journey to process excellence

What is Process Excellence? | Definition, Benefits and Tips

November 1, 2022
in Business Process Management

Businesses measure success by measuring their key metrics – growth , productivity , longevity , and profitability . Leaders know that they must deliver consistent, quality output if their businesses want to crush their goals with these metrics. Both product and service-based enterprises need to tailor their approach to provide value . The best way to get an excellent product is to set up excellent, efficient, and effective business processes .

At the end of the day, process excellence is a win-win for all concerned. Owners, leaders, and employees enjoy profits, while customers benefit from the value of the end product or customer service. Wh en we see the power of robust process management , it’s no wonder that process excellence is a goal that many successful businesses aspire to achieve. This article will analyze what process excellence is, dive deeper into the obstacles businesses face, and share tips to attain process excellence.

What Is Process Excellence?

Process excellence, also called business process excellence , is a method for improving business processes to enhance efficiency, effectiveness, and productivity. To attain process excellence, a process is examined, changed, and tested until it fulfills the objective. Additionally, it sets a benchmark for quality against which processes are evaluated. The process excellence goal is to optimize the process while considering all variables in order to achieve continuous process improvement .

Process excellence emphasizes that there is never a final level to attain and that continuous monitoring is crucial. As long as a procedure is in place, there will always be opportunities to streamline it , make it more efficient , and produce better results . Businesses identify and address bottlenecks, fix issues that may arise in a process, and monitor the progress of a process.

What Are the Obstacles to Process Excellence?

As with many things in life, goals are rarely achieved without the right drive . Once leaders and employees get the motivation to improve, that’s when sustained expansion can occur. However, even with the best intentions, achieving process excellence is much easier said than done.

On the flip side, some management leaders are overly pessimistic about the investment they would need to improve their processes and are unsure about the ROI. If they believe that the ends may not justify the means, they are less likely to make any changes to their current processes. Unfortunately, sooner or later, the gaps in processes usually widen if they aren’t resolved or improved, leaving these companies lagging behind competitors who focus on process excellence.

What Are the Benefits of Process Excellence?

When measuring sustainable business success, it’s important to look beyond profitability. The other benefits of process excellence include:

Satisfied, loyal employees
An agile workforce
Effective teamwork
Smooth integration of technology
Reduced risk of human error
High standards
Improved productivity
Value-based products and services
Happy customers
Sound market reputation, solid brand identity

Now that we understand the benefits, how can businesses work toward process excellence ?

5 Tips to Bring About Process Excellence

1. keep an eye on it.

Peter Drucker famously said, “ If you can’t measure it, you can’t manage it. ” If you don’t measure, then how do you know how you are doing?

The best way for companies to keep an eye on their processes is to visualize and track their progress . Looking at the big picture, efficient management methodologies and tools like the Six Sigma principles can help achieve the required results by delivering consistent, positive outcomes with minimum variation.

As a business manager, when you break down each business process and analyze each step, you can clearly understand potential loopholes. Reviewing your processes regularly will help identify and eliminate risks on time. Business Process Management platforms align the delivery of business goals through the organization, management, improvement, and automation of simple or complex processes.

From time-tracking software to programs that monitor your budget and resources, the right technology can help you keep an eye on each step of your business process. Even the most successful businesses may find it challenging to keep up with daily operational costs while working toward sustainability and growth. You need working capital to:

Successfully maintain your processes
Account for emergencies
Tide through cash outflows
Fund new opportunities when they arise
Expand your services or product line(s)
Keep up with seasonal demands
Invest in new technology
Onboard skilled manpower

When you constantly evaluate and measure your requirements, you will know how much working capital you need at any time.

2. Keep It Lean

Shigeo Shingo, an expert on manufacturing practices and the Toyota Production System, said, “ The most dangerous kind of waste is the waste we don’t recognize. “

Process excellence involves improving existing steps and tasks by planning, organizing, and preparing for long-term growth. When you know your business goals, you can then map out the best and easiest way to get there. However, it is equally important to recognize what to avoid.

When you identify ways to save money, resources, and time without compromising on the quality of your output, you eliminate waste and keep your processes lean .

3. Keep It Agile

“ Excellent firms don’t believe in excellence — only in constant improvement and constant change .” Tom Peters said.

Businesses need to be more productive and innovative when they want to beat the competition and scale up. However, the last few years have taught us that we also need to expect the unexpected. So, staying on our toes and remaining agile is the key to survival and long-term growth.

Keep up with the latest trends in your industry to identify which processes you can change or upgrade to build a business model that truly evolves with the times!

4. Keep It Customer-centric

Customers keep businesses in business! So, it’s easy to understand why customers are the key ingredient to consistent growth.

This is also why you must keep your customer’s experience in mind when planning your processes. Invest in the time and resources required to understand your target audience and their pain points, and evaluate their touch points with your business. Then, you can identify ways to optimize your processes to satisfy them with personalized experiences and exceptional targeted services. This is process excellence at its best!

5. Keep the Culture Alive

“ Coming together is a beginning. Keeping together is progress. Working together is Success .” Henry Ford, Founder of the Ford Motor Company and sponsor of the Assembly Line said.

Creating a culture of process excellence starts from the top and makes its way down to the employees of any successful business. When the C-suite emphasizes the importance of continuously working on its processes, they lead by example.

Develop an “all hands on deck” approach when working towards process excellence. Involve and empower your employees and team members while making changes so that they are equally invested in the outcomes.

Another aspect of a productive culture is smoothening out kinks in the workflow.

People can’t work efficiently if their processes hinder instead of accelerating their progress. According to industry research, 36% of employees said visualizing their organizational goals more effectively would amplify their satisfaction and job performance. When creating your processes, walk in your employees’ shoes to understand their obstacles and find practical solutions. Satisfied employees are more motivated and willing to achieve more, which in turn drives home the need for continuous process excellence .

Conclusion

Process excellence is a time-perfected endeavor that corporations need to improve upon existing workflows and introduce new methodologies to ensure not only organizational success but also long-term benefits to employees and executives alike. The shapes and forms it takes depend on the industry, timeline, and objectives of your corporation. Whether you are setting up a new venture or optimizing your existing operations, working towards process excellence provides you with an evolving , flexible , and outcome-based business model that can survive and thrive! Make sure to keep our 5 handy tips in mind when mapping out your process excellence goals!

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A Guide to Process Excellence and How to Achieve it

Contrary to popular belief, business processes are not evergreen - a workflow that delivers high-quality results now might fail in the future. For a business to constantly deliver high-quality end results, all of its processes need to be improved from time to time.

To do that, businesses need a strategy called process excellence. Today, we live in an era where everything is automated, even business processes.

Chances are, your competitors have already achieved process excellence through automation or other means.

Do you want to know what process excellence entails and how to achieve it?

Then this article is exactly what you need to understand the strategies behind this in-demand technique that can skyrocket your revenue.

What is Process Excellence?

Process excellence, commonly referred to as PEX, is a strategy where a business process is analyzed for irregularities, and improvements are made to enhance the business performance.

PEX is more like a benchmark against which each business process is measured. If the output doesn’t match the PEX goal, then it is analyzed and improved to make the process better.

So, how can businesses know if they have achieved process excellence? What are the indicators that define process excellence? Here are some:

The speed at which the process is completed
Cost-effectiveness
Process transparency and visibility to all team members
The efficiency of the teams
Team collaboration and productivity
Consistency and sustainability
Workload and user-experience
Ability to meet end goals

These indicators will show the performance of your process. If they meet the PEX standards, then you’ve achieved process excellence.

How to Achieve Process Excellence?

Now you know the indicators that lead to process excellence, but how do you streamline those indicators to meet the PEX standards?

Here are six simple steps that’ll help you achieve process excellence:

1. Study the Process

Before you get started with the process, you should perform a thorough feasibility study – what is the scope, what is the client demand, and what resources do we have to complete the process?

You should not proceed with the process until you understand the process requirements and in-hand resources you have. Taking is well-researched approach is the key to excellence.

2. Map Out the Process

Once you’ve analyzed the requirements and resources needed to achieve them, the next step is to map out the process.

Your teams should know the flow of work – where the process starts, where it ends, and what tasks require cross-team collaboration.

These should be clearly addressed to your teams, and that’s why mapping out the process is crucial.

Start - Activity that triggers the process
End - Result which will conclude the process
Input - What input data or information does the process need
Resources - Who is involved in the process
Tools - What are the tools that’ll be utilized for the process
Database - Where the process data will be stored for everyone to view
Analysis - Testing the end result to calculate PEX

Mapping your process will relieve your team as they’ll know what tasks need to be done to complete the project on time.

3. Use the Right Tools

In this digital era, PEX cannot be achieved without the help of tools. Your teams cannot perform all the tasks manually – not only will it increase their workload, but it’ll also give rise to more unavoidable human errors.

Using tools doesn’t mean you’re replacing your employees with automation platforms. They are used to simplify their work and minimize their workload, so they can concentrate on more valuable tasks that’ll influence process excellence.

