Conducting the orchestra of your dreams
The lights dim, the audience quietens in response - and you step towards the rostrum. It was an extraordinary honor for you, Richard James, an amateur conductor, ‘mere’ business CEO, to be invited to do a cameo with the Vienna Philharmonic.
It was a simple piece of course, an early Mozart piano concerto, featuring a young Chinese pianist. But snow at O’Hare had cancelled two days of flights – so there had been no time for any rehearsals at all. Gulp - you lift the white baton to gather the orchestra. It was now or never. Hell, this was more nerve-wracking than any investor presentation.
But, really, what could go wrong? You knew the piece intimately. You had even conducted it before. And the Vienna Philharmonic musicians were among the world’s finest. So relax and enjoy.
It was the second bar when you realized something was awry. The orchestra was going faster than you’d ever imagined.
It came crashing into your head that they were using the revised October 1782 score, while you had the original September 1781 score in front of you. Never mind – maybe you could still get through this.
The orchestra built raggedly towards the entry of the soloist, their eyes looking at you in increasing bewilderment, wondering why your arms were off-beat.
You turned to introduce the pianist. She played from memory of course. It was half a bar later that you realized that she was performing Mozart’s later revision of this work – his January 1783 score, which was much the same, except for the revised timpani line.
The music careered along, jumping and spluttering like a car with water in the tank. Maybe it was OK for an amateur – you might just make it to the end.
But not much can survive when the timpanist is confused. The cacophony grew. Only true grit could save the day. You waved and pummeled the air, and pulled them through into the final bar - and silence.
First one clap, then another, then spreading around the hall – until finally tumultuous applause. You bowed, amazed, and left the podium.
In the wings, you overheard a radio presenter gushing into his microphone: ‘…a stunning new interpretation of Mozart in the style of Philip Glass …’
A miraculous survival – again. But as you headed back for a final bow – and definitely no encore – your thoughts turned inexplicably to work.
How well are your teams performing? Is it that talented heroics are required because everyone has a slightly different or no view of the playbook? How much more profitable could your company be if their skills were harnessed and directed?
Didn’t you just put that process improvement project on the backburner? Wasn’t it aimed at getting consistent processes and documents delivered real-time to all staff.
Hey, you might even get the Europeans onto the same page, at last.
The book is intended to be a catalyst for action aimed at leaders of process change or transformation projects. They have such a wide range of job titles so instead we have decided to show some of the types of project that BPM is relevant to.
Process Improvement
Perhaps you are looking maximize organizational performance, drive up quality and conformance and enable a more agile response to change. According to surveys, less than 20% of business activities are capable of automation. The remaining 80%+ remain manual processes, knowledge about which may be the most valuable intellectual asset which your organization possesses. How are you safeguarding and improving that knowledge?
Performance Management
Improving performance is a high priority for every senior executive. Many now realize that it is not enough just to identify and measure Key Performance Indicators (KPIs). Measuring KPIs helps identify under-performing business areas, but will not provide the means required to fix them. That’s performance reporting not performance management.
Software Implementation
Behind every ERP & CRM implementation is the desire to drive business transformation. But change management is hard – as often said “The soft stuff is the hard stuff”. And if done badly, you can be sure that user adoption and the resulting ROI will fail to meet target.
Corporate Governance, Risk and Compliance
Every organization faces a greater regulatory burden - for example. FSA regulations, Basel II, Sarbanes-Oxley, ISO 9000 and ISO 17799. Yet compliance in itself is seldom the end game. After all, a well run business will pass audits more easily, but more importantly, it enjoys greater efficiency, safety and compliance at lower cost; the real end game.
Lean and Six Sigma
Lean Six Sigma is a business improvement methodology which combines tools from Lean Manufacturing and Six Sigma. Lean focuses on speed and lower waste; Six Sigma focuses on quality. By combining the two, the desired result is better quality faster and is applicable to any organization type. Process Management is the bedrock on which to build such initiatives.
Outsourcing
Whether you are an outsourced service provider or a client looking to outsource, one thing is clear. You need end-to-end process visibility and governance. Process management will ensure that you have a collaborative framework for performance improvement rather than an abrasive client-vendor relationship driven around a set of SLAs that are set in stone.
Quality Management
The quest for Quality Management should start with a robust examination of your business processes. Take a holistic view of processes across your organization so you can provide a real-time, contextual view of all activities, related quality requirements, performance, resources, systems, documentation and activity ownership. Successful quality accreditation should then become a by-product.
Success in improving performance requires the right mix of focus on people, process, and technology. This book emphasizes the central role of people in this respect. The authors remind us that this idea is not new – but it’s an important one that merits reinforcement. There are some other ideas in this book that are also not new, yet are seldom practiced. These include; viewing the business from the “outside-in” or the customer’s point of view, remembering that the single most important objective of process improvement and management is to improve organizational performance, and that the central role of technology is to enable operational performance. Mark McGregor and Ian Gotts also reinforce these not so novel, but extremely important ideas.
