Do you often find yourself with no time and want to standardise the process and procedures of the organisation?
That’s actually the right thing to do! A process-driven organisation is 50% more productive and has a 70% less chance of failure.
According to a report published by Davenport, a process-driven approach is well-structured and is designed to produce a predictable outcome for your business. Applying a process-driven approach allows transformation in the operations and creates stability.
In this blog, we will discuss the setup of a process-driven organisation and how this organisational structure works.
What is a Process-driven Organisation?
Traditional people-based management systems have a huge dependency on the expertise of talented individuals. At times, it could be very risky in the case of such people’s non-availability.
On the other hand, the process-driven approach focuses on building efficient systems, standardised procedures, and the development of streamlined workflows.
A process-driven organisation is one that mainly focuses on sharpening its working process and systems in a way that people can gain mastery over the role in no time.
It also allows managers to identify the loopholes in their organisation while making it highly efficient. This system is superior to other organisational systems as it enables increased efficiency, sustainability and growth of the organisation.
Why Develop a Process-Driven Organisation?
A process-driven organisation is basically a process-dependent organisation rather than people-dependent one. It is structured systematically with defined workflows and procedures that guide every aspect of its operations even in the absence of people.
The following are the benefits of a process-driven organisation:
Reduces Dependency
A process-driven approach minimises dependency on specific individuals by shifting the focus from individual expertise to standardised procedures.
This enables work operations to run smoothly without being reliant on the availability of people.
Every organisation must have clear processes in place to mitigate the risks associated with dependency on core members.
Increases Transparency
Well-managed and documented business processes loop the organisation’s functions across departments. In the process of outlining all the actions needed to carry out a job role, a transparent work culture is created, where everyone is on the same page with the set objectives. This also enhances the clarity and expectations of each individual associated with the specific job.
Further, transparency in operations also counteracts productivity blocks and facilitates free-flowing discussions, especially during the decision-making process.
Efficient Processes
In the absence of clearly defined processes, the dependency on people increases. This creates a culture of working in silos that puts an organisation at risk of internal politics. It results in information log jams among the various stakeholders. Ultimately, the very purpose of teamwork is compromised.
However, the same is not true for process-focused business.
Because of the documented and well-defined processes, tasks are performed the same way every time. Thus, resulting in the reduced dependency on people, elimination of indirect losses and minimisation of errors.
Every manager should streamline workflows within his business for better efficiency, transparency, increased collaboration and accountability among the team members.
Eliminates Redundancy in Work
Business process documentation also allows you to define those activities that are unnecessary and can be excluded. This minimises duplication of efforts and prevents overlapping of responsibilities.
With the defined roles and responsibilities, everyone knows who does what and how to deliver consistent quality to customers within available resources.
Time-Saving Approach
A process-oriented approach saves time and resources as employees have standard guidelines to perform their job role in a more efficient way without having to innovate the processes on their own.
This allows them to utilise the time that would have otherwise been spent on less productive activities to enhance their productivity through engaging in value-added activities.
Structured workflows make it easy to map out each phase of the process, thus leading to higher productivity and better efficiency.
Continuous Evaluation of Performance
Standardised processes allow the setting of benchmarks for performance, such as Key Performance Indicators (KPIs). They are used to measure the effectiveness and efficiency of processes.
During the process of evaluations, managers can easily discover areas of improvement, fostering a culture of innovation and resilience within the organisation. Employees’ ability to work productively in changing business environments benefits the organisation immensely.
This also prevents employee distractions and results in the continual improvement of everyone associated with the organisation.
How to Set Up a Process-Driven Organisation
Setting up a process-driven organisation involves the following strategies that give more emphasis on developing a standardised process across all aspects of your business:
1. Define Your Objectives
- Identify the objectives and vision of your organisation.
- Create a detailed outline of desired outcomes, such as increased efficiency, improved customer satisfaction, or reduced errors.
2. Identify Key Processes
- Determine the critical processes within your organisation.
- This includes sales processes, marketing processes, and manufacturing processes, among others.
3. Document Your Processes
- Clear and concise documentation reduces confusion and disruption.
- Document each process with step-by-step instructions, detailing KPIs and responsibilities.
4. Standardise Your Processes
- Ensure uniformity and consistency across teams and departments.
- Standardised processes help measure performance more effectively and support ongoing improvement efforts.
5. Provide Proper Training and Communication
- Train employees on the importance of a process-centric approach.
- Equip them with the necessary skills and knowledge.
- Effective training ensures everyone understands their roles and can follow standardised processes.
6. Regularly Monitor and Improve
- Continuous monitoring and improvement are essential.
- Regularly review performance data and KPIs to identify and address inefficiencies.
- Ensure that your organisation remains agile and competitive.
7. Treat Technology as Your Ally
- Use systems to document, optimise, and monitor your processes.
- Technological solutions can help capture process data, establish governance mechanisms, and ensure consistent adherence to established procedures.
Wrap Up
Having a process-driven approach results in a transparent and efficient business.
Organisations that have developed standardised processes and procedures deliver high-quality services in less time and effort compared to people-driven structures.
With streamlined workflows, employees find it much easier to deliver consistent quality to customers within accessible resources without having to innovate the process. Hence, an organisation with a process-driven approach can provide better results than those without it.
Read about ways to build a trustworthy organisation here.
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