How to Avoid 5 Common Pitfalls for Process Optimization White Paper BPM Leader

Five Common Pitfalls in Process Optimization

And how to avoid them

byReintJanHolterman,Publisher,BPMLeader

WHITE PAPER

5 COMMON PITFALLS IN PROCESS OPTIMIZATION & HOW TO AVOID THEM

TABLE OF CONTENTS

1. Management Summary ..................................................................................................................................... 32. What is process optimization? ........................................................................................................................... 3

2.1. Why process optimization matters ........................................................................................................... 42.2. Maximizing output ................................................................................................................................... 52.3. Minimizing costs ...................................................................................................................................... 5

3. Common pitfalls around process optimization ................................................................................................... 63.1. Pitfall #1: Unclear start and finish ............................................................................................................ 63.2. Pitfall #2: Using the wrong KPIs ............................................................................................................... 73.3. Pitfall #3: Lack ownership and support throughout the organization ......................................................... 73.4. Pitfall #4: Process changes are not embedded ......................................................................................... 83.5. Pitfall #5: Lack of execution ..................................................................................................................... 9

4. The 5 Cs for doing process optimization right ................................................................................................... 94.1. Customer first .......................................................................................................................................... 94.2. Conscientiousness (awareness) ............................................................................................................. 10

4.2.1. Use process monitoring ..................................................................................................................... 104.2.2. Use process simulation ..................................................................................................................... 11

4.3. Collaboration.......................................................................................................................................... 114.3.1. Collaborate during all phases of the optimization project ................................................................... 114.3.2. Explicitly solicit feedback................................................................................................................... 12

4.4. Communication ...................................................................................................................................... 124.5. Continuous execution ............................................................................................................................. 13

About Bonitasoft ....................................................................................................................................................... 15About BPM Leader ................................................................................................................................................... 15Further reading ........................................................................................................................................................ 15

3|www.bonitasoft.com 2013Bonitasoft


1. Management Summary Processoptimizationisthedisciplineofadjustingaprocesssoastooptimizesomespecifiedsetofparameterswithout violating some constraintand shouldalways linksback to theheartof thebusiness strategy. The optimization efforts should strengthen the reason of existence of acompany,andleadtocostminimization,outputmaximization,orboth.Thereare5commonpitfallstoavoidwhenengaginginprocessoptimization:

1.Unclearstartandfinishoftheprocessoptimizationproject2.Usingthewrongkeyperformanceindicators3.Lackofownershipandsupportthroughouttheorganization4.Notembeddingprocesschanges5.Lackofexecution

To avoid these and have successful process optimization projects, there are 5 prerequisites toconsider,whichcanbecalledthe5Cs:Customerfirst:Startwiththecustomerandunderstandtheirwayofworkingandprocesses.Workoutsideinwithprocessimprovements,andbesuretokeepthecorporategoalsinmind.Conscientiousness:DefinetherightKPIswhichareneededtomeasure,analyzeandsimulateanyoptimizations.TheseprocessKPIsshouldlinkbacktoKPIsdefinedatthestrategic/corporatelevel.Also,runsimulationsofyourprocesses,todiscoverpotentialbottlenecksupfront.Collaboration:Involveprocessowners,processparticipantsandyourClevelsponsor inallphasesoftheoptimizationproject.Buildfeedbackexplicitlyintoyourprocesses,e.g.usingfeedbackformsandquestionnaires.Communication:Transparencyincommunicationhelpstokeeptheoptimizationprojectafloatandavoidsinefficienciesandinconsistencies.ManagementdashboardswithallrelevantKPIsaswellas(internal)notificationanddiscussionsystemstofostercollaborationamongthepeopleinvolvedintheprocessoptimizationprojectarerealassets.Continuousexecution:Processoptimizationisanongoingactivity,asnewprocessbottleneckswillemerge once the previous has been solved. It is therefore recommended to use socalled hotdeploymentsofnewprocesses to avoid systemdowntime, inorder to improveprocesseson acontinuousbasis.

2. What is process optimization? From our earliest days, we have been trying to optimize our processes. As prehistoric huntergatherers,wedevelopedspears,sharpenedrocksandothertoolstokillanimalsandgrowcropsforour daily food supply. The chances for successful results (having something to eat)were greatlyimprovedbyusingtools.Thefoodsupplyprocesswasgraduallyoptimizedwithmoreadvancedtoolsandtechniques,likehuntinginsmallgroupsinsteadofhuntingalone,orbypouringwateroverthecropseverynowandthen.Theseoptimizationsservedtwogoals:betterresultsandreducedcosts(i.e.effortneeded,timespentawayfromthecave,ortheriskofgettingwoundedorkilledyourself).

