I. Propose the Opportunity,
A. Initial consultation
We believe in the
saying that - - "Prescription before Diagnosis is against the law."
Because we have already
developed solutions for a wide variety of problems, very often we are
asked to provide a solution for a problem we have yet to diagnose.
While we fully
understand your interest in saving money and reaching solutions as
quickly as possible, our experience has proven without a doubt that
unless you undertake a thorough analysis, our pre-built solutions will
not solve your problems correctly and efficiently.
Like a finger print, every
company is unique. If that were not the case, your company would not
survive.
And while everyone's
fingerprints are similar, no two are exactly the same. Our history has
been that every solution we provide, no matter how similar the problems
are, must be customized to each individual client's environment.
During the Initial
Consultation, we focus on defining the opportunity.
Our goal is to:
- quickly identify your
primary problems, needs, concerns, wants and wishes,
- find ways of meeting the
project objectives effectively,
- check if the proposed way
forward is feasible, and
- understand the risks and
opportunities associated with each potential option.
B. Need Definition
Because we are
sensitive to the perception that most projects are not completed "on
time" or "on budget", we are very careful to spend as much time as is
needed to correctly identify your needs.
While this can
usually occur in the first meeting, occasionally, additional meetings
are required to insure that we fully understand your needs.
We do not charge fees for
these initial consultations.
C. Commissioned "Blue-print"
Once we are both
comfortable that a goal and objective can be defined, then you
determine whether your company would like to move forward with a the
creation of a detailed "blue-print" of the solution.
Our next step is to plan,
design, and develop Models of the options available.
II.
Plan, Design and Present
A. Introduction
All projects/processes
convert resource efforts - inputs - and tasks - work to be done - into
deliverable end product - outputs.
In today's business
environment, this "Value Add" is typically achieved by carrying out a
sequence of several discrete steps or tasks - - one at a time or in
parallel.
While these tasks may be
carried out within one department or span several different
departments, it is not always easy to determine the specific costs
applicable to each discrete task.
Our workflow analysis
uses Activity Based Costing (ABC) techniques to identify both the costs
and their underlying cost drivers for each task.
The Resource requirements of
each individual task item are analyzed in a series of data gathering
exercises and interviews with operational managers.
Although a variety
of measurement methods can be used, in most instances, we conduct
interviews with the personnel executing each task area.
The Information gathered
from these interviews is used to gain an overall view of the work
breakdown structure of the main tasks in any process.
This data is then
reconciled against any established benchmarks within the workgroup or
department being analyzed.
Our goal is to
identify those cost drivers for each resource required to support a
task to completion.
Wherever possible, we apply
workflow volumes from historical data, and we validate the preliminary
workflow cost model against either:
- Historical cost accounts
for known input periods, or
- A reference period for
which workflow volumes and defined total costs are available.
Constructing workflow
reference models allow us to determine appropriate cost drivers per
task.
By analyzing each
activity type we can determine the suitability of each task area for
automation.
This provides a starting
point for evaluating workflow re-engineering options.
B. Identify Existing Workflow Costs
Hopefully, existing
workflow costs are documented in the company's management accounting
system.
If so, a suitable
reference period is selected.
The Criteria for a "suitable"
reference period are:
Work processed
during the period is broadly representative of the anticipated or
average work-mix for the areas being analyzed.
Although it is
unlikely that any period selected will consist of an average work-mix
across all areas, we try to avoid any period that has a distinctly
abnormal mix of work in any task area.
Both accounting data and
work measurement statistics (even if only at a high level) must be
available for the period.
General levels of
processing are neither at a seasonal peak or in a seasonal trough for
any of the process areas being examined.
The period selected is
recent, reflecting process and resource costs that are close to today's
input costs for each resource type.
Obviously, the
selection of a reference period affects the results obtained from a
workflow model.
However, it is not
always possible for the companies we analyze to provide accurate nor
timely information.
In those situations, we
substitute "synthetic" costs based upon our extensive experience
analyzing "peer" groups performing the same types of projects and
providing comparable deliverables.
C. Identify Workflow Cost Drivers
Every effort is made
to identify both the primary cost drivers and the inputs which
determine those costs to make the workflow reference model as realistic
and scaleable as possible.
