dec model gsw

Decision Modeling:Foundation for Process Reengineering

Gemini Consulting

June 1998

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Gemini Consulting Limited • Proprietary and Confidential

• To define Decision Modeling and provide the context of how it is different from traditional process modeling

• To provide a step-by-step approach for building decision models

Objectives

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What is a Decision Model?

The Decision Model shows a chronological sequence of major

decisions, in a To-Be mode, with the knowledge needed to

support them

Gemini intends to start using modeling, uniformly, as a new foundation for process reengineering

Gemini intends to start using modeling, uniformly, as a new foundation for process reengineering

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The Decision Model is a foundation for the To-Be process

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As-Is Process:

Decision Model:

To-Be Process:

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3

1 3 New

Decisions will always have to be made no matter how the tasksare carried out.

Decisions will always have to be made no matter how the tasksare carried out.

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Process ModelingProcess Modeling

• Depicts “how” the work is done . . . often highlighting decisions

• An excellent place to start, especially in an “As-Is” state

• Depicts “how” the work is done . . . often highlighting decisions

• An excellent place to start, especially in an “As-Is” state

Decision ModelingDecision Modeling

Decision Modeling focuses on the “whats” instead of the “hows”

• Focuses on “what” needs to be accomplished

• An excellent bridge to the “To-Be” phase

• Provides focus on the undergirding decisions . . . the work that MUST be done

• Focuses on “what” needs to be accomplished

• An excellent bridge to the “To-Be” phase

• Provides focus on the undergirding decisions . . . the work that MUST be done

An “As-Is” process model should identify key decisions. An “As-Is” process model should identify key decisions.

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3

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Gemini intends to start using Decision Modeling as the new foundation for process reengineering

Decision Modeling . . .

• Helps abstract away from the often cluttered “As-Is” process

• Provides focus on what’s essential and builds consensus among participants on areas to be tackled

• Makes it easier to design the “To-Be” process rather than having to initially deal with many small steps

• Focuses on the purpose of each group of process steps– without any constraints related to current work practices, technology or client specific

policies.

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Decision Modeling jump starts the “To-Be” phase . . .

Decision Modeling

• Client workshops can start immediately and are very productive

– Initial focus is rational . . . a good decisionmodel is one where EVERYONE agrees

• Immediately developing “To-Be” process modeling can be painfuland extremely unproductive

– “We need to do it this way because we have always done it this way”

– Can get too detailed, too quickly

– Can be difficult uncovering non-value- adding work

Rational

EmotionalPolitical

. . . often allowing for the Results Delivery to be shorter in length.. . . often allowing for the Results Delivery to be shorter in length.

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Decision Modeling - A step-by-step approach

1. Build the “As-Is” process flow (brown paper mapping), identifying both activities and decisions.

2. Identify decisions from the “As-Is” process in a chronological order.

3. Evaluate the decisions and determine knowledge required for making them.

4. Work decision points by adding, removing, re-sequencing, grouping and splitting as needed.

5. Agree on the “To-Be” decision model.

6. Use the Decision Model as the framework for the “To Be” design.

Client Workshops should be used extensively.Client Workshops should be used extensively.

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Step 1: Build the “As-Is” process flow identifying activities and decisions

As-Is Process

ActiveReferral

ClientInitiated

Opportunities

Internal Network

Recommen-dations

AnalyzeCustomerBase to

DetermineLeads

Yes

No

Yes

No

Yes

NoYes

No

ForwardRequest

to RM

Client Requestfor Proposal

ContactClient toDefineNeeds

ContactSpecialist toUnderstand

Needs

Pass Initial

Screening?

ArchiveRequest

Meetwith

Client and

ProductGroup

ReviewProposalInternally

FormalPresent

?

PrepareInitial

Proposal

Present toClient

Send Proposalto client

PrepareFormal

Presentation

ResolveQueries

Win?

ArchiveProposal

ProvideServiceSupport

DevelopSolution

EstablishPricing

Pursue?