Ensure the tools are readily available before the process initiates to avoid mid-process bottlenecks.

4. Pick the Right Resources

If you truly want to achieve process excellence, you need to use the right team and assign the right tasks to them. If the process uses new technology, upskill your employees on the latest tech and prepare them.

You cannot achieve PEX if your team is not all the way in. Conduct team-building exercises to keep them focused and collaborative.

Ensure that all the teams know what other teams are working on; transparency will help them make better collaborative decisions.

5. Do a Test Run

Alright, you’ve got your gears and teams ready. Run the process in a test environment to see how your resources are engaging with the tools to make the process more efficient.

Ensure your teams are collaborating; if there is a lapse in communication, document it so you can fix them in the next stage. Analyze the data flow between teams, and in case of bottlenecks, report it.

6. Fix and Improve

Analyze all the data you gathered from the test run. Improve cross-team communication, upskill your teams to meet requirements, enhance data flow to avoid bottlenecks, and select the right tools to prevent those mishaps.

Employ all the improvements to the test process and deploy the process on a full scale after the upgrades are done. Now, your process should be far better than the one you ran in the test environment.

Check your new process against PEX standards. If they meet the standards, then congrats, you’ve achieved process excellence.

If they don’t, analyze the process and try improvements again. PEX cannot be achieved overnight. Keep running A/B tests on your processes to identify redundancies and bottlenecks until the process is streamlined.

You can also use these steps to improve your existing processes to achieve process excellence. It's more like a trial and error method, but once you figure out the secret to excellence, then it is just a walk in the park toward PEX until the next digital revolution occurs.

Best Practices to Follow in Process Excellence

1. analyze the current process .

Process excellence doesn’t mean you must map out and create an improved process from scratch. Sometimes, analyzing and improving your existing process will do the trick.

Analyzing your existing process will reveal your mistakes and other discrepancies. This will help you not only improve them but also stay away from them in the future.

2. Build a Solid Team with the Right Leaders

Your team is the core aspect of process excellence. Without a committed team, you cannot achieve PEX. So, train your teams and upskill them in relevant technologies to meet your process requirements.

Assign the right team leaders. They are not just supervisors; they must inspire the team and serve as the primary mode of communication during cross-team collaboration.

3. Accountability

Without KPIs, you wouldn’t have any data to tell you what needs to be improved. Without DRIs, you cannot improve your processes.

Key performance indicators and directly responsible individuals are crucial factors of accountability. Track KPIs and attribute them to the DRIs; accountability will increase focus and minimize slacking.

4. Automation

Automation is the lifeline of process excellence. There is no way to achieve PEX without the help of automation tools. They make it easier for your team to complete tasks with high accuracy.

It can take care of repetitive and exhaustive tasks, so your team can focus on the more valuable ones.

Multiple automation tools are available in the market. Hubler is one such tool that can help automate your repetitive business processes and empower your team to achieve process excellence.

5. Listen to Customers

No one knows you better than your customers. At times, you may not be able to identify your flaws, so ask for feedback from your customers and improve them in your next process. This will improve your process efficiency, save time and reduce costs.

Process Excellence vs. Operational Excellence

There is a huge misconception about the similarities between process and operational excellence.

Here's what you need to know:

Operational Excellence

Operational excellence is not about analyzing a process and making improvements. It has a more holistic view; it is about changing the organization's perspective and work culture.

It is the activity of improving every aspect of a company from the bottom up. Operational excellence demands the team change their perspectives and mindsets to increase business efficiency.

Process Excellence

In simple words, process excellence is a category under operational excellence. If the former is about changing the entire culture of the organization, then the latter is about improving a particular process’s performance.

Process excellence involves analyzing the process, identifying bottlenecks within a process, and fixing them to improve its efficiency.

Parting Thoughts

Business processes need to be improved from time to time in order to keep up with the ever-changing market, and process excellence is the way to do it.

In this article, we covered process excellence, steps to achieve PEX, and the best PEX practices. Employ them in your business to turn your process into a high-revenue yielding machine.

One major requirement to achieve process excellence is automation tools. Tools like Hubler were designed for businesses seeking to achieve process excellence.

Minimize the workload of your employees by automation cumbersome processes using Hubler. Let them focus on valuable tasks that’ll help you achieve PEX.

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What is process excellence?

Lari numminen, september 21, 2023.

Process excellence is a commonly used term within business process management . It can mean different things to different people. In this article we look at different perspectives and summarise what enterprise leaders need to know.

What is Process Excellence?

Process excellence is the practice of continually improving the efficiency, effectiveness, and quality of business processes and operations through an operational excellence framework. It is a combination of process improvement, process design, and process management techniques that strive to optimize organizational performance. Process excellence enables organizations to deliver better results and drive growth.

Why is process excellence important?

Process excellence is an ongoing effort to improve the way businesses operate and create value for customers, employees, and stakeholders. Organizations use process excellence to identify opportunities for improvement and create innovative solutions. Process excellence focuses on a range of different process-based activities, such as process mapping, process automation, and process reengineering. Process excellence is a powerful tool for organizations to improve the quality, speed, and cost of their operations. It helps organizations identify process weaknesses and design better solutions.

Process excellence vs Operational Excellence vs Business excellence

Process excellence, operational excellence, and business excellence are related concepts that focus on improving organizational performance.

• Process excellence (PEX) is the practice of continually improving the efficiency, effectiveness, and quality of business processes and operations.

• Operational excellence (OpEX) focuses on streamlining and optimizing daily activities and operations.

• Business excellence (BEX) focuses on creating customer value and achieving long-term organizational objectives. All three approaches are essential to achieving organizational excellence and creating a competitive advantage.

Top 10 process excellence tools and methodologies

Process excellence is neither an art nor a science. In fact, it's a combination of both. You can leverage a toolkit of different methodologies or systems to achieve process excellence in the workplace but there is no one standard way to achieve results. The top 10 process excellence tools to consider include:

Six Sigma : Six Sigma is a data-driven methodology focused on reducing process variability and defects. It utilizes statistical analysis to identify the root causes of problems and implement improvements. The methodology follows two project management frameworks: DMAIC (Define, Measure, Analyze, Improve, Control) for existing processes and DMADV (Define, Measure, Analyze, Design, Verify) for new processes.
Lean : Lean methodology aims to maximize customer value while minimizing waste. It seeks to create more value with fewer resources by eliminating non-value-adding activities or processes. Lean principles include: continuous improvement, respect for people, standardized work, pull-based production, and just-in-time production.
Kaizen : Kaizen is a Japanese term that means continuous improvement. It involves small, incremental changes aimed at optimizing processes and eliminating waste. Kaizen encourages employee involvement and teamwork, fostering a culture of continuous learning and improvement.
Total Quality Management (TQM) : TQM is a management approach that aims to achieve long-term success through customer satisfaction. It focuses on continuous improvement, employee empowerment, and efficient processes. Key TQM principles include a customer-centric approach, management commitment, continuous improvement, and employee involvement.
Business Process Reengineering (BPR ): BPR involves a radical redesign of an organization's processes to achieve significant improvements in performance, such as cost reduction, speed, and quality. It requires a thorough analysis of existing processes and the development of new, more efficient ones.
Value Stream Mapping (VSM ): VSM is a Lean tool used to visually represent the flow of materials and information within a process. It helps identify bottlenecks, waste, and opportunities for improvement. VSM enables organizations to optimize their processes by focusing on value-adding activities and minimizing non-value-adding ones.
5S : 5S is a workplace organization methodology that originated in Japan. It consists of five steps: Sort, Set in order, Shine, Standardize, and Sustain. The goal is to create a clean, organized, and efficient work environment that fosters productivity and safety.
PDCA (Plan-Do-Check-Act) : PDCA is a continuous improvement cycle used to solve problems and improve processes. It involves planning the change (Plan), implementing the change (Do), reviewing the results (Check), and making necessary adjustments (Act). The cycle is then repeated to ensure continuous improvement.
Balanced Scorecard (BSC) : BSC is a strategic management tool that translates an organization's vision and strategy into a set of performance measures. It provides a comprehensive view of an organization's performance by considering four perspectives: financial, customer, internal processes, and learning and growth.
Gemba Walk : Gemba Walk is a Lean management practice that involves managers and leaders visiting the workplace (gemba) to observe processes, engage with employees, and identify areas for improvement. It promotes continuous improvement, employee engagement, and abetter understanding of the work environment.

Process excellence in the workplace

Process excellence can be seen as a key part of an organization’s overall performance management system.

Increasingly enterprise businesses are recognizing process excellence as an important element of organizational success. It helps organizations align their processes with their strategic objectives, improve customer service, and increase efficiency.

