Process description: why and how?

ERP stands for “Enterprise Resource Planning”. ERP is software that supports all processes within a company. And because all processes are supported by only one ERP system, the data of customers, items, suppliers, etc. only need to be entered once.

Do you know where your organization's process descriptions are located and do your employees know that too? In our practice, we come across process descriptions in all shapes, sizes and, above all, versions. They are rarely up to date and are considered a mandatory number for SOX, Quality Assurance or IT implementation. Why should we describe business processes in the first place? What is the added value? Can process descriptions and process requirements be effectively secured in the organization?

Why process descriptions?

Describing processes is the most concrete and also structured form of recording knowledge in the learning organization. Knowledge that can be shared when new and/or temporary employees need to contribute to the organization.

In addition, it is certainly knowledge that does not disappear immediately after an employee suddenly leaves your organization.

Organizations are increasingly dealing with supervisors (tax authorities, AFM, DNB, Food & Consumer Product Safety Authority, etc.). The supervisor wants to know whether an organization controls the processes.

Last but not least: process description is essential for professionalization in, among others, the following areas:

• ERP package selection or redesign/migration
• Risk management
• Steering
• Cost efficiency
• Optimization

Insight into and understanding the underlying processes and process chains should ultimately lead to effective control and management of these processes and process chains, better and/or higher output and therefore higher returns for the organization. Theorem: “It is impossible to improve a process if you have not described the processes.”

How do you describe processes?

First of all, it is important to note that there is a wide variety of process description methods and tools that can support this. Regardless of the chosen method, there are a number of generic principles that help to identify processes effectively and efficiently and keep them up to date.

Principles

• Keep an overview and provide an outline “process plate”.
• Initially, describe which products/services are provided for which customers (value chains).
• Cut the value chain into logical process steps.
• Opt for a cross-departmental and interactive approach; let stakeholders clarify how they work together.
• Structure the processes by nature and timeliness.
• Identify process triggers (input), the actual activity to be performed (Throughput) and the products to be delivered (Output).
• Deepen the processes into activities and record what the activity includes, who does it and possibly refer to work descriptions.
• “Keep it Short and Simple”.

A process description is a first step towards process improvement. We hope to have provided you with tools for your current or future project.

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