2013Bonitasoft www.bonitasoft.com|4


Process optimization can be defined as the discipline of adjusting a process so as to optimizesomespecifiedsetofparameterswithoutviolatingsomeconstraint.1Processoptimizationalwayslinks back to the heart of the business. The optimization efforts should strengthen the corebusinessofacompany,bydeliveringbetterproductsandservices, inashorterperiodoftime,atlowercostandwithlessenvironmentalimpact.Closelyrelatedtoprocessoptimization isprocessanalytics,thesetofmethodsandtoolsthatcanbe applied to analyze (intermediate) results of business processes in order to support decisionmakinginorganizations.Theanalysisofprocesseventscanbedividedinto3categories.

Figure1.ProcessAnalytics

The first category looks at historic data, and is usually called process controlling. The secondcategory,whichisusedanddiscussedmostwhenpeopletalkaboutprocessanalytics,looksatrealtimedatainrunningbusinessprocessesandiscalledbusinessactivitymonitoring(BAM).Thethirdcategory of process analytics is trying to predict future outcomes and often called processintelligence.2Usually,companiesapplyprocessanalytics toprovidemanagement,stakeholdersand thepeopleexecuting the process with insights into the efficiency and effectiveness of these businessprocesses. Process analytics are typically used as input to optimize business operations, or forcompliancy and audit purposes to be able to demonstrate that a company is operating inaccordancewithspecificregulationsorservicelevelagreements(SLAs).

2.1. Why process optimization matters ManagementguruSimonSineksaystoalwaysstartwiththeWhyinorderforbusinessmanagerstoinspireaction.3Sothen,whyprocessoptimization?Processoptimization is important,as ithelpsbusinessesreachtheirgoalsand fulfilltheirmissionmore effectively and more efficiently. In turn, this helps their customers as they get betterproducts,deliveredfasterandusuallyatlowercost.

1http://en.wikipedia.org/wiki/Process_optimization2http://www.processanalytica.com/zur_shapiro.pdf3SimonSinek,StartWithWhy:HowGreatLeadersInspireEveryonetoTakeAction,2009



Andthesecustomers,inturn,enableacompanytosurviveorgrow.Theoptimizationeffortsshouldtherefore be focused on the endtoend business process, starting with the customer andeventuallyalsoendingwiththecustomer.Especiallyintodayscurrenteconomicsituation,whereweseealotofcompanies(andevenentirecountries)struggletosurviveharshmarketconditions,processoptimization is important.A lotofcompaniesarestrivingtoreducetheiroperationalcostsand/ortoimprovethewaytheycooperatewithexistingclientsinordertoreducechurn.Andalthoughthesayinggoesthatthetimetorepairtheroof iswhen thesun isshiningmanycompaniesunfortunatelydidnot lookafter theirroofsuntilitstartedtopourdownontheircarpetsandofficefurniture...Thetwomostcommongoalsofprocessimprovementaremaximizingoutputandminimizingcosts.Eitherway,itshouldcontributetothebottomlineresultsofthebusiness.

2.2. Maximizing output Toguaranteeitslongtermraisondtre,acompanymustatleastensureenoughfundstopayitsstakeholders.Employeeswanttheirsalaries, investorsandbankswanttobecompensatedfortheriskof lendingmoney to a company, and governmentswant to impose taxes.But keeping yourstatusquotypicallywontbeenough inthe longrun.Innovationsareneededforthesurvivalofacompany,simplybecausetheworldischanging,too.The increase in revenues can (thus) be used for innovations: e.g. to fund new productdevelopments. Inventinganewmedicinetoreduceheartfailure,developinganewsoftwaretoolformobilecomputing,orcreatingnewservicesbasedon3Dprinting,whateverisyourbusinessorexpertise:newdevelopmentscostmoney.The extra revenues generated can also be used to expedite a companys gotomarket plans.Openingupnewregionaloffices, increasingmarketing&advertisingspend,orhiringanewsalesrepallwillcontributetogrowyourbusinessquicker.

