Why Process Management Organizations Matter
Why Process Management Organizations Matter More Than a Tool
In 2016, a European car manufacturer faced a significant challenge: software and system development had to be brought back in-house after years of outsourcing to suppliers. Stricter EU regulations and increased liability risks prompted this decision.
The rationale was sound: in-house processes allow better control, quicker reactions to problems, and higher quality. However, the reality was different. Years of outsourcing had left internal processes outdated, unstructured, and often contradictory.
A modern process management tool was expected to solve these
issues – but it quickly became apparent:
A tool alone cannot solve process problems. Without a
functioning process management organization, even the best
software has its limits.
The Starting Point: A Process Jungle
An initial analysis, conducted as part of a process improvement project, revealed significant shortcomings:
- Existing process documentation was inconsistent and lacked structure.
- Responsibilities were unclear, and there was no overarching framework.
- New developers struggled to navigate the processes.
Multiple tools and data sources existed in parallel, further complicating the situation. While introducing a new tool seemed like the obvious solution, the root of the problem lay elsewhere.
The Real Challenge: The Process Management Organization
One of the key weaknesses was the lack of a structured process management organization. Here are the critical roles that are indispensable for effective process management:
-
Process Sponsor:
- Responsible for the project’s strategic goals and budget.
- Provides support and ensures prioritization.
-
Process Responsible:
- Oversees processes on a company-wide level.
- Establishes standards and ensures compliance.
-
Process Owner:
- Accountable for the content of specific processes.
- Works closely with Subject Matter Experts (SMEs) who contribute technical knowledge.
-
Process Manager or Designer:
- Ensures consistency and structure in process documentation.
- Defines rules for reviews, approvals, and updates.
-
Process Architect:
- Coordinates the overarching process landscape.
- Prevents redundancies and ensures smooth integration between processes.
-
Process Users (Project Teams):
- Use the processes in practice.
- Supported by Process Coaches who provide guidance and ensure processes are effectively implemented.
-
Engineering Process Group (EPG):
- Acts as the central decision-making body for process development.
- Ensures harmonization and rapid decision-making.
Why the Organization Matters More Than the Tool
In this case, the lack of clarity around roles and responsibilities turned out to be the root cause of most issues. While a modern process management tool improved documentation and structure, it couldn’t address these fundamental problems:
-
Isolated, Siloed Workflows:
SMEs worked independently, resulting in redundant and inconsistent processes. -
Weak Decision-Making Structures:
The EPG lacked authority, delaying or preventing critical decisions. -
Inefficient Communication:
Without clear communication channels, misunderstandings and inefficiencies became common.
Key Lesson: Process Management Starts with People
A well-organized process management structure is the foundation of any successful process improvement project. While tools can enhance efficiency, they are only as effective as the organization behind them:
-
Clear Responsibilities:
Every role must be clearly defined and empowered to fulfill its responsibilities. -
Effective Decision-Making:
A strong EPG ensures that decisions are made and implemented promptly. -
Collaborative Processes:
SMEs, process managers, and architects must work together to create a cohesive process landscape.
Conclusion: Striking the Right Balance
A process management tool can enhance efficiency, but it cannot replace a functioning organization. Clear roles, defined responsibilities, and effective communication are essential for success.
In this case, it took years to clean up the process landscape and make it usable. With a strong process management organization, this could have been achieved much faster and more cost-effectively.