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Process Improvement; FAST track your business processes

 

Core business processes are the modern ‘chain gangs’ of organisations, responsible for delivering key customer outputs fast and efficiently. These can be likened to the old time railway chain gangs working fast to get the rail tracks laid so that new trains could roll through on time.
Despite the vision nowadays of fast, smooth, end to end technology driven processes, the reality is often far removed. Slow, error filled delivery continue to let customer's down and slow the core business engine. If our processes were about laying rail tracks, there would be plenty of derailments.

New methods of process re-design based on cross function collaboration, rapid knowledge sharing and FAST meeting tools can drive more robust and high performing FAST Track processes.

Key Issues
Examining why processes are slow and clumsy reveals that cross business process requires co-ordinated action across many different functions.

Ownership
The dilemma in improving process is often due to lack of clear ownership across functions, or varying perspectives amongst different functions/ units about how the process should work.

Human touch
This is exacerbated when the process itself requires creative, human input as a key ingredient because this is more difficult to ‘systematise’. For example, creative solution design, and customised product development are value adding, but they cannot exist as technology based processes alone.

A case of poor process
Consider the case of Roadwarrior, a logistics and fleet management group who manage the data and provide value adding information to clients about their automotive fleets. In a growth phase, Roadwarrior were steadily acquiring new clients however this was encumbered by their internal process of engaging new clients onto their systems and providing the level of customised reporting that was part of their value proposition.

The process involved critical functions such as sales, account management, IT, finance and dealer liaison aligned in a fast, error free implementation.

Clients expectations were managed loosely, leading to a wide range of requirements being promised by sales people. The transfer of information from sales to a combined IT & finance team who developed customised reports involved close communication, and that information exchange was not getting the attention required.

Meanwhile, the interface required from car dealers for new fleet additions was problematic, with dealers not as committed to the protocols and templates established for data exchange.

As a result, the targeted turnaround for ‘New Client Engagement’ of 10 days was not being met.
New clients would complain that their early reports were not being delivered as initially scoped, and in many cases Time to Error Free reports was extending beyond 2 months. This led to abandon rates by new clients of up to 20% as clients exercised their right to withdraw during a contractual grace period.

Previous efforts to improve the process yielded only marginal benefits. Using a traditional approach, the process architecture was created by a task force. This was then communicated down functional lines, and managers were requested to oversee the implementation of the 'ideal process'. Yet issues persisted.

New Process Alignment
An alternative approach was sought which would create higher levels of engagement and alignment across functions.

A re-design and implementation project focussed on a sustainable and adaptive approach which recognised the 'human touch' elements. Continuous improvement principles were also bedded into the framework to maintain commitmenet to continued performance improvement.

The approach involved a 6 point FAST Track methodology.

  1. Achieving common understanding of the business case for improvement
  2. Positioning a sponsor outside the functional/ unit lines involved in the process
  3. Coaching an inclusive, all-stakeholder group in learning and knowledge sharing practices
  4. Implementing process change through cross function forums and workshops
  5. Making process execution a continuous improvement approach
  6. Measuring, incentivising and rewarding across the business

Solution for Roadwarrior
These principles were put in place at Roadwarrior.

A cross stakeholder group was formed, involving parties at both ends of the process chain including customers and dealers. The group galvanised it’s purpose and commitment to process improvement through an initial workshop which identified the business benefit to each stakeholders.

From this group, a sponsor was selected, with the role residing outside the existing structure of line management responsibility. Criteria for selection were Project management and Group facilitation capabilities.

Initial group meetings occurred once fortnightly, and new knowledge sharing practices based on FAST Meetings were used to maximise the analysis and learning about critical process points. This had the added benefit of energising the group with rapid progress achieved. Relationship building across functions was facilitated by leaving ‘board table approaches’ behind. Methods such as Business Café’, The Great Wall, Stand Out, and Art Gallery became regular tools in the conduct of meetings.

The common feature found in all key process gaps was the requirement of human input. New practices were modelled that enabled faster customising and agreement of each customers new reports.

The implementation of the process was also human driven and interactive. All stakeholders involved in the process were educated through hands on workshops of cross functional groups, so that learning occurred experientially.

The design group also implemented lead indicators to track progress of subsections of the process. This feedback was monitored through monthly Process Improvement meetings, enabling faster detection of hot spots that were slow to change, and immediate deployment of further training, communication or tools to needed areas. Over 12 months, the review process scaled back to quarterly, with insights and knowledge sharing still adding value to all stakeholders through ongoing learning and review.

FAST Track results
This rigour drove substantive, lasting change. The learning that emerged for key stakeholders built stronger commitment to attend crucial meetings in the FAST Track process.

In addition, the group decision making and knowledge sharing methods facilitated a shift in mind-set and culture to a more ‘level playing field’ where one group’s agenda was not seen as predominant over another. This enabled faster knowledge exchange, and quicker agreement and understanding within what this dynamic, human driven process.

In 2 months, the process hot spots were smooth flowing, and reduction in cycle time achieved target, with stretch target attained in the following 5 – 12 months. Customer abandon rates were curbed to 1.5%. Lead indicators show that that no customers whose requirements passed through the FAST Track process were lost due to early errors and lack of engagement.


Like a fast moving chain gang who work in synch to swing hammers and hold track bolts, modern business processes still require people to turn up and work together. With ideas and knowledge as key inputs, better practices are required for sharing knowledge, getting alignment, and producing decisions. FAST process improvements facilitate this, helping keep process on track and avoiding the costly 'derailments' of process failure.

by
David Pointon
DaPo Consulting



DaPo Consulting transfer facilitation skills, FAST Meeting tools and change management frameworks to clients who are seeking sustainable process improvement.


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