consultants corner dec 2013-jan 2014
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Issue 84 | Dec ‘13 - Jan ‘14 | Pages 1– 15
Consultants’ Corner A Bi-Monthly e-Journal from
What’s Inside...
Process Documentation 5WH approach to Business Process Reengineering
Business Process Mapping Essentials of a good Business Process Document
Business Process
3 Process Documentation
An introduction to Process Documentation and types of process charts
5 5WH approach to Business Process Re-
engineering
A brief insight into the techniques of Business Process Re-engineering
7 Business Process Mapping
A bird‟s eye view on the stages of Process Mapping and the layers of process documentation
11 Essentials of a good Business Process
Document
Highlights the contents of a process document and the benefits of business process documentation
13
Quiz Corner
14 What’s up at NCRCL?
All events and birthdays at NCRCL
In this Issue
Readers’ Corner
If you have any comment/suggestion for the editors, please
write to us at [email protected]. Your views and comments on
articles featured here are also welcome!
A key focus area that any business organisation should focus on but rarely attends to is Business Process documentation. Business operations are getting increasingly complex these days and it would only get more complicated in the days ahead. Fixing responsibility and accountability and establishing control seem to be a mirage in the organisation set up that many of the businesses have. Precisely here is where Business Process Mapping comes to the rescue. Process mapping helps organisations understand their business processes better and in turn improve their efficiency and effectiveness in delivering products/services. Process mapping presents the various activities in each department/division in a logical flow ensuring standardisation of processes and also fixes responsibility for the activities thus enabling accountability. Business Process Mapping is used by both private as well as government sector to document their processes and identify any gaps in the processes. Process mapping also provides organizations a solid base for taking up process automation thus ensuring better returns on their technology investments.
Consultants are generally called upon to help organizations in the process mapping exercise. The consultants are expected to bring about their process mapping expertise on the one hand and their knowledge of best practices on the other. Engaging a consultant also helps the organization take an unbiased look at its internal systems.
This issue of Consultants’ Corner covers this well estab-lished area of consultancy. The various components of Business Process Mapping and Documentation are dealt with in detail based on the wealth of experience and research that NCRCL has acquired in this field. In fact, NCRCL has a trademark product called ProMap which it uses for all its Process Mapping assignments.
The editorial team is proud and happy to reveal that the readership base of Consultants’ Corner has beaten the last month’s record and set a new record. Furthermore our magazine readership is slowly but surely spreading across the globe too. We thank our readers for this overwhelming support and encourage-ment.
We would like the readers to send us more views and suggestions on any aspect of Consultants’ Corner which has a direct impact on the quality of the magazine. The Editors will respond to the suggestions and views of the readers and the suggestions will be published in subsequent issues of CC.
From the Editors
Consultants’ Corner
2
A special issue of
Consultants’ Corner will be released in January 2014
showcasing the major events and happenings at NCRCL
during the year 2013.
Circles, ovals or rounded rectangles – Start/
End
Arrows – Flow of control
Rectangles- Generic processing steps
Diamond rhombus – Decision
Parallelogram – Input/output symbols
2. Opportunity Flow Charts: An opportunity
flowchart, a variation of the basic linear type,
differentiates process activities that add value
from those that add cost only.
Value-added steps (VA) are essential for
producing the required product or service. In
other words, the output cannot be produced
without them.
Cost-added only steps are not essential for
producing the required product or service.
They may be added to a process in anticipa-
tion of something that might go wrong, or
because of something that has gone wrong.
I n simple words, a process map is a pictorial
representation of a series of activities that make
up a process. A process is a series of steps
with a specific objective. For instance, release of Pur-
chase Order is a process involving series of actions
with specific responsibilities assigned to individuals.
The history of process mapping dates back to 1921
when Frank Gilbreth presented his article on -
“Process Charts: First Steps in Finding the One Best
Way.” Today, business process mapping is widely
used by businesses to understand both intra-
organization and inter-organization functions.
TYPES OF PROCESS MAPS
In the earlier times, process maps were simple
flowcharts. Over the years, the structure of process
maps has been refined to cover complex processes
as well. The three basic types of process maps are:
1. Flow Charts: A flowchart is a diagrammatic
representation of a process, with pre-defined
types of boxes, showing the steps their order by
connecting them with arrows. Flowcharts are
simple, easy to understand and are most
commonly used in computer related applications.
