MANAGING

BUSINESS PROCESS
SYLLABUS

Module 1: Process Management and BPO Industry

Process definition – Identification of business process – Difference between core process and
support process – Components of process management – Understanding internal customer vs
end user.
Role of BPO Industry in process management – Typical business processes outsourced to India
– BPO operating models – BPO life cycle, good governance for effective delivery management-
Ethics in Business Process -Green BPM.

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MANAGING
BUSINESS PROCESS

MODULE 1
PROCESS MANAGEMENT
AND BPO INDUSTRY
ADMISSION PROCESS OF A
COLLEGE

INPU PROCESS
OUTPU
T
T
 ADMISSION PROCESS OF A
COLLEGE

INPUT
PROCESS OUTPUT
Filling
Reviewing and interview
applicatio Admitted
n to
college
 PROCES
S
A process constitutes of group of activities which are interrelated and
organized having a common goal. Therefore common goal must bind all the
activities

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• Process must exist to create value for your customer (both internal and
external)

• A process can also be viewed as a “value chain”, in which each activity or

step contributed to the end result.

• Challenge lies in identifying and eliminating the non value added activities
and enhancing the efficiency

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BUSINESS PROCESS
• A business process is a collection of linked tasks which find their end in the
delivery of a service
or product to a client.

• A business process has also been defined as a set of activities and tasks
that, once completed, will
accomplish an organizational goal.

• The process must involve clearly defined inputs and a single

output. These inputs are made up of all of the factors which contribute (either
directly or indirectly) to the added value of a service or product.
• These factors can be categorized into management processes, operational
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processes and supporting business processes.
Management processes govern the operation of a particular organization’s
system of operation.
Operational processes constitute the core business.

Supporting processes such as human resources and accounting are put in

place to support the core business processes.

In simple words

A business process is a series of repeatable steps taken by a team or company to

achieve some sort of business goal: managing deliveries, assembling products,
onboarding employees, etc.
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 You are required to draft the process involved in
placing an order (from the perspective of the
organisation) on an e-commerce platform

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 Process vs
Procedure
Procedure:
• Executed by the completion of a Task
• Procedures are implemented
• Completed by people in different departments, by different people with different
objectives
• Focus is on complying with rules and guidelines
• They are usually not modified and are static in nature

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 Process vs
Procedure

Processes:
• Accomplished when the desired output is achieved
• Processes are operated
• Process stages are completed by different people with same objectives
(departments do not matter)
• Process focus on customer satisfaction
• They are dynamic in nature and often improved continuously

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 EXAMPLE of a Process

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 EXAMPLE

EMPLOYEE ONBOARDING PROCESS

This includes various steps or interlinked activities (PROCESS) resulting in new employee
into the organization (on boarding)

As part of the HR Policy Company A has a combination of online as well as manual

mode of on
boarding the new employees. Some activities are carried out online and some
manually

Where as company B with the help BPM streamlined into automated process of on
boarding the new employees
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 Source: taken from greytHR
1 The greytHR Platform automates HR processes & empowers
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2
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Discussion

You are required to automate the process

involved in the leave policy for students, in
the college

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Discussion

Approved

Notification
Details of Select
Student Upload to Notification
Leave Number of
Login Document Concerned to Student
Application Days
Authority

Notification Rejected
to student

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4
What is meant by
Quality ?
• Quality may be defined as the level to which a set of inbuilt
characteristics of product of service satisfies requirements, depending
on which, a product may be categorized as excellent, good or poor
quality.
• It is the freedom from shortages and errors
Process and Quality

• Key to sustaining profits- delivering Quality

• To ensure quality, process approach must be adopted to enhance
customer satisfaction by meeting customer requirements
• For an organization to work effectively, it must determine and manage
numerous linked activities

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Example: what is quality in the following?
• Bus travel
• Restaurant
• Courier service
• E commerce shopping
• Automobile
• Academic institute
PROCESS ELEMENTS

PROCESS
TITLE
RESOURCES PROCESS
SCOPE

PROCESS
ELEMENTS

INPUTS
CONTROLS

OUTPUTS
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• PROCESS TITLE : should be simple to understand and obvious to know the objective of
the process

• PROCESS SCOPE: defines exactly where the process starts and ends (what is included
and excluded)

• INPUTS: raw materials, data and information (everything required for the fulfillment of
the output)

• Output: outcome of the process or what is expected out of

the processwhich should meet the requirements which were agreed upon

• Controls: internal and external controls like quality checks

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 Source: taken from greytHR
1 The greytHR Platform automates HR processes & empowers
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EXAMPLE
EMPLOYEE ONBOARDING PROCESS

• PROCESS TITLE : Employee Onboarding Process of Company B

• PROCESS SCOPE: new hire adding to the portal - documentation to official employee
access ID creation

• INPUTS: details of the candidate, documents, agreed terms and conditions, designation
( everything required for the fulfillment of the output)

• Output: Employee access creation/ officially becoming the employee of the organisation

• Controls: Human Resource manager, IT Admin, quality controls

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COMPONENTS OF
PROCESS MANAGEMENT
While laying down a process approach, Identification of Business Process is
necessary. In order to identify the process it is important to understand the
business model, inputs and output.

