Developing and Implementing Business Processes

Business processes may be developed for formal work tasks such as procedures, completing a performance review or for informal work tasks including the steps taken to lock an office and turn the lights on for the day.

Formal processes are often set out in business policies and supported procedures, with documented steps, and training to support the staff implementing the process. Whereas informal processes are often specific to a certain person or a task they may undertake on a day-to-day or week-to-week situation. All tasks, whether they are formal or informal, should streamline the way teams and individuals work. Processes will need to be regularly reviewed to ensure that they are effective and up-to-date.

Processes improve business practice as they:

• Reduce the occurrence of errors
• Ensure delays are minimized
• Reduce duplications in tasks and effort.

Formal processes are often implemented to ensure compliance with safety-related, legal or financial requirements.

Step 1: Describe and map the steps to complete the task

Firstly, you must decide on the work task that requires documentation. This may be a task that is new to the business or required to improve a business process. You may be required to consult with a number of people to gather the appropriate information or call a meeting with multiple people within the business. Ensuring the task steps are correct and the entire process is recorded is an important step in drafting the business process.

Flowcharts or Swin Lane Diagrams are an effective method for documenting a task.

Ensure that you take descriptive notes and that you review the steps once they are recorded. Graphics software such are Lucidchart, Microsoft Visio or Miro are an effective way to build flowcharts and diagrams. This software often also includes examples that may provide a great starting point for documenting your task.

Here is an example of a flowchart that describes the steps taken to receive an order of goods:

Step 2: Analyse the documented process

Investigate and test the process to determine if there are problems within the process, whether the process has included all of the required steps and that all of the steps are in order.

Look for the following red flags to determine if your process is encountering any problems:

• Frustrated team members
• Frustrated clients or customers
• Bottlenecks
• An increase in costs
• A decrease in quality
• Increased time or major delays

If you find a problem within the process, firstly find out where the problem originated from, then speak to all of the people involved with the problem. Consultation will ensure that you understand the process from all aspects of the business. Gain suggestions from work teams and look at other work teams within or outside the business to see what processes they have developed to deal with similar situations.

Three (3) methods that can be used to conduct an analysis are:

• Root Cause Analysis
• Cause and Effect Analysis
• The 5 Whys

Root cause analysis

The aim of a Root Cause Analysis (RCA) is not only to solve issues and respond to them but is also used to find a way to prevent them. The steps undertaken to complete a Root Cause Analysis are outlined below:

• Define the problem
• Gather information, data and evidence
• Identify all issues and events that contributed to the problem
• Determine root causes
• Identify recommendations for eliminating or mitigating the reoccurrence of problems or events
• Implement the identified solutions

Cause and Effect Analysis

Cause and Effect Analysis is a diagramming technique that helps you to identify the likely cause(s) of an issue. Cause and Effect Analysis can be used to find and fix the primary cause(s) of an issue.

Here's a Cause and Effect diagram example:

The steps undertaken to complete a 'Cause and Effect Analysis' are as follows:

1. Identify the problem
2. Work out the major factors involved
3. Identify possible causes
4. Analyse your diagram

The 5 Whys

he 5 Whys is a technique where you ask the question ‘why’ five times. This technique refers to why the situation has occurred. This question is asked in order to get to the root cause(s) of the problem. This technique enables a work team to dig down beneath the most obvious cause of the problem to find the root cause.

When applying the 5 Whys technique it is important to remember:

• The actual number of whys is not important so long as you get to the root cause
• There can be more than one cause to a problem

The steps to apply the 5 Whys technique are:

1. Define the problem
2. Define why it is happening
3. Define why it is happening
4. Define why it is happening
5. Define why it is happening
6. Define why it is happening

Step 3: Review or redesign the process

The first step in reviewing or redesigning a process is to ensure that everyone understands the purpose and objective of the business process. It is best to work with the people in the work team and stakeholders who are directly involved in the process. Look out for new approaches to solving problems and ensure that you have buy-in from all of the stakeholders early on in the review. Once you and your team agree on a process, create new diagrams to document each step.

