Business Process Management Organizational Structure Example

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An enhanced business process management organizational structure example is described in the linked-to article below, which was written by Forrest Breyfogle.  This writing uses a departmental  key performance indicator (KPI) metric-reporting situation to describe how to create beneficial predictive performance measurements in a function within an organization.

This Metrology department KPI reporting for calibration illustration shows how to quantify and report, like other business functions, its functional key performance indicators (KPIs) in terms that everyone can easily understand.

To accomplish ease-in-understanding reporting as part of a Business Process Management (BPM) system, an Integrated Enterprise Excellence (IEE) value chain is very valuable. An IEE value chain’s visual representation of the Metrology Department KPI reporting provides a quantification of future expectations along with linkage to the processes that created the metrics.  With this understanding, one can determine where metric enhancement efforts should focus for process improvement projects so that the big picture’s performance measures benefit from these efforts.

Process Driven Organization Structure Examples: Organizational Value Chain

A high level view of an organization’s value chain is shown in Figure 1. In this value chain the primary function of the organization are connected by arrows and the support functions are not. A computer-mouse click on a box would provide a drill down to the functional processes and their associated performance metrics.

business process management organizational structure example Metrology Value Chain

Figure 1: High-level Organizational Value Chain

A drill down of the ″Manufacture Products″ function would provide the associated performance metrics and processes for this function.  One of the sub-functions to this ″Manufacture Products″ drill down could be Metrology.  A drill down of the Metrology’s calibration function might then yield what is shown in Figure 2.

Metrology value chain drill down in a business process management organizational structure example

Figure 2: Metrology Calibration Department IEE Value Chain Drill Down

In Figure 2, the top swim lane describes the key performance indicators (KPIs) for the Metrology Department calibration function relative to quality, cost, and time.  The bottom swim lane is a basic calibration department process, where these steps can have drill downs to additional process details.

In addition, icons for performance metrics could be “clicked” to provide an up-to-date automatically generated 30,000-foot-level predictive performance reporting, as illustrated in the published article.

An Enhanced Organizational Excellence Methodology

An Integrated Enterprise Excellence (IEE) system addresses the need described in a Wikipedia definition for Operational Excellence.  IEE integrates predictive scorecards (i.e., 30,000-foot-level metrics) with the processes that created them, from which improvement efforts can be undertaken so that the big-picture benefits.  A description of the benefits of IEE 2.0 is described in a one-minute video.

Process Driven Organization Structure Examples: Books and Training

Description of how to create an organizational value chain is shown in Section 7.3 of Integrated Enterprise Excellence Volume II, Business Deployment: A Leaders′s Guide for Going Beyond Lean Six Sigma and the Balanced Scorecard. This metrology department KPI reporting for calibration can be automated through the Integrated Enterprise Excellence (IEE) software methodology called Enterprise Performance Reporting System (EPRS).

Description of how to created predictive metric reporting is provided in Chapters 12 and 13 of Integrated Enterprise Excellence Volume III, Improvement Project Execution: A Management and Black Belt Guide for Going Beyond Lean Six Sigma and the Balanced Scorecard.

University of Texas sponsored public training is available for organizational applications of these enhanced operational excellence and Lean Six Sigma methodologies.

ASQ The Standard November 2014 published article ″Metrology Department KPI Reporting for Calibration″ by Forrest Breyfogle addresses how to create beneficial predictive performance measurements in its organizational function. This article is available for downloading through the link below.

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