ArchiveRequest

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As a starting point, chronologically

order the decisions

1 Does RFPa. pass initial screen?

2 Should we pursue RFP?

3 Should we prepare a formal presentation?

4 Did we win proposal? Why or why not?

Step 2: Identify decisions from the “As-Is” process in a chronological order

Interbanken

As a group, are there any other decisions that should be considered?As a group, are there any other decisions that should be considered?

Pass Initial

Screening?

a. Request for proposal (request for bid)

Pursue ?Formal

presentation? Win Proposal?



Step 3: Evaluate the decisions and identify knowledge required to make these decisions

Identify Possible Enablers (Knowledge Requirements)

The undergirding decisions that need to be made are knowledge intensive

The undergirding decisions that need to be made are knowledge intensive

Evaluate Decisions

We have a decision to make

For Example:

QualifyProspect

Does RFP Pass Initial Screen?

• Marketing Objectives• Post-Mortems

– Prospect specific• Win/Loss Ratio

• Is it congruent with our Marketing strategy?

• What are our chances of winning?

XXXXXXXXXXXXXXXXXXXX



Step 4: Work decision points by adding, removing, re-sequencing, grouping and splitting as needed

Like classical Reengineering, Decision Modeling is a combination of Art and Science.

Like classical Reengineering, Decision Modeling is a combination of Art and Science.

Decision Model

Grouped


Should “Response Strategy” be split into multiple decisions?- Compliance (respond according to their outline)?- Scope (respond to all parts)?- Price (price high, low, fixed price)?

Split



Should we have internal compliance standards before we screen?

Re-sequenced



Do we have any promising leads?Group intelligence from:- Client requests- Relationship Managers- Customer database



Step 5:Agree on the “To-Be” Decision Model

Decision Model

DevelopSolution

• What resources are required?• What solution areas do we

emphasize?• How much of the solution do

we provide?• How would our competition

respond?• Does it pass internal QA / QC?

GainApproval

• What timeframe?• How do we ensure victory?• Do we amend our response?• What did we do good/bad

(internal)?• What was the client’s

feedback? (external)

AssembleDelivery

Team

• Who?• What?• when?• Where?• How

Long?

DetermineResponseStrategy

• Compliance– Do we respond according to

their outline?• Scope

– Do we respond for all or part?

• Pricing– Do we price high or low?

CompliantRFP

• Is the RFP compliant?

– Enough info– Comprehensive

QualifyProspect

• Strategic fit– Congruent with our

marketing objectives?– Do we have the

internal capabilities?– What are our

chances of winning?

Bid /No Bid

• Internal capacity– Are we fully

utilized?– Do we have the

specific expertise available?



Step 6: Use the Decision Model as the framework for the “To-Be” design

From the “To-Be” . . .

• Establish Measures

• Build RACI

• Determine knowledge enablers and supporting technology

“DecisionModel”

“To-Be”

RFPMatches

Guideline

CollectInformation

InternalCapabilities

MarketingObjectives.

AssessAgainst

Guide-lineCompliant

RFPY

N

Y

N

QualifyProspect

Bid / No Bid

DetermineResponseStrategy

CompleteRFP

Keep it high levelKeep it high level



In Summary, Decision Modeling:

• Starts with an “As-Is” process flow

• Requires extensive use of client workshops

• Provides an excellent framework for the “To Be” design

For more information, please access the AKM Centre of ExcellenceKnowledge Base.

For more information, please access the AKM Centre of ExcellenceKnowledge Base.



Exercise - Develop a Decision Model

Use your Brown Paper to develop a Decision Model, following step 2 to 4.(You have already done step 1 making the Brown Paper)

1. Identify decisions from the process (your Brown Paper) in a chronological order.

2. a) Evaluate the decision and b) determine knowledge required for making each of the decisions.

3. Work decisions by adding, removing, re-sequencing, grouping and splitting as needed.

Prepare for a debrief in the large group. Prepare for a debrief in the large group.

Agenda

dec model gsw

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