2.3. Minimizing costs Costreductionsplayasignificantroleheretoo.Forexample,onecouldoptimizetheordertocashprocess in a large manufactory by adopting a justintime production methodology, leading tominimized inventory levels between various production steps. This will reduce the productioncosts.Costscanbeloweredbylookingcarefullyatallcostcentersinacompany,eliminatingtheonesthatdonotcontributetothecorebusinessoperations.Inaddition,expensiveproductionfactorsmaybeutilized better or be replaced by less expensive ones often, this means that administrative(human)processes getpartially replacedby computerautomatedprocesses, so that thepeoplefreedupnowcandootheractivities thatwerepreviouslyoutsourcedorneglected.So:domorewithless.Costreductionsingeneralleadtohigherprofitmargins(ormorepreciselytoahigherreturnoninvestment). This also increases the attractiveness of a business to external investors andshareholders.



If we plot the goals of process optimization against internal and external benefits, we get thefollowingprocessimprovementmatrix:

ProcessImprovementMatrix

Maximizingoutput Minimizingcosts

Internalorientation Fundnewdevelopments Expeditegotomarketplans Investinemployees(wages,training)

Increaseprofitmargins/ROI AgilityDomorewithless

Externalorientation Rewardloyalcustomers Compensateshareholders Investincharity,sponsoringetc

Bemoreattractiveforinvestors(betterleveragefactor)

Improvelongtermfinancialstability

Table1:ProcessOptimizationMatrixAswecanseefromtheaboveexamples,processoptimizationisimportantnotonlyasanexercisetocarryoutwhen thingsarenotworking,but (also)when thingsaregoingwell.Still,optimizingprocessesissomethingthatiseasiersaidthandone,asthereareseveralpitfallstobeavoided.

3. Common pitfalls around process optimization Ifyouareseriousaboutoptimizingyourprocesses,thereare5pitfallstoavoid:

1. UnclearStartandfinish2. Usingthewrongkeyperformanceindicators(KPIs)3. Lackofownershipandsupportthroughouttheorganization4. Notembeddingprocesschanges5. Lackofexecution

Intheremainderofthischapter,these5pitfallswillbeexplainedinmoredetail.

3.1. Pitfall #1: Unclear start and finish If you want to optimize a process, it is essential to understand the current status quo of thisprocess,thesocalledzeromeasurement.Who is involved intheprocess?What inputandoutputparametersarebeingused?What is theaverage timetocompletion fora single instanceof thisprocess?Howoftenareexceptionsraised,andhowarethesehandled,andbywhom?Theseandotherquestionsneed tobeaddressedbeforeanyoptimizationeffortsarebeing implemented. It(also) impliesthatacompanyhaskepttrackofandanalyzed itsbusinessprocessesforsometimetobeabletoprovidethiskindofinformation.It is justas important toknowwhereyouwant tobeheadingwithyourprocesses.Where is thefinish line? What is the desired outcome of the improvements and changes in your businessprocesses? Ifyoudontknowwhatyouwant toaccomplish,youdontknow ifyouhavereachedyourgoals.



Ofcourse,weallknow this,andwealsoknowabout theexamplesofoptimizationprojects thatfailed.Onaverageitisestimatedthat6070%ofallprocessoptimizationsprojectsfail.4Youwillbesurprisedtoseehowmanyoptimizationprojectswerestartedwithoutclearlydefinedobjectivesorwithoutaproperbaselineanalysisbeingcarriedoutfirst.Knowingapparentlyisnotequaltodoing.

3.2. Pitfall #2: Using the wrong KPIs Thispitfallmaysometimesbeconfusedwiththepreviousone,asunclearfinishline,butinfactissomethingdifferent.KPIsserveassignpoststoguideyou intherightdirection,uptothefinishline (whichwillhave itsownsetofKPIs,too). Illdefinedperformance indicatorscantakeyouoffcourse,astheypointyouroptimizationeffortsinthewrongdirection.Itmaybe that theKPI isunrelatedoronlymodestly impactedby theprocess you are trying tooptimize. Or that the KPI is not SMARTly defined, i.e. not Specific, Measurable, Acceptable,RealisticorTimeboundenough.Thatway,KPIsmaybecomemultiinterpretable.ItalsomayhappenthattheKPIisnotonlyimpactedbyyourbusinessprocess,butalsobyexternalfactors,asthefollowingexampledemonstrates:One telecomprovider inEurope, trying to improve its customer satisfaction leveldefined severalKPIstoseeiftheywerestillontrack.OneKPIwasnumberofcomplaintsutteredviasocialmediatoseeifservicelevelsindeedhadimproved.However,atthatsametimewiththeriseofsocalledweb care teams the use of socialmedia for this type of (negative) brand communicationwasbooming industrywide. This meant that the KPI in itself was not useful to steer on. What thetelecomprovidershouldhavedonewastocontrolforthenumberofcomplaintsfortheincreaseinusingsocialmediaforthispurpose.Anotherwayhowwrong KPIsmaymanifest themselves isusing KPIs that arenot linked to theoverallbusinessgoalsofthecompanyinanyway.Soindeed,yourprocessoptimizationeffortsmaypositivelyinfluenceyourKPI,butinthelongrun,thisisnotaguaranteethattheimprovedprocessin itselfnowbettercontributestothebottom lineresultsofthecompany.Forexample,themerefactthatyouhavereducedthenumberofsteps forhandlingacustomerrequestby itselfdoesnotguaranteethatyouwillbemakingmoreprofits.Instead,whatwouldhavehelpedistodefineaKPIontotaloperationalcostsforhandlingacustomerrequest.

