Level-up principle in company management: apply with caution

- “Everyone should have their own goal” - this is the slogan of our time. Moving toward a specific goal gives meaning to life.

The problem is that goal-setting, like any phenomenon of a mass nature, relies, as a rule, on stereotypes and cliches common in society.

We set priorities for ourselves, based not on the principle of expediency, but on the understanding of what is prestigious and what is not.

Having received education, we find work, start a family, acquire a car and an apartment, etc. In the movement towards such stereotypical goals, is there no place for a serious breakthrough, accompanied by complete spiritual and emotional satisfaction?

The pursuit of “alien” goals is not only an “illness” of an ordinary person, but also a serious problem for managers related to the effectiveness of business management.

The desire to be on top in everything, despite the urgent problems of the company also leads to chaos and confusion in management.

Such steps as choosing a company management system , identifying processes that need to be optimized in the first place, etc., are often taken on the principle of "the more, the better." At the same time, the current state of affairs (AS IS) and those tasks whose solution is critical for the company at the moment are ignored.



The “improving” of individual processes with the simultaneous “slipping” of basic processes inflicts a serious blow on the company's budget. The conclusion is simple: in order to achieve measurable results, you need to properly prioritize when optimizing the company's business processes. The question isHOW to identify “lagging” processes that really need optimization . We will talk about this, as well as the criteria for the right approach to optimizing the company's activities at each of its stages, in this post.

What does the Maslow Pyramid have to do with it?

In short, the idea of ​​the “Maslow Pyramid” is that human needs evolve and are transferred to a different plane as they are met. So, if your physiological needs are satisfied, they will be replaced by the needs for protection, love, respect, prestige, etc.



A hierarchy of needs, reflecting a change in priorities, can also be taken as the basis for the development of a managerial strategy. For this, it is necessary first of all to realize that the business process is not an abstract mechanical model or formal instruction, a vital part of a single organism, which is the company's management system.

Like any other life-support system, the business process is constantly evolving. During its life cycle, the process goes through 5 levels of maturity, for each of which special recommendations are developed:

1. Elementary
2. Repeatable
3. Certain
4. Measurable and manageable
5. Perfected

1. The initial (unsystematic) level

The name speaks for itself: the process is not regulated, it does not have a well-established logic. Ways to achieve the goal change from time to time, which hardly allows you to achieve guaranteed results.



At this stage, bringing the process into a regular, repeatable form is a priority.

2. Repeatable (executable)

The process is carried out in many ways intuitively: the persons responsible for specific tasks are not defined, which often leads to duplication of roles and functions, individual performers can perform current operations in their own way, that is, as they see fit and acceptable.



At this level of maturity, the agenda includes the need to achieve coherence among the participants in the process and the transparency of their indicators.

3. Defined, or standardized

The process route is transparent, the actions of the participants are strictly regulated, but at the same time they are not tied to specific employees:



The best practices and experience of process management are applied in the work. In other words, the processes are in order.

At the current stage, the need arises to preserve and decompose data, documents and information as part of the process.

4. Measurable (controllable)

The result of the process is predictable already in the intermediate and early stages of the process. This is achieved using modern visualization and monitoring tools, showing at what stage the implementation is currently at:



All information on the process is decomposed and communicated to the performers. Technically, this is realized with the help of elements such as operations (As a result, the optimal speed and intensity of processes are achieved, everything works as it should (AS IS).

The truth is known: to remain successful, you must move forward all the time. When this level of managerial maturity is ensured - this means that a great reserve has been made for further improvement and scaling of the process model.

5. Innovative, or improved

The level of process maturity allows you to make a qualitative leap from the current management organization (“as is”) to “as it should be” ideally, which is important for the development and competitiveness of the company.



This is the highest level of development of the company, one of the main conditions for achieving which is the introduction of an effective BPM system.

As you know, there are no limits to perfection. Moreover, it is not enough just to “pull up” the level of development of processes to a certain level - it is much more important to keep this level in the future. All this requires serious financial costs.

Thus, you need to clearly understand what level of process maturity in your company you want - and you can - achieve.
For example, if for a large holding company with a formed management structure, it is possible to achieve immediately the 4th level of maturity, then in the case of a developing young company it is necessary to gradually increase the level of maturity, weighing the feasibility of each step and soberly assessing the associated risks.

Summary

So, we found out: at what level of development are the company's business processes, directly affects its financial well-being. However, one should not force events by radically revising the current state of affairs and striving to obtain high results “on all fronts” and in a short time.

The first thing to do is to analyze the existing situation and highlight those areas of activity that are really problematic and need reorganization. Having determined the priority areas, you can correctly formulate a budget and allocate company resources.

Another important consequence: do not blindly adopt the managerial experience of leading international companies, not complying with the current state of affairs and current tasks. If for someone an innovative level of development of processes is a bar, this does not mean that you, as a leader, need to strive to achieve this bar. Set real goals and actual tasks.