Getting the Full Picture on Business Process Optimization

What is Business Process Optimization?

The main objective of business process optimization is to utilize resources most effectively and streamline processes. When processes run as ideally as possible your entire business is more efficient and productive.

Every day at your business there are many different business processes occurring. Often times, many business processes are happening simultaneously. Additionally, many processes are dependent or interconnected with one another.

Therefore, an issue with one business process could become a larger issue for your business processes overall. For this reason, every business process management system should not only include business process optimization but consider it as focal and foundational

If business processes are not effectively streamlined your company is not using resources as efficiently as possible. Resources, ranging from human capital to time, are some of your business's most valuable assets.

As businesses consistently evolve and technology changes, continuous improvement is necessary for a company to stay successful and relevant. Business process optimization addresses this need for continuous improvement in order to reach business goals and improve bottom-line profitability.

Business process optimization contains the following steps-

1. Identify- Start off small by choosing a slow process, small problem, or minor obstacle. Fixing an existing issue can be a lot simpler than many business professionals realize. Often times, the most complex issues are solved with the simplest answers.

Avoid introducing anything new to the business process and instead focus on what can be fixed with minimal effort. Instead of considering a new process to replace an existing process, consider the potential for change a complete process already has.

2. Rework- Use the resources that your business has readily available to make process changes instead of investing in additional resources. After all, the main goal of business process optimization is to use your business's existing resources as effectively as possible, not to add more resources unnecessarily.

During this step, it is helpful to request feedback from your employees about processes and how they can be optimized. Process analysis is a lot more productive when your team works collaboratively to find a solution and team members who work with specific processes often have the most knowledge about their inner workings.

3. Implement- Before you begin experimenting with process changes create digital notes. Paper notes are much more likely to be misplaced, can be hard to read, and are not easily shared with other team members.

As you make process changes update your digital notes with results and observations. Of course, always look out for additional areas of improvement that you may not have initially considered. Remember that ultimately the optimizing process is meant to be a continuous improvement process, not a one-time exercise.

4. Automate- Many business owners have concluded that process automation is the most effective way of optimizing processes at their company. The elimination of human error and optimized process time are just two of the major benefits that process automation offers business owners.

Business process automation software assists a business's digital transformation and promotes continuous improvement of processes long term.

The Importance of Business Process Optimization

While 69% of businesses document their processes, only 4% of those businesses manage and measure their processes. This statistic and other case studies make it evident that business process optimization needs to be better understood and undertaken within business process management.

The main benefits of business process optimization include-

• More accuracy
• Decreased human error
• Growth potential
• Higher quality
• Better efficiency
• Maximized resources