Business Process Reengineering and Best Practices
Enterprise Resource Planning (ERP) and Business Process Re-engineering (BPR) evolved almost at the same time i.e. 1st half of 1990. Both relates to radical redesign of an organization at a relatively short period. Both are having the primary intend to optimize workflow and improve productivity. But, the chicken and egg question remained, whether an organization […]
The Economics of Electronic Healthcare Records
Administrative costs form a major portion of the cost structure of any health care provider. In the case of the United States, administrative costs account for more than 20% of the total costs which need to be incurred in order to serve patients. It is for this reason that many healthcare organizations are trying to […]
Turning the Heat On: A Case Study of the Indian Solar Industry
The Reasons for the Push towards Solar in the Indian Renewable Sector Globally, there has been a push, and a movement towards renewable sources of energy given the fast depleting reserves of oil and coal as well as due to concerns over climate change and global warming brought about due to the burning of fossil […]
Phases of ERP Implementation
Like any other project, ERP implementation goes through various interconnected phases. These phases may be sequential but at occasions overlap. Normally, every phase has entry criteria, which needs to be fulfilled before the commencement of the phase. A phase is deemed to have completed when pre-determined deliverables are achieved. Various phases of ERP implementation, for […]
Communications Driven and Group Decision Support System
Globalization has not only expanded the product markets. It has also made organizations geographically more dispersed. Therefore, the way the business is done and decisions are made has also changed significantly. Collaborative decision-making has become more valuable than ever. This is why there is an increased emphasis on developing and implementing communications-driven group decision support […]
DMADV is a six sigma methodology. It is used to design new processes or products where none exist and get it right in the first time.
This is a part of the DFSS “Design For Six Sigma” concepts which place focus on creating processes right the first time.
The focus of DMADV is on quantifying the customer needs in terms of specifications before trying to improve them. This reduces the ambiguity as well as provides a measurable basis for measurement of the improvements.
Purpose: The purpose of DMADV exercise is to build a new process or to re-engineer a process completely. It required a constant eye on the needs of the customer and finding the best solution to fulfill them.
The steps involved in the DMADV methodology have been outlined below:
Define Customer Needs: The DMADV begins by helping define the customer needs better. The difference is not trivial. While methodologies like DMAIC begin by defining the process requirements, DMADV is customer focused. The orientation is towards studying the implicit and explicit needs of a customer. Customer need not be a person or even an organization. The process that uses your output as its input can also be your customer. Hence the emphasis is on backward induction. One starts be thinking how they want things to be and work backwards.
Measure Specifications: At this stage, consumer needs are translated into metrics that can be measured. This is because unless something is measurable, it is difficult to objectively state whether any improvement has taken place. Specifications of the way needs are being met and they way they ought to be met give the BPM analysts an objective measure.
Analyze the Problem: At this stage the problem is analyzed on a deeper level. The behavior of each activity in the process as well as the value it adds is observed. Finally the problem point is found out and/or better ways of organizing the process are looked at.
Design to Meet Customer Needs Better: At this stage, many alternative processes are designed. These processes are then looked upon as alternative solutions and the one that meets the customer requirements best are chosen.
Simulate to Verify: The DMADV methodology uses objective statements to verify whether consumer needs are being met better. Simulations are run after the new process is deployed. The measurements are then compared with the previous measurements to ensure that improvement has taken place and in the right direction.
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Continuous Improvement and Business Process Re-Engineering
February 12, 2025
