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Business Process Analysis and Optimization - A Pragmatic Approach To Business Operations

The document summarizes a presentation on business process analysis and optimization. Md Mozammel Hoque will present on how socio-cultural factors significantly impact the success of business process optimization. The presentation will cover challenges in the business environment, reasons for researching optimization, current approaches, definitions of key terms, and a path to optimal business outcomes through analysis and continuous improvement of processes. The goal is to demonstrate that information behavior changes faster than systems, so socio-cultural factors must be considered for successful optimization.

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Parvez Alam
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100% found this document useful (1 vote)
192 views36 pages

Business Process Analysis and Optimization - A Pragmatic Approach To Business Operations

The document summarizes a presentation on business process analysis and optimization. Md Mozammel Hoque will present on how socio-cultural factors significantly impact the success of business process optimization. The presentation will cover challenges in the business environment, reasons for researching optimization, current approaches, definitions of key terms, and a path to optimal business outcomes through analysis and continuous improvement of processes. The goal is to demonstrate that information behavior changes faster than systems, so socio-cultural factors must be considered for successful optimization.

Uploaded by

Parvez Alam
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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Business Process Analysis and Optimization:

A Pragmatic Approach to Business Operations

Presented by: Md Mozammel Hoque


Optimization Consultant on Business Process and IT

Organized by: Faculty of Business Administration, University of Chittagong, Bangladesh

Date and Time: From 11:00am to 13:30pm 25 MAY 2016


Presenter Profile
Md. Mozammel Hoque has had a career spanning 16 years+ as Consultant, Enterprise Architect, Executive leader, Program
Manager , and Software Engineer in Telco, Banking, Manufacturing and Retail Industries.

He has served as Consultant at E-Tec and InfraOptimization (Bangladesh), as CTO at NTS (Bangladesh), as Sr. Technical Consultant
at Huawei (West Africa Region), as Oracle Database Trainer at IBCS-PRIMAX and as APPS DBA at DatabaseIntelligence (Russia) on
behalf of DataIntensity (USA) .

He has been the speaker on IT Optimization hosted by IBCS-Primax (Dhaka, Bangladesh).

Currently he is continuing his consultancy & research on the area of Optimization of Business Process and IT at InfraOptimization.

As of now, he supported for many Multinational Corporation across the world such as Etisalat Telco, Zain Telco, Warid Telco, and
Airtel Telco on behalf of Huawei (China), ITS (Kuwait), DataIntensity (USA) and DatabaseIntelligence (Russia). He supported more
than 60 clients (on site and off-shore) covering North America, Europe, West Africa and Asia. He has over 3 years experience
(before starting IT career) in Non-IT Sector - (Assistant) Researcher on the field of Socio-Anthropology, and Teacher.

He got Honorable Performance Reward for the year of 2013, Best performance award for the year of 2012 for Etisalat Nigeria
project from Huawei, and two times best performance award (2010 and 2011) from Zain (now Airtel) Telco in Nigeria on behalf of
International Turnkey System. His Greatest Achievement is an Innovation of a unique solution in IT industry: how to fetch CLOB
Data across the databases, which was published in HUAWEI (a research based on a real scenario in Nigerian Etisalat Telco
operation, i.e. EMTS). A number of Technical and Non-Technical articles were also published in HUAWEI.

He is ITIL V3 Foundation Certified, Oracle Certified Expert (OCE) - Oracle RAC 11g Release 2 and Performance Tuning, Oracle
Certified Specialist (OCS) - Oracle Database 11g Data Warehouse, Oracle Certified Professional (OCP)- R12, 11g, 10g and 9i. He
also passed more than 30 exams (technical and non-technical) in Huawei exam system.
He completed his MSC and BSC in Applied Informatics in Economics from Rostov State University of Civil Engineering, Russia in
2006 and He also completed his MA in 1997 and BA in 1996 in History from the University of Dhaka, Bangladesh.
Abstract
The rapidly changing economic and socio-economic environment has led to think how
to keep the business processes continuously optimized in highly uncertain and
unexpected markets. This turbulent market situation has been brought two major
challenges - Socio-cultural (Behavioral) challenge and Technical challenge (IT). The
current industry practice and the academic researchers are trying to get out of this by
looking the answer from the technology and business model end: “HOW” to manage
the challenges of continuous change concentrating on flexibility and speed,
maintainability and scalability, cost. Aftermath of it, there is numerous business
process modeling techniques are being proposed by the researchers and the
technology industry that well captures both approaches - Quantitative analysis:
Objective Approach and Qualitative analysis: Subjective Approach though these
approaches have its own drawback. (It is not the purpose of this seminar to enlighten
on this drawback.) But, the socio-cultural challenge is ignored though our
investigation reveals that Information behavior changes faster than information
systems, which has driven us to work on it. Therefore, the aim of this seminar is to
demonstrate how socio-cultural factors have significant impact, i.e. WHY IT MATTERS,
on the success of business process optimization.
Agenda
• Introduction
• Challenges in Business Environment
• Reasons to Research
• Current Approaches to Business Development
• Approaches to Business Process Development
• What a process means
• Business Process Re-Engineering( BPR) Vs Business Process
Optimization (BPO) or Business Process Improvement (BPI)
• Business Process Analysis and Optimization
• The Path to Process Operation Optimization
• Business Process Management tools
• Outstanding Result of Business
• Conclusion
Introduction
A Process-based approach, in order to achieve a desired business
outcome, is well adopted in today’s businesses acknowledging the
success of businesses is tied to the optimized processes. As of now,
researchers have given a massive effort to reach a common platform
as best practice. Aftermath of it, we have now versatile Business
Process Modeling techniques along with Business Process Tools in the
industry. Yes, it is true, to some extent, the technical challenge (IT) is
well met, but the socio-cultural challenge is not met yet though our
investigation reveals that Information behavior changes faster than
information systems. Technology can solve the process integration
point, but without operational excellence business process
optimization cannot be achieved. Therefore, the aim of this seminar is
to demonstrate how socio-cultural factors have significant impact, i.e.
WHY IT MATTERS, on the success of business process optimization.
Challenges in Business Environment:
Business opportunities and/or fall creates challenges in business management

