Process Mapping Example

Process Mapping Example

Problem Statement

Create a process map for the credit approval process. The key process steps are shown below. Feel free to add other steps as appropriate.

#

Key Steps in Process

1

Receive a call

2

Check if the credit is ok

3

If credit is ok, approve application

4

If credit is not ok (reject/rework application)

5

Notify client

How to perform analysis

Step 1: Open Sigma Magic
  1. Click on the Sigma Magic button on the Excel toolbar.
  2. Click on the New button to create a new project.
Step 2: Add the analysis template
  1. Click on the Tool Wizard to add the analysis template.
  2. Click on Project and then Process Mapping.


Step 3: Specify analysis options
A new worksheet will be added to your workbook. Analysis Setup will be automatically opened, in the setup tab specify the following details.



Click on the Options to specify what checks should be performed on the process map.



Click on the Checklist button, you will see the following dialog box. Ensure that the items mentioned in checklist should be marked.



Step 4: Enter the Worksheet data
Click on Create button to save all changes and compute the outputs for this analysis. After you define the settings, the next step is creating your process map using the symbols on the Task Menu bar. On the worksheet, enter the following details. A sample worksheet is given below:



Step 5: Generate analysis results
Finally, click on Verify tab and then click Analyze to ensure all the inputs are okay and shown in a green checkmark.



Intepreting Results

  1. Process Flow Clarity: The process map illustrates a workflow from the receipt of calls to notification to the client. This organized methodology allows for clarity on the steps of work being done.
  2. Impact of Decision Point: The decision point "Credit OK?" dictates whether an application moves on for approval or if it needs rework. It is critical as it determines whether there is going to be efficiency in the process or delay.
  3. Quality Check Inclusion: There exists a quality measurement tagged "C&A 89%" in the "Receive Calls" phase, which indicates that quality check is integrated at the very front end so that the result is of good quality.
  4. Rework Loop: If the credit check is unsuccessful, application sent for rework is done before proceeding further. This implies errors or missing details might lead to delay in processing further.
  5. End-to-End Process Visibility: The final activity is notification of the client for the results achieved. It will ensure customer satisfaction and completion of the process.
  6. Potential Improvement Areas: Rework is the area where process efficiency is poor. Analysis of what makes the application go to rework may provide insights for lesser delays, greater first-time approvals, and higher productivity in work.

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