Some widely used symbols in flow-charting are as
follows:
Process Documentation
Consultants’ Corner
3
Contd on next page
“You don’t learn to Process Map, you process map to learn” – Dr. Myron Tribus (Ex-Director of
Center for Advanced Engineering Study, MIT)
PROCESS MAPPING-A MANDATORY DOCUMENT
IN INDIAN SCENARIO-POINTS TO PONDER
At present, process maps are prepared for ISO certifi-
cations and for process re-engineering assignments
only. Hence the concept of process mapping is still in
a nascent stage in India. However, with the initiative
of the Government, process documentation could be
made as a mandatory document to be maintained by
large organizations. For this purpose, limits based on
turnover/ listed companies could be laid down for or-
ganizations for which process documentation is com-
pulsory.
SCOPE FOR MANAGEMENT CONSULTANTS
Management consultants, with their analytical, pres-
entation and technical skills have a great scope in
helping organizations in the preparation of process
maps and process re-engineering assignments. Con-
sultants have specialized skills that would enable an
organization to identify what it requires, why it re-
quires, where to correct and how to correct. For this
purpose, process documentation is increasingly used
as a tool by Management Consultants.
We, as Management Consultants, can sensitize our
clients the need and importance of process mapping.
We can introduce best practices in this regard so as
to minimize the cost of operations of the client and
maximizing his value of business, for increased effi-
ciency and profitability.
3. Swim-lane Mapping:
In a swim-lane map,
the activities of a proc-
ess are grouped either
horizontally or verti-
cally in lanes. A swim-
lane map shows the
responsibi l i t ies of
e v e r y p e r s o n /
department involved in
the process. Swim-
lanes are commonly
used as c r oss -
functional flowcharts to
depict the activities
performed by different
functional units of a business.
BENEFITS OF PROCESS MAPPING
Process maps are pictorial, thereby enabling
easy understanding of existing processes of an
organization. The persons handling the proc-
ess get better clarity on the process and also
get to understand the processes of other de-
partments
Process maps help in process re-engineering
by helping to identify the gaps and loopholes in
the AS IS Process.
With the help of AS IS process maps, process
audit could be carried to find the extent of com-
pliance with the AS IS process.
Training to new employees on the activities of
organization can be better explained through
process maps.
Process maps provide a basis for Six Sigma
and Benchmark analysis
CHALLENGES IN PROCESS MAPPING
Process maps are effective tools of organizational
improvement. Nevertheless, the preparation of proc-
ess maps has its own challenges. To list a few,
Thorough understanding the processes in a
short span of time and preparation of exhaus-
tive process documentation
Knowledge and usage of modern IT tools in
preparation of process maps
Availability of experts to prepare process docu-
mentation
Management‟s confidence on the need and
usage of process documentation. Ms. Bhavana R
can be reached at [email protected]
Consultants’ Corner
4
Our greatest glory is not in never falling, but
in rising every time we fall.
- Confucius
Consultants’ Corner
5
B usiness Process Reengineering involves
changes in structures and processes within
the business environment.BPR involves
identifying the processes, analysing the existing
processes, designing the To Be process and its
implementation. Understanding and mapping the
existing process of the business is an important step
before designing the To Be process. Improvisation of
a process cannot happen without an in depth
understanding of the existing process.
Generally, the business process is explained by the
client to a consultant. During such discussion a bird‟s
eye view is provided to the consultant. Then the
consultant needs to dig deep to understand the
intricacies involved in performing each activity and its
contribution to the business process. This is where
the 5WH approach can be used as a tool.
What is the 5WH approach?
It is basically a simple set of 6 questions that is
queried to understand an activity. The 5WH approach
is designed in a way to cover all the functions within
an activity.
5WH approach stands for the following:
1W – „What is the activity?‟
2W – „Who is performing the activity?‟
3W – „Where is the activity performed?‟
4W – „When is the activity performed?‟
5W – „Why is the activity performed?‟
H – „How is the activity performed?‟
Why use 5WH approach?
The 5WH approach helps us to understand the vital
elements of an activity. The information so collected
can then be applied in various areas. The table below
shows the information obtained and where such
information can be put to use while preparing a
business process document.