3.3. Pitfall #3: Lack ownership and support throughout the organization

Intheend,itisthepeoplewhomakeaprocesssuccessful.Eventhoughprocessesmaydescribe(orprescribe)what tasks need to be done,when and bywhom, it is the human participant in theprocess thatmakes thedifference.Heor she candohis taskpoorly, resulting inapoorprocessoutcomeorextraavoidablecostsasitneedstobecorrectedatalaterstage.This makes the role of the process owner very important someone has to feel and takeresponsibility for a specificbusinessprocess. Thisprocessowner is theonewho canworkwithotherprocessparticipantsabouttheirjobs.

4http://esopsfables.wordpress.com/2012/02/29/whyprocessimprovementprojectsfail/



Theprocessownerusuallyalsoisthedrivingforcebehindprocessoptimizationprojects,ashecaresabouthisprocessandstrivestodoabetterjobeachandeveryday.Clearly,lackof(sufficienttimeby)aprocessowneralsomeansthatintheendnoonereallyseestoasuccessfuloutcomeoftheoptimizationproject.Alsothe lackofClevelsupport5 forprocessoptimizationeffortscanbequiteharmfulto theendresultsoftheoptimizationprogram.Businessprocessestypicallyspanmultiplepeopleandsystemsbelonging tomultiple departments.More often than not, the handover between departments(and/ordata synchronizationbetween IT systems) are the firstplace to lookwhen youwant tooptimizeprocesses.Thedepartmentalhandshakeoftenleavesroomforimprovement,butthisisusuallyonlyrealizedifsupportedorimposedbytoplevelmanagement.

3.4. Pitfall #4: Process changes are not embedded There isanaturalhuman resistance tochange.Thismakes itvery important to take the time tocommunicate all changes needed to realizeprocess improvementswith all stakeholders in yourprocesses.First,peopleneedtounderstandwhychangeisneeded.InclassicalchangemanagementliteraturebyKurt Lewin6 this is called the unfreeze situation inwhich theorganizationwillbepreparedtobecomemorefluidandreceptivetoupcomingchanges.Thisfirstpartofthechangeprocess istypicallythemosthardandstressful.Whenyoustartcuttingdownthe"waythingsaredone",youputeveryoneandeverythingoffbalance.

Figure2. Lewins3StageChangeModel7

Once theorganizationhasbeenunfrozen, thenecessaryprocesschangescanbe implementedstepbystep.Peoplestart tobelieveandact inways thatsupport thenewdirection. Inorder toacceptthechangeandcontributetomakingthechangesuccessful,peopleneedtounderstandhowthe changes will benefit them. Employee trainings and time for internal discussions may helpexecutetheneededchangesuccessfully.

5IfyouareinterestedinreadingmoreonhowtoinvolveClevelmanagementinyourBPMprojects,seeFurtherReadingattheendofthispaper.6KurtLewin,FieldTheoryinSocialScience,19517Carpenteretal.,PrinciplesofManagement,2011



Asalaststep,theorganizationneedstointernalizeandembedtheprocessimprovements.Peoplehaveembracedthenewprocessesandactuponthose.Whenanorganization isrefreezingagain,youwillnotice thata stableorganization chart is inplace,withproper jobdescriptions,enoughtimeforemployeetrainingsandlastbutnotleastaconsistentsetofprocessdescriptions.Butalsoinagilesituationswherefrequentorevenongoingchangeisdesiredandneededtoadapttoeverchangingmarketconditions,itisessentialtomakesurethateachchangeisproperlyembeddedwithintheorganizationswayofworkingandbusinessprocesses.Clearcommunicationabout goals, documenting all changes including the ones that did not lead to significantimprovements and celebrating intermediate achievements contribute to embedding yourcontinuousoptimizationefforts.

