Business process description in BDL

Structure of the business process description in BDL is – like corporate object description – determined by what we need to know about the process in question to measure, manage and maximize its performance. So what do you need to know about each corporate process?

1.      Process manager. Each corporate process must have one and only one manager responsible for its performance

2.      Function of the process in question in your business system

3.      IRACORACI statement. Any corporate process has the right to exist in your company only if it creates financial value (and is competitive in this respect with all outsourcing options). Therefore, you must know precisely how the process in question contributes to increasing revenues, avoiding costs, optimizing risks and/or avoiding increase in working capital and/or capex

4.      Financial valuation model. It is not enough to know how this process generates financial value. You need to know with reasonable certainty how much. To measure financial value generated by the process in question (as well as other financial KPI), you will have to develop a solid financial model for this process

5.      FEV statement. You also need to know how the process in question generates functional and/or emotional value

6.      To analyze a corporate process, you almost always have to perform decomposition of one or more of its subprocesses. Which requires construction of one or more decomposition diagrams (sometimes more than one level down)

7.      As we are following IDEF0 methodology for process visualization (visual modeling), we will need to describe and visualize ICOMs – Inputs, Controls, Outputs, and Mechanisms (in BDL broken down into Tools and Personnel)

8.      Process-related KPI. Both the list of KPI and a database of its values – historic and current; benchmark, planned and actual. Presented in KPI Scorecard.

9.      CBA questions. Both the list of questions and performance scores assigned by your business analysts to these questions. Presented in Aggregate Performance Scorecard

10.   Aggregate Performance Index (API) for the process in question

11.  ACRC.  Analysis, Conclusions, Recommendations and Comments. Based on CBA questions and KPI values

12.  Financial and operational plans for maximizing process performance