The Process Improvement Handbook A Blueprint For

The ProcessImprovementHandbookA Blueprint for Managing Change andIncreasing Organizational PerformanceTristan BoutrosTim PurdieIllustrations by Dustin DuffyMcGrawHillEducationNew York Chicago San FranciscoAthens London MadridMexico City Milan New DelhiSingapore Sydney Toronto

ContentsForewordsPrefaceAcknowledgmentsPart IxviixxixxvIntroduction1 IntroductionOverview of The Process Improvement HandbookThe PurposeThe AudienceNavigating the HandbookPart I—IntroductionPart II—The Process ImprovementKnowledge AreasPart III—Applying the Process ImprovementBody of KnowledgeRelationship to Other Management DisciplinesProcess Improvement ectDisciplineEnterprise PerspectiveService OrientationContinuous LearningHuman-Centered DesignAdapting the Handbook to Your NeedsContacting UsChapter SummaryChapter Preview36678891010111212121212131313131414151516ix

XContentsPart II23The Process Improvement Knowledge AreasThe Process Improvement ContextProcess DefinedTypes of ProcessesProcess OwnerRelationships among Policies, Processes, and ProceduresPoliciesProcessesProceduresUsing Policies, Processes, and ProceduresBest Practices for Developing Policies, Processes, andProceduresBenefits of Developing Policies, Processes, andProceduresProcess Improvement DefinedProcess Improvement OrganizationResponsibilities of a Process ImprovementOrganizationBenefits of a Process Improvement OrganizationProcess Improvement and Operations ManagementDifferences between Improvement Projects andOperationsSimilarities between Process Improvement Projectsand OperationsRole of a Process Improvement ManagerProcess Orientation and Organizational StructureLeadership and Process ImprovementSummaryChapter Preview192222232424262629373738434546Process MaturityProcess Maturity Model DefinedProcess Maturity LevelsAssessing Process MaturityApproachTimelineResultsChapter SummaryChapter Preview4749505355586060613031323334343536

Contents4Process-Oriented Architecture (POA)Enterprise Architecture DefinedProcess-Oriented Architecture DefinedCore Principles of Process-Oriented ArchitectureBenefits of Process-Oriented ArchitectureProcess-Oriented Architecture Road MapCreating a POA Governance FrameworkImplementing Process ModelsManaging ProcessesBuilding an Enterprise Process EcosystemEnabling the Process-Oriented EnterpriseChapter SummaryChapter Preview636667677071727577808383845Creating a Process EcosystemEnterprise Modeling DefinedProcess Ecosystem DefinedBenefits of Modeling and Constructing a ProcessEcosystemApplicability of the Process EcosystemProcess Ecosystem ComponentsStrategic GoalsPoliciesProcessesProceduresKey Performance MeasuresProcess Dashboards and ScorecardsPersonasResourcesRisksBusiness RulesOther ComponentsBuilding a Process EcosystemDesign the EcosystemImplement the EcosystemMonitor the EcosystemSample Process EcosystemProcess BackboneProcess Modeling and Management SystemsSimulation and 99100101103103105xi

ContentsManaging a Process EcosystemRole of a Process Improvement ArchitectRole of a Process Improvement CoordinatorNew Management ObligationsChapter SummaryChapter Preview1051051061061071086Managing Process ImprovementsProcess Improvement FrameworkEnvironmental Factors and Organizational InfluencesOrganizational ProfileSuper System MapLeadershipStrategic PlanningHoshin KanriProcess ManagementJust Do ItKaizenLean Six SigmaRummler-BracheSelecting a Process Improvement MethodologyOther Process Improvement MethodologiesAgility and Process ImprovementPerformance ManagementKey Performance MetricsProcess Monitoring PlansProcess DashboardsProcess EnablersWorkforce ManagementHuman Performance SystemQuality ManagementKnowledge ManagementBenefits of Knowledge ManagementKnowledge Management Tools and PracticesChapter SummaryChapter 411451461471481491521521521541551561571581597The Process Improvement Organization (PIO)Charter of a Process Improvement OrganizationProcess Improvement ServicesProject IntakeProcess Improvement Project161164165166166

ContentsKaizen EventProcess Change Request: Just Do ItProcess Mapping (As-Is or To-Be)Root Cause AnalysisConsultingProcess TrainingQuality and Performance AssessmentsOther Process Improvement ServicesRoles and ResponsibilitiesProcess Improvement CoordinatorProcess Improvement ManagerProcess Improvement ArchitectProcess Improvement GovernancePurpose of GovernanceGovernance StructureImplementing GovernanceDepartment ControlsChapter SummaryChapter Preview8Process Improvement AptitudesOverview of the DictionaryUsing the Process Improvement Aptitudes DictionarySkills, Competencies, and Techniques DefinedProcess Improvement SkillsFacilitation SkillsChange Management SkillsProject Management SkillsTime Management SkillsAnalytical Thinking SkillsNegotiating SkillsDecision-Making SkillsCommunication SkillsTraining SkillsCoaching SkillsProcess Improvement CompetenciesBuilding tiativeBusiness 5185198199202203205208. 9219220221xüi

ContentsSound JudgmentResilienceStrategie ImplementationSituational AwarenessProcess Improvement Tools and TechniquesProcess MappingForce Field AnalysisFishbone Diagrams5 WhysBrainstormingCheck SheetPareto Analysis5SAffinity DiagramTree DiagramA3 ReportScatter DiagramBuilding, Recognizing, and Retaining TalentValuing Workforce MembersContinuous LearningRewards and RecognitionPerformance ManagementOther Talent Management PracticesChapter SummaryChapter PreviewPart 45246248250250251252252253255Applying the Process Improvement HandbookCase ExamplesRecognize What Failure IsThe ChallengeThe SolutionThe ResultAchieve Customer DelightThe ChallengeThe SolutionThe ResultWhat Can Go Wrong, How To Make IT RightThe ChallengeThe SolutionThe Result259262262262264265265266266268268268269

Contents10Remove RoadblocksThe ChallengeThe SolutionThe ResultReward and CelebrateThe ChallengeThe SolutionThe Result30 Days Gets ResultsThe ChallengeThe SolutionThe ResultChapter SummaryChapter rocess Improvement Templates and Instructions5S Template5 Whys TemplateA3 TemplateChange Management Plan TemplateCheck SheetCommunication PlanDashboard Measurement PlanData Collection PlanDisconnect List TemplateForce Field AnalysisHoshin KanriLessons Learned Survey ContentMeeting Minutes TemplateMetrics ChainPolicy TemplateProcedure TemplateProcess MapProcess Monitoring PlanProcess Profile TemplateProcess Value Analysis TemplateProject Charter TemplateProject Closeout Communication TemplateProject Plan TemplateProject Status Report TemplateQuick Win IdentificationResponse Plan 297298299300302302304305308308311312312xv

ContentsRoles and Responsibilities MatrixSolutions Prioritization MatrixStakeholder Identification TemplateStakeholder Management PlanSuper System Map TemplateVoice of the Customer-Critical to Quality Chart31331431431531631611Conclusion319Part IVAppendicesAProcess-Oriented Architecture Construct325BProcess Improvement Governance Structure329CAcronyms333DGlossary337EIllustrations & Figures351FReferences357Index361

5S Template 279 5 Whys Template 281 A3 Template 282 Change Management Plan Template 284 Check Sheet 286 . Hoshin Kanri 291 Lessons Learned Survey Content 293 Meeting Minutes Template 296 Metrics Chain 297 Policy Template 298 Procedure Template 299 Process Map 300 Process Monitoring P