I have been working in the area of process management for nearly two decades. Far too many companies fail to involve the right people in the right way when they engage in process management – and are then astonished when they end up with sub-optimal results. Over the years, I have also seen a significant proliferation of improvement methods and tools; total quality management (TQM), business process improvement, reengineering, six sigma, lean, lean six sigma, and most recently business process management (BPM) – just to name a few. Each major improvement method emphasized in theory that we need to look beyond local efficiencies and examine the entire system of people and processes. In practice, this rarely happens. Instead, the pragmatists take over.
They use phrases like “don’t boil the ocean.” They argue for projects of small scope, largely defined within departmental boundaries and by so doing fail to take advantage of key opportunities that occur at cross-departmental hand-offs. They accept sub-optimal results in exchange for a scope where they can exercise control. They fail to pay sufficient attention to people.
Only about 30 to 40% of major improvement efforts achieve stated goals. Why do companies continue to struggle given the long history of process thinking? Change is hard and process improvement and management almost always involves significant change. There are probably more ways to fail than to succeed.
However, the pitfalls of a fragile case for change and putting methods before outcomes are two of the major culprits, and attention to people is a large part of the story in each case.
Every successful process based project relies on a compelling case for change that engages both the key members of the leadership team and motivates employees at several levels to collaborate in achieving a common cause. Executives, middle managers, and employees are people too. When there’s a fragile case for change one or more of the following conditions exist; the overarching vision and the specific goals of the initiative are unclear, there is a lack of collaboration among the members of the leadership team, there is a lack of a compelling story as part of a solid communication program to engage middle managers and front line employees.
A compelling case for change is usually built on a foundation of either an imminent threat or a perceived major opportunity. The core message is either, let’s join forces and change how we work to survive or let’s join forces and change how we do things to prosper. In some instances, there is a real threat and in other situations, a story is woven to create a threat. The best test of a compelling the case for change is whether people become willing followers and whether they are motivated to act with urgency.
Executives, middle managers and front line employees all need to understand the point of change in the same way and also agree with it. That’s why the case for change needs to tell a compelling story that speaks both to the head and the heart. This is where viewing operations from the customer’s point of view becomes important.
Customers are people too, and they don’t care how your company is structured or what technology you have chosen to deploy. They simply want what they ordered, when they asked for it, complete, error free, and a high level of responsiveness to their questions and complaints. By viewing the business from the customer’s perspective, executives can gain insight into a new set of metrics that can assist them in re-framing performance and can craft stories that engage the work force. That’s important because what motivates executives doesn’t necessarily motivate employees.
Executives care about competitive position and competitive advantage. Employees care more about other factors such as; providing superior customer service, making a difference, and improving their own working environment.
The other major pitfall occurs when companies fall into the trap of putting “the how” (methods and tools) ahead of why and what. This occurs whenever a selected method of improving or transforming operations overshadows the desired outcomes for customers and shareholders. This can happen with any of the currently popular improvement methods and tools. In emphasizing one of these methods and tools, often with quasi religious zeal, subject matter experts get caught up in the selected method or tool and are often able to draw executives along with them, as executives have a fondness for jargon and do have a tendency to chase fads. These companies preach customer satisfaction but practice cost reduction. In their fervor, they often forget to look at the business from the customer’s point of view – or the “outside-in”.
They don’t involve all the right executives in the right way, and pay insufficient attention to how certain changes may affect the people who will have to make the new process work.
So all kinds of people; executives, middle managers, employees, customers, suppliers, matter enormously when it comes to achieving significant and sustainable success in process based improvement.
Technology matters too. In fact, as the authors argue, it is difficult to imagine any major improvement effort that does not rely on enabling technology. That requires bridging the age old IT-business divide, and deploying IT to serve the needs of the business such that IT systems help people do work how they want to work. This will only happen when IT people come to better understand the needs of the business and the needs of the end customer.
You will find this book to be thought provoking. Take the time to review the people, process, and technology questions in Chapters 8 through 10. Reviewing these questions, answering the ones that apply to you with candor, and formulating your own “smart questions” is hard work – but worthwhile indeed.
What you will get out of it will be directly related to what you put into it. The good news is that Mark McGregor and Ian Gotts have created some useful guidelines and a “smart question” template that can launch you on your own journey in getting better at process based improvement and management.
Andrew Spanyi
Andrew Spanyi’s work in the area of process management is recognized internationally. He has written numerous articles and two books on process management - More for Less: The Power of Process Management and Business Process Management is a Team Sport: Play It to Win!!
For further details please visit www.spanyi.com
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MARK McGREGOR
Mark has worked in the IT Industry for over 30 years, he has held executive positions with a number of software vendors. Well known for his ability to help companies bridge the gap between business and IT, more recently he has focused helping business understand how to maximize the value of process programs, from both a people and systems perspective.
Mark has authored four books In Search of BPM Excellence, Thrive! How to Succeed in The Age of The Customer, Winning With Enterprise Process Management and Extreme Competition. The range and depth of his experience lead him to be sought after for speaking, advice and workshops by users, vendors, analysts and conference organizers.
