BPPA

Process Management Handbook

BusinessProcessandProceduresAnalysisUnit CurrencyDepartment June2009

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Table of Contents
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About this Manual

Updates Table ............................................................................................................................1 Information about this Manual ..................................................................................................3

Business Excellence and Process Management

Overview ...................................................................................................................................5

Process Management 101

Process Q & A What is a process? ......................................................................................................................7 What is a business process? .......................................................................................................7 Are there different kinds of processes?......................................................................................8 How do I know Im executing a process? .................................................................................9 What is the graphic representation of a process? ......................................................................9 Do I need a graphic representation of a process to execute it? ................................................11 What is the difference between process and procedures? .......................................................11 Process Management Q & A What is process management? ................................................................................................13 What is the Business Process Management (BPM) Framework? ...........................................13 How does BPM Framework work with NQI PEP criteria? .....................................................14 What is P.O.S.I.? ......................................................................................................................14 How can we tell a process is at risk? .......................................................................................15 What is the goal of process management? ...............................................................................16 What are the benefits for process management?......................................................................16 Who is a Process Owner? ........................................................................................................16 Who is a Process Analyst? .......................................................................................................17 Who is a Subject Matter Expert (SME)? .................................................................................17 What is the role of the Process Driver Team ...........................................................................17 What is the difference between process management and process improvement? .................18 Turtle Diagram What is a Turtle? .....................................................................................................................19 The Elements of a Turtle..........................................................................................................19 How to Create the Turtle..........................................................................................................21 Hexagon Model Hexagon Model .......................................................................................................................23 What is the Currency Hexagon? .............................................................................................23 What are Steams of Processes? ................................................................................................24 What the Currency Hexagon is Not .........................................................................................24 What is the Hexagon is Used For? ...........................................................................................24

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Process Ownership
Role and Responsibilities of the Process Owner Who is a Process Owner? ........................................................................................................25 Responsibilities of the Process Owner? ...................................................................................25 Role of the Process Owner .......................................................................................................25 Process Monitoring ............................................................................................................26 Risk Assessment ................................................................................................................26 Improvement Initiatives .....................................................................................................28 Initial Role in the Development and Implementation of Process Management ................28 Process Ownership Tools Turtle Diagram .........................................................................................................................29 Flowchart .................................................................................................................................29 Risk Analysis ...........................................................................................................................29 Hexagon Model ........................................................................................................................29 Process Owner Resources ........................................................................................................30 Process Owners Who Can Be a Process Owner? ...............................................................................................31 Benefits of Having Process Owners ........................................................................................31

BPIR Business Process Improvement and Re-design

Overview What is Process Improvement? ................................................................................................33 What is Process Re-design .......................................................................................................33 What Triggers the Lauch of a BPIR Project? ..........................................................................33 BPIR Process Improvement Three Steps Method ................................................................................................................35 Content of Each Phase .............................................................................................................36 Who is Involved? .....................................................................................................................39 10 Streamlining Principles .......................................................................................................40

About this Manual

Updates Table Updates

Process Management Handbook

DATE LAST UPDATED TAB(S) PROCEDURE(S) PAGE(S)

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About this Manual

Information about this Manual

Purpose and Audience This document is a comprehensive reference document about Process Management for the Currency Department. This handbook is to ensure that all stakeholders share the same level of knowledge and understanding of what Process Management entails. This Reference Manual is designed as a quick reference for experienced users. It provides information required to perform job duties not necessarily documented in a procedures manual due to the volume or generality of the information. The manual is formatted in PDF to enable users to search the manual online and then view or print just the relevant sections. Manual Structure The manual contains three sections: Process Management 101 - Q & A regarding process and process management Process Ownership - Role and responsibilities of the Process Owner Business Process Improvement Redesign

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Business Excellence and Process Management

Overview

Overview Currency's goal of achieving organizational excellence is met through the execution of the National Quality Institute's Business Excellence Framework. The Framework is used to manage the department. Process Management is one of the seven (7) drivers of Currencys business excellence endeavor: Leadership, People, Planning & Risk Management, Clients & Stakeholders, Suppliers & Partners, Knowledge Sharing and Process Management. The purpose of the Process Management Driver is:

to develop a process management toolbox to facilitate the implementation of a framework for prevention based process management and to support a factual approach to decision making.

Why do we need process management? Process management enables continuous quality improvement resulting in reduced waste, cycle time, errors, duplication; while increasing consistency, reliability, simplification and standardization.

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Process Management 101

Process Q & A

Process Q & A
What is a process?

There are many definitions of Process. We prefer the following ones as they provide a solid basis for Process Management. A Process is a coordinated and logically sequenced set of work activities and associated resources that produce something of value to a client. * (Omar A .El Sawy Redesigning Enterprise Processes for e-Business) A series of definable, repeatable, and measurable steps which transform some input from a supplier into a useful result, or output, for an internal or external client.(NQI)
Characteristics shared by every process:

A process always generates value to a client The execution of a process starts with a trigger and uses resources to be executed Processes are invisible, intangible: we cannot see-touch-feel them except through their measurable outputs and the consumption or use of resources Each and every process has an owner. (For more information about Process Ownership see Page 25 of this manual. Processes are represented by a model or a graphic representation (such as flowchart)

What is a business process?

Business processes are the engine to execute our business strategy and deliver the value defined by our business goals.

PROCESSES define MTP ENTENTE BUSINESS PLAN develop refine PURPOSE RESULTS & PERFORMANCE enact

RESOURCES Organization & Systems

allocate INSTANCES

measure

envision CURRENCY

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Process Q & A

Business processes are directly related to business goals. Different business goals will require a different set of business processes. This relationship is described with the Currency Hexagon. Execution of business processes uses resources (people and systems). That relationship is described in the Processes, Organization and Systems compose a balanced and aligned Infrastructure (POSI). For more information about POSI see Page 14 of this manual. Only once processes have been executed can we: a) assert if business goals have been met and, b) analyze the performance of the processes.
Are there different kinds of processes?

There are four types of processes, based on the type of outputs:

Business Processes