3.5. Pitfall #5: Lack of execution Beforeyoucan improveyourbusiness, firstunderstand thecurrent situation (seePitfall#1)andwhatyouwanttoseeimproved(Pitfall#2).However,thereisariskthatcompaniesdrivethistotheextreme,focusingoncollectingandanalyzingasmanydataaspossibleonallkindofprocesseseventheonesthatarenotinscopeofbeingchangedrightnow.Complicatedstatisticsreadymadeforconsumption throughnicedashboardsand reportsby itselfdonot improveyourbottom lineresults.What isneeded isameans toexecuteuponbusiness insightseffectively,something thatmakestheseinsightsactionable:aBusinessProcessManagement(BPM)system.OrasMiguelValdsFaura,CEOatBonitasoft,statedinhisEnterpriseSystemsblog8:Simplyhavingaccesstodataandprettygraphsdoesn'tmean that thebusiness isnowmorecompetitive.Whatenterprisesneedisaprocessthathelpsactivatethedatainanintuitiveandeasyway.

4. The 5 Cs for doing process optimization right Aswehaveseen inthepreviouschapter,thepathtooptimizedprocesses isfullofholesthatonecanfallintoifunprepared.Intheremainder,wewilldescribethe5Cswhichmayserveas5prerequisitesfordoingprocessoptimizationright,rightfromthestart.Ifeachof these5Cs is taken into consideration and thoughtfully implemented in yourprocessoptimizationprogram(s),yourchancesforsuccesswillbecomemuchgreater!

4.1. Customer first Thebasicreasonforanycompanytoexistisitscustomers.Customerspaythebills,andtheyhelpshape the future,giving inputonnew requirements. It is therefore important tounderstand thecustomersprocessesandwayofworkingfirstbeforeimplementinganyprocessimprovement.Firstidentifywhoyourrealcustomeris,asinbiggerorganizationsthismaybeblurredthroughthevariousintermediate(internal)customers.Then,establishwhatthecustomerwouldexperienceasasuccessfulresult.SomethoughtleadershavelabeledthisasSuccessfulCustomerOutcomes9.Work outsidein; to discover the steps a customer would take in his customer journey. Thiscustomerjourneyisoneofthemostcriticalprocessesyouwanttooptimize.8http://esj.com/Articles/2012/06/18/BigDataandBPM.aspx?Page=19http://www.bpmleader.com/2013/04/01/howtoalignbusinessstrategytoprocessexcellence/



Figure3. The5CsofProcessOptimizationProcess improvements should always lead to an even better adaptation to the way customersexpectustowork,notviceversa.Wesimplycannotforcecustomersintoourwayofworkingifwewanttokeepthemcomingback.Acustomerdrivenapproachisneeded,wherethecustomerisourpointofdepartureandourguidingNorthStar.Nonetheless,asanorganizationyoualsohaveyourown strategic business goals e.g. operational excellence, profit optimization or market sharemaximizationwhichshouldntbelostfromsightandwhichcanbebetterachievedifyoustriveforbetterresultsforourcustomers.Startwiththeendinmindahappycustomerandthenworkbackwards.

4.2. Conscientiousness (awareness) Beclearlyawareofwhatyouwant to improve,otherwiseyoumayendupoptimizing thewrongprocess,asthefollowingexampledemonstrates:Alargeinternetserviceprovider(ISP)receivedmanycustomercomplaintsaboutthetimeneededtohandle service requests, sometimes resulting in customers not having access to the internet formore than 72 hours. In turn, the ISP implemented an automatic email response systemacknowledgingcustomersthattheircomplainthasbeenreceivedandwasbeingprocessed.Besides the fact thata lotofcustomerscouldnoteven receive thismessageas theywerecutofffromtheirinternetconnection[...],theautomaticemailtotallyignoredtherealproblemcustomerswerefacing:thehugeamountoftimeneededtosolvethecomplaints.Inthesetypesofsituations,youdonotwant tohear that the ISP isworkingon theproblem; you simplywant it tobe fixedquickly.