Most tasks in the
workflow reference model will have a primary cost driver, i.e. a
resource cost that causes the total cost to vary.
The items that drive costs
are:
- Space costs for people,
equipment and storage,
- Salary costs (driven by
Full Time Employee staff (FTE) requirements) or
- Other overhead costs
(expenses and materials) applicable to a specific workgroup or
department.
D. Validate Departmental / Workgroup
Resource Usage
The departmental or
workgroup resource usage is normally validated by carrying out a
departmental or workgroup process walk-through and audit.
The objective of
this exercise is to ensure that all resource input elements consumed by
a department or workgroup are catalogued against the business process
and can be costed.
The initial activity
in conducting a departmental audit is to do a walk-through of the main
work process being performed by each group.
The walk-through
typically involves the section or team leader for the specific group.
The main objectives of the
walk through are to identify:
- The Types, Sources and
Volumes of work-items that flow into the group being studied.
- The Timing and Logistics
of work item delivery into the group:
- time of day/week/month
that work items are delivered,
- size of delivery unit
(batches, single work items etc.).
- The Work Time content of
each work item being delivered (e.g. how many items could one person
complete in an hour/day/week).
- The Main Tasks undertaken
and decisions taken with regard to the work items flowing into the
group.
- The Scope of elapsed time
for work items to be processed through the workgroup.
- The Filing Systems that
have to be maintained within the group under scrutiny.
- The Data Processing
Systems queried, updated and/or used to trigger further action within
the group.
- The Equipment and Office
Space used to support or house the group's activities.
Our departmental audit
forms are designed to catalog the department or workgroup's main task
areas, resource utilization (people, equipment and space), document
flow and processing volumes (input volumes and output volumes).
The Notes section
typically contains a brief process description and the details of
specific work logistics and any comments as to common problems/business
challenges experienced in the area.
In summary,
participating in a process walk through and completing the departmental
audit allows us to undertake more detailed study of the individual job
functions and the detailed tasks and sub-tasks that are performed by
departmental staff.
The overview gained
here can also act as a valuable cross check when talking to staff.
It can often be found that
the overview omits important details of the work process that can only
be discovered by talking to staff actually performing the tasks.
E. Determine Job Roles, Main Tasks and
Sub Task Activities
The primary analysis
activity driving the construction of a Workflow Reference Model is the
determination of Job Roles, Main Tasks and Sub Task Activities that are
needed to convert work into deliverables.
Our Job Analysis
worksheet is completed for each identified job role within the target
analysis areas.
The Analysis Worksheet tracks
the following items:
a) Interview Number:
We use a numbering
scheme to identify each sequence of interviews and a master list of
required interviews is established prior to the execution of the
analysis phase.
This ensures that all
interviews are conducted and provides a checklist of progress.
b) Interview Details:
The interviewer,
interviewee, Department or workgroup name, job or role title and staff
grade are all required inputs.
c) Number of People
(Resources performing the same job/role):
This field contains
the details of the number of people that are performing the same job or
role within the interviewee's workgroup or department.
We specify the
scope (Workgroup, Department, Company etc.) of this answer so it
tallies with the departmental or workgroup scope identified in the
interview details section.
We also indicate
whether data collected in this input box pertains to full time or part
time staff.
It is assumed that
staff being interviewed are full time staff.
However, if the staff-member
is part time this will be clearly indicated and the FTE value of their
peer group as well as the total headcount is entered.
It is important to
note that the study should capture all task data to do with the
workflow, it may become apparent during the interview sessions that not
all work tasks are being captured by the planned interview campaign.
The completeness of
the analysis is a fundamental requirement, and therefore omission of
any task area is a serious flaw.
Where such an omission is
discovered it is vital that steps are taken to rectify the flaw and
include further interview sessions to capture missing task information.
To ensure that all tasks are
captured and the inputs and outputs of each main job task are
reconciled with knowledge of the process gained from the process walk
through.
We are aware of and
careful to solicit requirements for "maintenance" or other infrequently
performed tasks such as file purging etc. which may consume
considerable resources, but be overlooked if a daily/weekly/monthly
task cycle is being analyzed
Main Job Tasks: The
main job tasks section has several input requirements
(1) Main Job Task
Description:
The main job task
description is succinct but needs to adequately describe the primary
work objective of the main job task.
