Process Maturity Workshop - abpmp

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Nov 6, 2013 (4 years and 4 days ago)

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Assessing Business
Process Maturity

Chicago ABPMP

October 2011

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Agenda

Topic

Speaker

Time

Round Table Discussion

Todd

20 minutes

BPM Maturity Overview

Brett

10 minutes

Forrester Model (BPMMM)

Jeanne

20 minutes

The Process and Enterprise Maturity Model (PEMM)

Todd

20 minutes

Process Strategy Group Model (PBMMM)

Pat

20 minutes

Networking Break

All

30 minutes

Group Exercise

All

20 minutes

Group Exercise Report Out

All

20 minutes

Group Findings & Discussion

Todd

20 minutes

Best Practices, Recommendations & Closing

Brett

10 minutes

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Round Table Discussion


Are you using a maturity model?


Why or
why not?


If you are using one


which one are you
using?


How are you using it and what value does
it provide you?


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Maturity Models Overview

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Maturity Models


Stages of Growth Models



Manufacturing Maturity Model



Capability Maturity Model (CMM)



Other IT Maturity Models



Proliferation of Maturity Models


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Meta Model


Levels (Stages of Growth)



Categories



Characteristics



Assessment Models



Prescriptive Models


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BPM Maturity Models


AIIM


Amentra


Appian


APQC


Becker, Jorg


BPMG (8 levels)


BPTrends/Harmon


Cordys (SaaS BPMM)


EABPM (European
Association for BPM)


EDEN


Forrester


Gartner


Global360


Hammer



Huffner, Tapio


IBM


IDS
-
Sheer (Software AG)


Innovation Value Institute


Knowledge Partners
International


McQueen Consulting


OMG (BPMM 1.0)


Oracle


Queensland University of
Technology


SMS Management


XMPro

© 2011 Forrester Research, Inc. Reproduction Prohibited

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© 2009 Forrester Research, Inc. Reproduction Prohibited

Forrester Business Process Council
Maturity Model



Jeanne Strepacki

Director, Business Process Council

Forrester Research

October 12, 2011

© 2011 Forrester Research, Inc. Reproduction Prohibited

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BPM maturity is about achieving the
right balance for your organization.

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Agenda


What is the Business Process Council?


Why did we launch a Maturity Model for the
Council?


What does the model include and why?


How do our members use it?

© 2011 Forrester Research, Inc. Reproduction Prohibited

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Forrester Leadership Boards

A premier service level designed to help business process leaders solve business
problems with a curriculum using peer and Forrester insight.





8 Boards, 1000+ members, $1B+ companies


Application Development & Delivery Council



Business Process Council


The CIO Group


Enterprise Architecture Council


Information & Knowledge Management Council


Infrastructure & Operations Council


Security & Risk Council


Sourcing & Vendor Management Council


© 2011 Forrester Research, Inc. Reproduction Prohibited

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Identifies strengths and areas for improvement within an organization.

Forrester Business Process Maturity Model
-
based
assessment process


Guided by advisor


Connect to peers with
similar challenges


Peer best practices


Analyst expertise


Compare current
state to desired state


Prioritize gaps to
work on

© 2011 Forrester Research, Inc. Reproduction Prohibited

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Forrester Business Process Maturity Model:

Self
-
assessment

© 2011 Forrester Research, Inc. Reproduction Prohibited

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Five Levels of Maturity

0


nonexistent

Not understood, not formalized, need is not recognized

1


ad hoc

Occasional, not consistent, not planned, disorganized

2


repeatable

Intuitive, not documented, occurs only when necessary

3


defined

Documented, predictable, evaluated occasionally, understood

4


measured

Well
-
managed, formal, often automated, evaluated
frequently

5


optimized

Continuous and effective, integrated, proactive, usually
automated

© 2011 Forrester Research, Inc. Reproduction Prohibited

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Critical Areas For Business Process Pros Leading Business Process Change

June 2011
“Health Payers Search High And Low For Their Business Transformation Edge”


© 2011 Forrester Research, Inc. Reproduction Prohibited

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Business Criteria


Strategic objectives


Cross
-
domain consistency


Customer empowerment


Competitive forces


External impact on process


Business architecture


Transformation project portfolio

© 2011 Forrester Research, Inc. Reproduction Prohibited

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Process Discipline Criteria


Methodology


Change management skills


Change management effectiveness


Change management tactics


Process ownership


Process governance


Established goals


Measurement and reporting


Executive knowledge


Executive leadership

© 2011 Forrester Research, Inc. Reproduction Prohibited

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Technology Criteria


IT
-
business process alignment


Business process tools


Technology skills


Alignment with MDM


App Internet/mobile strategy


Social and cloud strategy

© 2011 Forrester Research, Inc. Reproduction Prohibited

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BPM maturity is about achieving the
right balance for your organization.

