Lecture6-QualitativeAnalysis.pptx - MTAT.03.231 Business...

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MTAT.03.231Business Process ManagementLecture 5Qualitative Process AnalysisMarlon Dumasmarlon.dumas ät ut . ee1
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Process Analysis
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Process Analysis TechniquesQualitative analysisValue-Added & Waste AnalysisRoot-Cause AnalysisPareto AnalysisIssue RegisterQuantitative Analysis
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1. Introduction2.Process Identification3.Essential Process Modeling4.Advanced Process Modeling5.Process Discovery6.Qualitative Process Analysis7.Quantitative Process Analysis8.Process Redesign9.Process Automation10.Process Intelligence
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Qualitative analysisIssue Register & Pareto ChartsValue-Added & Waste AnalysisRoot-Cause Analysis
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Value-added analysis1.Decorticate the process into stepsSteps performed before a taskThe task itself, possibly decomposed into smaller stepsSteps performed after a task, in preparation for the next task2.Classify each stepValue-adding (VA)Business value-adding (BVA)Non-value-adding (NVA)
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Produce value or satisfaction to the customerCriteriaIs the customer willing to pay for this step?Would the customer agree that this step is necessary to achieve their goals?If the step is removed, would the customer perceive that the end product or service is less valuable?ExamplesOrder-to-cash process: Confirm delivery date, Deliver products University admission process: Assess application, Notify admission outcomeValue-adding activities7Maximize
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Necessary or useful for the business to operateCriteriaIs this step required in order to collect revenue, to improve or grow the business?Would the business (potentially) suffer in the long-term if this step was removed?Does it reduce risk of business losses?Is this step required in order to comply with regulatory requirements?ExampleOrder-to-cash process: Check purchase order, Check customer’s credit worthiness, Issue invoice, Collect payment, Collect customer feedbackUniversity admission process: Verify completeness of application, Check validity of degrees, Check validity of language test resultsBusiness value-adding activities8Minimize
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Everything else besides VA and BVA. Activities the customer would be unwilling to pay forIncudes1.Handovers, context switches2.Waiting times, delays3.Rework or defect correctionExamplesOrder-to-cash process: Forward PO to warehouse, Re-send confirmation, Receive rejected productsUniversity admission process: Forward applications to committee, Receive admission results from committeeNon-value-adding activities9Remove
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- Fill request- Send request to clerk- Open and read request- Select suitable equipment- Check equipment availability- Record recommended equipment- Forward request to works engineer- Open and examine request- Communicate issues- Forward request back to clerk- Produce PO- Submit PO to supplierExtract of Equipment Rental Process- Fill request (VA)- Send request to clerk (NVA)- Open and read request (NVA)- Select suitable equipment (VA) – 1sttime- Check equipment availability (VA) – 1sttime
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