer’s needs with the company’s product.
Distinguish business processes by dividing them into three groups: management, production, and support. And regulations are called to describe each business process in the company. In regulations, the responsibilities of employees at each stage of work are prescribed in detail.
If something needs to be changed to improve the company’s work, the regulations are supplemented or rewritten, and the business process is restructured. If the existing problem is solved after the procedure is rebuilt, it works.