Typically the description
consists of an action verb to indicate what is being done and an object
noun to indicate what is the input work item.
Examples of main job tasks
are:
- Write Project Summary
(PS),
- Request Schedule from
Traffic Manager,
- Request Estimate from
Production Manager,
- Create New Job in
Database,
- Create Estimate,
- Create New Job Folder,
- Create Schedule,
- Approve Schedule,
- Email Estimate to Client
with Cover Note,
- Contact Client to Answer
Questions,
- Deliver Schedule to
Client,
- Have Client Sign
Estimate.
It is important to
recognize that not all main task processing requirements will originate
in a documented workflow - time spent answering telephone calls,
purging/maintaining filing systems or updating work statistics are
equally valid tasks that are also considered.
(2) Frequency:
The frequency of
each main job task reflects the number of times that the main job task
has to be performed within a specified duration period, durations are
hours, days, weeks, months, etc..
When possible, we also
collect the details of the volume of work item deliverables (forms,
faxes, emails, estimates, memos, project summaries) that are processed
routinely per period.
(3) Duration/% of
Time:
Duration can be
expressed in two ways, either as a total time spent on the task during
a typical working cycle in hours and minutes, or as a percentage of the
total cycle.
In some
circumstances a useful "cross check" can be achieved by asking for both
inputs.
While percentage breakdown
analysis of the working day is easier to complete for some people.
Our experience
shows that it is better to solicit a time based figure in most
instances - this is due to the fact that ease of reconciling to 100% of
daily work time usually means that tasks are overlooked.
Total time taken to
complete the main tasks should tally with some expectation of daily
working hours.
As noted above tasks
that occur less frequently should also be factored in.
For example, jobs which occur
on a weekly, monthly, or annual basis should be a factor in the
creation of the "average" working day.
It is also important
to find out what the ratio of working to non-working days is for each
staffmember (due to holidays, training courses, expected sickness
etc.).
Interview technique
prior to the interview:
- It is often useful before
conducting an interview to spend some time observing the interviewee at
work.
- This is best accomplished
by sitting with the interviewee for a period of time and observing both
them and the general work environment.
- This activity is useful to
form an impression of activities involved in the tasks, how busy staff
are, and what the general flow of work is.
F. Analyze and Classify Sub Task
Activities
Main tasks are the
steps that result in some concrete output deliverable into the process
flow, i.e. "data entry and validation of application details" results
in the computer being updated and input data being checked.
Sub tasks are the
logical sequence of actions that are typically followed in order to
perform a main task.
The objective of studying
sub-task actions is to classify the types of actions required to
achieve performance of a main task and to analyze the input labor
content of the main task to support process impact modeling.
The analysis of main
tasks into sub-tasks or discrete actions is intended to give an insight
into the mechanics of the process under investigation.
Although the
allocation of time to tasks is largely subjective it is justified where
analytical results are needed quickly.
Requirements for precision
in the analysis of work is safeguarded by ensuring that some direct
process observation does take place and that process inputs and outputs
can be reconciled.
Data regarding expected
throughputs or hourly/daily output for each main task area is also used
to validate subjective work breakdown.
The examination of
sub-tasks is conducted after the main tasks have been identified for
each job role.
Sub task analysis is
carried out after the main tasks for each job role have been
catalogued.
Main tasks are sorted into
workflow order and analyzed in turn.
By doing this, the logical
flow is used to generate additional questions and any ambiguity or
omission in task or sub-task flow is identified at an early stage.
Sub task analysis work
analysis steps are as follows:
a) Task Breakdown:
(1) For each main
task in flow order (where possible), we enter the task name on the sub
task sheet.
(2) Note each sub task or
activity that is performed in order to complete the main task, be sure
to capture all data.
(3) If there is a
conditional branch in the workflow, capture the decision criteria, find
out the proportion of the work split, and continue down the workflow
for the main branch.
(4) After completing the
main branch workflow, return to the point of any conditional workflow
split and document the subsidiary branches.
(5) The objective is to
uncover local task work content directly triggered by the workflow.
(6) When the main workflow
based activities have been catalogued, ask whether the main task area
or any sub task introduces a requirement for maintenance activities or
is subject to external influences.
b) Classification of
work:
The work
classification for each sub task is divided into seven described work
types and a catch all "Other" classification.
