Class 4 and 5 - Business Processes - Chapter 3

Class 4 and 5 - Business Processes - Chapter 3 - BUS 370:...

Info iconThis preview shows pages 1–9. Sign up to view the full content.

View Full Document Right Arrow Icon
BUS 370: Chapter 3 - Business Processes Mr. Donavon Favre College of Management North Carolina State University
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Chapter Objectives Be able to: Explain what a business process is and how the business perspective differs from a traditional functional perspective. Create process maps for a business process and use these to understand and diagnose a process. Calculate and interpret some common measures of process performance. Discuss the importance of benchmarking and distinguish between competitive benchmarking and process benchmarking. Describe the Six Sigma methodology, including the steps of the DMAIC process. Use and interpret some common continuous improvement tools. Explain what the Supply-Chain Operations Reference (SCOR) model is and why it is important to businesses.
Background image of page 2
Paper Goods Beauty Care Beverages Health Care Invoice -------- --- ---- -- -- $$ Invoice -------- --- ---- -- -- $$ Invoice -------- --- ---- -- -- $$ Invoice -------- --- ---- -- -- $$ Invoice -------- --- ---- -- -- $$ 5 different billing processes -- Different terms & conditions -- No volume price discounts based on total business 5 different sets of logistics processes -- Small, uncoordinated shipments -- Inflated transportation costs Customer
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
What did P&G look like from the customer’s perspective? Separate Purchase Orders for each P&G division Separate shipments from each division Separate invoices Separate trade promotion efforts Less than truckload (LTL) shipments clogging the dock
Background image of page 4
How could this mess happen to a No common information systems Each business sector had their own infrastructure (i.e., Warehouses, Customer Service, Sales Force) Each individual business sector was autonomous (run by their own management team) Each business sector was responsible for their own Profit and Loss (P&L)
Background image of page 5

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Laundry & Paper Goods Beauty Care Health Care Invoice -------- --- ---- -- -- $$ One integrated billing process -- Administrative cost savings to customers -- Volume discounts applied across all purchases One set of logistics processes -- Full-truckload quantities shipped 98% of the time, resulting in substantial transportation cost savings
Background image of page 6
Results Full truckloads shipped 98% on time lowering transportation costs Reduction in invoices and processing costs Customers can get discounts based on the total purchase volume with P&G
Background image of page 7

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Business Processes Business processes defined Mapping business processes Managing and improving business processes Measuring process performance The SCOR Model
Background image of page 8
Image of page 9
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 04/21/2009 for the course BUS 370 taught by Professor Favre during the Spring '08 term at N.C. State.

Page1 / 46

Class 4 and 5 - Business Processes - Chapter 3 - BUS 370:...

This preview shows document pages 1 - 9. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online