Executive Agenda:
How business can sustain and thrive maintaining
bottom-line profitability in any economic situation.

Where to focus: Cost-cutting or Revenue growth

Common challenges in the Business Environment :


 Pressure : Economic , Operation and Competitive
 Customer & Employees: Expectations and Demand
 Technology: Disruptive Technology and IT Silo
 Economic Instability and Fluctuations in currency rates, energy, etc.
 Governance, Compliance, Audit & Security
 Suppliers
 Manageability
Reasons to Research
1. Org Chart:
1.1 IT considers as Cost Center
1.2 Departmental Conflict
1.3 Slow decision-making
1.4 Complex of approval processes
1.5 Owner is present, but not ownership, i.e. Accountability, Responsibility and
Credibility
2. Org Culture
2.1 Risk-averse cultures, i.e. fear of change, neglect of change
2.2 Knowledge Gap
2.3 Absence of Innovative mind, i.e. differentiator thoughts
3. Technology
3.1 IT Silo
3.2 Absence of Collaboration
3.3 Absence of Business Partnership concept
3.4 Real time Information
Reasons to Research Cont 1

In the industry the below views related to customer are being noticed
(not limited to that)

 Add and Create value to the customer


 Take Care of the customer
 Attend and Response to the customer
 Win-Win approach
 Customer Satisfaction
 Customer driven quality
 Customer is always right
 Build a strong Customer Relationship
 Continuous communication
 Grow together
Current Approaches to Business Development

 Digital Business : The Age of Integration and Collaboration, i.e. A


Disruptive Technology or Disruptive Innovation
 Business Agility: Flexibility, Nimbleness, and Response Speed
 Holistic and Unified Approach
Approaches to Business Process Development
 Business Process Re-engineering and/or Re-design
 Business Process Optimization
 Continuous Improvement

Source:
Business Process Analysis and Optimization: Beyond Reengineering
Kostas Vergidis, Member, IEEE, Ashutosh Tiwari, Member, IEEE, and Basim Majeed, Member, IEEE
What a process means

A process is an approach for converting inputs into outputs.

A process has to have:

1. Predictable and definable inputs;


2. A linear, logical sequence or flow;
3. A set of clearly definable tasks or activities;
4. A predictable and desired outcome or result
Business Process Re-Engineering( BPR) Vs
Business Process Optimization (BPO) or
Business Process Improvement (BPI)

BPR is to re-design the processes of the enterprise in order to achieve


dramatic improvements in overall performance. BPR is a technique of
change management to clean-up the fat layers by introducing radical
changes in operational strategy which should in turn result in competitive
advantages.

BPO looks into ways to improve the processes in the existing structure.
BPO or BPI is a technique to monitor business processes and how they meet
their business objectives, controlling and optimizing the operations in order
to make them fall in line with the business objectives and accordingly
allocate necessary resources, prioritizing work and selecting the best
service providers for those processes.
Business Process Analysis and Optimization
The Path to the Optimum business outcomes

Core Objective

 Reduction of cost, flow time (shortening process cycle time), defects, waste and
resource constraints
 Flexibility, Scalability, Traceability and Maintainability
 Integration and Automation, and Collaboration
 Continuous Improvement, i.e. evaluate the process improvements, identify the
underperforming processes
 Process Prioritization decisions
 Ease of Approval Process
 Remove Process Conflict/Deadlock (lack of synchronization)
 Mitigate Threat and Risk
 Enhance the Satisfactory Level
 Data Integrity, i.e. easy to access to the accurate information at the real time -
Anytime Anywhere
Business Process Analysis and Optimization Cont 1
The Path to the Optimum business outcomes

 Quantitative analysis : Objective Approach – Process Performance

and/or Behavior Analysis eliminating performance bottlenecks.

