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Business Process Optimization (BPO)

The “BPO System” is a roadmap designed to provide executives with an understanding of the documentation and implementation techniques required in developing and sustaining a World Class (WC) business operating system. The broad-based philosophy of Business Process Optimization (BPO) is a set of underlying themes that are consistently repeated throughout BPM literature. The following themes are described below with a set of more specific objectives that are commonly accepted as accompanying this philosophy.

 

 

 

 

 

 

 

 

 

  • Service and Product Excellence – Whereas perfection may not be attainable, excellence clearly is achievable and the pursuit of excellence is a primary goal.
  • Continuous Improvement – Dedication to daily progress. BPO is never fully implemented because additional improvement is always possible.
  • Elimination of Waste – Waste is anything that does not add value to the product or service; be it material, equipment, space, time, energy, systems, or human activity of any sort.
  • Simplicity – Simple solutions work better. Persist on getting to the core of a problem and then seek simple remedies.
  • Flexibility – In the use of equipment, in response to variations in volume, in the ability to change model or product mix, and in the ability of people to perform a variety of tasks.
  • Visibility – Unwritten and unspoken communication attained by prominently posted schedules. The use of signal lights and charts, business layouts that place equipment and people closer together, and especially by workplace organization and sharply reduced inventories to expose problems as a stimulus for action.
  • Develop Productive Potential of People – Through education and by providing an atmosphere conducive to active problem solving by the people closest to and best able to solve problems and providing the proper reinforcements for doing so.
  • Uninterrupted Flow – A smooth flow of materials and activities all the way from suppliers through to customers paced by market demands.
  • Process Quality Improvement – Unrelenting attention to the production process to prevent the creation of defects.

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