Chapter 14 - Process redesign

Question 1

Why would an organisation seek to improve their processes?

Answer 1

• Reduce costs
• Offer better products to be more competitive
• Exploit opportunities of technology e.g. cheaper communication
• Execute new strategic direction

Question 2

Define gap analysis

Answer 2

Project team assesses organisation’s current position and processes and highlights gap between current state and target state

Question 3

Define business case

Answer 3

A proposal setting out supporting recommendation

Question 4

What does Harmon’s process-strategy matrix do?

Answer 4

Uses axes of ‘process complexity and dynamics’ and ‘strategic importance’ to categorise processes and find the best approach to improving them.

Question 5

Define ‘process dynamics’ in relation to Harmon’s process-strategy matrix

Answer 5

The extent to which the process is subject to adjustment in response to external stimuli

Question 6

What are the different categories in Harmon’s process-strategy matrix?

Answer 6

• High complexity, low importance - outsource
• High complexity, high importance - improve
• Low complexity, low importance - automate/outsource
• Low complexity, high importance - automate

Question 7

Define a process redesign pattern

Answer 7

A general approach to redesigning processes for their improvement

Question 8

Define re-engineering

Answer 8

Starting with a clean sheet of paper

Question 9

What are the characteristics of process re-engineering?

Answer 9

• Radical re-design that questions all assumptions
• Can achieve large scale improvements
• Highly disruptive
• High risk of failure

Question 10

What are the different process re-design options?

Answer 10

• Re-engineering
• Simplification
• Value added analysis
• Gaps and disconnects

Question 11

Define simplification

Answer 11

Eliminating redundant process elements - most process have elements of duplication

Question 12

Define value-added analysis

Answer 12

Eliminating activities that do not add value - similar to lean production

Question 13

What are the activities defined by Harmon as non-value-adding?

Answer 13

• Preparation and set-up activities
• Control and inspection activities
• Movement of a product
• Activities that result from failure

Question 14

Define value-enabling activities

Answer 14

Essential preliminaries to value-adding activities

Question 15

Define gaps and disconnects

Answer 15

Target problems at departmental boundaries - problem with many processes is due to failures of communication

Question 16

What are the different areas that need to be assessed when assessing feasibility of a process?

Answer 16

• Technical feasibility - innovation required, is technology developed enough?
• Social feasibility - training, staff redundancies, work patterns
• Environmental concerns
• Financial feasibility - cost-benefit analysis

Question 17

What are the advantages of having a process redesign methodology?

Answer 17

• Provides discipline for overall redesign - keep focus

- Successful implementation depends on acceptance by staff and managers - helps obtain support

Question 18

What are Harmon’s process redesign methodology phases?

Answer 18

Peter And Ryan Drive Trucks

1. Planning - detailed project plan with time and cost budgets, process redesign team identified
2. Analysis - documentation of existing processes using process diagrams, problems identified
3. Redesign - solutions are chosen, management roles designed, new design documented
4. Development - functional and resource implications followed through
5. Transition - process is implemented