 Qualitative analysis : Subjective Approach(Structured Process

Improvement) of developing an existing business process to a better

version eliminating non value-added activities( e.g., redundant,

rework, and supervisory activities), simplifying activities, combining

activities, and increasing the concurrency of activities.


Source:
Best practices in business process redesign: an overview and qualitative evaluation of successful redesign heuristics
H.A. Reijersa; S. Liman Mansarb

Department of Information and Technology, Faculty of Technology and Management, Eindhoven University of
Technology
Department of Computing, Communications Technology and Mathematics, London Metropolitan University
Received 25 April 2002; accepted 23 April 2004
Omega, The International Journal of Management Science, 33 (2005) 283 – 306,
The Path to Process Operation Optimization
1. Org Chart:
1.1 IT considers as Cost Center  Profit Center
1.2 Departmental Conflict  Integration and Collaboration, i.e. Introduce Process
Management
1.3 Slow decision-making  Quick and Right decision and execution
1.4 Complex of approval processes  Simplify Approval procedure
1.5 Owner is present, but not ownership, i.e. Accountability, Responsibility and
Credibility  Promote ownership culture
2. Org Culture  Promote innovation and change, Enable Workforce Performance
Management
2.1 Risk-averse cultures, i.e. fear of change, neglect of change
2.2 Knowledge Gap
2.3 Absence of Innovative mind, i.e. differentiator thoughts
3. Technology  Introduce compatible Disruptive Technology with the lowest cost
3.1 IT Silo
3.2 Absence of Collaboration
3.3 Absence of Business Partnership concept
3.4 Real time Information
The Path to Process Operation Optimization Cont 1

In the industry the below views related to customer are being noticed (not
limited to that)  Customer Relationship is maintained by Communication,
Connection & Interaction/Engagement

 Add and Creating value to the customer 1. Customer-centric processes, i.e.


Customer Experience
 Take Care of the customer
Evaluation/Management
 Attend and Response to the customer
 Win-Win approach 2. Omni-Channel Orchestration
 Customer Satisfaction
 Customer driven quality Evaluations of Service Quality =
fn (Experience - Expectations)
 Customer is always right
 Build a strong Customer Relationship
 Continuous communication
 Grow together
Business Process Management tools
The integration challenges is now resolved by BPM tool. With the pace of
market demand BPM products are changing rapidly though. From the BPM
tools Business can
1. Improve process efficiency and effectiveness
2. Increase business agility
3. Deliver better business insight

It is not the scope of this paper to give insight on the BPM tools. But, for the
awareness of BPM tools, here I am going to present some examples from the
Industry of BPM.
Business Process Management tools
Business Process Management tools
Business Process Management tools
Next Gen. Business Process Mgmt
Integrate Oracle, 3rd party & legacy applications to extend process
automation

• Quickly integrate
heterogeneous applications
Oracle PeopleSoft Custom Order using an intuitive, graphical
EBS Financials Application UI
• Manage system
• Standard Interfaces performance via web with a
BPEL Process Manager • Cross-application maps user-friendly console

Business Step Step Step Step Step • Reduce connectivity


Process 1 2 3 4 5 headaches with
pre-packaged, standard
interfaces for applications
and legacy systems
Siebel Mainframe HR New Web • Built on widely adopted
CRM Application Application
industry standard language
(BPEL)
BPEL – Business Process Execution Language
Source:
Oracle E-Business Suite Release 12
Presented by: Senior Solution Consultant at Oracle
Integration with Core Applications
Oracle | Retek Integration with BPEL

• Lower cost integration between disparate systems


• Better performance with integrated business flows across applications

Accounts
Merchandising
Inbound Retek Data Payable
• Matched invoices • Daily sales

E-Business Financials
• Credit notes • Cash and deposits
Invoice General Ledger
• Debit memos • Inventory
Matching
• Rebates • Sales data

Accounts
Sales Audit Outbound Financials Data Receivable
• Suppliers • Payment terms
• Partners • GL accounts
• Addresses • Currency rates
Stock Ledger • Freight terms Cash
Management

Source:
Oracle E-Business Suite Release 12
Presented by: Senior Solution Consultant at Oracle
The 7 RIGHTS for Better Business Outcomes

Bring the RIGHT Information to the point of decision so that RIGHT decision
can be taken and executed promptly by the RIGHT people at the RIGHT time
and at the RIGHT place using the RIGHT tools and RIGHT model.

Information
Decision
People
Right Time
Place
Tools
Model
Conclusion

From the above explanation, it is clear that operational excellence has


significant impact on the process optimization. It is also clear that without
adopting Disruptive Technology operational excellence cannot be met at all.

So, let us put the slogan together, “NO MORE CONTINIOUS IMPROVEMENT,
PROMOTE ON CONTINOUS IMPROVISATION” and encourage “TO BE
DIFFERENT , NOT TO BE BETTER”.
Thank you

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