Brainstorming

Brainstorming is an effective method to gather everyone’s ideas for change. Encouraging participation from all team members will increase your chance of the team buying into the final outcomes. After all of the ideas are recorded, the list can be narrowed to possible and plausible solutions.

Analysis

The following tests can be used to spot possible risks and points of failure within your redesigned process. This will help you to understand the full consequences of each proposed idea and allow you to make the right decision for everyone.

• Impact analysis: An impact analysis is used to identify the potential consequences of a change or estimate what needs to be modified to accomplish a change.
• Risk analysis: A risk analysis is used to identify and analyse potential issues that could negatively impact key business initiatives or projects.
• Failure mode and effects analysis: A failure mode and effects analysis can be used to evaluate a process to identify where and how it might fail and to assess the relative impact of different failures, in order to identify the parts of the process that are most in need of change.

Customer experience mapping

Customer experience mapping is another technique used to analyse customer or client issues. Customer experience mapping records all of the touchpoints that the customer has with the business and business marketing materials. This mapping technique can also be used to analyse customer behaviour and marketing channels.

When conducting a customer experience map, the following questions are asked:

• How did the customer become aware of the business?
• What information is publicly available about the business?
• Which touchpoints are popular through online materials?
• How is customer satisfaction recorded?

Here is a graphical representation of customer experience mapping:

Step 4: Acquire resources

Once the process is reviewed or redesigned then the resources required to implement the process must be acquired. These resources may include people, additional business process’ or physical resources.

Guidance for senior management or other experts may be required to determine resources needed. A business case is often asked for to determine how the resources will be acquired and the effect of acquiring these resources on the business as a whole.

Step 5: Implement and communicate change

Implementing a new process can be a detailed and complex task. Ensure that implementation is planned and that there is enough time allocated to the testing process in order to detect issues. A pilot or alpha test is often conducted to test the process in a limited area of the business or within a controlled environment. Communicating new or changed processes to a work team or a wider business section can also be complex.

People are often resistant to change and find change hard. Work teams may have used a method or process for an extended period of time and do not, at face value, see the benefits of changing.

Tools that can be used to help implement or communicate a change within a business environment include:

• Flow charts and process maps
• Workflow charts
• Visual charts and graphs
• Team meetings and training opportunities
• Notice boards

Challenges, problems and issues are a regular occurrence within business. Problem solving these issues ensures that the business can stay on track and in line with customer expectations. Task issue management records track a business’ issues and the steps required to resolve the issues. Issues may be related to cash flow, recruitment, customer complaints or the progress of project or work tasks. Whether you are part of a project or operational team, issues will occur on a regular basis, thus affecting the ability to meet your team goals.

An effective task issues management process helps a business keep track of the issues, stay organised and ensure that no issues fall through the cracks. Issue management also helps to assign responsibility and ensure accountability, recording who is resolving the issues and when will it be resolved. Recording lessons learnt and key milestones help to solve issues more efficiently and effectively.

Task issue management process enables a business to:

• Resolve issues by assigning tasks to team members
• Monitor the progression of issues through the stages of rectification
• Clearly define roles and responsibilities for each issue
• Create reports to store and log issue data

Task issue management is often set out in a number of formal procedures that help you to manage issues as they occur. During task issue management each issue is recorded and actions are identified to resolve each issue.

The issues management process has five (5) basic steps:

Case Study

Task Issue Management

Zane works for CBSA as a Human Resources Consultant. He feels frustrated in a new business induction process. Zane’s manager, Glenda, has noticed that the induction process is taking an extended period of time. A recently inducted employee has also terminated their employment within their first week of starting work. Glenda calls a meeting to review the induction process, gathering feedback from the entire team and surveying the new employee that left the business.

Following an issues management process, Glenda determines that the process for induction requires a review, as induction is a key function required by the business and is affecting the ability of the business to recruit new staff.

Using the five steps of task issue management, identify and explain what you would do if you were Glenda.