Key steps of a process excellence framework

While process excellence is a broad term that can mean different things to different people, there are eight key activity stages or steps that fall within the process excellence framework:

‍ Process mapping : Identifying the steps, resources, and objectives of a process. ‍
Process improvement : Identifying opportunities to reduce costs and improve efficiency. ‍
Process design : Creating ideal ' happy path ' processes to meet customer needs and organizational goals. ‍
Process monitoring : Monitoring processes to ensure they are meeting objectives and delivering quality results. ‍
Process optimization : Evaluating and improving processes to maximize efficiency and effectiveness. ‍
Process automation : Using software or other technology to automate manual tasks. ‍
Process standardization : Establishing consistent processes across the organization. ‍
Process governance : Establishing standards, policies, and guidelines for process management.

In some business organizations, there can be a process excellence department or dedicated process excellence managers or subject matter experts. By building a culture of process excellence, organizations can drive innovation, improve performance, and create a competitive advantage.

Advanced enterprise businesses use dedicated software to leverage process excellence implementations. See the case study of how one business process outsourcing company found € 2 million in process waste with process intelligence software.

‍ Next step: read how Object-Centric Task Mining makes process analysis and optimization effortlessly intelligent. Read the OCTM ebook .

Automation Blog

Become a partner, process excellence — a 2023 guide.

Beck Pura | July 5, 2023, 9:45 a.m. | 5 min read

Process excellence is a critical concept that plays a pivotal role in the success of organizations across various industries. It refers to the systematic approach of continuously improving and optimizing business processes to enhance efficiency, quality, and customer satisfaction. By embracing process excellence, companies can streamline their operations, reduce waste, and gain a competitive edge in the market.

Critical Concepts of Process Excellence

Continuous improvement lies at the heart of process excellence. It involves an ongoing effort to identify opportunities for enhancement, eliminate inefficiencies, and achieve higher performance levels. Methodologies such as Six Sigma and Lean provide structured frameworks for continuous improvement, enabling organizations to minimize variations, eliminate defects, and enhance process efficiency. Continuous improvement fosters a culture of innovation and empowers employees to contribute to the organization's success.

Process optimization focuses on analyzing and refining existing processes to maximize their effectiveness. It entails identifying bottlenecks, reducing cycle times, and improving resource utilization. Organizations can streamline operations, enhance productivity, and deliver better customer outcomes by systematically analyzing processes and implementing targeted improvements.

Standardization plays a vital role in process excellence. It involves establishing best practices and standard operating procedures to ensure consistency and quality across the organization. Standardization allows for greater efficiency, reduces errors, and enables employees to perform tasks consistently, regardless of individual variations. By standardizing processes, organizations can enhance operational stability and achieve reliable results.

Customer focus is a fundamental aspect of process excellence. Understanding customer needs and expectations is crucial for designing and improving value delivery processes. By incorporating customer feedback, organizations can align their strategies with customer requirements, enhance customer satisfaction, and build long-term loyalty. Customer-centric process design enables companies to differentiate themselves and create a competitive advantage.

Elements of Process Excellence

Process mapping and analysis provide organizations with a visual representation of their workflows, identifying the sequence of steps, decision points, and interdependencies. It helps to uncover inefficiencies and areas for improvement. By defining key metrics and performance indicators, organizations can measure the effectiveness of their processes and use data-driven insights to drive continuous improvement efforts.

Measurement and monitoring are essential for tracking process performance against established metrics and targets. By setting clear objectives and regularly monitoring progress, organizations can identify areas of underperformance and take corrective actions. Data-driven insights from measurement and monitoring enable informed decision-making, allowing organizations to optimize processes and drive better results.

Cross-functional collaboration is crucial for achieving process excellence. Breaking down silos and fostering teamwork enables individuals from different departments to contribute their expertise and insights to process improvement efforts. Collaboration promotes knowledge sharing, encourages innovative thinking, and helps overcome challenges that may arise during process optimization.

Training and skill development are essential for equipping employees with the necessary tools and knowledge to contribute to process excellence. Training on process improvement methodologies empowers individuals to identify improvement opportunities, develop problem-solving skills, and actively participate in continuous improvement initiatives. Encouraging a culture of learning and innovation enables organizations to adapt to changing circumstances and sustain process excellence in the long run.

Benefits of Process Excellence

Process excellence offers several benefits to organizations. Improved operational efficiency leads to enhanced productivity and reduced costs. Organizations can achieve greater efficiency and profitability by eliminating waste, minimizing errors, and optimizing resource utilization. Enhanced quality and consistency ensure that products or services meet or exceed customer expectations, increasing customer satisfaction and loyalty. Reduced costs and waste directly impact the organization's bottom line, enabling it to allocate resources more effectively.

Challenges and Implementation Strategies

Resistance to change is a common challenge when implementing process excellence initiatives. Overcoming employee resistance requires effective change management strategies, such as clear communication, involving employees in the decision-making process, and providing training and support to help them adapt to new ways of working.

Aligning process excellence with organizational goals is crucial for success. Linking process improvement initiatives to strategic objectives ensures that efforts are directed toward achieving the organization's overall vision and mission. Additionally, obtaining top management support and commitment is essential for driving process excellence initiatives throughout the organization.

Sustaining process excellence requires embedding it as a continuous practice within the organizational culture. Regular reviews and audits of processes help identify areas for improvement and ensure that process excellence becomes an ongoing effort rather than a one-time project. By promoting a culture of continuous learning and improvement, organizations can sustain their process excellence journey.

Case Studies of Successful Process Excellence Implementations

Company A successfully streamlined its supply chain processes by identifying bottlenecks, implementing Lean principles, and leveraging technology for better inventory management. As a result, they significantly reduced lead times, improved delivery performance, and enhanced customer satisfaction.

Company B focused on improving customer service processes by adopting Six Sigma methodologies. By analyzing customer feedback, streamlining communication channels, and implementing process changes, they achieved faster response times, reduced customer complaints, and increased customer loyalty.

Process excellence is a transformative approach that enables organizations to achieve operational excellence. By embracing continuous improvement, process optimization, standardization, and customer focus, organizations can unlock numerous benefits, including improved efficiency, enhanced quality, reduced costs, increased customer satisfaction, and competitive advantage. Despite challenges, organizations can overcome them by prioritizing change management, aligning process excellence with strategic goals, and fostering a culture of ongoing improvement. As organizations embrace process excellence, they position themselves for long-term success and adaptability in an ever-changing business landscape.

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Process Excellence – What it is and How to Achieve Business Process Excellence

Businesses are continuously striving to improve the quality and efficiency of their output. Popular approaches that businesses adopt for achieving quality output are Six Sigma, Total Quality Management, Business Process Reengineering , Continuous Improvement, etc.

The main focus of all these approaches is achieving process excellence.

What is process excellence?

How to achieve business process excellence?

What are the popular process excellence tools?

Learn all this and much more about process excellence in this write-up.

Understanding Process Excellence

So, what is process excellence?

Business process excellence or process excellence is a method for improving the performance and efficiency of business processes . To obtain process excellence, a process is examined, changed, and tested to fulfill the objectives.

Another process excellence definition is that it is a strategy for adapting business processes to maximize productivity and efficiency. A process excellence strategy helps set quality standards against which process performance is measured.

What are the factors that determine process excellence? Achieving business process excellence depends on several factors that vary in each business. But in general, these factors determine process excellence.

Productivity
Security and Compliance
Consistency
Alignment with business strategy
Ability to meet targets and achieve goals

Process excellence emphasizes that there is never a final level to achieve, there is only continuous monitoring of the process. As long as a process is in place, there will always be opportunities to streamline it, improve upon its efficiency, and produce better results.

Process excellence activities are mainly concerned with the elimination of bottlenecks, and redundancies, and fixing issues that may arise during process run time. Businesses aim for process excellence because it helps them improve how they create and deliver value to their customers, stakeholders, and customers. Organizations use process excellence to identify opportunities for improvement and to create innovative solutions.

Components of a Process Excellence Framework

Process excellence is a continuous activity that requires organizations to frequently revisit their process maps and reassess processes in response to changing circumstances. There are 5 main components that an organization must include in its process excellence strategy to achieve long-term success.

Ownership and alignment

Knowing who is responsible for processes in your organization and defining their roles clearly is a must for achieving process excellence. There are hundreds of processes that run an organization, yet most of the time there is no clarity on who is responsible for what in these processes. As a result, no one feels that it is their responsibility to improve the process.

For instance, the manager of a minimarket is responsible for ensuring goods are delivered on time, but are they also responsible for managing waste generated in the store? Clarity in such matters is important to achieve process excellence in an organization. A process map helps identify all the processes in the company, see the relationship between them, and allocate responsibility for each of the tasks in the process map.

Continuous process improvement

Processes are mainly affected by outside events, which require constant monitoring of processes to identify opportunities for improvement. A technology company, for example, decides to introduce a policy that lets employees work remotely as a result of the pandemic. To support this transition, the onboarding process, remote work request processes, and IT processes must be upgraded to ensure that the workflows are still relevant and effective.

