What Are the Most Important Business Processes to Document During Digital Transformations?

When going through a digital transformation there’s a lot of work that needs to be done from a business process perspective, for example defining your current state and ultimately defining your future state. But which business processes should we focus on while we're documenting them?
That’s what I will be discussing today.
#businessprocess #businessprocessmanagement #digitaltransformation
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[@stuartrobb673]

Only focus on the business processes that meet the following criteria - high cost processes, high customer value processes or processes that have high complexity - the Three C's. That eliminates at least 80% of most business processes that are "industry standard". For example, fixed asset management is not complex or value adding for most businesses. Therefore, don't waste time documenting those processes, unless you're in the forestry industry. Forestry assets appreciate for the first 25 years, and are held as fixed assets before being transferred to stock when mature. So, in this example, a forestry management company would spend a lot of time understanding this process in detail, whereas most companies have no complex requirements so won't bother. The approach to this should be to review all L2 & L3 business processes (in the scope of the transformation) at a high-level and then do a RED, AMBER or GREEN matrix for each one. This should cover approximately 100 or so processes, and can usually be done in a day or so. In total, most businesses have somewhere around 14,000 process steps, so reducing this by 80% is a big gain. Consultancies that offer to do process analysis that takes 3 - 6 months to complete and documents everything are wasting your money,

[@cristopherdemczuk7658]

But what about personalized processes in the AP and AR modules which you say they are not critical. I'm not a fan of the finance modules but in my current project I have encountered myself with personalized procedures for approvals and control of payments for AP and personalized credit management for AR. This proceses ended up being part of the company policies and a big issue in the project. Ultimately these ones required customizations in our JD Edwards implementation. I think this business case may be an exception according your rule. This company doesn't have a Process or Audit deparment but if they have surely this policy would have fall under their scope, so maybe check the Audit policies first can be another check before deciding which process are important to map?

[@jann2759]

Hey Eric the un changeable areas is an interesting perspective thanks for sharing