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What is a Business Process?

Updated: Oct 27, 2020

Is your business efficient? Did you know that having inefficient processes are very costly for your business? When was the last time you reviewed your process to look for bottlenecks? Did you notice an increase of your client' complaints? We will show you why the Business Process Management is important and how to improve your processes.

What is a Business Process?
Defining and documenting business processes are crucial

Half of the business problems are caused by undefined business processes! That tells a lot and should motivate the businesses to identify, analyze and monitor their processes constantly, to become more efficient, effective and productive. But let's start from the beginning:

1- What is a process?

A process is a set of tasks that needs to be followed properly, to result in an output. Any output created has a process, even if it is not documented. Every business has processes that are followed in HR, Sales, Operations, Marketing...Those processes need to be documented, to be standardized.

Documented and standardized processes allow a business to run well and smoothly. The benefit of documenting processes allow to analyze them, and look at ways to reduce delay, paper, waste, errors... This would lead to streamlining and improving the processes. The business will then become more efficient.

2- How to document a process?

Documenting a process is identifying every step involved and put them on paper. It can take any form: a flow chart, an instruction video, a diagram... Regardless of the format, the key similarity between all processes is that they include instructions that cover exactly how to execute a task from start to finish. When writing your process document, it is important to clearly include each step in chronological order or/and in parallel. Anyone not involved in executing the process should be able to understand and execute it. The key is to create something easy to follow, but it must include all of the relevant information. Once you have reviewed your processes with your team, you can distribute them. It is essential to involve your employees as they execute them and know where the issues are.

You shouldn't stop working on your processes once you have completed them. You need to monitor and analyze them to improve them. Check the steps: do you have duplicated steps? Do you see the waste that you can reduce? It is also important to know that improving your processes allows you to solve important business problems/challenges such as client complaints. By listening to your clients you should review the processes involved and try to rework them having your clients in mind.

3- Follow those steps to improve your processes

The following approach is the same that we follow with our clients:

  1. Design: To identify and model the different tasks that are executed.

  2. Analyze: Assess and analyze the current situation, processes. Identify blockages, issues...

  3. Root Cause Analysis: Conduct an analysis that will show the reel issues, waste, errors, duplication...

  4. Streamline: Develop solutions and implement a plan to streamline and optimize the processes.

  5. Monitor & Improve: Continuous improvement is required to keep your competitive advantage.

4- The Benefits of Business Process Improvement

It is important to highlight the benefits of improving your processes.

  • Reduce costs

  • Reduce duplication

  • Reduce waste

  • Reduce customer complaints

  • Reduce delay

  • Increase efficiency

  • Improve effectiveness

  • Increase productivity

  • Improve employee motivation

  • Improve agility

  • Have standardized processes

We are great advocates for Business Process Improvement, as the benefits have been proven, and can be measured and monitored. This is very useful in times of uncertainty and change to become more agile and adapt quickly to change. It also helps greatly to manage transformation and adjust to customer needs. Depending on the size and the stage of the company, the Business Process Improvement might requires time and efforts. We would be more than happy to provide our help, if you require assistance or clarification.

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