© 2011 Forrester Research, Inc. Reproduction Prohibited

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Forrester’s perceived current and future balance
requirements


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How our members will use the tool


Part of onboarding process


Advisor/Member jointly create
roadmap: prioritize gaps to work
on


Resource for best practices


Quarterly updates


Annual check
-
up

© 2011 Forrester Research, Inc. Reproduction Prohibited

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Thank You!

Jeanne Strepacki

Global Council Director

+1 617/613
-
8110

jstrepacki@forrester.com


Christophe Torride

Senior Advisor, EMEA

+33 1 4758 9342

ctorride
@
forrester.com


David D’Silva

Associate Advisor

+1 617/613
-
6165

ddsilva@forrester.com



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Todd Lohr

Michael Hammer’s

Process & Enterprise Maturity
Models (PEMM)

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Process Maturity


Process Maturity provides a methodology to assess the
ability of our processes to provide optimized
performance to the business


More mature process capabilities will drive enhanced
business results


Process Maturity provides the framework to establish our
process structure and guides development of a process
roadmap


The process maturity framework reviewed here is based
on the Process Enterprise Maturity Model (PEMM)
developed by Michael Hammer and summarized in
The
Process Audit, Harvard Business Review, April 2007

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Process and Enterprise
Maturity Model

Process Maturity Models



A tool to help organizations
plan and manage their transitions to process. Consists of:


a framework for assessing the maturity of any
particular business process and


another for assessing the maturity of an enterprise as
a whole.

PEMM



a framework that helps executives comprehend, plan and
assess process
-
based transformation efforts. Companies need to
ensure that their business processes become more mature


that they
are capable of delivering higher performance over time. Companies
must deliver
process enablers
which pertain to individual processes and
enterprise capabilities
which apply to the entire organization.








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Process Maturity

Process Maturity can be viewed on two
-
dimensions:


Process Enablers


maturity of our individual processes to drive
process transformation within our business areas


Enterprise Capabilities


foundational requirements across the
enterprise to enable successful process transformation within our
processes

Enterprise Capabilities

Process
Enablers

Process
Enablers

Process
Enablers

Process
Enablers

Process
Enablers

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Effective process organizations require capabilities within the
enterprise to sustain their efforts


These are the things that as an enterprise need to be in place to
sustain process transformation and are the responsibility of the
central Process Competency Center driven through the Process
Owners


The
Enterprise Capabilities

are:


Leadership



to authorize and enable the effort


Culture


a value system receptive to what process entails


Expertise


capability to plan and execute process transformation


Governance


a system to manage the effort and ensure it doesn’t fall apart


Prerequisites of Process

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Enterprise Capabilities
-

Key
Aspects


Leadership


Knowledge


Alignment


Behaviors


Style


Culture


Teamwork


Customers


Responsibility


Change



Governance


Process Model


Accountability


Integration



Expertise


Personnel


Methodology

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Process Enterprise
Capabilities

Fitting them together

Culture

Governance

Expertise

Leadership

establishes

shapes

develops

enables

informs

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Enterprise Capabilities


Stronger organizational capabilities makes for
stronger enablers, which allow for better
process performance. 13 different dimensions
across


E
-
1


E
-
2


E
-
3


E
-
4









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Enterprise Maturity Scoring

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Process Enablers


Process enablers are required for each process for
sustained performance


These are the things that each process team needs to
focus on for their respective process


Design

specification of how the work is performed


Metrics

used to assess and assure performance


Owner

required to manage E2E view of the process


Performers

knowledgeable users to ensure execution


Infrastructure

required supporting mechanisms

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Process Enablers


Determine how well a process is able to function over time. They encompass


the comprehensiveness of a process’s
design


the abilities of the
people

who operate the process


the appointment of top
-
level
process owner

to oversee the process’s
implementation and performance


the match between the organization’s information and management
systems


the process’s needs and the quality of
metrics

that the company uses to measure
process performance.



