1.1 - Processes Everywhere

  • Typical examples of processes in organizations:

    • Order-To-Cash:
      • Starts when a customer submits an order.
      • Ends when the product/service in question has been delivered to the customer.
      • Includes: Order verification, shipment, delivery, invoicing, payment receipt and acknowledgment.
    • Quote-To-Order:
      • Starts when a supplier receives a request for quote (RFQ)
      • Ends when the customer in question places a purchase order.
      • Usually precedes a Order-To-Cash process.
        • When combined it is called a Quote-To-Cash.
    • Procure-To-Pay:
      • Starts when someone in the organization determines that a given product or service needs to be purchased.
      • Ends when the product or service is delivered and paid for.
      • Includes: obtaining quotes, approving purchase, selecting supplier, issuing purchase order, receiving/consuming the goods/service, checking and paying the invoice.
    • Issue-To-Resolution:
      • Starts when a consumer raises a problem or issue. (such as a defect product or an issue while consuming a service)
      • Ends when (preferably both) a party has concluded that the issue/problem has been resolved.
      • Variant for insurance companies: Claim-To-Resolution.
    • Application-To-Approval:
      • Starts when someone applies for a benefit/privilege.
      • Ends when the benefit/privilege has been either approved or denied.
      • For example building permits (government), admission processes (universities) or applying for a vacation/special leave (companies)

  • Balance between quality of service and efficiency.