Explore the nuances of process hierarchy in business management, as the author shares insights from recent client meetings on balancing functional and end-to-end process structures.
A new podcast episode of Caspar Jans was published on Feb 28, 2025, with the original title:
S04E02: Process Hierarchy & Politics
Overview:
This episode discusses the significance of process hierarchy in business management, emphasizing the need for both functional and end-to-end structures. It highlights the complexities involved in assigning process ownership and managing variations across different business scenarios.
Core content:
- The topic discussed is the importance of structuring business processes through a functional hierarchy and an end-to-end process hierarchy.
- A functional hierarchy begins with main domains, which are further decomposed into sub-domains and individual processes.
- The end-to-end hierarchy facilitates better management of processes that cross functional boundaries, such as procure-to-pay.
- Assigning ownership to end-to-end processes can be politically challenging within organizations and should be approached carefully.
- Different interpretations and conclusions can arise from discussions on process hierarchy across various clients, despite common themes.
Learnings:
- Understanding process hierarchy can enhance the management, governance, and design of business processes effectively.
- The proper construction of functional and end-to-end hierarchies is essential in delineating responsibilities and improving organizational efficiency.
- Recognizing the challenges in process ownership assignment can help navigate internal politics and foster better cooperation.
- Different business contexts require tailored approaches to process management, highlighting the necessity of adaptability.
- Engaging in discussions about process hierarchy can unveil diverse perspectives and solutions among different stakeholders.
The original content was published in English.