Business Process Analysis (BPA)

Overview

• BPA is a discipline within Business Process Management (BPM).
• It focuses on specific analysis of processes to increase efficiency, improve governance, and enhance company culture.
• Distinct from Business Analysis (BA), which is high-level and related to operational analysis like financial forecasting.

Benefits of BPA

• Increases Efficiency: Optimizes existing processes (e.g., employee onboarding).
• Improves Governance: Reveals compliance issues and sets plans for improvement.
• Enhances Culture: Improves employee experience by refining processes.

Philosophies Guiding BPA

• Six Sigma: A five to seven step methodology for analyzing efficiencies and constraints.
• Lean Six Sigma: Combines Six Sigma with Lean principles, focusing on eliminating non-value tasks and resources.

Five-Step Structure for Implementing BPA

1. Define

   • Identify the process to analyze, starting with "as is" processes.
   • Ensure the process is formalized and documented.

2. Measure

   • Assess the process against defined metrics like KPIs.
   • KPIs indicate effectiveness, quality, productivity, and value.
   • KPIs vary by process type (e.g., customer engagement).

3. Analyze

   • Conduct analyses such as value analysis, gap analysis, or root cause analysis.
   • Value Analysis: Identifies the value and waste within a process.
   • Gap Analysis: Highlights missing elements in the process.
   • Root Cause Analysis: Involves asking "why" to determine the cause of issues.

4. Improve

   • Develop and execute plans to rectify issues within the process.
   • May involve remapping, resource adjustment, or changing communication methods.

5. Control

   • Utilize analysis findings to manage resources and processes.
   • Monitor changes for future analysis.

Hyper Automation

• An emerging $600 billion industry.
• Involves using AI and robotic process automation to automate traditionally human-performed tasks.
• Example: Customer service centers using automated chatbots to reduce costs.

Conclusion

• BPA provides a structured approach to analyze and improve business processes.
• Helps in identifying strengths and areas for improvement within processes.
• Essential for moving towards hyper automation in modern industries.