-contd on next page
5WH approach to
Business Process Re-engineering
Each difficult moment has the potential to
open my eyes and open my heart.
Myla Kabat-Zinn
The above queries of 5WH approach are illustrative to
an organization involved in business process
outsourcing. The queries that can be raised are
flexible, that is, the questions can be altered in such a
manner to suit different industries.
Each question addresses a certain function of the
activity. The benefits of the approach lies in the way
the information collected from the questions can be
used as illustrated in table. The questions relating
„Why‟ and „How‟ is crucial in providing a better
understanding on the importance of the activity and
helps in providing data to identify a better method of
performing this activity. The questions on „What‟,
„Who‟,‟ where‟ and „when‟ provide information on the
way the activity is currently performed.
While the first four questions help us to comprehend
the existing process, the last two questions aim to
answer the question on whether this activity can be
tweaked leading to the design of the To Be process.
These queries also help in preparing a process
documentation containing all the vital information.
The 5WH approach is an extremely useful tool to
understand the existing process since it encompasses
all the functions of an activity. If these queries are
raised for each activity within a process, a wholesome
understanding of the process can be achieved. This
will lead to a better judgement in the design and
viability of the To Be process.
Consultants’ Corner
6 5WH Description Information obtained Use of information obtained
1W What is the activity? A general description of the
activity can be understood by this query
Generally, the answer to this question is the activity description in the process map
2W Who is performing the activity?
The person responsible for per-forming the function
Accountability is provided for each activity and can be used in reporting Layer
3W Where is the activity performed?
Activity can happen at different locations in the enterprise
Location in which the activity is performed is used in the process description
4W
When is the activity performed?
Timing of the activity whether performed on an hourly, weekly or monthly basis
In case the activity is to prepare a report, its periodicity is recorded in the reporting layer. Additionally, timing of the activity can be included in its description
5W
Why is the activity performed?
Reason behind performing this function
An understanding of the reason why the activity is performed is obtained providing an insight of its prominence in the larger picture. It is useful for decision making while re-engineering the process as to whether the activity is crucial to the process
H
How is the activity performed?
Method(s) used to perform the activity
The same activity can be performed using different methods. During re-engineering, the method of performing the activity can be modified to produce better results
Mr. Vinod Murali
can be reached at [email protected]
If you want others to be happy, practice com-
passion. If you want to be happy, practice
compassion.
- Dalai Lama
The picture above shows the various stages and
activities involved in the Business Process Mapping
stages.
The stages are:
1. Process Study
2. Documentation
3. Validation
4. AS IS Documentation
5. Issues Identification
6. TO BE Documentation
Stage 1: Process Study
In this stage the Complete Study of the organization
takes place. The processes are either studied by
keeping the business process in view or the depart-
mental functions. During the study, many an
Interactive Discussions takes place between the
experts and personnel of the organization.
B usiness Process Mapping (BPM) is one of
the core competencies of NCRCL. BPM is
the presentation of activities by linking one to
one to make a logical flow, show the reader can
understand the various functions of the business
entity. The objective of the BPM is to help the
organisation by presenting the process logically,
highlighting process gaps, proving solutions and
reengineer wherever required. The BPM in any
organisation passes through a series of stages to
achieve the ultimate objective. NCRCL has developed
a methodology after a decades of research and
experiments with different industries and different
sectors.
Business Process Mapping
Consultants’ Corner
7
Wisdom tells me I am nothing. Love tells me I
am everything. And between the two my
life flows.
- Nisargadatta Maharaj Contd on next page
and weaknesses which have been addressed in the
designing of „TO BE‟ processes. Wherever NCRCL
felt the need for re-aligning and reengineering the
processes is felt, the same shall be have been fine
tuned or revised. Also the department wise
sub-processes shall be have been identified by alpha
numeric codes, in order to make easy sub-process
identification and action for reengineering.
Every process layer begins with a process profile.
This profile summarizes the process owner, list of
documents, registers & and reports involved, and the
start activity and & the end activity. This gives the big
picture overview of the complete process and
sub-processes.
There are various methods of presentations of the
process charts, some of them are:
Simple vertical flow chart
Swimlane flow chart (Horizontal or Vertical)
NCRCL® has been practicing Swimlane flow chart for
the presentations of process maps. In the Swimlane
method of presentation of flow charts, the pool and
lanes are used to distinguish the departmental or
authority functions. If in any department, both the
department and authorities are shown, the
department is represented by the pool and all
authorities are represented by lanes.