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mark@markmcgregor.com
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IAN GOTTS
Founder and CEO of Nimbus, which has been offering their business process management solution as an On-Premise and Cloud Computing offering to major corporations including Toyota, Chevron, Nestle, and HSBC Bank for the last 12 years.
With offices in 10 countries they have won numerous awards; RedHot 100, Gartner Cool Vendor in BPM, CIO.co.uk Top 20 companies to watch, and Microsoft Best Use of Technology.
He is author of four books, Common Approach, Uncommon Results and Why Killer Products Don’t Sell and two Thinking of… books on Cloud Computing which makes him a sought after conference speaker.
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ian@iangotts.com |
This is a topic that is close to my heart. I am a firm believer in engaging the people in solving problems and improving what is done. In a world where process seems to mean technology, this book offers a timely reminder of the pivotal role that our people play in real success. We have made huge strides here over the last year particularly in changing the culture to one where staff are much more engaged in the work and continuously looking for ways to improve and to eliminate wasteful activities. We've seen tremendous results in terms of efficiencies and service improvements. I would strongly recommend this book to anyone looking to improve their capability in process improvement or looking to drive real results from process improvement programmes.
Maurice Chadwick, Operations Director, Bank of Ireland
Much of the literature on business process management coming from IT vendors and consulting firms is much to do about serving up answers. But because every company and every situation is unique isn’t it time to ask questions first? McGregor and Gotts do just that and more; they provide the right questions that will guide you along the path to achieving meaningful business results from your process initiatives.
Peter Fingar, Former CIO, Professor and author
For those with an interest in process management, make this one of the first books you read. The book’s central lesson – that deep interaction with people is essential to improve process performance – should not be forgotten. Although many analysts, vendors, and IT personnel enjoy discussing the range and sophistication of functionality in BPM technology, the authors remind us that all progress finally depends on human adoption. A process that uses a sharp stick to spear fish near shore is much more effective than a 60-foot fishing boat that cannot get out of dock for lack of a capable crew
Jim Boots, Senior BPM Adviser, Chevron
An insightful book about the central role that people play in any effective business process. Automating and measuring processes are important, but in the end, it always comes down to the managers and employees who have to do the work. This book will make sure you ask the right questions when you approach your next process project.
Paul Harmon, Executive Editor, BPTrends
This book, particularly the ‘smart questions’, reminds us that process management delivers value when people find, understand and adopt the processes in question. As a business process outsourcing provider we are custodians of the processes we deliver for our clients and our success in continuously improving the performance of these services depends on a people centric approach, with a transparent understanding of process and performance shared between service provider and client. It’s a recipe for successful process improvement and long term client relations. If you have an interest in this field I’d recommend you take account of the people-centric questions before considering which business process technologies to choose.
Sean Murphy, Head of BPO Performance Improvement, Steria
Although some organizations have moved forward with BPM initiatives and seen significant success, there’s still a large part of industry which sees BPM more as “yet another three-letter-IT-acronym” than as a business initiative with real value. This book helps to demystify how to get started with BPM and see it for what it can be at its best: a way for organizations to improve the process of process improvement – collaboratively driving change, sharing knowledge and empowering their workforces to participate in improvement.
Neil Ward-Dutton, Research Director, MWD Advisors
There are many books on Business Process Management, and its derivatives but few address the biggest challenge which is the People Side of Processes. It is written by two of the leading authorities in Business Process Management who are known for their depth of experience and their pragmatic approach to what is an increasingly important topic. It is a ‘must read’ for all leaders whatever the size, sector or maturity of their organisations.
Roger Cliffe, Quality Director, Vodafone Group Services
If you take a step back and look at any business process, can you imagine a business process without a person involved? No matter how much of the process is automated, at the end of the day there is always somewhere a person making use of that process. Think about it, the purpose of a business process is all about delivering value for somebody. So, the best way to look at a process is to look at the people involved. This book tells you where to look.
Frits Bussemaker, Korstmos & Founder BPM-Forum Netherlands
Technology was intended to aid human development, but its methodology gradually took on a prescriptive and restrictive role in this regard, tending to forget the people in the process. Mark and Ian through their work and this book “People-centric Process Management”, lead the way in bringing us back to the point where we remember that it is people who manage technology and people who manage process. This book is invaluable for all of us, wherever we are and whatever approaches we use. Because the book is not intended to be yet another roadmap, but instead it leads us to ask the right, smart questions and to aid us and our organizations on their journey and to keep our eyes on the end users. Keeping the issues of all our people, teams, users, stakeholders and customers as a central theme.
Hardus Snow, CEO South African Development Foundation
It's a refreshing change to see a book solely concentrate on the 'business' side of Business Process Management and not only this, but the very People that make the organization run like clockwork whose opinion and input are often ignored during change. The book balances existing and new ideas side by side with some interesting case studies which the reader can instantly recognize and relate to within their own enterprise. The people-centric Smart Questions are thought provoking and guide the reader through the challenges of implementing process management, such as process governance, risk and controls, cultural change, whilst introducing new topics for consideration like Cloud BPM. Overall a good introduction to the human side of Business Process Management without the IT jargon.
Theo Priestley, Independent BPM Strategist and Analyst