Process Management and Improvement

Posted on Jun 20, 2024 in Other subjects

PROCESSES

A set of interrelated activities that interact and transform inputs into results.

What is a Process?

A process is:

  • Repetitive: Processes are created to produce a result and repeat it, at the same time improving it. More repetitions lead to more experience. By improving the process, you multiply the number of times it delivers the desired results.
  • Variable: Each time you repeat the process, there are slight variations in the sequence and the time to achieve results. This variation impacts the recipient.

TYPES OF PROCESSES

Processes are classified according to:

  • Range: Value-added regarding the main activity.
  • Type of activity: (Further clarification needed)

PROCESS DESCRIPTION

1. Understanding Processes

2. Reflect on:

  • Scope: Where it starts and where it ends.
  • Input Elements: What you need to restart the process (information, data, orders, requests) to initiate it.
  • Output Element: Result of the process (e.g., the invoice is sent to the customer after the service).
  • Activities: Different sequential steps consisting of the process.
  • Resources: Human and material resources employed in the execution of the process.
  • Indicators: Measures of how the process is behaving. Types:
    • Direct: Measurement is taken from the output or output element of the process.
    • Indirect: Measuring the performance of the process is taken from any part of the process.
    • Qualitative: Results are reduced to two categories (right-wrong), (ok-not ok).
    • Quantitative: Many results (temperature values, different dimensions, weights) can be measured.

PROCESS IMPROVEMENT

Reasons for Process Improvement (ERRORS)

  1. Differences between design and reality: Discrepancies between the process design on paper and what actually happens (often due to not considering all information flowing through the process).
  2. Lack of monitoring: Absence of screening or periodic review.
  3. Undocumented improvements: Improvements made by people working in the process are not documented, leading to inconsistencies.
  4. Strategic or operational shifts: Changes in the company’s strategic or operational focus can create a mismatch with existing processes.

Reviewing the Process (USELESS STEPS)

  1. Excess controls: Common in the past but often of little use today.
  2. Technological advancements: New technologies may render certain process steps unnecessary.
  3. Legislative changes: Changes in laws can make certain documents or transactions obsolete.
  4. Strategic or operational changes: Shifts in the company’s strategic or operational approaches.

5 PHASES FOR PROCESS IMPROVEMENT

Phase 1: Understand the Process

  • Describe the process using a flow diagram.
  • Measure current results using indicators.
  • Identify the wishes and opinions of users (employees involved in the process).

Phase 2: Debug

  • Verify that the new design does not contain systematic errors (ensure it’s implemented as intended).

Phase 3: Remove Unneeded Steps

  • Expedite the process by eliminating unnecessary steps. Monitor to confirm the removals are successful.

Phase 4: Reduce Variations

  • Minimize variations within the process to ensure consistent outcomes.
  • Design or improve methods of measurement for better control.

Phase 5: Continuous Improvement Plan

  • Schedule regular reviews and updates to the process.
  • Implement controls and measures to track performance.
  • Study results and identify areas for further improvement.
  • Restart the cycle continually to foster ongoing optimization.

TECHNICAL WORKING GROUP (Quality Management)

Reasons and Advantages

  • Input of viewpoints from various stakeholders.
  • Increased implication and ownership of the process.
  • Enhanced participation from people involved in the process.

Techniques for Process Improvement

1. Brainstorming

  • Purpose: Generate ideas and foster innovation and creativity among participants.
  • Group Size: Small group of people (3-8) who are knowledgeable about the problem.
  • Key Elements: Free expression of ideas, avoiding criticism and unproductive discussions. A leader or moderator is crucial to guide the process through these phases:
    • A) Definition of Issue: Clearly define objectives, questions, or problems to discuss.
    • B) Reflection: Allow participants a few minutes to think about the issue individually.
    • C) Issuance of Ideas: The moderator asks each participant for their ideas, which are recorded.
    • D) Analysis and Selection of Ideas: The moderator initiates a debate to analyze and select the best ideas to solve the problem.

2. Affinity Diagram

  • Purpose: Address complex problems involving many people or groups.
  • Steps:
    1. Select the problem to be solved.
    2. Form groups and facilitate idea exchange.
    3. Use brainstorming techniques to generate ideas, writing each on a Post-it note.
    4. Place Post-it notes on a large surface.
    5. Move Post-it notes to group similar ideas based on their affinity.
    6. Write short, concise labels for each group of related ideas.
    7. Draw conclusions and summarize key takeaways from the grouped ideas.

3. Catchball

  • Purpose: Refine and improve a single idea through collaboration among multiple groups.
  • Steps:
    1. Throw: One group initiates the process by”throwin” an idea for consideration.
    2. Catch and Think: The receiving group”catche” the idea, reflects upon it, and strives to understand it fully.
    3. Improve: The receiving group brainstorms and comes up with an improved version of the original idea.
    4. Back to Launch: The improved idea is”throw” back to the originating group for further refinement and iteration.

QUALITY TOOLS

Pareto Chart

  • Data is represented in a frequency graph, sorted from highest to lowest.
  • Helps identify the”vital fe” causes that contribute to the majority of the problem (e.g., 20% of causes resolve 80% of the problem).
  • Allows for the prioritization of resources and efforts.

Dispersion Diagram (Scatter Plot)

  • Compares two variables (A and B) to identify potential relationships and solve problems within a process.
  • Data points are plotted on a graph, revealing potential correlations:
    • Linear Positive: Increasing the value of one variable increases the other.
    • Linear Negative: Increasing the value of one variable decreases the other.
    • Non-Linear: A relationship exists, but it follows a curve rather than a straight line.
    • No Correlation: No discernible relationship between the variables.

Cause-Effect Diagram (Ishikawa Diagram or Fishbone Diagram)

  • Provides a structured way to brainstorm and analyze all potential causes of a problem or variation within a process.
  • Resembles a fishbone, with the problem (effect) represented by the”hea” and potential causes represented by the”bones”
  • Common categories of causes include:
    • Machine or equipment used
    • Material introduced into the process
    • Method or procedure
    • Labor
    • Environment
    • Measurements

Flowchart

(Further information needed on how to utilize flowcharts for process improvement)