Enabler’s strength determines how mature a process is


P
-
1 process is reliable, predictable


P
-
2 process delivers superior results because the company has designed &
implemented it from one end of the organization to another


P
-
3 process delivers optimal performance because executives can integrate it with
other internal processes to maximize company’s performance


P
-
4 process is best in class extending back to suppliers and forward to customers





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Process Maturity Scoring

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Process Strategy Group Model

Process Based Management
Assessment and Roadmap Model


Pat Dowdle
-
Process Strategy Group

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PSG View of

Process
Based Management

Copyright 2011 Process Strategy Group All Rights Reserved



Leverage existing programs



Identify linkages



Develop common terminology



Processes named



Boundaries identified



Standard methodology



Infrastructure established



Measurement Architecture



End
-
to
-
end performance



Best Practices



Benchmarks



Awareness & Communication



Executive leadership



Process included in strategy



Voice of the Customer



Customer driven Products & Services

A holistic
management approach

that focuses on:

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Focus of PBM

Process Maps, Value Chains,
Control Charts, Strategy Maps,
etc.

Continuous Improvement, Lean,
Six Sigma, ISO, Target Costing,
Balanced Scorecard, Baldrige,
etc.

Strategy, Operating Plan,
Corporate Initiatives

Process Based Management,
Cost Management, Brand
Management

Examples

Individual
processes

Enterprise
management
approach

P

B

M

Copyright 2011 Process Strategy Group All Rights Reserved

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PSG PBM Assessment Evolution

• Research from 1994
-
1997

• Experiences of 7 companies heavily engaged


in reengineering, with negative consequences

• Developed an approach to becoming process based

• 1998
-
2004: 15+ companies

• 5 case studies and additional research


-

Bell Canada, Stat Oil, US Marine Corp, Boeing/USAF, Santee Cooper

• Developed the PBM Loop for evaluating implementation


progress

• PBM Program: 2004
-
2008: 15+ companies



Developed an Assessment Model to evaluate progress



Develop a Roadmap on how to implement PBM

• 2008
-
now: Ongoing development and supporting tools

• Free Quick Assessment and Assessment for an Organization



Process Perspectives Newsletter: results of Quick Assessment


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Assessment and Maturity

Assessment

Maturity

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Why do an Assessment?


Enlist and secure management support


Engage staff in adapting to new process
culture


Establish a baseline


Identify and address Gaps


Leverage Strengths


Create actionable plans


Alignment of strategy to process


Copyright 2011 Process Strategy Group All Rights Reserved

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Results from Quick Assessment:

Copyright 2011 Process Strategy Group All Rights Reserved

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PBM Assessment Categories:

How they relate

Copyright 2011 Process Strategy Group All Rights Reserved

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Copyright 2011 Process Strategy Group All Rights Reserved

Category Descriptions

Examines how your business strategy and Process Based Management
(PBM) strategy integrate. Evaluates how the organization executes its plan
for implementing and continuously improving PBM.

Examines the roles, responsibilities and structure in place to oversee the
implementation and management of PBM.

Examines the extent to which PBM deployment has been achieved, your
approach for cross
-
process integration, alignment with improvement
methodologies, and stakeholder involvement.

Examines how measures are designed and monitored to track the
implementation of PBM. Evaluates PBM implementation against leading
practices.

Examines the structure and practices for capturing and utilizing process
knowledge.

Examines how you communicate PBM strategy, develop and maintain PBM
competencies, and adapt your culture to PBM.