Stage 2: Documentation
During this stage the Workflow Mapping of the various
functions takes place. During the workflow mapping,
the Integration of the processes is done by linking the
inter-departmental and intra-departmental activities.
Stage 3: Validation
The most important aspect in the study is to justify the
expert‟s understanding of the organization functions
and activities. These are done with the help of
Meetings and Discussions with the personnel.
Stage 4: AS IS Documentation
After the clear understanding of the business
processes of the organizations, the AS IS
documentations is are done. The output shows the
exact picture how the organization is functioning. The
AS IS documentation is finalized and handed over to
the organizations.
Stage 5: Issues Identification
This is most crucial and intelligent stage where a
paradigm shift happens for the organization. The Gap
Analysis is done by identifying the process gaps by
the experts. The Consultants‟ BPR Experience helps
to plug the gaps and reengineer the processes
wherever required. In this stage lots and lots of
Brainstorming takes place between various experts to
give the right solution to the organization.
Stage 6: TO BE Documentation
After brainstorming with various experts and
understanding the gaps in the existing processes the
time comes for the presentation of the TO BE Process
documentation is prepared. The TO BE process
documentation shows the appropriate processes flow
by plugging the gaps, adopting new activities as
required, discarding unnecessary activities etc. This
documents is presented in four layers viz.,.
The four layers are
i. Process layer
ii. Document Layer
iii. Authority layer and
iv. Reporting layer
Process Layer: This involves a complete mapping of
the intra-departmental and inter-departmental
processes in the organization. This gives clarity of the
processes existing in the organization and also throws
light on the various process gaps
Contd on next page
Often, when we feel empty it is because we
don't give enough. Not because we don't
have enough.
- Daily Good Editors
Consultants’ Corner
8
This presentation of four
layers in process
documentation is designed
by NCRCL and is part of
“ProMap”
The following icons are used in the Process Layer:
Consultants’ Corner
9
Contd on next page
Symbol Meaning and How to Read
Process Flow
This symbol indicates the flow from one process/sub-process/activity to another. This is helpful in gaining an easy understanding of the process flow, i.e. the logical sequence in which things happen in a department. An arrow coming from one symbol and ending at another symbol represents that control passes to the symbol the arrow points to.
Process/Activity
This symbol depicts an activity in the process flow. Each of the activities has been coded with an Alpha-Numeric Code with the following Convention AA-00-0. The coding methodology of the processes are as under:
Dept Name Process Code Activity Code
AA 00 00
Process/Sub-Process
A Process/Sub-Process is depicted with this symbol. This means that this process/sub-process has been covered separately and has a unique process diagram explaining the same. This process/ sub-processes have the same alphanumeric code format as explained.
Branching
When a process leads to one or more processes/activities, the branching symbol has been used.
Decision Box
Decisions are represented by a diamond and typically contain a Yes/No question or Ok/Not ok test. This symbol is unique in that it has two arrows coming out of it, one corresponding to Yes or Ok, and one corresponding to No or Not Ok.
Connector
Connectors are used either on page or off page, if the process map is too big to fit in one page or difficulties in establishing the process flow.
Automated
In the reengineering environment, some of the activities are automated which are highlighted with the help of this icon.
Authorization
Authorization is for the documents and reports. In the process flow, where the documents are authorized by a any authority is indicated by this icon.
Document
Wherever any of the activities in the process flow accompany any document, it is indicated with this icon.
Register
Wherever any of the activities in the process flow accompany any register, it is indicated with this icon.
Risk
This icon shows the inherent risks in the activities. This helps the user to take extra caution while performing the activities.
Leading To
These are usually at the end of a process/sub-process indicating the logical next step or connection to the next process/sub process in the process flow.
Start/End
These usually contain the word "Start" or "End", or another phrase signalling the start or end of a process.
Leading to
A Process Layer is given below as example
The other layers of documentation have been discussed in
the article “Business Process Document” Mr. U S Mohanty
can be reached at [email protected]
Opinion Poll Result
Best article in the Oct-Nov 2013 issue of Consultants’ Corner
The Editorial Team thanks its readers for taking part in this poll. We
request our readers to actively participate in this Opinion Poll since
the annual best article for CC would be selected based on your votes.
