©2013  Hammer  and  Company.  All  rights  reserved.  

Steve  Stanton  

Webinar:  October  10,  2013  

Process  Redesign  A  Four-­‐day  Course  for  Process  Sponsors,  Teams,  And  Consultants  

1  ©2013  Hammer  and  Company.  All  rights  reserved.  

A  Process  for  Process  Redesign  

•  Develop enterprise process model

•  Appoint process owner and establish governance

•  Formulate process strategy and measures

•  Draft charter and recruit team members

Mobilization

•  Bound and scope the process

•  Observe customer experience

•  Understand the current process

•  Identify gaps and opportunities

•  Establish performance targets and dependencies

 

•  Review design principles and apply patterns

•  Determine IT capability required to support future state

•  Build out dimensions and dependencies

•  Develop measurement architecture

•  Develop business case

•  Develop release plan and implementation roadmap

•  Design and conduct lab prototype

•  Design and conduct pilots

•  Roll out initial release

•  Recruit and orient teams

•  Engage stakeholders

Diagnosis Redesign Transition

Change  Management  

2  ©2013  Hammer  and  Company.  All  rights  reserved.  

Process  Model  Establishes  the  Landscape  

Core Process

Core Process

Core Process

Suppliers Customers

Enabling Processes

Governing Processes

3  ©2013  Hammer  and  Company.  All  rights  reserved.  

The  Art  of  Process  Modeling:    Mistakes  To  Avoid  

•  Relabeling  funcIons  as  processes  •  Taking  an  introspecIve  point  of  view  •  Failing  to  specify  inputs  and  outputs  •  Drawing  boxes  first  •  Using  mealy-­‐mouthed  names  

•  Diverging  from  the  business  strategy  

•  ExpecIng  to  get  it  right  immediately  

•  Assuming  the  model  will  stand  on  its  own      

4  ©2013  Hammer  and  Company.  All  rights  reserved.  

Process  Owner  Drives  Consistency  and  Results  Across  Boundaries  

Acquire and Maintain

Customers Clear Lines

Deliver Products

and Services Calculate, Bill

and Collect

Northwest

Northern

Central

Southern

Region      

Process  

5  ©2013  Hammer  and  Company.  All  rights  reserved.  

The  Art  of  Process  Ownership:    A  CombinaDon  Of  Clout  and  Influence  Design  owns  the  end-­‐to-­‐end  business  process  design  Customer  advocates  for  the  customer  Performance  understands  current  performance  vs.  desired  performance  Strategy  creates  vision  for  the  process  and  sells  the  journey  map  Resources  allocates  resources  to  execute  the  process  plan  Capability  provides  the  tools  for  people  to  be  successful  ROI  

manages  the  process  as  an  asset  and  maximizes  the  return  on  the  company’s  investment  

6  ©2013  Hammer  and  Company.  All  rights  reserved.  

Process  Strategy  Answers  Fundamental  QuesDons  

• Where  are  we  now?  

• Where  do  we  need  to  be?  

• What’s  the  performance  gap?  

•  How  do  we  intend  to  close  it?  

7  ©2013  Hammer  and  Company.  All  rights  reserved.  

The  Art  of  Process  Strategy:    Disciplined  Pursuit  of  PerfecDon  

Determine key success factors Develop improvement plan

Find and fix execution problem

Improve design

Modify design

Replace design

Measure results

GAP

Set new performance target

Understand process performance

Scan customers, competitors, ecosystem

Ensure process compliance

Design, document, and implement process

8  ©2013  Hammer  and  Company.  All  rights  reserved.  

Redesign  Team  Does  the  Heavy  LiNing  

Technical

Back Office Region

Product

Suppliers

HR

Production

Financial

Insiders & Outsiders Dedicated & Capable

5 – 8 Total Committed Players

Field

Legal

Regulatory

Sales

9  ©2013  Hammer  and  Company.  All  rights  reserved.  

The  Art  of  RecruiDng  a  Redesign  Team  Finding  them  

5  –  20%  are  candidates  

GePng  them  to  join  

lowering  disincenIves  by  minimizing  downside  

addressing  career  concerns  

the  value  of  financial  incenIves:    upside  potenIal  

personal  recruiIng  by  the  leader  to  overcome  skepIcism  

appealing  to  idealism  

if  this  doesn’t  excite  them,  we  don’t  want  them  

GePng  the  organizaDon  to  let  them  go  

the  need  for  execuIve  intervenIon  

GePng  them  to  go  back  

“I  was  born  to  do  this”  

Acquiring, affording, aftermath