4.2.1. Use process monitoring KPIshelpustostayontherighttrack.Theyarelikethegaugesinthecockpitofanairplane:isthealtitudegood,isthedirectionstillokay,isthecabinpressurehighenough,howmuchfueldoIhaveandhowmanymilescanIstillflybeforeIneedtofillupthetankagain?



In business, we use similar indicators that provide us with feedback on our business processexecution. These process indicators need to be accurate, costeffective to obtain, easy tounderstand,timelyandactionable10.AnyKPIshouldultimatelylinkbacktothecorporatebusinessgoalse.g.aKPIthatshowstheaverageresponsetimetowardscustomerscanbemeaningfulasoneoftheindicatorsforcustomersatisfaction.Processanalysis toolshelpyou toproactivelymonitoryourprocessKPIs.These toolsoftenanintegral part of a BPM suite provide ways to analyze and visualize KPIs via a managementdashboard.Thisdashboardcanbeusedforoptimallytuningtheprocessoptimizationefforts,aswell as serve as a communication means to process stakeholders and Clevel management.Moreover, these tools often support escalation management; i.e. they automatically escalateprocessnotificationstotherightpersonsothatthesewillbehandledquicklyandadequately.

4.2.2. Use process simulation Partofbeing conscientiousoraware isalso to test, testand test.Theearlier you can test yourprocess improvements, theeasier itwillbe topreventcostlyandavoidablemistakes.Acommonway toverifyupfront ifyourprocess improvementswillyield the righteffect is to simulateyourbusiness processes. Simulation can be done manually, although most BPM tools also offer asimulation module for this purpose. Using simulation, you can discover process bottlenecksupfront,orseehowyourprocessdoesunderheavyloads.Simulationisagreatwaytostreamlineprocessdesigns,and togetdeeper insights intowhatwillbeoptimal routesor paths to take.Basedontheoutcomesofthefirstroundofsimulations,youcanredesignyouroriginalprocessorassignextraresourcestospecifictasks,andthenrunthesecondsimulationroundetceterauntilyou have optimized the endtoend process in such a way that it meets your customer SLArequirementsorinternalrequirements(inotherwords:itcrossesthefinishline,seealsoPitfall#1).

4.3. Collaboration Processoptimizationisalmostneverastandaloneeffort.Itwillrequirevariouspeople,disciplines,teams, systems, technologiesandactivities toallget in line. It is thereforeessential thatagoodcollaborationprocessisestablished.Inparticular,theprocessownersandkeyusersoftheprocessshould be involved, right from the start. Most BPM tools offer collaborative features for thispurpose.

4.3.1. Collaborate during all phases of the optimization project Duringtheprocessdiscoveryandprocessdesignphase,keyusersandprocessownerscansuggestpossibleoptimizations in theprocess flow.As theylive theirprocessdayandnight, theyknowwheretofocusonandwhereinefficienciescouldbeeliminated.Process owners and key users of the process should regularly meet to discuss possibleoptimizationsandtoagreeifandhowthesecanbeincorporatedintotheprocessdesign.Theywillneed to collaboratewith legal, financial,HR andmarketing experts to ensure the right processoptimizationsarecarriedout.Asasideeffect,theprocessitselfgetsmorecredibilitytoo,asitisnowsharedandcocreatedbyalargercommunityofexpertswithinthecompany.

10http://www.processanalytica.com/zur_shapiro.pdf



Shared input leads to shared responsibility, and people will start to feel more involved andresponsible for theway things are donewithin the company. In fact, it has become a processownedbytheLegaldepartment,Finance,HRorMarketing,too!Alsoduringprocessevaluation,e.g.whenthesimulationresultsarebeingreviewedanddiscussed,collaboration between the people directly involved in the process execution and the businessexperts is important. In the end, these business experts can suggest alternatives for processbottlenecks discovered during simulation. Most of the time, the alternatives involve businessdecisions:Canweaccept longerprocesstimes(thus: increasedtimetomarket) inordertoaddanextraqualitycheck in theproductionprocess? Is itacceptable in termsof riskandcompliancy tooutsourcespecificprocesstaskstoa3rdparty?MostBPMtoolsnowadays fostercollaborativeprocesses.Theynotonlyoffersharedrepositorieswhereprocessexpertscanworktogether,withversioningcapabilities,facetsearch,theabilitytocommentoneachothersworkandsoon.Theyalsooffertoolstofostercommunicationamongstteammemberswithfunctionalitytosendnotificationstoeachotherortothewholeteaminvolved(seealsothenextCaboutCommunication).