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1. Identify the issue:

• Begin by gathering information about the issue. In this case, the issue is the extended duration of the induction process and the employee turnover during the first week.
• Glenda should talk to her team, including Zane, to understand their perspectives and concerns regarding the current induction process.
• She should also conduct an exit interview with the recently terminated employee to gather feedback on why they decided to leave.

2. Analyse the issue:

• Glenda needs to analyse the gathered information to identify the root causes of the problem. Possible issues may include inadequate training, lack of clarity in the induction process, or inefficient procedures.
• She should also assess the issue's impact on the business, such as recruitment challenges and the potential negative impact on the organization's reputation.

3. Develop a solution:

• Glenda should work with her team to brainstorm and develop potential solutions to address the issues identified during the analysis. This could include revising the induction process, providing additional training or resources, or improving communication within the HR team.
• Solutions should be practical, actionable, and targeted at addressing the root causes of the problem.

4. Implement the solution:

• Once a solution is identified, Glenda should create an action plan for implementation. This should involve assigning responsibilities to team members, setting deadlines, and allocating resources as needed.
• Communication with the HR team and affected stakeholders is critical to ensure that everyone is aware of the changes and their roles in the process.

5. Monitor and evaluate:

• After the new induction process is implemented, Glenda should regularly monitor and evaluate its effectiveness. This may involve collecting feedback from new employees who go through the revised process and tracking key performance indicators related to recruitment and retention.
• If the new process doesn't produce the desired results, Glenda should be prepared to make further adjustments and improvements.

By following these five steps of task issue management, Glenda can address the issues with the induction process and work towards improving the onboarding experience for new employees, ultimately benefiting the business's recruitment efforts and staff retention.

Conflict within the workplace or disputes between customers and suppliers can negatively affect business operations. The potential costs of such conflicts or disputes can include high staff turn-overs, drop in the business reputation or even legal expenses. A clear conflict resolution policy can enable a business to respond to conflict or dispute in a timely and effective manner and avoid any escalation occurring.

Fair Work Commission recommends pursuing dispute resolution outcomes that are:

• Transparent
• Quick
• Fair
• Handled sensitively

An employee, the employer or their representatives may refer the dispute to the Fair Work Commission after all appropriate steps have been taken within the workplace.

Mediation and alternative dispute resolution in workplace conflict

If you are unable to resolve a workplace conflict, the national and state governments can provide advice and guidance on resolving the conflict. Some centres are listed below:

• Queensland Dispute Resolution Centres
• Australian Disputes Centre
• Dispute Settlement Centre of Victoria

The centres above have trained mediators to help everyone involved in a workplace dispute reach a satisfying settlement. This can include mediation and support for businesses to develop systems to prevent or manage conflict.

Awards

Dispute resolution is a key clause that is included in employment awards. Most awards have a similar approach to resolution procedures and outline how resolution is addressed both within and outside of the workplace:

Dispute management process

An effective dispute management process starts before any signs of conflict are present. Businesses and employers can proactively manage complaints and disputes by building customer and employee loyalty, using feedback for improvements and ensuring that communication channels are open.

Some common signs of conflict may include decreases in quality and productivity, increased absenteeism, high staff turnover and an increase in customer or contractor complaints.

The dispute management process has five (5) basic steps.

Each step is outlined in the following table:

Case Study

Tina works for CBSA as an IT technician. Tina has worked some out-of-hours shifts and was on call to attend to a server error on the weekend. Tina thinks there might be a problem with her pay and tries to speak with her manager Con.

Tina schedules a meeting with Con, but Con says that he is too busy to meet and that her pay is correct.

Tina feels frustrated as she does not feel that her work after hours has been adequately compensated and that Con dismissed her so abruptly. Con notices that Tina’s performance has declined since the incident but is unsure why.

Tina contacts the human resources manager, who checks her award classification and explains that her pay is correct. Con is unaware of her contact with HR and calls a performance management meeting with Tina.

This issue could have been avoided if Con took the time to talk Tina and explained to her how he had determined the correct pay rate.

