Process Based Governance

Let us agree on a basic premise. A company creates value for customers and shareholders via the effectiveness and efficiency of activities that flows across traditional organization boundaries – often referred to as the firm’s value streams or its complex, cross-functional business processes. In recent years, most firms have become increasingly adept at executing improvements to their operations in projects of small scope. This is partly due to the fact that the various methods of process improvement, such as Lean, Six Sigma, Lean-Six Sigma, and Continuous Process Improvement, have become codified over the past decade and as these smaller projects are typically defined within the boundaries of one department or unit, the  existing organization design provides the needed governance.

 

However, larger, more complex projects require cross functional collaboration.  For these larger initiatives, it is essential to overlay some form of governance that creates the right structures, metrics, roles, and responsibilities to measure and manage the performance of a firm’s value streams or end-to-end business processes. This is called process based governance or BPM governance – and this is the area where we can assist organizations in achieving alignment.

 

Consider the following questions:

 

  • Do your leaders agree on how work flows across the traditional organizational boundaries?
  • Do they “know the business” in a process based context and at the right level of detail? 
  • Are your leaders concerned about managing the flow of work to create value for customers?
  • Is it common that executives and managers view the business with a functional bias?
  • Do large projects encounter challenges in getting needed participation from departments?
  • Do you find it challenging to gain agreement on the right metrics to monitor?
  • Do your larger process based changes often run into problems during the implementation phase?

If you agree that the traditional mindset of leaders continues to be one of the major obstacles in taking process management principles and practices to the next level via BPM governance, then we would be pleased to speak with you. Please contact us.