Definition, documentation, and understanding

Written documentation and instructions are a must for achieving process excellence. Documents create consistency across the board and make it clear how processes are organized and set up.

For instance, the dispute verification process in an insurance company involves several escalation stages, starting from initial complaint to resolution. Creating a clear documented explanation of the protocol and why the organization resolves disputes this way, helps everyone involved in the process to understand the workflow and the logic behind each stage in the process.

Performance management

To spot issues in the process workflow , you need a complete understanding of the impact of the issue and the way to deal with these issues. Process excellence helps organizations to identify the issues in the processes and fix them effectively.

For example, in a fast-growing financial firm that still uses a lot of manual processes in managing payments, implementing a process improvement methodology for streamlining payments helps identify problems and introduce solutions.

Development of technology and automation

The introduction of business process automation software allows companies to automate processes for managing processes more effectively. For instance, a school board decides to automate its payroll and onboarding processes. Digitizing these workflows boosts efficiency and saves staff from labor-intensive work like collecting data or managing approvals.

5 Steps to Achieving Process Excellence

Businesses need to adopt a structured and well-organized approach toward process excellence to achieve consistency, visibility, and accountability across processes. The steps to achieving process excellence are listed below:

1. Defining the target process

The first and most important step is to identify the process that will improve by implementing process excellence methods. Some processes may be working fine, and may not benefit from implementing process excellence measures. It is better to exclude these processes from process excellence initiatives.

The overall goal of process management initiatives is to create optimized and orchestrated versions of the processes that happen within the organization. The best approach to process excellence is to highlight a single process and get it right before moving on to the next process.

2. Mapping the “as-is” process

For optimizing the target process, you require a detailed map of the process that maps the key steps. The as-is process map must highlight the following –

The starting point or the trigger for the process
Outcomes or results of the process
Inputs required – like information, time, effort
Systems for running the process
Handoffs – mainly instances where work changes hands
Integrations – Points at which data crosses app or system barriers

Commonly followed process mapping methods include- flow charts, process maps, BPMN diagrams, flow diagrams, etc.

3. Evaluating the as-is process

Improving the as-is process requires a thorough understanding of the process flow . For this, you need to gather some data on its current performance. The data points can be gathered based on the following questions.

Is the target process structured or unstructured?
What is the primary performance metric or the KPI for the process?
Is there a mechanism in place for measuring this metric?
To what extent is the process meeting the KPIs?
Which elements of the process contribute to its performance?
What are the improvement areas of the process?

4. Create the to-be process

The optimized or to-be version of the process needs to be mapped. What are all the improvements that the new version of the process must include? The cross-team collaboration required for implementing the to-be process also must be identified before the implementation.

5. Test the New Version of the Process

An effective way of implementing the to-be process changes is to run the version on a limited scale or with only a few users. While implementing the changes, you need to keep an eye on the data and collaboration silos that may appear. Data silos commonly occur during the implementation when information is shared between people, tasks are handed off from one party to another, or where data moves across system boundaries when apps or databases are integrated.

6. Implement the to-be process

Train the team and all other stakeholders on the new to-be process to prepare them for the use of the system. If the new version of the process introduces new apps and systems, make sure that the team is appraised of the usage of new systems.

7. Review the results

Once the to-be process is implemented, you need to determine if the version of the process meets the performance requirements. In case the process does not meet the requirements, the team needs to assess the reason why. Revise the process and try again until the expected target is achieved.

8. Monitor and modify as required

The teams need to ensure that they have enough resources to gain deep visibility into the performance and quickly identify issues that emerge. Some of the process automation solutions provide multiple views and notifications that can help you stay ahead of bottlenecks, deadlines, and SLAs. You also need to look for no-code options that make it simple to build customized dashboards that prioritize the most important metrics front and center.

Process Excellence versus Operational Excellence

Process excellence is often confused with other related terms like operational excellence, or business excellence. It is therefore important to differentiate and define the differences between them.

Let us first define what operational excellence is. Operational excellence (OpEx) is a discipline that aims at improving all aspects of an organization’s operations, from the bottom up. OpEx initiatives achieve change by addressing internal issues about the company’s culture or technology and then building on those changes.

This discipline has a broader focus when compared to process excellence. The typical activities that are covered under operational excellence include-

Building infrastructure for changes
Developing the discipline for completing actions and processes consistently
Shifting team focus from product quality to customer experience
Prioritizing process effectiveness and agility of the business
Deploying a system of engagement that bridges process gaps and data silos
Achieving stack extensibility for leveraging the capabilities of apps and systems

Process excellence on the other hand is the practice of continually improving the efficiency, effectiveness, and quality of business processes and operations. The scope of process excellence is smaller than that of operational excellence. Operational excellence is about changing the culture, perceptions, and mindsets of everyone in the organization, while process excellence is focused on changing the process performance.

Process Excellence versus Business Excellence

Process excellence and business excellence are often considered to mean the same thing. If we observe closely, these two terms differ in their scope. Process excellence is essentially a framework for improving the efficiency and performance of business processes. The focus of process excellence initiatives is more on the process performance, than on the whole business.

Business excellence on the other hand is a comprehensive approach to improving business outcomes. It would be right to say that business excellence is a combination of process excellence and operational excellence. All the methodologies and systems that focus on improving overall business outcomes may be grouped under business excellence.

Top 10 Tools for Achieving Process Excellence

Process excellence is essentially a combination of all those methodologies and tools that help businesses achieve success. It can be considered a combination of art and science. A toolkit that combines various methodologies or systems that work together to achieve process excellence is considered a process excellence methodology. Let us consider the top 10 process excellence tools that can be used either as stand-alone methods or can be combined to achieve business success.

1. Six Sigma

This is a data-driven methodology that focuses mainly on reducing process variability and defects. The basis of this approach is a statistical analysis that helps identify the root cause of issues and implement corrective improvements. The Six Sigma methodology combines two project management frameworks – DMAIC (Define, Measure, Analyze, Improve, Control) for existing processes, and DMADV (Define, Measure, Analyze, Design, and Verify) for new processes.

Lean methodology mainly focuses on maximizing customer potential while minimizing waste. It focuses on creating more value with fewer resources by eliminating non-value-adding activities or processes. Continuous improvement, respect for people, standardized work, pull-based production, and just-in-time production are some of the popular lean methodologies.

Kaizen is a Japanese term that means continuous improvement. It involves small, incremental changes aimed at optimizing processes and eliminating waste. This methodology encourages employee involvement and teamwork, fostering a culture of continuous learning and improvement.

4. Total quality management

Total quality management (TQM) is a management approach to process improvement that aims at achieving long-term success through customer satisfaction. The primary focus of TQM is on continuous improvement, employee empowerment, and process efficiency. Core TQM principles lean towards customer centricity, management commitment, employee involvement, and continuous improvement.

5. Value stream mapping

This is a lean tool that represents the flow of materials and information within the process. Mapping a process through this methodology helps identify bottlenecks, wastages, and improvement opportunities. Based on the information provided by the value stream diagram, organizations can optimize their processes by focusing on value-adding activities and reducing non-value-adding activities.

6. Balanced Scorecard

This is a strategic process management tool that translates the vision and strategy of the organization into a set of performance measures. With the help of this tool, organizations can get a comprehensive view of their overall performance based on 4 perspectives – financial, customer, learning and growth, and internal processes .

This is a workplace organization methodology with its origins in Japan. It derives the name 5S from the 5 steps that make up the methodology. The 5S’s are – Sort-Set in order-Shine-Standardize-Sustain. The primary focus of the 5S methodology is to create a clean, organized, and efficient work environment that enables safety and productivity.

8. Plan-Do-Check-Act (PDCA)

This is a continuous improvement cycle that is used to solve problems and improve processes . The main components of this methodology are – planning the change (Plan), implementing the change (Do), reviewing the results (Check), and making necessary adjustments (Act). The PDCA cycle is repeated for continuous process improvement.

9. Business process reengineering

This is a process improvement methodology that involves a radical redesign of an organization’s processes for achieving significant performance improvements. Business process reengineering helps reduce process costs and improve the speed and quality of the product cycle. Success of business process reengineering requires a thorough analysis of existing processes and the development of new processes that are streamlined and more efficient.

10. Gemba Walk

This is a lean management methodology that involves managers and leaders visiting workplaces (gambas) to observe processes, engage with employees, and identify areas for improvement. These walks provide them with a better understanding of the work environment.

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Build fully-customizable, no code process workflows in a jiffy., 5 best practices in process excellence, 1. monitor the process constantly.

The best way for companies to keep an eye on their processes is to visualize and track their progress. Look at the big picture while choosing management methodologies and tools.

For example, Six Sigma principles can help achieve the required results by delivering consistent, positive outcomes with minimum variation. As a business manager, when you break down each process into steps and analyze each one of them to identify potential loopholes.

Reviewing processes regularly helps in identifying and eliminating risks on time. Business process management platforms are meant to align the delivery of business goals through the organization, management, improvement, and automation of all types of processes.