In the performance management meeting, Con brings up her drop in performance and asks if anything is going on that he can help with.

Tina responds with ‘Well why would I bother telling you when you are too busy to help me anyway?’ Con is offended by this and cannot see that he has done anything wrong for this response to be initiated by Tina.

Con responds with, ‘I did not realise you would be so sensitive about this, I think we are done here.’

Con leaves the meeting room and heads back to his desk, leaving Tina feeling even more frustrated as Con has abruptly dismissed her again. Tina contacts the human resources manager in tears and requests a meeting.

What steps would you take to resolve this conflict?

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1. Schedule a meeting with both Tina and Con to discuss the issues and miscommunication.
2. Encourage open and constructive communication, allowing both parties to express their concerns.
3. Mediate the discussion to find common ground and a resolution that addresses Tina's pay concerns and Con's management approach.
4. Implement clear communication guidelines and emphasize the importance of addressing employee concerns respectfully.

Consultation is important when implementing a new or complex business process, in times of change or even responding to conflict. Consultation is a two-way process; it includes the manager or team leader and the worker. For consultation to occur both parties must be active and engaged in the consultation. Best practice employers consult with their staff on a regular basis, listen intently to the options and voices of workers and actively encourage feedback.

In matters such as health and safety consultation it is a legal responsibility and governed by law. Other workplace changes such as different working hours, duties, work locations or redundancies also require consultation.

The benefits of consultation in the workplace include:

• A higher degree of input from employees in decision-making processes
• Employees respond positively to change within the business
• Reduction of disputes and misunderstanding
• Improved engagement and performance

Implementing an internal communication strategy, including consultation processes, sets your business up with a good communication approach. Communication strategies establish communication channels and set clear standards for employees.

Consultation and cooperation in the workplace

Employers and team leaders who take an active approach to consultation and cooperation find that their employees are more likely to accept change and embrace new processes. Cooperation within a business is the process in which work teams work together to find solutions to issues or problems. Whereas consultation is the process in which work teams are asked for their views, experience and options when making a decision.

Even though employees are consulted, and their input is recorded and considered, employers or team leaders still retain the right to make the final decisions and approve processes in light of the best option for the business. By engaging employees in the decision-making process, they are more likely to accept change and feel as if their options are valid and respected, even if the final decision was not their preferred option.

Case Study

Consulting staff about organisational restructures CBSA is planning a reorganisation of their IT and other service divisions. Before starting the reorganisation process, CBSA will implement a consultation process. Their consultation process will include:

• A structured framework for meetings between managers and staff including:

  • 1-on-1 meetings
  • Meetings with teams
• Training for managers on having open and honest conversations
• Survey for staff to respond to questions about their own roles and the roles they thought were needed for the future
• Analysis of sales and financial data for each team

Legal requirements to consult

Information in the following table has been summarised from Fair Work Australia:

Developing a consultation process

Consultation processes outline exactly how your business will engage in consultation with work teams and individuals to deliver key messages and gather feedback from staff. The detail included in the process will depend on the size of the business and the type of consultation that is to be engaged in. The business consultation process may be embedded in an overarching communication strategy or may be a standalone process. In addition to engaging with staff throughout the communication or consultation process, it is also important to seek feedback from staff relating to how the communication or consultation has been received.

Communication and consultation processes should be flexible and refined over time to obtain a process that is both effective and practical.

A communications strategy should cover:

When planning to consult with team members and employees it is important to consider, how can you help the employee under the issues or change, the potential impact of the issues together with how the consultation process with enable all parties to work together to solve the issues.

A consultation process has five (5) basic steps.

• Step 1: Explain the purpose and objectives of consultation
• Step 2: Outline a plan for conducting consultation
• Step 3: Explain who should be consulted and who does not need to be consulted
• Step 4: Outline a strategy for the most efficient and meaningful consultation
• Step 5: Summarise the major topics to be covered and what issues might be raised

Answer the following multiple-choice questions to check your understanding: