Business process analysis (BPA) is a commonly used business analysis technique identifying key areas that need to be addressed in current company processes. Using BPA tools and techniques, businesses are better equipped to capture process information, define a future state, and understand the current state of their critical processes.
Finding a competitive edge in a crowded marketplace is no easy feat, but by performing a BPA, an organization can discover its strengths, weaknesses, and opportunities. Through BPA, companies can find ways to increase process speed and decrease cycle time, while also enhancing quality and minimizing costs like materials and labor.
Differences Between Business Process Analysis & Business Analysis
Business process analysis is often confused with business analysis. The two techniques have some similarities; however, there are also distinct differences. BPA involves collecting data and making recommendations based solely on the core processes of a business. Business analysis, on the other hand, is used to identify needs or problems within an organization associated with market research, financial controls, and similar issues.
When to Apply Business Process Analysis
BPA assists companies with understanding their business processes in a clear and visual way which can aid in decision-making. Here is a look at some common issues that are often indicators that a business will benefit from BPA.
Increased Amount of Customer Complaints or Delays
An increase in customer complaints or delays can be caused by poor customer service, subpar goods and services or hidden information and costs. Business process analysis can identify underlying problems and find solutions to prevent unsatisfied customers. Data regarding customer complaints should be continuously examined to help a company improve over time.
Stakeholders are Unsure as How to Carry Out a Process
The main idea of BPA is simple. It focuses on identifying and clarifying a problem within a company, then working with stakeholders to define and implement a practical solution. Business process analysis can guide stakeholders who may be unsure as to the best way to carry out a process.
Existing Process is Not Efficient
Replacing or updating an existing process typically involves redesigning the process to eliminate the problems identified. Next, the resources needed to implement the new process must be secured, implemented and then reviewed for accuracy.
Benefits of Business Process Analysis
Modern businesses want to take the extra measures to understand, document and improve their business processes. Business process analysis can provide companies with a host of key benefits that aim to help a business grow and thrive in a competitive marketplace.
Benefits of Business Process Analysis Include:
Greater Understanding & Documentation of Processes
Through BPA, business leaders gain a deeper understanding of processes such as production, sales, operations and customer service. This documentation captures and records, both manual and non-documented processes, and can be used for reference when strategizing business processes and creating process manuals for both the public and private sectors. Performing a business process analysis can also uncover hidden details that provide organizations with insight into the flow of their business processes. This identifies bottlenecks, risks, unusual transactions and inefficiencies.
Extensive Data on Process Performance
Business process analysis can provide companies with the data they need to determine how their processes are performing and if they need to make modifications to their strategies. This information identifies problem areas that may be causing delays or affecting the buyer experience.
Opportunities for Digital Transformation
In many cases a BPA process will uncover significant weaknesses in a company’s IT systems, situations where highly manual processes could be automated via software, or where integrating disparate systems might dramatically increase business efficiency.
Identification of Delay Inducing Obstacles
Every business faces obstacles, but it is the manner in which they are approached that contributes to the success of a company. BPA can be highly effective in the identification of obstacles that may be causing delays, directly affecting the ability to maintain smooth operations. A business process analysis can also provide business leaders with valuable data that can aid in the decision-making process. When managers have the insight needed to make the right decisions, there are fewer hurdles to manage.
Enhanced Training for New Employees
Employees are a company’s most valuable asset and should be updated on all changes made to business processes. Providing new staff with enhanced training familiarizes them with these processes and prevents interruptions to the business. The overall purpose of employee training is to not only meet operational standards but to also improve employee performance levels and engagement. For training to be effective, there must be measurable and concise goals; a BPA can be useful for analyzing strategic training needs.
Reach Out to an Experienced Project Management Company
Of the available tools to streamline business, few are as effective as a business process analysis. Working business processes are essential to achieving your goals; to learn more about the business process analysis and how it will benefit your company, contact a specialist at Orases.