Total no. of votes
polled: 11
- Albert Einstein
There are two ways to live: you can live as if nothing is a miracle, or you can live as if everything is a
miracle.
Consultants’ Corner
10
7. Description of Process maps
8. Document and Authority profile
9. Report Profile
10. Policy and Guidelines
11. Document & Report Formats
Purpose: The purpose of business process document
must be clear and mentioned in the document. The
reason for development of process document must be
clear. There are few purposes that the document is
developed viz., to give the reader an overview of the
business processes in the organization and the
inter-departmental information flows; to identify
activities and processes for reengineering and/or
process automation; or to provide a very good base
for monitoring process efficiency and establishing a
strong internal control system.
Organization Structure:
A structure of the organization should be a part of
business process document. The Organizational
structure determines how the roles, power and
responsibilities are assigned and coordinated
between different departments or divisions. It also
explains how the information flows between the
different levels of authorities.
Process Chart: A map or diagram of the process
should be developed to show the whole process in a
single place. Dividing a process into sub-processes
and creating a map for each sub-processes is often
useful to the stakeholders.
A Business Process Document is a well struc-
tured document for all the business proc-
esses within an organization. A business
process document defines the role and responsibility
of all the stakeholders in the organisation and acts as
a guide to them. The processes referred in the docu-
ment are standardized and all the stakeholders of that
process understand and agree on how a process is
supposed to run. It also serves as the baseline for
training documents to prepare new employees/
stakeholders for that process.
Most organizations have come to realize that if they
want to expand their business/to realise their
potential, they must operate in a systematic way or in
other words, they must have a set of standard
business processes.
Any organization generally is built on four pillars viz.,
Policy, People, Process and Technology i.e., 3PT.
Policy provides all the stakeholders with clear roles
and responsibilities, having the right People,
motivated and performing is naturally a key
requirement to performance and Process defines the
work flow among people in the organisation.
Technology provides people with the right tools to do
their jobs well are also vitally important to ensure
success. The Business Process document is one
which holds it all together. It acts as glue between the
3PT constituents.
Contents of a Business Process document
1. Purpose
2. Organization structure
3. Process chart
4. Interfaces with Other Processes
5. Ownership of activities
6. Specify supporting Technology/Business
automation tool for activities
Consultants’ Corner
11
Contd on next page
The idea that some lives matter less is the root
of all that's wrong with the world.
- Paul Farmer
Essentials of a good Business Process Document
Reports Profile: Under each department, the key
Management Information System reports are to be
given in the reports profile. The reports are based on
the key decision making needs of the department
head. For each report, a report code is to be
assigned. The report name, brief description,
preparer, primary user and the periodicity for each
report are indicated in the reports profile.
Policy and Guidelines: A well-structured
documentation system should be derived from
corresponding business policy. Subordinate to the
business process document are documents
that address procedures used to realize and
implement the process, as well as possible work in-
structions to provide additional required detail.
The policy, guideline, process documentation and
work instructions should be organized together.
The process code,
description, Process
Owner, person who
validated the process,
Version number, date
of last updation and
the legend should be
presented on top of
the process chart.
Each process and
activities within the
process contain a
code for easy
identification.
Process Description:
Write a description of
the process that
references the process
map and provides
information that
applies to the process as a whole. The activity-wise
description is to be tabulated under each Process
Chart. This is to be cross referenced to the Chart with
the activity code.
Document and Authority Profile: The key
documents that are associated with the process
should also be explained. The document profile
contains details of all documents that are generated/
used in that department. These documents could be
electronic or manual. A document code is to be given
for each document. Details like who prepares the
document, who approves, to whom it is sent, the
format of the document (email/physical etc.) are
mentioned against each document in the document
profile.
Contd on next page
Activity Code Activity Descriptions
Docu-
ment
Code
Document
Name
Prepared/
Generated
By
Ap-
proved
By
Type Sent
To
Copies
<<email/
physi-
cal>>
Re-
port
Code
Report
Name
Description Pre-
pared
By
Primary
User
Perio-
dicity
<<we
ekly/
month
ly>>
Our own life is the instrument with which we
experiment with the truth.