The seven work
classifications are:
(1) Read
This covers all
reading activity, wherever the information being read is coming from.
It therefore covers
activities such as "Read Data from Application Form", "Read Policy
Number on Screen" etc.
(2) Drawing/Writing
This covers all
drawing and writing activities.
It therefore covers
activities where information has to be written down form one system to
be later input into another, or equally situations where a letter is
being drafted.
Where possible note the
type of transcription in the sub-task description or in the work
classification box.
(3) Key
This covers all
keying activity where information has to be keyed into a computer
system, typewriter or calculator.
The sub task description
should describe what information is being keyed.
(4) Transport
This covers all
activities where documents are being transported.
If work items are batched
prior to transport the batch quantity should be declared so that the
time taken per work item can be calculated.
Transport tasks include
tasks such as "Take for referral", "Deliver to File Area", "deliver to
secretary", "Bring back from File area" etc..
Movement of documents
around the desktop would not typically be described as a transport
activity, although substantial time may be spent here. (See File).
It is normally necessary
to gauge the dedicated mailroom and delivery effort, although this
might be outside of the workflow under consideration.
(5) File
Filing activities
encompass any activity that involves placement of documents into file
folders, diary systems, managed in-trays or just about any location
that could be considered a holding location (desk drawers, filing
cabinets, out trays etc.).
Filing effort is often
underestimated because people do not think of their desk or more
specifically their desk-top as a filing facility.
(6) Call (Telephone)
In many
organizations anything less than a telephone per desk would be
considered unacceptable.
Although talking and
listening on the telephone can be combined with simultaneous keying of
data or reading of information from computer screens or case documents,
there will be an element of set-up time needed to initiate or accept
the call and an element of time needed to terminate the conversation.
These times should be
noted, as should the overall number of solicited (outbound) and
unsolicited (inbound) telephone calls taken during a normal day.
For unsolicited inbound
calls some indication of the disruption caused to work-in-progress
should be included in the time taken to process the call.
(7) Other
It is anticipated
that most sub tasks will be completely classifiable in the context of
the seven work type classifications, the "other" work classification
should only be used where this is not possible and a classification of
the work done under "other" should be included.
G. Develop Required Deliverables
Data collected during
the analysis phase is input into a series of Models:
- Presentation Outline
(Powerpoint Slide show),
- Project Management Outline
(WBS),
- Network Schedule (PERT
Chart),
- Cost/Benefit Analysis
(Excel Spreadsheet)
The business objectives to be
supported by the output of the model will determine the type of model
that has to be built.
If the primary
requirement is to achieve cost justification of an alternative process
implementation, then the main focus will be on costs and the impact of
alternate processing scenarios on the overall process costs.
In this scenario a simple
spreadsheet based model will provide the necessary information.
For more complex modeling
assignments where the requirement is to measure a process metric such
as process cycle time under differing load and resourcing scenarios, a
more complex dynamic model will be required.
The feasibility
study uses, by default, a static spreadsheet process cost model that
can be scaled to reflect differing transaction volumes and the impact
of key process improvement initiatives.
Although dynamic modeling is
feasible and can be supported, the rapid increase in the number of
process variables in such a dynamic model have to be carefully
controlled, or else the model's output can become chaotic as small
changes in input parameters may combine to produce large variations in
the behaviour of the modeled process.
Such modeling is
useful where the robustness (scale-ability) of the existing or proposed
process is in question, or where one of the design priorities for the
process is to allow for large variations in work throughput.
Once the required
deliverables of the modeling process have been agreed upon and a
suitable model type has been selected, the inputs and outputs to be
varied and measured respectively are established.
Within the
constraints of the modeling environments chosen, each discrete process
element will be re-cast to reflect anticipated changes in the business
process or the technology support infrastructure, but the first
objective is to ensure that the model is representative of current
practice and process performance.
In order to achieve this,
business processing scenarios are run through the process model to
provide base data for validation of the model's accuracy.
The results are then
compared with reference data from historical periods (where available)
and with management's expectations of the process performance.
Any required tuning or
re-appraisal of the data collected in the analysis phase can then be
completed.
H. Prepare Multiple Workflow Models
The impact of business
re-engineering and information technology support options that could be
implemented are discussed, agreed and implemented in variants of the
process model, business processing scenarios are then run through each
model and comparison with the base system scenario reveals the impact
of the relevant process changes.
