9 September 2019

Process management: yes or no?

process management

The implementation of the process management approach in the company usually responds to the objective of improving the efficiency of the organisation. To achieve results, the first step is mapping, which captures the company's business processes end-to-end. Each step is then documented in process maps.

Once you have visibility into the processes of the whole organisation or one of its areas, you can more easily identify where bottlenecks are most likely to occur or where inefficiencies lie.

This visibility allows process managers to make informed changes where necessary., to reduce costs and improve overall efficiency.

Table of contents

Quais são as vantagens de utilizar um sistema de gestão de processos empresariais?

Process management consistently supports any business improvement initiative, as it provides significant assistance when it comes to modelling, analysing and optimising. processes to drive business transformation.

There are important benefits derived from process management. Many of these stem from being able to have a clear idea of what processes exist within the business, what they entail, and how they are carried out. Without this vision, it would not be as straightforward to analyse them to discover areas that need improvement and to implement a plan to start making changes based on data-driven evidence.

The advantages of this approach include the following:

  • The company's available information regarding processes, procedures, and related documents is centralised.
  • Processes and procedures are standardised, allowing all employees within the organisation to approach them in the same way.
  • It is easier to identify bottlenecks, so that improvements can be introduced into the process.
  • When applying process management, the following are achieved significant cost reductions based on continuous improvement.

The disadvantages of process management include: * **Initial setup complexity:** Establishing and documenting processes can be time-consuming and resource-intensive. * **Resistance to change:** Employees may resist adopting new processes, especially if they are accustomed to older methods. * **Rigidity and inflexibility:** Overly rigid processes can stifle innovation and prevent quick adaptation to changing circumstances. * **Focus on the process rather than the outcome:** There's a risk of becoming so focused on following the process that the actual desired results are overlooked. * **Potential for bureaucracy:** Poorly designed processes can lead to excessive paperwork, approvals, and delays. * **Difficulty in measuring and improving processes:** Establishing effective metrics and using them for continuous improvement can be challenging. * **Cost of implementation and maintenance:** Implementing and maintaining process management systems can incur significant costs. * **Departmental silos:** Processes may not always cross departmental boundaries effectively, leading to a fragmented approach. * **Over-standardisation:** In some cases, processes can be overly standardised, failing to account for unique situations or individual needs.

The main disadvantages of process management have to do with inadequate preparation. If it's not clear what one wants to achieve, adequate mapping is not done, or there is no follow-up to support business improvement initiatives, then adapting to the new approach will have been in vain.

In addition to this inconvenience, management by processes, in practice, entails some drawbacks, such as:

  • Limited understanding of existing processes, as the human factor is often left out and is a variable that conditions the results.
  • It can happen employees not following the processes or not adapting to the system once it is implemented.
  • Sometimes, failure will come when there is insufficient stakeholder support, which will make it difficult to achieve the objective of improving the business.

And it's proven that A process management system will only be successful if it is employed consistently and continuously., and is supported from the outset by key stakeholders.

Edenred Spain