Introduction

As organizations grow in complexity the number of problems increases. Managers frequently attempt to solve these problems by creating new systems, policies, procedures, forms and informal work rules. In this way the overall system grows. It is assembled piecemeal and is not well coordinated or well understood. The result is a workflow that is usually inefficient and often ineffective. One with too many checks, balances and details.

The following steps outline a simple and extraordinarily effective procedure for workflow analysis and improvement designed to improve the coordination, communication and control between the different elements of an organization.

Guidelines For Analyzing And Improving Workflow

Design

1. Create a first draft flowchart of how workflows through your organization. Although this may done by a team, it is more efficient to have the least number of people involved in creating the first draft. If one person has a good grasp of the workflow, let that person create the chart. On the other hand, if you need an expert from sales operations and accounting, let each person create the portion of the chart he or she knows best. If differences exist regarding workflow, do not attempt to resolve them at this point, simply note them for future reference.

2. Identify all of the key people involved in the workflow. Using the basic guidelines of good teamwork, bring these people together to:

   Identify any questions, additions, or disagreements about the first draft of the flowchart.

   Facilitate discussions to clarify the chart and agree on it.

   If there is potential for a fair amount of conflict about the flowchart, it is essential the purpose of the organization be clearly spelled out and agreed to. This purpose then becomes the touchstone for making decisions and resolving conflicts regarding flow of work. In other words, the workflow is designed in order to accomplish the purpose.

3. A flowchart must also show all forms and paperwork. The master flowchart should show where each form is created and to whom it is distributed.

4. The next step is to clarify the "passing rules." These rules detail what must be completed by each person or department before the work can be passed to the next person or department. It also details the expectations of the recipient. Once again, it is necessary to facilitate a team discussion and problem-solving session to negotiate and clarify what the "passing rules" should be.

5. It is now time to set stretched standards for each critical part of the flowchart. Standards typically cover such areas as:
   • The turnaround time for each step of the flowchart.

   • The quality of each procedure in the flowchart.

   • The full cost of doing each step in time and dollars.

   • How to locate work in progress without unnecessary delay.

   • Any additional standards which are appropriate for your type of workflow.

   A stretched standard is one that challenges everyone to do significantly better—but not by an impossible amount. Often a 50% reduction in time or cost is a good start.

6. Now a new flowchart is designed. One that will improve the workflow and help in achieving the stretched standards. You may find your work circling back to step 5 (further refinement of the new standards), step 4 (rewriting and clarifying improved passing rules) and step 3 (improvements and simplifications of forms and paperwork). These refinements can help further simplify the flowchart.

7. The completed flowchart, paperwork, "passing rules" and stretched standards must now be communicated to everyone in the organization. If the appropriate key people have been involved in the creating of the chart and standards, then its implementation should be enthusiastically supported. If there is not enthusiastic implementation, then additional people should have been involved earlier in the process. It may now be necessary to back track and involve them at this point.

8. In order to receive full benefit from all the work done, it is now necessary to begin living by the new flowchart and the stretch standards. Usually, this requires one or more teams of key individuals who engage in problem-solving regarding "how" to achieve the new standards.

   Depending upon the size and complexity of the workflow, one problem-solving team might encompass the entire process or it may be necessary to have a series of problem-solving teams focusing on different parts of the workflow. Cross-departmental teams should be composed to address any particular challenges that may arise as work moves from one area or department to another.

9. It is often useful to assign one person to become "Keeper Of The Process." The responsibilities of this person are:
   • To ensure every person in the organization understands the flowchart, forms and passing rules.

   • To ensure the flowchart, paperwork and "passing rules" are realistic and being adhered to.

10. The implementation process should be continuous. Do not become complacent once you have reached your original stretched standards. As you begin to achieve them, it is appropriate to "up the ante" and stretch the standards even further.

11. If there are significant differences between the various perspectives on what the flowchart should look like as well as a climate of mistrust or finger pointing between various parts of the organization, it may be necessary to employ a skilled independent facilitator to guide you through this process.