There are several ways to monitor your processes, from time-tracking software to programs that monitor your budget and resources. You need to choose the right technology that lets you keep an eye on each step of the process. When you constantly evaluate and measure your requirements, you will know how much working capital you need at all times.

2. Keep it lean

According to Shigeo Shingo, an expert in manufacturing practices, “The most dangerous kind of waste is the waste we don’t recognize.” Process excellence is all about improving existing steps and tasks by planning, organizing, and preparing for long-term growth. When you know your business goals clearly, you can map out the best and easiest way to get there.

However, it is equally important to recognize what to avoid. By identifying ways to save money, resources, and time without compromising on the quality of your output, you can eliminate waste and keep your processes lean.

3. Keep processes agile

Quoting Tom Peters, “Excellent firms do not believe in excellence, only in constant improvement and change. Businesses need to be more innovative and productive if they want to stand out from the competition and scale up.

To achieve this, businesses need to stay on their toes and remain agile for survival and long-term growth. Remaining agile in your operations helps you keep up with the latest trends in the industry and identify which processes you need to change or upgrade to build a business model that evolves with the times.

4. Maintain customer centricity

To stay in business, you need to keep your customers happy! Customers are the key ingredients to consistent business growth. While planning processes you must always do so with customer expectations in mind.

Invest in time and resources that are needed to understand the target audience and their pain points, and evaluate if the touch points are up to these expectations. Once you understand the target audience fully, you are in a better position to provide personalized experiences and exceptional targeted services. Process excellence is at its best when it focuses on customer-centricity at all times.

5. Keep the company culture alive

According to Henry Ford, “Coming together is a beginning, keeping together is progress, and working together is success.” To achieve success in process excellence, it is important to create a culture of process excellence that starts from the top and makes its way down to the employees.

When the C-suite emphasizes the importance of continuously working on its processes, they lead by example. An “all deck hands” approach when working towards process excellence is required when the organization is working towards success.

Involve and empower each one of your employees and team members while incorporating changes for achieving process excellence, so that they are equally invested in the outcomes. When creating your processes, walk in your employee’s shoes to understand their obstacles and find practical solutions.

Workflow Automation and Process Excellence

As mentioned in the best practices in process excellence, adopting technology to improve process outcomes is one of the most effective ways of implementing process excellence initiatives. Workflow automation is an effective way of improving process outcomes. A no-code workflow automation software like Cflow makes your process excellence initiatives more effective and successful.

Cflow keeps expanding its feature offerings to improve customer experiences. One such feature is the Agile-Kanban feature which improves the prioritization of tasks. You can acquire a simplified framework for visualizing multiple tasks with Kanban in Cflow. There are several other features that Cflow has to offer that can make your process excellence efforts a huge success.

Achieving process excellence requires a comprehensive approach that combines management methodologies and tools. Through this blog, we have explored various facets of process excellence. A no-code workflow automation solution like Cflow is a must-have in your process excellence implementation plan. You can not only reach higher productivity levels but also steer your processes towards excellence.

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What do a Canadian energy company, a Dutch coffee retailer and a British multinational consumer packaged goods (CPG) company have in common right now? All are transforming their procurement operations by leveraging state-of-the-art process mining and intelligent automation technology.

Why process excellence matters

A mid-size organization will spend the equivalent of several billion U.S. dollars annually in direct or indirect procurement. For this reason, it’s worth examining how efficient the sourcing process is, how to control maverick buying and reduce revenue leakage and how to create a standardized buying experience across the organization. Additionally, compliance requirements around sustainable procurement need to be addressed based on supplier’s sustainability posture around logistics and distribution. An efficient sustainable supply chain process with optimized CO2 footprint is an enterprise requirement as well as a societal need.

Process excellence in action

This discussion is inherently connected to the 21 st century challenges and solutions related to process excellence. Process excellence is an intersectional play in the age of digital transformation. It requires a combination of capabilities around process optimization. The application of exponential technologies to digitally discover the process realities and technologically transform those processes for the best outcome. Along with defining and operationalizing the right level of governance across organizational layers for efficient value orchestration and continuous improvement. Let’s consider a few examples:

At a materials engineering corporation

An American materials engineering corporation, a global leader in the semiconductor industry, has been driving finance transformation through automation in partnership with IBM so the business can grow, even with a fixed finance headcount. With the success of initial automation deployment, the focus has shifted to optimization of adjacent business-critical processes, e.g. service order management, reverse value chain, and more, for cycle time reduction and quality improvement. A Process Mining exercise drawing data from enterprise SAP has helped measure KPI performance and define the transformation roadmap.

At a multinational financial services company

In another engagement, an American multinational financial services company leveraged IBM’s process excellence capabilities to investigate the internal journal transfer process that uncovered the potential for up to 50% reduction in rework rate and a 40% reduction in rejection rate.

Additional examples

European Oil & Gas company transforming Enterprise Asset Management
Multinational Bank transforming Fraud Operations process
Global Travel booking company optimizing Talent Acquisition process
Global Brewing company in value orchestration journey as part of S/4 Hana rollout
Japanese auto manufacturer transforming Procurement and Logistics processes
Leading US Reinsurance company transforming Claims, Payment and Policy Maintenance

Process excellence for enterprise transformation

While examples are endless, the common theme is enterprise transformation, the primary use case for the IBM Process Excellence offering . In a world that’s still recovering from the impact of a pandemic, facing economic uncertainties, geopolitical crises, and extreme climate change—all of which disrupt traditional value chains—the need for enterprise-scale transformation is a key imperative for global business. Shared Service Operations like Finance, Supply Chain, Procurement, HR, and Enterprise IT are the relevant horizontal domains to engage. At the same time, focused Industry processes with front-to-back office operations are also candidates for transformation prioritized by business owners (e.g., Lending, Customer Onboarding, Claims, Fraud Operations, etc.).

Process and Technology have never been so closely linked. Enterprise workflows are often distributed across the entire application landscape, managed by different departmental IT teams and process owners with siloed focus. With the advancement of Process Mining technology, it’s now possible to virtualize and visualize the end-to-end workflow, drawing execution data from the underlying systems of record (aka enterprise applications) and even augment that with the process operator’s local desktop-level task execution view, digitally captured through Task Mining.

This technology-driven process visualization is revolutionizing the way we look at processes. For the first time, we can see intricate and complex processes clearly in action, identifying where they operate effectively and where they can best be simplified, optimized and automated.

Learn more about IBM Process Excellence

The IBM Process Excellence practice leverages the leading process mining tools across the IBM ecosystem and partners. This includes the IBM Process Mining tool, part of the IBM Cloud Pak for Business Automation platform, which is now powered by Process Application solutions from the IBM Consulting Process Excellence offering.

The IBM Process Excellence practice also leverages our partnership with Celonis and other client-mandated Process Mining technologies to drive consulting engagements for enterprise process transformation. With our patented Process Excellence KPI framework and Automation Quotient driven process prioritization mechanism, we are co-creating the transformation roadmap for our global clients. This is further accelerated through a suite of ready-to-use Process Excellence applications, and a Digital COE platform for lifecycle governance.

“I am truly impressed with the approach IBM team has taken. It is very different from anything I have seen before in that it is very thorough and scientific. This would help enable the leaders to take easy decisions. When we walked our business stakeholders through the output, there has been no challenges, and this is due to the quality and robustness of the approach.” ~Head of Process Optimization, Multinational Bank

IBM Consulting provides a holistic process transformation solution for our enterprise clients, which top Analyst firms like IDC have noted.

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The 5 steps required to achieve process excellence

Picture a company that has grown rapidly in recent years. It’s likely that its innovative products and friendly service meant it delights customers every time. However, as the business expands geographically, staff have begun to notice problems – from customer complaints about poor service to disputes with suppliers whose invoices are getting paid late. Before these problems get out of hand, the company realizes it needs to focus on process excellence.

If a company experiences repeated problems around customer service, onboarding, payroll, supplier relationships, or HR, it’s usually a sign that it is falling short of process excellence. There are several process improvement methodologies and digital process automation tools that can help fix these problems.

But first, what is process excellence and how can you achieve it?

What is process excellence?

Process excellence is achieved when an organization’s processes are consistent, highly efficient, and have minimal variations or waste. All processes deliver their intended outcomes and work seamlessly together to make the business function as effectively as possible. If a company is achieving process excellence, it can be confident that when a new process kicks off—be that invoice payments, compliance audits, or document management—the process will always be completed as efficiently as possible.

Process excellence is not an end state. Instead, it involves a continual effort to improve how processes are designed and implemented and involves adapting them to shifting circumstances. For example, a staff onboarding process might have been working perfectly in 2019, yet would need to be readjusted for the post-pandemic world of hybrid work. Process improvement, therefore, has to be continuous to achieve this.

The benefits of process improvement

Achieving process excellence provides many obvious benefits. These include:

Cost savings: If processes are running efficiently, companies can save significant sums of money. For example, in one organization , invoice process improvement reduced the cost of paying each invoice from $12.44 to $4.98 on average.
Identifies bottlenecks: Using a process improvement methodology such as process mapping allows you to identify where there are bottlenecks in your workflows.
See the bigger picture: Process automation solutions allow you to visualize how all processes across the organization connect to one another and feed into wider business excellence.
Onboarding and training: By being able to view your processes mapped out visually, it’s easier for new starters to familiarize themselves with how your company works and where they fit in.

5 ingredients of process excellence

Since process improvement is a continuous activity, organizations must frequently revisit their process maps and reassess them in response to changing circumstances. The following five ingredients will help your organization implement a continuous process improvement culture to help you achieve excellence in the long run:

Ownership and alignment

This is about knowing who is responsible for processes in an organization and defining clear roles. Most organizations have hundreds of processes, yet it is not always clear who is responsible for each one. Unsurprisingly, this means no one feels it’s their job to improve many of your processes.

Example : A minimarket’s logistics manager needs to know which processes they are (and are not) responsible for. Ensuring goods are delivered on time would be an obvious responsibility for this individual. But are they also responsible for managing waste from your stores too? If not, who is responsible for that process?

By completing a process mapping initiative, you can identify all processes in your company, see how they’re connected and allocate responsibility for each process to specific named individuals – eliminating confusion and overlap.

Continuous process improvement

Since processes are always being affected by outside events, you need to continually assess your processes and find areas for improvement.

Example : A technology company has decided to introduce a policy to let employees work remotely as a result of the pandemic. They must therefore update their onboarding processes, remote work request processes and IT processes to ensure that the workflows are still relevant and effective.

Definition, documentation, and understanding

This is about producing written documentation and instructions that create consistency across the board. It needs to be clear how processes are organized and why they are set up the way they are.

Example : An insurance company’s dispute verification processes involve several escalation stages from initial complaint through to resolution. A clear, documented explanation of the protocol and why the organization resolves disputes in this way means that anyone can view it (including auditors) and understand the logic behind each stage in the process.

Performance management

How easy is it to spot issues in the process? What is the procedure for dealing with these issues? Process excellence requires you to identify process problems and fix them fast.

Example : An experienced finance officer has just joined a fast-growing new startup. He notices there is a lot of manual work involved in managing payments. By implementing process improvement methodologies to streamline payment management, he can identify the problems and introduce solutions.

Technology development and automation

Introducing business process automation software allows companies to automate processes and ensure they are managed more efficiently.

Example : A state school board decides to automate its payroll, onboarding and child protection processes, among other workflows. By using digital tools to manage these workflows, they can boost efficiency and save staff countless hours collecting data or managing approvals.

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A lot is written about process excellence, writes columnist Debashis Sarkar, but one area that has not been covered in much detail is what actually makes a great process excellence leader? It’s not about the tools, he says. Here are the eight habits of effective leaders.

For many of us being a process excellence leader is about mastering the tools and attaining certifications in the domain of six sigma (belts), lean (master), TOC (Jonah) etc. While these skills are required, what makes a successful process excellence leader is demonstrating skills and behaviours beyond the methods. It’s not the technical skills but the adaptive skills that makes a PEX Leader successful.

Here are what I consider to be the eight habits of effective Process Excellence leadership:

Habit #1: Ability to Zoom-in and Zoom-Out

Leaders need the ability to zoom-in and zoom-out: zoom-in to get into the core of an issue and zoom-out to see the larger picture. It’s essential to have this focus so that when looking at a problem (or an opportunity, as I like to call them), to understand the strategic imperatives of business and which processes need to change to make an improvement. You need to be able to quickly see how the details of individual processes connect up with the big-picture of the business. In everything that they do, PEX Leaders need to be system thinkers who see problem solving in the context of the larger business system and how this affects other parts of the business. This not only helps ensure that improvements in one area aren’t negatively affecting another, but also ensures that all process improvement work is supporting the strategic objectives of the business.

Habit #2: Ability to engage

Process improvement is as much about convincing people to change as it is going around and changing processes. The ability to engage other people, therefore, is essential. Process Excellence Leaders must be able to persuade the CEO and other senior leaders to adopt process excellence practices for business improvement. This is about being able to sell performance-enhancement ideas to leaders based on the explicit & implicit needs of the business, and then being able to support them start-to-finish to catalyze the changes necessary.

The key word here is "catalyze" which is about the business leader owning the deployment while the PEX Leader acts as a coach. Leaders of process improvement need to be comfortable both with C-level executives as well as teams at middle & junior management. Senior leaders look at him as a trusted partner while people at junior and middle management look at him as an inspirational leader who is able to motivate them to adopt process-practices for eliminating some of the deep chronic issues that they could be facing. The PEX Leader should be able to provide visibility to teams on how their efforts impact the strategic objectives of the company.

Habit #3: Ability to manage change

This is about treating a process excellence rollout as a change program and doing everything to make sure it sticks in the firm. It includes getting the organizations’ attention to the process excellence agenda, catalyzing the required sense of urgency and gaining true buy-in by winning over the hearts and minds of people.

The Process Excellence Leader does not keep the people who oppose the process agenda out of his way but proactively gets them to the table to understand their concern and even allows them to find holes in the way he is proposing the deployment. PEX Leaders need to treat those who attack us with respect and engages with them to allay their concerns. We are able to successfully manage a wide-range of behaviours that oppose / raise doubts about the process agenda. One of endeavours of the PEX Leader should be to work with the CEO to build a change-ready company that is able to wade through the changes in the environment.

Habit #4: Ability to understand financials

Process Excellence leaders need to demonstrate to the business the financial value of the work the team is undertaking but also understand how process improvement work affects the financial of the company.

Habit #5: Ability to Coach

The ability to help others become better is a key skill which PEX Leaders should master. We are in the business of not only improving processes but also helping to improve businesses. A key part of that is ensuring that we are building up capabilities and skills in others in the business. PEX Leaders should be able to coach those in the process improvement team but also those who are not direct reports as well as peers and top management of the firm.

To know more on coaching I would suggest you go through my earlier column: 13 Essentials of Coaching for Process Improvement

Habit #6: Ability to understand customers and spot trends

Ultimately, we’re in business because we have customers. When customers become the centre-stage of a process excellence endeavour the undertaking gains a greater magnitude of importance – everyone in the business can and should have a sense of how their role serves the end customer. A process excellence initiative can die when primarily targeted towards internally focused objectives such as cost cutting, efficiency gains, etc. while a process excellence journey is long lasting when it is designed around customers.

PEX Leaders work towards improving the value delivered to the customer. We must work with other leaders in the company to design a suitable value proposition for the customer and make sure that each part of the business works in tandem to deliver the customer promise. We need to keep an eye on the emerging trends that impact customers and help the CEO to design a business-strategy with the customer at the centre.

Habit #7: Ability to embed capability

The real power of process improvement starts when business units have the skills necessary to make improvements and changes to their role.

Habit #8: Ability to guide teams on tools and techniques

A PEX Leader should be adept in the key improvement approaches and should be in a position to guide teams when required. While it helps to have deep knowledge in process improvement practices, you shouldn’t worry if you’re not a master of any of them. What is really required of PEX Leaders is the ability to ask the right questions and understand the technical output of teams. Remember, when the job of a PEX Leader is to engage and provide strategic inputs, it’s fine if the PEX Leader is a bit "tool deficient". You need deep experience in change management.

Do you agree that these are the eight habits essential for PEX Leaders? Is there anything I've left out? Join the discussion by leaving a comment.

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The Path to Process Excellence Maturity

Where does your company fall on the process maturity curve find out so you can lead process improvement efforts..

Part of a series .

Processes across your company should work together to drive business value and increase efficiency. Many companies struggle with disparate, inefficient business processes that not only hinder process excellence but harm performance and delay progress and innovation. Even measures designed to increase efficiency, like automation, can backfire, serving to drive poor results in a quicker manner.

How do you make progress when there are more opportunities for improvement than there are hours in the day? How do you convince budget decision-makers to invest in process improvement projects against technology improvements? How do you combat the ever-present “if it ain’t broke, don’t fix it” mentality?

You can start with understanding the value that excellent processes add to your company. When your processes work together, you can work proactively and spend more time innovating. When you align your broader end-to-end processes with your strategic goals, you find opportunities to further improve specific processes and overall process capabilities.

Without process excellence , you might manage reactively, regularly thinking on your feet to resolve issues that come up or losing efficiency because your employees perform non-value-adding tasks you could automate.

Let’s look at the steps you need to take to drive process improvement results.

Embarking on a Process Excellence Journey

Sometimes it’s difficult to know where to start. To understand your organization’s readiness for process excellence or business process improvement initiatives, consider:

What has already been attempted – and how successful or “sticky” were those efforts?
What are the structures, including organizations, people, technologies, controls and performance measures in which your business processes operate?
How can owners and users understand and improve their processes and supporting structures?
Are your current C-level executives “process focused” and “process interested?”
Is your business striving to be a “process-driven organization” or have “high-performing processes?” Or is your business interested in implementing a new process or redesigning an outdated process?
What should the boundaries be? Where should we start? What are the next steps? What is the finish line?

Regardless of the current status of your process excellence activities, it can be a challenge to determine what, how and where to direct internal and external improvement capabilities and resources. After answering these questions, there are two steps you need to follow to determine where your business can go on the path to process improvement.

Identify Your Firm’s Maturity along the Process Excellence Curve

We recommend starting your process improvement initiative by identifying where you are today to help better define your vision for tomorrow. Use the process maturity model below as a catalyst to direct your improvement efforts and move your company further along the process excellence curve.

Complete a simple self-analysis to determine where your company currently stands on the curve. Then set goals for where you would like to be in the future. Now you can start developing a framework to achieve your goals across processes.

Evaluate your Process Maturity

Not all structural competencies will be at the same level of maturity. By evaluating your organization’s process maturity, you can identify strengths and gaps. This honest identification fosters successful business process improvement and management initiatives.

You can apply this process maturity model at any level of the organization: single process, division or entire company. You can also apply it at the department level, but it will generally result in a high number of level 1 and 2 ratings since this level typically is not cross-functional.

By understanding your company’s process maturity and its supporting organizations, leaders and owners can determine the best approach to initiate process excellence efforts.

Is Process Excellence Right for My Organization?

Process excellence is not the first step for all organizations. For example, a company without documented processes, assigned process owners, an overarching implementation approach, or aligned IT teams would need to address lagging competencies first (or in parallel to) new improvements.

Process excellence is critical to successfully implementing a business process management solution. If you don’t assess and address process optimization and improve lagging competencies prior to selecting and implementing technology, it often creates success and cost challenges.

Remember, these improvements take time. Experience shows that moving your organization up one level across all process excellence competencies typically requires a 6-to-18-month organizational commitment. But you can achieve smaller improvements in specific processes throughout this time frame.

Leveraging the process maturity model as your first step will allow you to “Think big, start small and act quickly.” It will help you define where you are today and what it will take to achieve your process excellence goals.

Darren Rehrer

Manager | Strategy Alignment and Architecture

Darren manages Centric’s Strategy Alignment and Architecture practice where he supports multiple offices with business consulting services spanning business development, solution methodologies, delivery methodologies, and best practices. He has more than 25 years of experience managing people, processes, and technology to deliver effective, bottom-line results. This includes leading business and digital transformations, fac ilitating st rategic direction definition, designing holistic operating models and systems, and managing technology implementations. Darren currently spends his free time with his family hiking, rock climbing, mountain biking and other activities.

What Does a Process Excellence Manager Do?

Find out what a Process Excellence Manager does, how to get this job, salary information, and what it takes to succeed as a Process Excellence Manager.

The Process Excellence Manager plays a significant role in enhancing organizational efficiency and effectiveness by leading continuous improvement initiatives. This position involves a strategic approach to streamline operations, reduce waste, and optimize workflows across various departments. By employing methodologies such as Lean, Six Sigma, and other process improvement techniques, the Process Excellence Manager collaborates with teams to identify areas for enhancement, designs solutions to address inefficiencies, and oversees the implementation of these strategies. Their efforts are geared towards achieving higher productivity, improving quality, and fostering a culture of continuous improvement, ultimately contributing to the organization’s overall performance and customer satisfaction. Through a combination of analytical insight and collaborative leadership, the Process Excellence Manager ensures that the organization remains agile, competitive, and ready to meet the evolving needs of the market.

Process Excellence Manager Job Duties

Lead and facilitate cross-functional teams to identify and implement process improvement initiatives aimed at increasing efficiency, reducing waste, and improving overall operational performance.
Develop and maintain a comprehensive process mapping system that documents current processes, identifies bottlenecks, and highlights opportunities for improvement.
Design, implement, and monitor key performance indicators (KPIs) and metrics to track the effectiveness of process improvements and ensure alignment with organizational goals.
Collaborate with department heads and senior management to prioritize process improvement projects based on potential impact, resource availability, and strategic importance.
Utilize Lean, Six Sigma, and other continuous improvement methodologies to drive process optimization projects from inception through to successful completion.
Oversee the development and delivery of process excellence training programs to build organizational capability and embed a culture of continuous improvement.
Facilitate the adoption of new technologies and automation tools that support process improvement and operational excellence initiatives.
Conduct post-implementation reviews for completed projects to assess outcomes, quantify benefits realized, and identify lessons learned for future process improvement efforts.

Process Excellence Manager Salary & Outlook

Factors influencing a Process Excellence Manager’s salary include industry sector (e.g., manufacturing vs. healthcare), company size, years of experience in process improvement roles, expertise in specific methodologies like Lean Six Sigma, and the scope of responsibilities, such as global versus regional process oversight.

Median Annual Salary: $99,750 ($47.96/hour)
Top 10% Annual Salary: $184,000 ($88.46/hour)

The employment of Process Excellence Managers is expected to grow at an average rate over the next decade.

This growth is driven by increasing demand for operational efficiency and quality improvement across industries. Process Excellence Managers play a crucial role in implementing lean methodologies and Six Sigma techniques, optimizing workflows, reducing waste, and enhancing overall organizational performance, making their expertise highly sought after.

Process Excellence Manager Job Requirements

Education: A Process Excellence Manager typically holds a Bachelor’s Degree, with common majors including Business Administration, Engineering, or related fields. Coursework often encompasses statistics, project management, and quality control. Some may pursue further education, such as a Post-Baccalaureate Certificate, focusing on specialized areas like Six Sigma or Lean methodologies. High School Diploma holders often complement their education with college courses in business or management to enhance their qualifications for this role.

Experience: Process Excellence Managers typically emerge from a background rich in operational improvement and process optimization. Their journey often includes hands-on experience in leading projects aimed at enhancing efficiency and reducing waste within various organizational contexts. This role demands a deep understanding of lean management principles and Six Sigma methodologies. Successful candidates usually have a track record of applying these techniques effectively in real-world scenarios. On-the-job training and participation in formal training programs related to process improvement and project management are common stepping stones. These managers often have a history of collaborating across departments to drive change and achieve measurable outcomes.

Certifications & Licenses: Certifications beneficial for a Process Excellence Manager include Six Sigma (Green, Black, or Master Black Belt), Lean Management, and Project Management Professional (PMP). No specific licenses are typically required for this role.

Process Excellence Manager Skills

Lean Six Sigma: Employing statistical analysis and quality control methods, a Process Excellence Manager identifies, analyzes, and implements improvements in various operational processes. The goal is to minimize waste and boost efficiency, thereby fostering a culture of continuous improvement that empowers teams to innovate and optimize workflows for enhanced performance and customer satisfaction.

Continuous Improvement Frameworks: Utilizing structured methodologies like Lean, Six Sigma, and Kaizen, a Process Excellence Manager works to pinpoint inefficiencies, cut waste, and boost productivity across organizational processes. This expertise supports the development and execution of strategic plans that drive lasting improvements, promoting a culture of excellence and innovation.

Process Mapping: By creating detailed visual representations of workflows, a Process Excellence Manager can spot inefficiencies and bottlenecks within an organization’s operations. This capability is crucial for designing and implementing more streamlined processes that improve productivity and reduce costs, thereby positively affecting the company’s financial performance.

Benchmarking: The skill to systematically compare an organization’s processes and performance metrics against industry leaders or best practices from other sectors is invaluable. It helps in recognizing areas for enhancement and in formulating strategies that push the organization towards operational excellence and a competitive advantage.

Root Cause Analysis: A Process Excellence Manager excels in identifying and tackling the underlying causes of inefficiencies or failures in business processes. Implementing sustainable solutions that boost operational performance and customer satisfaction is a direct outcome of this skill.

Change Management: Orchestrating the transition of processes, systems, and technologies with a nuanced approach ensures teams navigate change with minimal disruption and maximum adoption. This capability is critical for aligning organizational objectives with individual adaptability, promoting a culture of continuous improvement and innovation.

Process Excellence Manager Work Environment

A Process Excellence Manager typically operates within a corporate or office setting, where the ambiance leans towards the professional yet encourages a collaborative atmosphere. Their workspace is often equipped with the latest technology, including computers with specialized software for process mapping and analysis, to facilitate their primary role of enhancing operational efficiencies.

Work hours for this role tend to follow a standard business schedule, but there’s a growing trend towards flexibility, acknowledging the need for a healthy work-life balance. This flexibility might include options for remote work or adjustable hours to accommodate personal commitments.

The social environment is one of continuous learning and interaction, not just with team members but across departments, to understand processes deeply and foster improvement. Companies usually support professional development through training and conferences, recognizing the importance of staying abreast with the latest methodologies in process excellence.

Safety protocols are strictly adhered to, even in an office setting, ensuring a secure environment. The pace of work can be dynamic, reflecting the ongoing projects and initiatives aimed at process improvement.

Advancement Prospects

A Process Excellence Manager can ascend to senior management roles, such as Director of Process Improvement or Vice President of Operations, by demonstrating significant impact on operational efficiency and cost reduction. Achieving these advancements requires a track record of successful process optimization projects and tangible improvements in performance metrics.

To position oneself for these roles, a Process Excellence Manager should focus on mastering Lean Six Sigma methodologies, as these are often considered the gold standard in process improvement. Gaining experience in a variety of industries can also be beneficial, as it showcases the ability to apply process excellence principles across different operational contexts.

Leading cross-functional teams on high-impact projects is another critical step. This not only proves leadership capabilities but also enhances visibility within the organization. Engaging in strategic planning and aligning process improvement initiatives with the company’s long-term goals will further demonstrate the ability to contribute at a higher level of management.

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Journey to Process Excellence: The Need for a Quality Model – and How to Get Started

Starting a journey towards quality service delivery and sustaining excellence has two components: knowing what to do, and doing it right the first time. This SPi Global white paper distills knowledge from industry-leading quality experts and provides concrete solutions on:

• How to establish ownership and accountability

• How to align strategic objectives

• How to determine ROI for the quality program

• How to build the right culture for quality

• How to sustain results

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COMMENTS

Journey To Excellence
Download all the resources needed to become one of the BSA's recognized units, districts, or councils in the Journey to Excellence.
What is Process Excellence?
Process excellence, also called business process excellence, is a method for improving business processes to enhance efficiency, effectiveness, and productivity. To attain process excellence, a process is examined, changed, and tested until it fulfills the objective. Additionally, it sets a benchmark for quality against which processes are ...
Process Strategy by McKinsey Alum
Half the journey to process excellence is getting the majority of essential processes to maturity levels 3 and 4, where processes are well-defined and managed. It can't be emphasized enough, to mature the majority of processes to levels 3 and 4. Once you standardize a process into a standard operating procedure, that other people can execute ...
Process Excellence: The Complete Guide
Step 2: Create a process map for the as-is process. In order to optimize your target process, zoom into the flow of the work and map key steps, including: Starting point - triggers the process or workflow. Outcome (s) - the end results of the process. Inputs - information, data, time, effort.
A Guide to Process Excellence and How to Achieve it
You should not proceed with the process until you understand the process requirements and in-hand resources you have. Taking is well-researched approach is the key to excellence. 2. Map Out the Process. Once you've analyzed the requirements and resources needed to achieve them, the next step is to map out the process.
7 steps to Process Excellence
Change is easy to talk about, and hard to do. The received wisdom around change is: * know what you want to achieve, * know what the journey looks like, * break the journey into small manageable chunks, * monitor progress at every stage so that you can be sure of where you are slowing down, or going backward, and.
What is Process Excellence
What all these methodologies have in common is a focus on process - an activity through which something - whether tangible or intangible - is transformed into something else. At its most fundamental level, process excellence is not about a methodology, it is about improving the way that businesses create and deliver value to their customers.
Seven Steps to Process Excellence
Tracking of these benefits helps gain momentum and build engagement on your process excellence journey. 4. Lead Your People. It is key to have change champions who continue to drive the journey to process excellence. Clearly communicate the need for change along with the rationale for the improvements that you have planned.
What is process excellence?
Process excellence focuses on a range of different process-based activities, such as process mapping, process automation, and process reengineering. Process excellence is a powerful tool for organizations to improve the quality, speed, and cost of their operations. It helps organizations identify process weaknesses and design better solutions.
Process Excellence
Process Excellence — A 2023 Guide. Process excellence is a critical concept that plays a pivotal role in the success of organizations across various industries. It refers to the systematic approach of continuously improving and optimizing business processes to enhance efficiency, quality, and customer satisfaction.
Process Excellence: The Complete Guide
The steps to achieving process excellence are listed below: 1. Defining the target process. The first and most important step is to identify the process that will improve by implementing process excellence methods. Some processes may be working fine, and may not benefit from implementing process excellence measures.
Process Excellence: A transformational lever to extreme automation
Process excellence is an intersectional play in the age of digital transformation. It requires a combination of capabilities around process optimization. The application of exponential technologies to digitally discover the process realities and technologically transform those processes for the best outcome.
PDF Six steps to drive your process center of excellence to success
PROCESS EXCELLENCE, STEP BY STEP 11 Step #1: Set yourself up for success 12-13 Step #2: Take inventory and prioritize 14 Step #3: Start small and share wins 15-16 Step #4: Use the right tech for the job 17 Step #5: Track value and share best practice 18 ...
Six steps to drive process excellence
The process center of excellence focuses on 5 critical activities: Creating and maintaining process improvement vision and plans. Taking inventory and prioritizing projects to tackle. Continuously ...
The 5 steps required to achieve process excellence
Achieving process excellence provides many obvious benefits. These include: Cost savings: If processes are running efficiently, companies can save significant sums of money. For example, in one organization, invoice process improvement reduced the cost of paying each invoice from $12.44 to $4.98 on average.
The Eight Habits of Effective Process Excellence Leaders
A process excellence initiative can die when primarily targeted towards internally focused objectives such as cost cutting, efficiency gains, etc. while a process excellence journey is long lasting when it is designed around customers. PEX Leaders work towards improving the value delivered to the customer.
The Path to Process Excellence Maturity
Embarking on a Process Excellence Journey. ... Process excellence is critical to successfully implementing a business process management solution. If you don't assess and address process optimization and improve lagging competencies prior to selecting and implementing technology, it often creates success and cost challenges. ...
Process Excellence
Scale, culture, maturity all impact on the way forward, but it is essential to remember that "process excellence is a journey, not a destination". With the support from the leadership in an ...
What Does a Process Excellence Manager Do?
Process Excellence Manager Job Duties. Lead and facilitate cross-functional teams to identify and implement process improvement initiatives aimed at increasing efficiency, reducing waste, and improving overall operational performance. Develop and maintain a comprehensive process mapping system that documents current processes, identifies ...
Journey to Process Excellence: The Need for a Quality Model
Starting a journey towards quality service delivery and sustaining excellence has two components: knowing what to do, and doing it right the first time. This SPi Global white paper distills knowledge from industry-leading quality experts and provides concrete solutions on: • How to establish ownership and accountability. • How to align ...
Journey to Excellence
Excellence is a mindset. It is a belief. It is a behavior. It is an attitude. It is a journey. For a number of years, I have been fascinated with the word "excellence" and pondered and strived ...
Process Pros: Journey to process excellence
Reimagine the way you can work with the ease and power of Nintex.Put The Power of Process® into the hands of your ops, IT, process professionals, and power u...
A Guide to Process Excellence and How to Achieve it
Process excellence, commonly referred to as PEX, is a strategy where a business process is analyzed for irregularities, and improvements are made to enhance the business performance.

What is Process Excellence? | Definition, Benefits and Tips

What Is Process Excellence?

What Are the Obstacles to Process Excellence?

What Are the Benefits of Process Excellence?

5 Tips to Bring About Process Excellence

2. Keep It Lean

3. Keep It Agile

4. Keep It Customer-centric

5. Keep the Culture Alive

Conclusion

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A Guide to Process Excellence and How to Achieve it

What is Process Excellence?

How to Achieve Process Excellence?

1. Study the Process

2. Map Out the Process

3. Use the Right Tools

4. Pick the Right Resources

5. Do a Test Run

6. Fix and Improve

Best Practices to Follow in Process Excellence

2. Build a Solid Team with the Right Leaders

3. Accountability

4. Automation

5. Listen to Customers

Process Excellence vs. Operational Excellence

Operational Excellence

Process Excellence

Parting Thoughts

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What is process excellence?

What is Process Excellence?

Why is process excellence important?

Process excellence vs Operational Excellence vs Business excellence

Top 10 process excellence tools and methodologies

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Key steps of a process excellence framework

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Process Excellence – What it is and How to Achieve Business Process Excellence

Understanding Process Excellence

Components of a Process Excellence Framework

Ownership and alignment

Continuous process improvement

Definition, documentation, and understanding

Performance management

Development of technology and automation

5 Steps to Achieving Process Excellence

1. Defining the target process

2. Mapping the “as-is” process

3. Evaluating the as-is process

4. Create the to-be process

5. Test the New Version of the Process

6. Implement the to-be process

7. Review the results

8. Monitor and modify as required

Process Excellence versus Operational Excellence

Process Excellence versus Business Excellence

Top 10 Tools for Achieving Process Excellence

1. Six Sigma

4. Total quality management

5. Value stream mapping

6. Balanced Scorecard

8. Plan-Do-Check-Act (PDCA)

9. Business process reengineering

10. Gemba Walk

End-to-end workflow automation

2. Keep it lean

3. Keep processes agile

4. Maintain customer centricity

5. Keep the company culture alive

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