4.3.2. Explicitly solicit feedback Itisimportanttostartwithendinmind:thewayyourcustomerwillusetheprocessoutcome.Sowhythennotinvitethecustomerexplicitlytocollaboratewithyoutoimprovetheprocessandtheprocessresults;theproductorservicehesbuyingfromyou?Whether you are using product feedback forms that are included with the product itself,conductingcustomerinterviewsviathephone,settinguponlinepollsandquestionnaires,orsimplyasking theultimatequestion [9]:how likely is it foryou to recommend thisproduct tosomeoneelse?; the customer can give you valuable feedback.You can also choose to setup facetofacecustomer interactionprograms to involvecustomersatanearlystage to improve theproductorservice tobe aswell as theprocess itself.This isespeciallyuseful if you aredelivering complexproductsorservices,or ifthecosts involvedtochangesomething intheproduct(orprocess)arerelativelyhighortimeconsuming.Internally,asking for feedback fromprocessactorsandotheremployeesmaybeworthwhiletoo.Theyoftenhavevaluablesuggestionswhereimprovementscouldberealized,ore.g.ascustomersupportemployeehavefirsthandfeedbackfromcustomersrightattheirdisposal.Tocollectthiskind of feedback efficiently, you may choose to add a feedback step to your main businessprocesses.SomeBPMtoolsofferfeedbackgatheringcapabilitiesoutofthebox,e.g.byprovidinganelectronicfeedbackformthatcanbesentouttoaselectgroupofrecipientsassoonasaspecificprocessstephasbeencompleted.Thisenablesorganizationstosystematicallycollectfeedbackinastandardizedfashion,atmultiplestagesintheprocessexecutionflow.Of course, it is still up to the process owner and companymanagement to also act upon thisfeedback,butatleastthefirstnecessarystephasbeenmadethen.

4.4. Communication The previous point of collaboration wont work if you do not communicate. Nonetheless,communication goes broader than just fostering collaboration; it is the oil needed to keep theengineofprocessoptimizationgoing.Itisessentialtocommunicategoals,objectives,intermediateresults,proposedchangesandfinalprocessimplementationstoallstakeholdersinvolved.



First of all, your customers need to be aware that you are working on improving processes,productsand/orservices.This isnotonlyanexcellentmarketingopportunity toshowcustomersyouaretakingtheirfeedbackseriouslyandareinvestingtimeandmoneytocreateanevenbettersuccessfulcustomeroutcome for them. Itmayalsohelp tomanageexpectations thatat somepointintime,theproductorservicemaychange;andaswithordinarypeople,alsocustomersdontlikechangesoitneverhurtstoinformthemupfrontabouttheprocessyouarefollowingandwhentheymayexpecttheoutcomes.InvolvingtheClevelteamisalsocrucial.Aswithanychangeproject,commitmentfromthetopisneeded to enforce certain changes and optimizations. If there is no buyin from your Clevelmanagement team, you may ask yourself the question whether to continue your optimizationefforts at all.Most likely, your Clevel ambassadorwill ask you for regular updates on targets,projectprogress, resultsachievedand costsmade so far. Inotherwords: theKPIswediscussedearlierwill if chosen correctlyalsobeof interest toyour topmanagement.This informationshouldbepresentedinanintuitiveandeasytoconsumeway,withouttoomuchdetailatfirstbutwiththepossibilitytodive intospecificswhenneeded.AmanagementdashboardwithdrilldowncapabilitiesoneachKPIisidealforthis,andshouldbeprovided/updatedatleastonceamonth,ifnotonceaweek.Thisdashboardmayalso(inarevisedform)besharedwithotherpeopleinvolvedintheproject,asthey, too, are eager to see if objectives are being met. At the same time, with this kind ofinformation intheirpocketstheycanhelptomaintainthenecessarysupportfortheoptimizationinitiativethroughouttherestoftheorganization.Most BPM suites offer integration with business intelligence (BI) systems for reporting anddashboarding purposes. Moreover, they offer internal communication and notification featuressuch as provided by Chatter or Yammer (or similar tools) to let stakeholders effectivelycommunicatewitheachother.Sometimes,thesearecompletedbyother forumlike functionalitysuchasinternalwikis,discussionboardsandasharedfilerepositorytodocumentagreements,newinsights,major choicesmade and so on,with all teammembers involved. This transparency incommunication helps to keep the optimization project afloat and avoids inefficiencies andinconsistenciesasmuchaspossible.