The output of this process
can be documented to form the basis of an outline cost case for any
required process change investment if required.
I. Assess the Workflow Change Benefits
It is worthwhile to
note that alternate process designs are not necessarily the prerogative
of either management or the consultant undertaking the analytical
process.
Many of the best
insights into process rationalization and re-engineering are generated
by the people who actively participate in the process.
In parallel with the process
analysis phase and modeling phases, there is a requirement to sponsor
the development of ideas about alternative business process scenarios.
These are collected
and collated as part of the analysis and used as input to the
development of business process candidates for evaluation in the
modeling phase.
In many cases the suggestions
received during the data collection and collation phase have proven
invaluable in reconciling the business drive for change with the human
requirement to be involved in shaping the change.
The impact of new
technology on any administrative process can be delivered in a number
of ways.
In general the main benefits
fall into the following categories:
a) Improvement of
Information Handling:
In many business processes
the successful completion of processing is dependant upon communication
with an external agency which has to provide information or complete
tasks in support of the process.
Monitoring and
progressing of such external agencies can be time consuming and prone
to communications failures.
Workflow and document
recognition technologies in particular allow for the automation of some
elements of external communications, for example through automation of
outbound letter, fax or electronic message transmission.
Outbound
communications soliciting responses can also be formatted to allow
automatic indexing and matching with existing cases upon their return.
In many processes this
structuring of previously unconstrained communications processes can
improve the timeliness, response rate and quality of response, leading
to substantial gains in process efficiency and effectiveness.
Improved information
about work item status, volume of work-in-progress at each process step
and resource utilization / performance can translate into a lower
requirement for supervision.
Improved span of managerial
control through the provision of more accurate and timely work
performance monitoring.
It must be remembered that
while capabilities supported by new technology can open the door to a
number of possible process changes, it is the business's interpretation
and ranking of the key factors that will determine future success which
will drive or not drive the adoption of technology.
As well as examining the
quantitative impacts of process changes, some evaluation of the
qualitative effect of alternate process scenarios must be made.
In some instances
the qualitative benefits will be intangible within the study's frame of
reference (e.g. "improved customer service"), where the quantitative
benefit cannot be assessed.
For this reason it should
still be documented, and any tangible measure of improvement should be
documented if known.
Workflow re-engineering
initiatives, particularly those which depend upon computer systems,
have to be evaluated in the light of the likely costs and risks as well
as benefits that they are likely to deliver.
With workflow and
imaging technology it is possible to envision radically different ways
of structuring and managing workflow processes.
Rapid Application Development
(RAD) techniques and graphical workflow drafting tools have impacted
the time to develop workflow applications.
However, a
significant investment still has to be made in the design and
programming of the software applications that will provide the workflow
framework.
In looking at competing
options care must be taken to ensure that:
(a) Business risk
inherent in process changes is acceptable
(b) The proposed processing
scenarios are feasible within the general constraints of:
- time to implement
- cost to implement
(c) Proposed levels of
change can be absorbed by the host organization.
b) Collapsing the process:
Successful process design has
to balance the advantages of task specialization with the disadvantage
conferred by "handing-off" work items to another person.
Over time,
information technology has contributed to the confusion in this area.
Task specific technologies
such as dedicated word processors and data entry or transaction
oriented mainframe systems have tended to create task and job
specializations which increase the number of hand-offs within a
workflow.
Today, technology is deployed
in a more flexible way by providing a range of supporting capabilities
to a worker who can:
- Complete more value
addition in a single step, or
- Who may be required, with
the aid of workflow technology, to switch between multiple roles
dynamically as business needs and priorities change.
Many business processes have
not yet been "re-architected" to take advantage of this facility.
In order to optimize
the process design for a given level of information technology support,
it is necessary to make assumptions about the time taken to switch
between roles (i.e. the "set-up" required to undertake a new role)
versus any inherent speed of processing that can be accessed through
repeated execution of a single task.
It is also necessary to make
assumptions as to the level of support for task execution and checking,
and the quantitative/qualitative impact of improved support on task
execution.
