Components of process - Lean 6 Consulting

What is a Process

What is a Process make up of?

Processes are made up of components that include inputs, outputs, events, tasks and decisions.

Inputs enter the process when a specific event occurs
Tasks and decisions are performed upon or with the inputs
and at the end of the process, an output is generated

Inputs

Input refers to anything that enters a process or is required to enter a process to drive the creation of an output. In the example above, the inputs are the claim form and information provided by the claimant in order to claim from their insurance policy for an incident of loss or damage.

Understanding all inputs to a process is important in Six Sigma because inputs are often causal factors regarding a process. Inputs or the results of those inputs can cause errors or defects in the process.

Other reasons for defining inputs when working with a process include:

Understanding the resources required for a process to run
Identifying extraneous inputs that aren’t required
Understanding costs for the process
Understanding how the process relates to processes that come before it

Outputs

The output of a process is the service or product that is used by the customer of the process. In the example above, after “Process a claim” is performed, the claimant would be awarded with a sum of money that they have claimed (or rejected depending on the outcome)

It is important to note that the Process Customer is not always the traditional end customer or service. The Process Customer can be internal or external, and in some cases, the customer of a process is not even a person.

From a Six Sigma perspective, an output is almost always of more value to the process than the input is. The process itself involves adding value of some kind to the inputs.

Events

Events are specific, predefined criteria or actions that cause a process to begin working. Six Sigma teams must determine what events trigger a process because it helps them understand why process is being performed and whether the process is being run when it isn’t needed.

In the example given above, the “Process a claim” process is triggered when customer raised a claim. It can be triggered via submitting a claim form online, lodge a claim via a call etc.

Tasks

Tasks, or activities, are the heart of a process. Tasks are the physical, automated, or computerized actions within a process.

In the example given above, the tasks to be performed in order to process a claim includes:

Triaging the claim
Review the claim
Approve or reject the claim

And this tasks may be broken into more granular sub-tasks which define the step-by-step procedure the tasks are performed.

Decisions

Decisions are closely related to tasks and can be tasks themselves. Decisions within a process are typically governed by a set of rules. Sometimes those rules are formally documented; other times, decisions are made via informal rules along with staff knowledge and experience. Processes that are governed by informal rules can have problems of consistency.

In the example given above, the decisions that needs to be made to process a claim includes:

Is claim valid?
Is claimant a customer?
Are the claim info complete?
How much can be claimed?