4.5. Continuous execution Youareneverdone.Processoptimization isanongoingactivity,asnewprocessbottleneckswillemergeonce theprevioushasbeensolved.Thismakesprocessoptimizationacontinuouseffort.That is why it is so important to upfront define the finish line when you consider youroptimizationprojecttobeready,toavoidthepitfallofjustgoingonandonandonforever.Processoptimizationisalivingprocesswhichwillevolve,change,growandshrinkovertime.As longasyouareable tokeep thechangesandmodificationswithin theoriginalboundariesofyourproject,youwillbeingoodshape.In the ideal situation, you will have the ability to implement process changes and processoptimizationswithoutanyprocessdowntime.Improving theplanewhile flying it isnoteasy toachieve.Most of the times, implementing a new process requires a system halt at some time,resulting perhaps in yourweb shop not being available for a couple of hours, your productionsystemsbeing stopped for anightlyoverhaul,or your invoicing systembeing outoforder forsometime.Andalthoughtheseoutagescanusuallybeplannedforandcorrected intheweekendorovernight,theystillarenotmetwithalotofenthusiasmbyyourmanagementteam.



Every system outage brings along a risk, e.g. that it is not solved in time or creates otherirrecoverableproblemswithit.Tosomeextent,processsimulationcanhelpyoureducetheserisks,butkeepingthelightsonisusuallythepreferredoption.SomeadvancedBPMsuitesthereforeprovidetheabilitytodohotprocessdeployments,thatis,tointroduceanewversionofyourbusinessprocessnexttothecurrentversion.Thattypicallymeansyouarerunningbothprocessessimultaneouslyuntilallolderprocessinstanceshavebeenfinishedorredirectedtothenewwayofworking.Thiscanberathercomplicated(e.g.thenewprocessmayrequire different input data than the old process) and can take some time especially for longrunning business processes. Nonetheless, if carefully implemented in your BPM system, it cansignificantlyreduce therisk tooptimizeprocesses.Aprerequisite todoinghotdeployments infact todoinganynewprocessdeployment is theability todoa full rollback toyourprevioussituation.Ifforsomereason,evenafterextensivetestingandsimulation,thenewprocessdoesnotworkoutright, you need to be able to rollback to the previous situation, ideally also incorporating therunninginstancesofthenew(faulty)process.Nopain,nogain.However, ifthepitfallsaretaken intoaccountbeforestartingyouroptimizationprojects, and if the 5Cs are implemented correctly, your chances for running smooth processoptimizationprojectswithmaximumgainandonlyminimalpainwillsignificantlyincrease!



About Bonitasoft Bonitasoft is the leadingproviderofopensourcebusinessprocessmanagement (BPM)software.Createdin2009bythefoundersoftheoriginalBonitaproject,BonitasoftisdemocratizingtheuseofBPMincompaniesofallsizeswithanintuitiveandpowerfulsolutionatanoptimumcost.BonitaBPMsetsanewstandardforBPM.Itcombinesthreesolutionsinone:aninnovativeprocessdesignstudiothatincludesarichsetofconnectorstointegrateprocessapplicationstonearlyanyITsystem;afast,scalableservicebasedBPMengine;andabreakthrough,mobileenduser interfacethatallowspeopletofullymanagebothroutineandunexpectedprocessactivities.Formoreinformation:www.bonitasoft.com.

About BPM Leader BPM Leader (www.bpmleader.com) is the largest independent community for business processmanagement professionals worldwide. BPM Leader is the expert network and community sitewhereyoucanfindthe latest insights, ideasandbestpracticesonBusinessProcessManagement,Workflow Automation, Case Management, Lean Six Sigma, Change Management and relateddomains. A strictly independent knowledge sharing platform, BPM Leader brings together over12,000BPMprofessionals,bloggers,industryexperts,users,vendors,consultantsandanalysts.

Further reading SpeakingtotheCSuiteaboutBPM:WhatsatthetopoftheClevelagendaandhowBPMaddedvaluealigns to strategicvision Ifyouare interested in readingmoreonhow to involveClevelmanagementinyourBPMprojectsBestPracticesforGettingStartedwithBPMifyouareinterestedinlaunchingafirstBPMprojectUnderstandingBusinessProcessAutomation:ToolsforBusinessProcessManagement ifyouareinterestedinthelargerscopeofBPMinthebusinesscontext

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How to Avoid 5 Common Pitfalls for Process Optimization White Paper BPM Leader

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