What is Learning Curve ? – Meaning and Concept
Introduction In any environment if a person is assigned to do the same task, then after a period of time, there is an improvement in his performance. If data points are collected over a period of time, the curve constructed on the graph will show a decrease in effort per unit for repetitive operations. This […]
Changing Organizational Culture
A common set up where individuals from different back grounds, educational qualifications, interests and perception come together and use their skills to earn revenue is called an organization. The successful functioning of an organization depends on the effort put by each employee. Each individual has to contribute his level best to accomplish the tasks within […]
Why is Market Risk Management Important?
The concept of market risk has always been around ever since financial markets have existed. However, the measurement and management of market risk is fairly new and has come up only in the last three to four decades. The recent past has seen a proliferation of theories and models which have been used to measure […]
Managerial Economics and Micro Economics
Managerial Economics is basically a blend of Economics and Management. Two branches of economics i.e. micro economics and macro economics are the major contributors to managerial economics. Micro Economics is the study of the behaviour of individual consumers and firms whereas microeconomics is the study of economy as a whole. Managerial Economics and Micro Economics […]
Leveraging and Transferring Organizational Knowledge
Pockets of Knowledge and Synergies A learning organization has to ensure that it not only generates knowledge but puts in place mechanisms to ensure that such knowledge is transferred and leveraged for competitive advantage. Often, it is the case that organizations have pockets of individuals possessing knowledge as well as specific teams that are better […]
Process maps can be built in the usual way wherein sequence is the primary concern or in the swim lane pattern. In the swim lane pattern along with sequence, accountability is also formally recorded. This is because each group of participants is recorded separately and the time taken by them to perform a task is also recorded. It is for this reason that swim lanes are useful when handoffs between participant groups are a major concern.
Once you have decided on the type of detailed process map, begin by identifying the starting point and the ending point of the sub process. After this map the sequence of actions and decisions that are involved. It is unusual for someone to miss the key actions in a sub process. This is because they are very visible to the naked eye. However the decisions involved are likely to be missed. Hence consider whether all decisions as well as all alternative paths have been included in the diagram.
The next step is to write down exactly what the process creates i.e. the outputs. Outputs are usually tangible items like the product that is being manufactured or a document that has been created. In case of service environments, the delivery of the service as planned is the final output. Listing down these outputs also make it clear to the person mapping the process whether they are as per the Critical to Quality metrics that have been listed down by the customers.
Based on the outputs listed, make a list of the input variables that will are and should be required for the working of the process. A detailed process map creates a scenario whereby the analyst has to map the variables and the decisions step by step, making it difficult to miss them.
The typical end result of the above step is a long list of input variables. However, lists do not work very well for management. They have to be stripped down to categories which are relatively much easier to manage. Therefore, the input variables are classified in a myriad of ways. On the basis of their type they are classified as the 6 M’s, 8 S’s etc like in the Fishbone Diagram. On the basis of whether the variables can be controlled they are classified as controllable and uncontrollable. The uncontrollable ones are regarded as risks.
Once the output and input variables have been listed, data must be recorded by either simulating the process or actually running it. Then correlations must be done between the state of inputs and the desirable outputs to find out the critical inputs.
Check whether the ideal state of inputs is in fact ideal. Run a simulation with the prescribed state of variables. Check whether any undesirable consequences do emerge.
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What the Current Wave of Protectionism and Populism mean for the Future of Globalization and Free Trade
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