Friday, March 16, 2012

Business Process Modeling - An Introduction


IS 330 Class Reflection
March 16, 2011

Today in my management information systems class, we discussed business process improvement. Most of the students in my class are new to the concepts of business processes, so today's class focused on understanding what processes are, the difference between as-is and to-be processes, ideas for improving business processes, managerial considerations related to automation, and the role of information systems in business process improvement.

I started out with a brief discussion of what a process is (typically a sequence of steps for getting something done). I invited students to share some of their basic processes. We talked about different routines for getting started in the morning, cooking, getting products out of a vending machine, etc.

To illustrate the concept of business process improvement, I shared two different processes for preparing oatmeal for my family breakfast. One process followed a "one-piece flow" model -- each bowl was prepared individually in the microwave.  With eight people in our family, making breakfast was a rather drawn out process.  The second process was a batch flow process with a large batch of oatmeal being prepared in a pot and either distributed to a waiting row of bowls or stored as work-in-process inventory in a plastic container in the fridge.  I haven't timed it, but I tend to like the batch process better, since I usually finish getting the batch of breakfast prepared before the children have finished coming into the kitchen in the morning.  With the one-piece flow model, I feel like I'm stuck preparing food even while the first children have already finished eating. There's less time to sit over breakfast as a family that way.

We moved on from that topic to identifying problems in business processes, focusing on inefficiencies and inconsistencies in the process. Inefficient processes are those that are not completed in a timely manner.  Excessive delays, impatient customers, long lines, and long hold times are all indicators of inefficient processes.  Inconsistent or unreliable processes are those that have variable results due to variations in the process.  In today's economy customers often expect a uniform product or service experience.  I don't expect a cheeseburger at McDonald's in Laie to taste any different from a cheeseburger at McDonald's in Honolulu. Inconsistent quality leaves customers guessing whether they'll receive appropriate service at any given time.

We can look to improve business processes by identifying bottlenecks / choke points, evaluating the order in which activities are carried out, and minimizing task switching.

We also discussed ways that information systems can help improve business processes. Simply automating processes can dramatically improve efficiency. In addition to automating repetitive portions of a process, computer software and hardware can also enforce a well-defined process by constraining the user behavior. Innovative uses of information systems frequently involve transforming or improving business processes in ways that improve the quality of the product / service along with improving the efficiency or reliability of a business process.

During our class discussion, we also gave some consideration to ethical issues regarding automation, trying to balance the benefits of increased efficiency (i.e., lower costs, more customers served) with the same or better levels of quality.  We drew on business scenarios at the Polynesian Cultural Center, Amazon.com, various manufacturing facilities, and fast-food restaurants, and BYU-Hawaii to bring context into this discussion.