What are business processes?
Let’s start with the basics – it’s worth first agreeing on what we mean by the term business process:
Important!
A business process or method is a series of activities, tasks or other activities that meet both of the following conditions:
- are interrelated,
- Are aimed at achieving a set result or solving a problem.
Dozens of types of business processes are used in companies – they are related to various aspects of the company, including: management, procurement, production, sales, recruitment or accounting.
Optimization of company processes – what is it?
Optimization is called the actions taken by a company to increase the efficiency and effectiveness of its processes. The first step of optimization is usually the monitoring of current company processes. The initial analysis is followed by the selection of those methods that need improvement. The next step is the search for and selection of methods and measures to optimize a given process. The last key stage is always the gradual implementation of these solutions, according to a predetermined plan.
What company processes can be optimized?
The list is long, as almost every area of the company’s operations has room for improvement. Here are some of the elements of business operations to consider when planning for optimization:
- Sales – this area also includes post-sales processes, up-selling and cross-selling activities, and even some elements related to customer service,
- Communication – the flow of information within the team, the circulation of correspondence and documentation, the selection and configuration of the company’s communicator, as well as the conference room reservation system – all these elements directly affect the comfort of work and its efficiency,
- Recruitment – recruitment processes can drag on for weeks and sometimes even months. It is worth trying to shorten them to a level that will allow more applications to be screened and suitable job candidates to emerge,
- Logistics and transportation – a complex supply chain, the need to import goods, maintaining relationships with multiple suppliers – all this creates a web of dependencies that is often difficult to control. Optimizing logistics processes can not only significantly reduce lead times, but also enable a company to save a lot of money.
Above we’ve only listed a few examples – it’s obvious that there are many more areas susceptible to modernization in a company. Which ones to consider at the outset depends on the business you are doing and the situation your company is in.
Optimization goals
The overall goal of optimization is always to increase the efficiency of operations within the adopted processes or to abandon certain business methods and replace them with other, more efficient ones. Depending on which area we consider, however, the specific goals can vary significantly.
How to optimize business processes?
To get the expected results, follow the steps in the order described earlier:
- process monitoring,
- Selection of areas for improvement,
- Selection of methods and measures that will enable optimization,
- implementing solutions.
Process monitoring
Each method, adopted by the company, is designed to achieve certain results. So at the beginning of the journey, it is important to take a close look at all of the company’s key processes. It may be that we already know at this stage which ones should be reorganized – but it is good practice to analyze the others as well. This makes it possible to identify further elements that would benefit from optimization.
Process monitoring should include, among other things. data on the time it takes for a single application of a method, the results achieved, but also interviews with employees who are involved in the process. The insights of those directly involved in the various stages can result in conclusions that cannot be drawn during data analysis.
Selection of areas for improvement
In the next step, select the areas that most urgently need changes. It is worthwhile at this stage to shape an initial optimization plan. Trying to optimize several or a dozen processes at once is less likely to be successful than working incrementally on a single set of activities.
Selection of methods and measures to optimize
This is a good time to determine whether you want an ad hoc solution, or whether you want to create a system that streamlines operations over several months or even years. In the latter case, electronic monitoring systems may be necessary. Solutions of this type collect relevant data on the processes taking place in the company, and then pass it on to the appropriate people or departments for analysis and selection of appropriate optimization methods.
More advanced systems not only monitor, but also report and automate processes, thus significantly reducing the amount of effort that must be spent on optimizing them.
Post-optimization activities
Even once the new solutions are in place and the company starts using them, optimization efforts should not stop. The streamlined processes should be re-examined after some time to evaluate the effectiveness of the changes made and plan for any adjustments.