Strategy & Planning


Governance


Deployment

& Integration

Evaluation

Culture & Adaptation


Process

Knowledge Management

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The Roadmap to PBM


Pathways for moving between Stages


Detail steps for each Pathway


What, Why, How, Who


Inputs & Outputs

Copyright 2011 Process Strategy Group All Rights Reserved

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Stages:

Copyright 2011 Process Strategy Group All Rights Reserved

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PBM: Check up & Prognosis

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Quick

Mini

Full



Web
-
based survey



Initial baseline



Overall Score



Stage of Roadmap



Limited feedback



2 Options



Free


Multiple Participants



Web
-
based text responses



25 question set



Targeted to Leadership



Online Feedback session



Prescriptive action plans


utilizing Roadmap



Focused on gaps and


strengths



Integrated Assessment System



Complete criteria



Onsite interviews with key


personnel



Full feedback session with


senior management



Extensive feedback report



Prescriptive action plans

PBM Assessment Types

Copyright 2011 Process Strategy Group All Rights Reserved

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Culture and Adaptation
-


Quick Assessment Questions


How are process efforts
communicated to the
organization?

a) there is limited communication

b) Some communication occurs
in newsletters, emails, and
departments meetings

c) Communication of process
efforts and results are
frequently done to process
teams and performers

d) Communication of process
efforts and direction is ongoing
in all meeting agendas,
newsletters, strategy
discussions, and other
methods of communication



The role our senior leaders
play in the Implementation
of Process efforts:


a) They have a limited role


b) They are aware of the efforts , but
not the driver


c) They drive the efforts based on
current pain points


d) They drive the effort based on
strategy



Copyright © 2011 Process Strategy Group, LLC

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Quick Assessment Output

Copyright 2011 Process Strategy Group All Rights Reserved


Take it Yourself :http://www.processstrategygroup.com/Quick_Assessment.html

© 2011 ABPMP

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Full Feedback Report:

QA for an Organization


We provide
you with a full
feedback
report that
highlights your
results

Copyright © 2011 Process Strategy Group, LLC

© 2011 ABPMP

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Process Strategy Group


www.ProcessStrategyGroup.com



Learn more or take the Free PBM

Quick Assessment at




Learn more on the PBM Quick Assessment for an Organization at


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Group Exercise

Self Assessments

Break Into Groups

Pick a Model

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Group Findings & Discussion


What did you find?


How easy was it to use?


What value do you think your organization
could get from using a maturity model?


Do you think you have enough
management maturity to begin using a
BPM maturity model?

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Conclusion

Using Maturity Models

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Why Use a Maturity Model


Assessment


Improvement


Transformation


Management Framework


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How to use a maturity model


Choosing/customizing/building a model


Process Improvement/Transformation


Process Management


Internal (Productivity, Quality, Control)


External (Positioning, Differentiation,
Strategy)

Not the CMM…

Level 1: Initial

The software process is ad hoc, and occasionally even chaotic. Few processes are defined, and
success depends on individual effort and heroics. Frequent late nights and hollow, sunken eyes
are common. Programmers at each others' throats. Managers mostly very angry.

Level 2: Repeatable

Should a similar project be run, it would probably be just as chaotic. Team leaders have slim
control over the programmers. Project manager has installed MS Project, and printed out
reams upon reams of Gantt charts which have already started to block doorways and
commonly used pathways, e.g. from "zoo" area to kitchen. More late nights than not.
Programmers generally civil to each other, but often murmur discontentedly behind each
others' backs. Managers have bouts of rage during progress update meetings.

Level 3: Defined

The software process is documented, standardized, and integrated into a standard process for
the organization. Managers express keenness to use the process for any new projects, as soon
as all the current projects are finished. Programmers spend more time filling out forms than
writing software.

Level 4: Managed

Accurate metrics are collected for each project, as and when it fails. Detailed "post
-
mortems"
explain why the organization's standard process was not used yet again. Programmers spend
large proportion of day updating CV and hanging around the popular job sites.

Level 5: Optimizing

A miracle worker was passing by one night. Programmers angry because most of the jobs out
there are made
-
up.

Source: July, 2003; http://www.bad
-
managers.com/rumours/cmm_level_one.shtml


Presented at ISACA, January 8, 2004

The roman empire Maturity Model

Complete
dominance

cultural
conquest

Mercantile
conquest

Military
conquest

Explore

(1)

ad hoc Process

Conquer

(2)

martial Process

occupy

(3)

commercial Process

colonize

(4)

Acculturation Process

assimilate

(5)

Diplomatic Process

Romans are
everywhere

Bow down to
Rome, send
tribute

roman empire

We are the
world

Getting to
know you

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When all else fails…

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Your Feedback Is Important


Does this workshop format work for you?


Topics for future workshops


Speakers/Topics for talks


Anything else


Send to: Officers@ABPMPChicago.org