1. Process Management in Public Sector : a Case Driven approach Joachim Vanden Brande, CEO, LoQutus March 19th, 2012 Warschau © LoQutus1

2. Why process management in public sector ? Different patterns to support process management Solutions Case Q&A Agenda © LoQutus2

3. Why processes? Traditional organization! 3 © LoQutus3

4. 4 Process driven organisation Why processes? © LoQutus4

5. Why process management? We need more staff because… … there is too much work… … nobody can be disengaged to perform additional tasks… … we can no longer do our job properly… … we are facing a backlog… … we are not working at full capacity… … Can we define the need for additional resources without analyzing the processes 5 © LoQutus5

6. Why process management? We can do it more efficient because … we feel that there is still time left… … there is still a lot of waste in the processes… … the way we organize things can be improved… … we have to focus on the work that is important… … 6 © LoQutus6

7. Why process management? 7 In an information-based services company: 5% of the activities create an added value … 50 % of the activities are necessary, but do not create any added value for the citizens … 45 % of the activities do not create any added value … In an information-based services company: 5% of the activities create an added value … 50 % of the activities are necessary, but do not create any added value for the citizens … 45 % of the activities do not create any added value … Answering telephone calls, emails,…that are not intended for the company … Defective or incorrect information leading to additional contacts... Unreliable process quality resulting in extra work... © LoQutus7

8. Why Process Management in Public Sector ? Most services offered to citizens span more then one organization, a process oriented way of thinking solves this Accelerator for lean administration More efficiency in the interaction between citizens, organisations and government Supports basic principles of e- government – Authentic sources – Only once – Privacy © LoQutus8

9. Solutions Support Process Management from IT Viewpoint Current IT Systems – Hard to maintain because process logic and GUI are interwoven – Data driven, NOT process driven – Process and rules embedded in code Process & Event driven IT Systems – Business Process Management Systems – (Advanced) Case Management – Can be a bit confusion which direction to take © LoQutus9

10. Solutions © LoQutus10

11. Solutions Tayler versus Drucker Business Process Management – Scientific management – Standardize processes to increase efficiency Case Management – Management by objectives – Participants choose actions to meet goals Routine work can be analyzed and a common pattern derived … it can be automated by traditional process automation means. Knowledge work … does not have the level of repeatability found in routine work. When it comes to work automation, any advantage gained from similarities is overwhelmed by additional costs of having to accommodate the differences © LoQutus11

12. © LoQutus12 Solutions Example

13. © LoQutus13 Solutions Example

14. © LoQutus14 Solutions Example

15. © LoQutus15 Solutions Example

16. BPM = A Transactional Thread Linking Activities Across Multiple Systems & Applications State Control Activity Solutions BPMS © LoQutus16

17. Solutions Deterministic vs. Non-Deterministic BPMN Processes Are Deterministic, Where All Possible Paths Are Pre-Determined or Known in Advance, No Matter How Complex the Pathways May Be. The Direction of the Process is Determined by the Pre-Defined Path and Current State; State is Determined by the Preceding Activity, in Other Words, Where it is in the Process. © LoQutus17

18. Solutions Business Proces Management Systems Process layer : Built for change Service Layer : Built to last © LoQutus18

19. Solutions Business Process Management Systems Human activity Automated activity (external) Long-running business process Automated activity (internal) © LoQutus19

20. BPMS modeling example © LoQutus20

21. BPMS modeling example © LoQutus21

22. © LoQutus22 The problem with BPMS

23. Case Management Focuses on Events and Outcomes An Event Occurs The Case is Completed A Case File is Opened Activities and Work Create Content & Context Added to the Case Pragmatic Definition : ACM is a strategy to support ad-hoc, unpredictable, human centric processes © LoQutus23

24. Event-Driven? Yes. Agile? Maybe. ACM Processes Are Goal-Driven and Non-Deterministic, The End Point is Known at the Start, the Pathway for Reaching it is Determined by the Outcome at Each Stage as well as Rules and Policies Applicable to the Case. The State of the Case is determined by the Content and Context Within the Case, Not Where the Case is at Any Time. Issue Resolved & Recorded Customer Reports Problem A Case is Opened Issue is Investigated Solution Applied, Unsuccessfully Alternatives Researched & Applied © LoQutus24

25. Goal-Driven = Non-Linear Cases Evolve Over Time in the Direction of Achieving a Goal, Often in Unpredictable Directions, Requiring the Ability to Jump Forward, Jump Back, Re-do or Otherwise Perform Work in a Sequence That Cant be Determined in Advance. © LoQutus25

26. Adaptable, Not Ad-Hoc Business Rules, Business Analytics, Context-Sensitive Help and Knowledge Management Functions Help Guide Knowledge Workers to Make Decisions About Cases as They Evolved. The Case Management System Adapts to the Context of the Case, Guiding the Outcome Based on the Combination of Rules/Policies, Data, and Application of Knowledge Worker Know-How. © LoQutus26

27. Concept Coordination through case folder © LoQutus27

28. © LoQutus28

29. © LoQutus29 Claim case – High level

30. © LoQutus30 Handle claim - detail No structure, but pre- & post-conditions

31. © LoQutus31 Claim case – states Event-driven! Events determine state (= summary of history) State determines available events

32. © LoQutus32 Claim case – High level

33. © LoQutus33

34. Case Manage end-to-end process : Subsidies for school infrastructure © LoQutus34

35. Agion – Project ALPHA © LoQutus 35 Business process (simplified)

36. Maximum configurability (business users) – Letter templates – Calculations (rules) – Checklists++ © LoQutus36 Key succes factors (IT)

37. Key characteristics (AGIOn) © LoQutus37 Why is this ACM? Case is central Subsidy request Multiple input stimuli E-mail, printed mail, phone Knowledge worker Specially trained AGIOn employee Goal-based working Evaluate and grant the subsidy Every case is different Unpredictable flow, different forms, procedures, … Robust regarding to change Subject to changing legislation, procedures, forms, … Collaboration Different teams work together: accountancy, legal, …

38. Identifying cases and subcases © LoQutus38 Challenges Case Multiple request forms need to be evaluated individually (subcases) Different subcontractors require different handling and approval of the specifications (subcases) Many-to-many relationship Monthly invoices from subcontractors (subcases) Mutual financial statement

39. Checklist to letter concept (autotext) Case states – Case states drive the underlying process fragments – Explicit process fragment rules needed – Subcase states vs case states Stakeholders can be dynamic, e.g. Identification of external experts – In some cases, external experts are needed to evaluate a request – Not known beforehand if this expert is needed © LoQutus39 Challenges (2)

40. © LoQutus 40 AGIOn ACM Architecture

41. Process Management is necessary when we want to optimize the way organizations in Public Sector work Process modeling and discovery should focus on both structured and unstructured processes in order to realize IT systems that support process management State-of-the-art IT systems (BPMS & ACM) each have advantages, combine them Summary © LoQutus41

42. Q & A Literature © LoQutus42