Reasons for Having Well-Defined Business Processes
- Recognizing the tasks that are vital to your big business goals.
- Augmenting efficiency.
- Streamlining communication between departments/functions/people.
- Setting approvals for ensuring accountability.
- Keeping chaos from entering into day-to-day activities.
- Standardizing a set of processes for completing jobs that matter to your business.
Categories of Business Process
You can categorize business process factors into operational processes, management processes, and supporting business processes.
Operational processes – Also known as primary processes, operational processes deal with value and core business chain. These processes propose customers’ value by assisting to produce an item or service. These kinds of processes signify vital business activities that accomplish business objectives, like generating revenue. A few examples of this comprise managing bank accounts and taking customer orders.
Management processes – These processes measure, observe and control the activities linked to business systems and procedures. Instances of management processes comprise governance, budgeting, internal communications, infrastructure, strategic planning, and capacity management. Management processes are similar to supporting processes and they don’t propose value to the customers directly.
Supporting processes – Also known as secondary processes, supporting processes function and bank core processes within an organization. The instances of management processes comprise workplace safety and HR management. One vital difference between support and operational processes is support processes don’t propose customers’ value directly.
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The Vital Qualities of an Appropriate Business Process
There are four vital attributes which comprise an appropriate business process and they are:
- Finite – An excellent business process should possess a highly defined starting as well as ending point and it also has got a limited number of steps.
- Creates value – This aims to translate the formation of value into an executable task and doesn’t have any involvement in the process. To put it in simple words, when a step in the course is not adding value, then it ought not to exist.
- Repeatable – A superb business process could be run a limitless number of times.
- Flexibility – This has an in-built nature for being flexible for changing and happens not to be rigid. When there is a scope for improvement which is recognized, then the process permits that alteration to be absorbed without affecting its stakeholders.
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