outside in process - chicago v3
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1Copyright 2009 BP Group
Dick Lee
Founder, High-Yield Methods
Board of Directors. BP Group
What is Outside-In?
Who’s using it?
Why are they using it?
Customer-alignment concept
Training opportunities
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From this
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From this
To This
3M Company
Apple Computer
Fed-X
Nordstrom’s
Southwest Airlines
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Amazon.com
Best Buy
Gilead Sciences
Hospitality sector
IBM/Lenovo
Tesco
Copyright 2009 High-Yield Methods 6
Steve Towers Founder, BP Group,
Towers Associates
John Corr, President, BP Group,
City Process
Dick Lee, Founder, High-Yield
Methods
BP Group Board of
Directors7
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Empowered customers
Competitive edge
Build customer relationships
Streamlining
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Customer Expectation Management (CEMM)
Workflow Dynamics
Visual Workflow (1996)
Service
+ Cost
+Revenue
+ Customer-centricity
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“What” “Who”
Enabling technology
“How”
Customer
“Why” emanates from strategy level
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Customers Strategies
Workflow
(+ individual process)
Application software
Communication flow
Enterprise collaboration
Data flowSystems
architecture
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O-I Lean Six Sigma
Customer-centric strategy
Redesign workflow partly
Redesign communication flow
Redesign data flow
Reengineer individual work
Generate tech. requirements
Requires special training
Designed for Office/Service
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Office/Service Environments Manufacturing Environments
Low repetition High repetition
Decision-based business process Fixed business process
Adaptability critical Consistency critical
Hundreds of key workflows Dozens of key workflows
80 % + of defects in hand-offs Most defects in individual work
Invisible defects Visible defects
Empowered staff Compliant staff
Business process is the work Business process guides the work
Integrated work, data & communication flows Independent detached flows
Application data integration critical Embedded technology
Managed by macro-level metrics Managed by micro-level metrics
Outside-In Inside-out
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III. Align technology with process
Core systems, application software, messaging technology
II. Align process with strategy
Flows (work, communication, data)+ individual process
I. Align strategy with customers
From transformational opportunities to ongoing service
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Input
Customer vision
Customer data
Customer maturity model
Process
Situation analysis
Invent new
Refine current
Output
Strategies
Priorities
Redefine work
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Exec.
Exec. sponsor
Team captain
Cross-functional core team
Resource teams
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Assess as-is
Workflow
Comm. flow
Data flow
Redesign
Work flow
Comm. flow
Data flow
Individual process
Output
“What” work by “who”
“How” + tech.
Enabling technology
“How” + tech.
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Exec.
Exec. sponsor
Team captain
Cross-functional core team
Resource teams
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Systems architect.
Data integration
Web
Location & analysis
“Records of record”
Apps. & analytics
Application layer
Forms, SaaS
App. config.
Analysis & reporting
Comm. software
UC
Channels
Routing
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C-Level
Sponsor
Team captain
Cross-functional core team
IT
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I.•Stronger customer relationships
II.•Higher quality work
III.•Streamlining (cost reduction)
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Global training
25,000 members
7,000 CPP certificates issued
Global consulting network
Online networking/education (BP Group, Outside-In
Process group (both on Linkedin)
Public certification sessions:
Boston (12/15/09 – levels 1-3)
Orlando (1/21/10 – levels 4 - 5)
Chicago (2010)
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Steve Towers’ new book:
release November/December 2009
