Process Framework

The TickIT 1Q2010 issue contains an article, Let’s Get Serious about Business Processes and Implementing Real Improvement. The article refers to what it calls, “an excellent generic business process framework” published by Price Waterhouse Coopers – Global Best Practices.

The process classification is the primary framework that PWC – GBP uses to organize its best practice tools and information, in essence, the table of contents for a process knowledge base.

It contains 13 business processes that apply to almost any business. The first seven are operating processes that companies follow to develop and move products to the market. The last six processes are management and support processes that make it possible for the company to operate effectively.

Operating Processes
1. Understand markets and customers
2. Develop vision and strategy
3. Design products and services
4. Market and sell
5. Produce and deliver products and services, or
6. Produce and deliver for service-oriented organizations
7. Invoice and service customers

Management Processes
8. Develop and manage human resources
9. Manage information resources and technology
10. Manage financial and physical resources
11. Manage environmental, health, and safety issues
12. Manage external relationships
13. Manage improvement and change

I have repeated the Manage Improvement and Change process below as an example. You can see the full process classification “framework” at the Global Best Practices web site. To see lower level detail and process maps, you must be a subscriber to their service.

The process of ensuring that necessary changes in the work environment and business processes are well-understood and supported by solid transition plans.

13.1 Measure organizational performance
The process of implementing measurement systems to engineer genuine and lasting change in the workplace.

13.1.1 Create measurement systems
The process of determining which key objectives, outcome measures, and activity measures will best measure performance success or failure.

13.1.2 Measure product and service quality
The process of monitoring the quality of products and services to identify problems and improvement needs.

13.1.3 Measure costs
The process of monitoring the cost of products and services to identify greater cost efficiencies without affecting quality.

13.1.4 Measure productivity
The process of monitoring time-on-task and output to identify problems and improvement needs.

13.2 Conduct quality assessments
The process of assessing quality in the context of continuous quality improvement once a company defines its quality imperatives and develops specific goals for reaching them.

13.2.1 Conduct quality assessments based on external criteria
The process of assessing quality according to the demands and expectations of external stakeholders such as customers and shareholders.

13.2.2 Conduct quality assessments based on internal criteria
The process of assessing quality according to the demands of internal stakeholders such as employees and suppliers.

13.3 Benchmark performance
The process of comparing a company’s processes and performance in a specific area to that of others with a goal to improve operations by identifying best practices.

13.3.1 Develop benchmarking capabilities
The process of developing a system for ongoing benchmarking, both internal and external, that will produce ongoing insight into best practices and process improvement.

13.3.2 Conduct process benchmarking
The process of comparing a specific business process performance to that of others, either internal or external, to identify where improvement is needed and how to achieve it.

13.3.3 Conduct competitive benchmarking
The process of benchmarking a company’s processes and performance in a specific area to that of main competitors to identify competitive strength and improvement needs.

13.4 Apply best practices
The process of identifying and adopting the optimum way to perform a business process in order to lower costs, reduce time-on-task, and increase quality.

13.4.1 Implement continuous process improvement
The process of creating a workplace environment and systems dedicated to continuous process improvement by advocating efficiencies in cost, quality, and time.

13.4.2 Reengineer business processes and systems
The process of changing how business processes and systems are managed in order to achieve greater efficiencies in cost, quality, and time.

13.5 Manage process performance 
The process of managing and improving process performance by identifying and aligning key stakeholder needs and developing and sustaining a disciplined approach that defines the process and performance targets in clear terms.

13.6 Manage organizational knowledge
The process of collecting, organizing, structuring, and disseminating timely and accurate information to accomplish business objectives and achieve competitive advantage.

13.6.1 Create knowledge-sharing systems
The process of creating systems of people, processes, and technology to capture and share both tangible and intangible knowledge and information companywide.

13.6.2 Monitor knowledge-sharing activity The process of capturing quantitative and qualitative information on knowledge sharing activities to ensure knowledge management objectives are met.