Part II – How to Create or stay as a Business Juggernaut
THE BUSINESS PROCESS
I never liked processes and have experienced in working in a number of companies that did not have good business processes in place. It’s typical for a small company to have a Just do it style of command where people and departments function independently of each other. Working for a CMMI Level 5 company right now gives me a different perspective of things. Business processes when put in place and implemented correctly becomes an efficient weapon in delivering the highest quality in time while maintaining the lowest cost possible. Though I disagree on some items, I still believe that overall it is good for a business.
What if it’s a small company?
No matter how small a company is, processes are essential to maintain speed and control of things. A small grocery store needs process whenever they purchase goods, they need process when accepting goods delivered, etc. With these things are implemented, audit control is put in place, the organization of things between sales, inventory and purchasing will speed the identification of goods low in inventory count, it’s order and delivery. You don’t have to be a CMMI level 5 to say that your business is implementing a good business process.
Benefits of a good business process
1. Results Driven – Every manager I have worked with emphasized the importance of being results driven but to actually achieve the results we want, we have to work on our processes to ensure quality delivered on time.
2. Increase Productivity – By having good processes, customers reap the benefits of a well oiled business, getting the most value for each buck they spend. If they have concerns, business has means for them to get it through the right people.
3. Audit & Controls – Having a process in place helps combat fraud and business theft. People just can’t move items, claim for reimbursements, bring supplies at home, etc. By cutting fraud, the business is able to save money needed for its growth.
4. Customer Satisfaction – By having good processes, customers reap the benefits of a well oiled business, getting the most value for each buck they spend. If they have concerns, the business has means for them to get it through the right people and be acted upon.
What are the components of putting in place a good business process?
1. Top Management/Owner – The top management or owners of the company should support processes put in place. Without their support, no matter how good processes are they will fail. Business owners usually want to cut corners or put extra work on people without realizing they sacrifice other things detrimental for growth.
2. Process Leaders – The leader or managers put in place to implement the process should see to it that it is implemented and followed by the team. They would not always agree on the process, but they should realize that they are the front runners to make it happen. They should educate the team on its importance and the things needed to get the job done.
3. Team – They should have the sense of responsibility to understand the value of the process and should work together with their process leaders to implement it correctly.
Processes continuously evolve to support the business as it scale and grows; often, businesses that are able to adapt to these changes and successfully implement them are bound to succeed. Creating the most efficient business process takes time, commitment and lot of hard work. There is no such thing as a perfect process, but there is such thing as an evolving process.
Recap:
The first part of this series of Creating a Business Juggernaut focused on the customer as the source for the existence of any business and how they should value and treat this asset to begin the business’ rise to profitability and dominance.
The second part of this series focused on the business process as a way of delivering high quality results on time and giving the customers the most value for each buck they spend.
On the third part of this series, we shall look into creating a collaborative environment to support the alignment and implementation of different processes. We shall be looking into the usage of technologies to help successfully implement our business processes.
[tags]Business, Business Process[/tags]
How to Create a Business Juggernaut – Part II