This does not
necessarily mean that task specialization is no longer necessary or
beneficial, but it does re-position the boundaries at which a
multi-tasking approach may be more attractive.
c) Migration of Value
Added:
In many traditional
processes, the "raw material" input is in a low state of readiness for
processing.
Workflow gains can
often be made by examining the initial state of information input and
evaluating opportunities to re-structure the input phase of the
process.
It is also wise to examine
the timing, requirements and costs related to the completion of
individual tasks.
By careful
examination of these factors together with the "fall-out" factor (i.e.
the percentage of work items that fail, or require re-work at later
stages) it is sometimes possible to gain process efficiency through
elimination of redundant work, and minimization of "fall-out".
In this area it is vital to
examine the motivation and business problems apparent to the end-users
of any business process.
While high internal
work-item failure rates can often be attributed to a lack training or
experience, it is unlikely that the end-user will concur with this
view.
They are more likely to
reference arcane procedures, lack of instruction and lack of adequate
product support as being the problem factors - all attributable to the
organization hosting the business process.
Any modification of the
external submission formats or facilities has to be seen to deliver
tangible benefits to the end-user.
Even then, a process change
can only be considered successful if it results in the delivery of a
service that is:
- more convenient
- easier to use, and
- less prone to errors than
the existing service.
Any increase in the amount of
work on the end-user side, either in the initial submission process or
across the process as a whole, is likely to be unacceptible.
Changes should be
targeted to fulfill all the above criteria in the eyes of the end user.
d) Shortening of delivery
cycles:
Shortening or elimination of
transport times due to work being delivered in electronic rather than
paper form.
III. Setup and Implementation,
A. IT/MIS
In every solution we
provide, our primary goal is to embrace your existing technology and
enhance the investment you have already made.
Knowing that going in, we
want, and try, to work as closely with your IT/MIS group as possible.
Since they are the most
knowledgeable resources regarding your existing technology
infrastructure, our mission is to leverage their know-how against your
needs.
B. Hardware/Software/Network/Data/User
Requirements
Because the technical
needs of Ad Agencies, Graphic Artists and Corporate Communications
Departments are unique, we work diligently to provide your Technical
Support group with a detailed list of hardware, software, network, data
and user requirements.
Once all of the required
items are procured, we begin the setup and implementation of your
solution.
C. Make, Build and Test
Because our
committment to provid you with "ASSURED SOLUTIONS," we pride ourselves
on making, building and testing first rate systems which we guarantee
will enhance your company's performance over time.
IV.
Manage Completion and "Hand-Over",
A. Test, Commission, Start Up
After thorough Quality
Assurance has been performed, we commission our solutions for start up
and active duty.
During this phase, the
solutions are exercised in the "real world" and the fine tuning begins.
B. Software Development
As anyone who has ever
worked on a computer knows, no software solution is ever complete.
While it is our goal to
provide a deliverable project which will perform exactly as has been
specified, we are keenly aware of the excellent feedback provided by
those who use the solutions daily.
We highly recommend and
encourage this feedback from our users. As we have learned, all
problems are merely opportunities waiting to be uncovered.
V.
Transfer and Post Project Support
A. Operation & Maintenance
The final phase of any
project we perform involves the transfer of operation and maintenance
to those qualified individuals designated by our clients to have
responsibility.
Every effort is made to
insure that they are adequately educated on the use of the solutions we
provide.
In many instances, those
designated to oversee our solutions after they are implemented enjoy
both learning and using solutions which increase their value and
marketability immeasurably.
Because software robots
replace boring repetitive work with higher level work, we have
consistently found that those using and managing the systems provide
substantially more value to their organization with no increase in cost.
B. Integrated Logistics
As has always been the
case, our solutions are building blocks within your company's
application integration framework.
Our goal is to provide a
seemless data conduit between the unique needs of the graphic arts
community and the rest of the corporate environment.
Without exception, all of our
solutions, if specified, can provide data in nearly any format on any
platform. This assures you that your system is not an island of
information within a sea of technology.
C. Training, Documentation &
Ongoing Support
Finally, we seek to
make our solutions as "user-friendly" as possible. This reduces the
need for extensive training, documentation and ongoing support,
however, we are always happy to provide such support when requested.
Our belief is always that "an
educated user is our best customer."
Whenever possible, we seek to
establish an ongoing, pro-active process of continual education through
training, documentation and support.