- Thich Nhat Hanh
Consultants’ Corner
12
Reduction in Turnaround time and money:
An organization with defined processes can find
opportunities to improve efficiency without sacrificing
quality and consistency. They can identify duplication
of effort and spot areas that are being overlooked, in
other words they can identify gaps in the processes,
and fix them in lesser time.
Internal Control:
An organization with defined process can ensure
effective internal control over its activities. At the time
of audit, the auditor can refer the Business Process
document to understand the defined processes and
identify the gaps between the actual and defined
process.
Use as a guide for new employees:
Processes provide a blueprint for new employees,
and enable cross-training to minimize business
interruption in case of illness/employee turnover. It
also enables to understand what roles to hire for and
identify those skill gaps if any.
Document and Report Formats: The documents
and reports that are listed in Document and Authority
profile and Report profile must have standard formats.
Developers of documents should be aware of the
needs of the stakeholders while designing the formats
Benefits of a Business Process Document
For Better understanding:
A common need among organizations is the ability to
describe their processes in a way that their
stakeholders will quickly and easily understand. The
document that accurately explains how a process
works is a critical need for all organizations.
To standardize business activities:
It is observed in most of cases that all the
stakeholders do not work in a structure way. To
ensure efficiency and effectiveness in the business
activities standardisation is crucial. A well designed
business process document ensures this.
Help in SWOT Analysis:
Organizations with defined processes are better able
to evaluate their strengths and weaknesses and
identify opportunities for improvement. They can
improve their processes which help them to increase
stakeholder‟s satisfaction and loyalty. They are better
able to cope with the unknown and react swiftly to
changes in the competitive landscape. In short, the
business process document help them to identify
when they are doing things right, and can more
quickly course correct when they are not.
Consultants’ Corner
13
Mr. Gopal Agarwal
can be reached at [email protected]
1. Agastya is one of the projects that has won the Google impact challenge award of US $ 500,000. What is it
about?
2. Which Indian brand is the world‟s fastest growing whisky (scotch) brand?
3. RBI has recently said that it is possible for foreign banks to be treated nearly at par with national banks, if they
become what?
4. How is Tirumala Tirupati Devsthanams promoting walking among the devotees visiting the Balaji temple?
5. After the Du Plessis ball tampering controversy what essential
requirement in trousers has been asked to be removed from
cricketer‟s trousers by ICC by 2015?
Send in your answers to the editor at [email protected]
Participants with the correct entry will be awarded with a Recognition
Certificate by NCRCL.
Last issue answers. 1. Prem Watsa; 2. Rajini (Rajinikant); 3. One; 4. Anil Ambani;
5. Voluntary Compliance Encouragement Scheme
Right answers for the previous
issue quiz was given by
Bhavana R & Madangi A
!!! Congratulations !!!
What’s up at NCRCL?
Birthday wishes
Dr. RS Murali, Ashok Rao, Kishore interact with the SERP officials during their visit
to Hyderabad & Bibinagar on 22nd October 2013 as part of their Project with SERP
Ashok Rao - 11th Jan Deepak S - 30th Dec
Madangi Anand - 7th Dec Suresh C S - 19th Dec
NCRCL Bangalore staff enjoying their one day trip to Talakadu & Somanathapura,
on 2nd Oct 2013
Ayudha Pooja being celebrated on
11th October at NCRCL Bangalore and
12th October at NCRCL Chennai
Consultants’ Corner
14
Study Circle Presentation at NCRCL
1. Dr. R.S. Murali conducted a session on “Consulting Process - Part I” on 05th Oct 2013.
2. Dr. R.S. Murali conducted a session on “Consulting Process - Part II” on 11th Oct 2013.
3. Dr. R.S. Murali conducted a session on “Preparing ourselves for Consultancy’” on 25th Oct 2013.
Happy Married Life!!!
Babu Rajendra Prasad from NCRCL,
Chennai exchanged marital vows with
Mahalakshmi R on 15th Nov 2013
Team NCRCL wishes the couple a
blissful married life forever.
Neeta Raval joined NCRCL® Chennai as
Admin Officer in October 2013.
We extend a very warm welcome to
YOU!!
Editorial Board
Mr. C S Suresh, Executive Director
Mr. Ashok Rao, Executive Director
Editors
Ms. Sandya M, Consultant
Mr. Karthik M V, Consultant
Published by
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