Why is it necessary to optimize business processes?
Business process is a logical, consistent interrelated number of activities which uses resources of a supplier, creates a value and gives a result to a customer.
The main factors which incite managers to concentrate their attention to business process optimization are:
- Requirements specified by customers and government
- Necessity to lower costs or operating time
- Implementation of quality management program
- Consolidation of two or more enterprises
- Corporate contradictions.
If we take into consideration the modern state of economics and conditions of a constant competitiveness, there will be no doubts in the necessity of business process optimization.
Continuity of business process improvement can be also explained by the state of modern economics and the high level of competitiveness on the market.
The choice of processes to be optimized is individual for all companies. In order to define problem areas, or weak points of a business process, it is very important to make an interview not only with higher management but also with the heads of departments and divisions of a company.
How to improve a business process?
Human resource is a powerful tool for company management. However, it is not quite possible to solve all problems of a company only by means of this resource. Modern requirements to business are so high and they develop so dynamically that even some model technical solutions or approaches to business process optimization cannot be effective and productive. That’s why the best approach to business process optimization is a complex approach which includes:
- Business process audit
- Using of main concepts of business process optimization
- Using of modern technologies
- Innovative solutions used only for a certain, unique situation, sometimes including know-how elements
The first step on the way to business process improvement is providing of audit. Business process audit is provided in order to define accordance with requirements, specified to their functioning, management, effectiveness, entries and the level of customer satisfaction.
Only after the stage of problem identification assessment of the whole business we can talk about activities directed to business process improvement.
When and how often is it necessary to provide works on business process improvement?
Frequency of activities directed to business process improvement cannot be measured as this process should be continuous. It is necessary to be aware about the state of business processes of a company in order to know what activities directed to business process improvement need to be done.