Everything that happens within an organization is a process. The purpose of your organization is to execute processes so that value is added for customers and they win by dealing with you. Increasing the effectiveness and efficiency of your organization involves making every internal process work optimally.

Each process needs to be designed to create the best possible results (most effective) with the least amount of resources (most efficient). The ultimate results are measured in terms of how the customers’ needs and desires are best served. Being most efficient means minimizing every kind of waste, whatever doesn’t contribute to creating effective results.

Where do you start?

Begin with those processes that directly affect external customers, those outside who benefit directly from dealing with your organization. Then, move on to processes that serve the internal customers who deal with the external customers. Gradually you will move farther and farther away from the external customers. The last processes you will address will be at the executive level.

What do you look for?

Ask your external customers what characteristics of your products, whether goods or services, increase value to them. Ask them to rate your performance on each characteristic. This will give you a measure of your effectiveness. For each subsequent process, identify the internal customers and ask the same questions.

Look for waste, anything that happens or doesn’t happen that uses resources without contributing to an effective result. Look for things not moving for a period of time, for repetition of effort, for disorganization of work spaces, for things you throw away. For every step in the process ask, “Exactly how does this contribute to the desired result? How can we do this with fewer resources including time, effort, money, and raw materials?”

The best people to answer these questions are those who execute the process. They see what is going wrong, feel the frustrations of wasted time and effort, know what is being thrown away and how things can be done better.

What tools make your processes work more effectively and efficiently?

It all boils down to clarity. Individuals will do a better job, when they realize what is expected, understand the best way to execute the process, and know the measure of excellent performance. There are five tools that are key to achieving clarity:  

1. Clear Job Description
   An effective job description defines the purpose of a job in achieving the organization’s mission. It specifies the processes the person is expected to execute and those for which they hold responsibility for achieving through other people. Key results are spelled out. Expected outcomes within key results areas define the quality and efficiency of each task. For each key result area, the manner in which success is to be measured should be articulated.
    
2. Procedure (Process) Manuals
   The first measure of success is consistency. Procedure manuals are the tools which provide that consistency in the workplace. Every step in executing every process should be described in detail, including every key milestone, the expected results, and the measures of success. Each person assigned to execute a process should be trained and receive certification that they know every task.
    
3. Performance Agreements
   When people know what is expected of them they generally live up to those expectations. An effective performance agreement outlines the projects a person is expected to complete, the anticipated results and the time frame for completion. It describes the goals for performance of day-to-day processes. Both supervisor and employee should agree on the degree of challenge achieving these results represents.
    
4. Continuous Improvement
   Keep records and identify repetitive problems. Look for underlying causes and develop long-term, real solutions. Set aside time for people to think about, discuss and develop better ways of doing things.
    
5. Feedback
   Everyone should measure their own performance, giving themselves constant feedback. A brief summary of successes and shortfalls should be provided to their supervisor, at least weekly, so the supervisor can offer regular, informal, timely feedback on successes and provide coaching to overcome shortfalls. Formal feedback should occur once or twice a year, based on the individual’s performance relative to their agreement.

Everything works better when processes are well managed. Customers, external and internal, feel greater satisfaction. Your organization becomes more competitive. Costs are lower for all your deliverables. Everyone in the organization experiences a sense of purpose, clear direction for improvement, understands their successes and has a clear view of how they are improving what they do. Everyone wins!