| The more you understand something, the more | | | | Changing this mindset often requires an executive |
| you're able to develop and apply adequate concepts | | | | mandate, which can be easier said than done, |
| to explain it, the less complex and chaotic it becomes. | | | | because many executives do not excel at balancing |
| This requires a fundamental understanding of what's | | | | strategic planning and tactical execution. |
| being done, how it's being done, and why it's being | | | | A mature process management program reflects an |
| done. | | | | optimal balance of strategic planning and tactical |
| When understanding produces innovation, it's coupled | | | | execution. Simply stated, tactical execution is the |
| with the ability to differentiate between seemingly | | | | process of getting things done. Strategic planning is |
| similar objects, and/or finding similarities between | | | | the analysis needed to get things done better, faster |
| seemingly unrelated objects. These are the core | | | | or cheaper. |
| objectives of process management. When realized, | | | | Strategic planning cannot be implemented without |
| these objectives enable companies to increase | | | | tactical execution, and tactical execution cannot be |
| customer value, lower operating costs and | | | | made optimally efficient without strategic planning. |
| differentiate themselves from the competition. | | | | Put another way, a company cannot exist without |
| Many think of people as differentiators, because | | | | tactical execution, but its organic growth will always |
| they're a company's costliest and most valuable | | | | be impeded without strategic planning. Unfortunately, |
| asset. Over time, most companies attempt to | | | | many companies become so overwhelmed with the |
| improve the output of their people through | | | | immediacy of fulfilling tactical requirements, they fail |
| technological advancements (hardware, software or | | | | to plan (and execute) strategically. |
| other tools intended to change workflows). | | | | This evokes the second universal truth. Many |
| Unfortunately, many of these improvements fail to | | | | organizations are so internally focused, management |
| achieve optimal results, due to the absence of a | | | | cannot see the extent to which their processes are |
| structured, repeatable, reliable and flexible framework | | | | broken. In this environment, hard work is often |
| designed to optimize company performance levels, | | | | mistaken for results, and it's exceedingly difficult to |
| i.e., a process. | | | | distinguish controllable objectives from those that can |
| A standard process for optimization - combined with | | | | merely be influenced. |
| technology supporting people - forms a critical | | | | When these organizations finally notice the pieces of |
| foundation for companies serious about calling | | | | broken processes lying around them, the reaction is |
| themselves "world class" or "industry leader." | | | | often a series of ad hoc attempts to patch things |
| However, processes are not only managed from the | | | | back together, because they don't know how to |
| top-down. They're also managed from the | | | | start over by applying a metrics-driven approach to |
| bottom-up. To understand an organization's process | | | | root cause analysis. The end result is time, money |
| and technology needs, three universal truths about | | | | and energy repeatedly wasted fixing things destined |
| the human condition should be acknowledged. | | | | to break again. |
| First, given a choice, people will almost always choose | | | | The irony is that a company's resistance to change is |
| the action that's quickest, easiest and/or most | | | | often proportionate to the past success it's enjoyed |
| familiar - from their perspective. In order to affect | | | | with processes and business models that no longer |
| change, you need to change the perspective people | | | | work. This produces an organization lacking the agility |
| have on their processes, as well as their choices for | | | | and coordination to respond and adjust to changing |
| getting them done. | | | | technology demands, market conditions and |
| Change often introduces complexity and uncertainty. | | | | personnel needs. This is the third universal truth. |
| The more complicated an issue is, the more people | | | | Understanding and accepting these truths is required, |
| are prone to oversimplify the solution, in an effort to | | | | before the journey toward business process |
| find the quickest, easiest and/or most familiar path. | | | | management optimization can begin. |