Q7-5 How Can Process Management Principles Improve Processes? Flashcards
What are process management principles?
Process management principles are techniques used to improve processes in organizations. These include
systems engineering, workflow/WfMc,
Business Process Modeling, Business Process Reengineering, Continuous Improvement,
and methods such as Kaizen, Six Sigma, and 5 Whys.
What is the main goal of process management principles?
The main goal is to create a culture of continuous improvement within an organization.
What are some examples of process management techniques?
Common techniques include improving activity, removing unproductive resources, improving feedback, removing bottlenecks, redesigning structures, and outsourcing activities.
How can improving feedback help in process management?
Feedback involves returning part of the output of a process to the input to allow for continuous improvement.
For example, a grade on an assignment or feedback on team performance helps make adjustments for future tasks.
What is a bottleneck in process management?
A bottleneck occurs when one activity slows down the entire process.
For example, in a restaurant, if only one waiter is serving too many customers, the service becomes a bottleneck.
How can removing unproductive resources improve a process?
By reallocating or removing resources that are not contributing to productivity, organizations can improve efficiency.
For example, retraining drivers who are not busy so they can take on other tasks.
What is an example of outsourcing as a process management technique?
Outsourcing activities such as accounting or other non-core functions can allow a business to focus on its primary activities and improve overall efficiency.
What does process feedback do in a business?
Process feedback helps identify issues, suggest improvements, and test potential solutions by analyzing the output of a process and adjusting for future activities.
How can a business process be improved by changing its structure?
Changing the structure of a process involves altering the roles or arrangement of activities.
For example, in an assembly process, specialized roles such as one chef rolling dough, another adding toppings, and a third handling the oven can reduce delays.
What is slack, and why should it be reduced in a process?
Slack is the time when an activity is idle. Reducing slack improves efficiency by ensuring that resources are always being used productively.
For example, if waiters are busy, cooks could be responsible for delivering food to reduce slack.
How does outsourcing improve a business process?
Outsourcing allows a supplier, customer, or partner to perform part of the process.
This can reduce costs and improve focus on core activities.
For example, a pizza shop could outsource its accounting to focus on service and food quality.
What is Six Sigma, and how does it improve processes?
Six Sigma is a process improvement methodology that seeks to remove defects and reduce variability in processes. It aims for 99.99966% of process outputs to be defect-free by following a structured series of steps with measurable financial goals.
Why is Six Sigma particularly common in the manufacturing industry?
Six Sigma is used in manufacturing to minimize defects and improve process consistency, ensuring high-quality products.
Without Six Sigma, industries would face higher defect rates, such as electricity outages, airplane crashes, or hospital errors.
How should you approach improving a business process?
To improve a business process, isolate the process, determine its objectives, assess its Key Performance Indicators (KPIs), and decide if Information Systems (IS) or process management principles can be applied to enhance it.