The process may have various other processes which may have direct or
indirect impact in producing the output. Such processes can be
categorized into

❑Management Process

❑Operational Process or Core Process

COMPONENTS OF
PROCESS

MANAGEMENT
PROCESS

OPERATIONAL OR CORE PROCESS

SUPPORT PROCESS

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MANAGEMENT
PROCESS
Management Process is carried out by the senior management of
an organisation
It is all about planning, organizing, controlling and pioneering
execution of activities

MANAGEME
NT
PROCESS

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OPERATIONAL PROCESS/ CORE
PROCESS
• Operational process are set of inter-related activities that have a
direct impact on the product/service and on internal
customer/external customer
• These processes are quite similar from one organisation to
another with the industry segment
• Considered as revenue generators
• Eg: An account opening process, admission process, patient
discharge process etc
OPERATIONAL OR CORE PROCESS

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SUPPORT PROCESS

• Support processes do not directly impact the revenue but act as an

enabler for the core process
• They facilitate, monitor, control, improve the Quality Management System
(QMS)
• These are usually are internal decisions

SUPPORT PROCESS
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COMPONENTS OF PROCESS
EXAMPLE : EMPLOYEE ONBOARDING PROCESS

MANAGEMENT HR Policies, Hiring,

PROCESS Strategic decisions,
fixing payroll, BPM
decisions etc

OPERATIONAL BPM Software installed, IT manager,

PROCESS HR Executive,
employee
Quality check, authentication,
SUPPORT PROCESS verification, queries or any
other support
PROCESS CHARACTERISTICS

PROCESS NAME

MEASURES PURPOSE

PROCESS
CHACTERISTICS

OUTCOME OUTPUT
PROCESS CHARACTERISTICS

Stakeholder
measures

MEASURES
Leading
measures

Process
measures
Lagging
measures
IDENTIFICATION OF
CUSTOMER
A customer is a recipient of product or service obtained as output, as a
result of inputs given to a certain process .

Direct In an educational institute- students

Customer are direct customers

Indirect In an educational institute- parents

Customer and guardians are indirect customers

Once the direct and indirect customer are identified, their requirements must be identified,
to come up with a desired product and accordingly business processes must be mapped .
IDENTIFICATION OF
CUSTOMER
Internal and End user/External customer

Internal Have a relationship with and within

Customer the company- deliver the product to
the end user

External Pay for and use the products

Customer/ End
User
IDENTIFICATION OF
CUSTOMER
Employees
Internal
Owners

Organization
Suppliers

External Customers

Government
 HANDOFFS
While documenting a process, it is important to mention the responsibility at a
person and department level, at each step
Handoffs happen when the process flow moves from responsibility of one person
to another
Process performance would significantly impact because of handoffs between
the department in an organisation. We may see the following impacts:
• Over all cycle time will increase
• Errors may occur in the process due to interpretation issues
• Interruption of process flow- loss or misplacement of work items
PROCESS DOCUMENTATION
A process should be well documented so that it is understood
by all.
The document should include:
• Process Name and Process Owner
• Process boundary- mention start and end point
• Operational definition (terminologies)
• Document process flow
• Defined control points and measurement
• Revision control
Source: Smartsheets
website
Discussion

You are required to illustrate the process

involved in an e-commerce firm, highlighting
the impact of process handoffs
Also identify the internal and external
customers
BUSINESS PROCESS MODEL

L1 – ORGANISATIONAL
LEVEL

L2 – BUSINESS UNIT

L3 – PRODUCT /
SERVICE

L4 – PROCESS
LEVEL
 BUSINESS PROCESS MODEL

Business process model consists of multiple levels where

• Level 1 – Organizational Level –The purpose is to establish standards and policies at

an organizational level. Ex: management process

• Level 2 – Business unit (BU) – all business processes for a business unit area within an
organization- delivering output at a business unit level. This refers to the division,
department of an organisation. Ex: HR, Finance.

• Level 3 – Product/service level – that focuses on service level performance. Processes

governing product performance or service levels are categorized under this head

• Level 4 – Processes aiming at respective tasks- Processes identifies at various logical levels of
delivering output
BUSINESS PROCESS MODEL
Example : process taxonomy for
educational processes

L1 – ORGANISATIONAL MGT Strategies,

LEVEL
objectives ,
policies
L2 – BUSINESS
Admission, faculty hiring,
UNIT marketing, placement,
outreach
L3 – PRODUCT / Scheduling classes,
SERVICE
certifications, placements
L4 – PROCESS
LEVEL Admission application to
student
onboarding
BUSINESS PROCESS MODEL
Example : process taxonomy for
Company B – BPO

L1 – ORGANISATIONAL MGT Strategies,

LEVEL
objectives ,
policies
L2 – BUSINESS
HR, FINANCE,
UNIT MARKETING,
SALES
L3 – PRODUCT / Recruiting, Consultancy,
SERVICE
IT,
support
L4 – PROCESS
LEVEL Employee on
boarding
Selection – access
card