Process_Improvement_Assignment Proof Read
Running head: BUSINESS PROCESS STAGE 2 1
BUSINESS PROCESS STAGE 2 6
Business Process Stage 2
Institutional Affiliation
Date
Process improvement refers to the proactive responsibility of making an identification of, analyzing and making improvements upon existing processes of business (be they manufacturing or processing) in an organizational setting for the sake of optimization and to measure up to new and well-defined standards of quality or quotas. For any one company that is looking to realize an improvement in its processes, there are bound to distinct sets of action that ought to be followed religiously; at most times these resonate with minimization of wastes that later on translate to the maximization of output. This paper is going to give invaluable insights regarding process improvement within a business process; this it will do with respect to the freight company DHL.
Processes and Tools for Redesign
DHL is a company that helps many businesses to solve the challenge that logistics brings upon them. As such, there is a need for constant process improvement; this can only be realized if DHL as a company continuously improves its operations in light of customer wants and needs.
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Visibility In The Supply Chain |
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Inventory Visibility |
Order Visibility |
Shipment Visibility |
TMS |
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Multiple Warehouse Instances |
Many to one One to many |
Track and Trace (milestone recording) |
Routes |
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Status-driven visibility |
Proforma details |
Set route milestones |
Rates |
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Trigger and resupply alerting |
Ability to consolidate orders |
Multiple carriers |
Carrier performance management |
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Global retest date visibility |
Ability to postpone orders |
Exception management alerting |
ETA Calculations |
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Do customers have stock where there is no demand? |
Has central QP release been completed on batch |
Has the inbound shipment of customers cleared customs? |
How do customers select their carrier on price and performance? |
In as much as DHL is cashing in a lot from the orders that it gets from customers, the company can do so much better if it evens out all the challenges that customers face as a result of supply chain logistics; challenges that DHL is not liable to (Mocker, Ross & Ciano, 2014).
The Existing Process
The existing service delivery process is very much of utility to the customers and the company at large but is not at all sufficient to both parties. The management of DHL is well aware of the fact that it is very much important for customers to know the manner in which carriers charge and perform. For that matter, DHL should present itself as a carrier that is reasonably priced and very much of a performer. The very essence of having insights on the existing process is for the company to be aware of the present and what can be done to better the future; for customers and DHL.
Project Team
The project team is charged with the responsibility of redesigning the production process and doing a little re-development. Re-development will not be the same as product development which requires teams to start from scratch; it will be adding and taking away of bits to the product that seem important and less valuable respectively. Business process improvement will revolve around the mapping of product manufacturing processes, an analysis of the said processes, the redesigning and acquirement of process resources, implementing and communicating change, and making a review of the process (Jurburg, Viles, Jaca, & Tanco, 2015).
Charter Plan
Flow Chart New Design
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Visibility In The Supply Chain |
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More Inventory Visibility |
Heightened Order Visibility |
More Shipment Visibility |
More TMS |
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Multiple Warehouse Instances |
Many to one One to many |
Track and Trace (milestone recording) |
More convenient routes |
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Status-driven visibility |
Increased availability of proforma details information |
Set route milestones |
Friendly rates |
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Trigger and resupply alerting |
Ability to consolidate orders |
Multiple carriers |
Carrier performance management |
|
Global retest date visibility |
Ability to postpone orders |
Exception management alerting |
ETA Calculations |
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Making sure that customers have stock where there is demand |
Timely central QP release on batch |
Inbound shipment of customers and faster clearance of customs |
For DHL to be regarded as the number one carrier by customers; both regarding performance and fair pricing. |
Explanation of the Redesign
The redesign is meant to better the condition of customers i.e. to make sure that their inbound shipments have cleared customs within reasonable time periods. In addition to that, the redesign is meant to assist customers of DHL by giving them knowledge on whether central QP releases have been completed on batch. A good redesign will see to it that customers are in possession of stock where there is a deficiency in demand (Mocker, Ross & Ciano, 2014).
Change Implementation Plan
For DHL the process of continuous improvement will see to it that customers can get timely deliveries in the remotest of places and even for the most fragile goods and services. Many a business man may look up to DHL if the company proves to be efficient. Minimization of wastes and the maximization of output is at the centerpiece of any process improvement plan, and in that case, DHL will be required to waste no time for the best service delivery (Jurburg, Viles, Jaca, & Tanco, 2015).
How the Process Served and the Logic Behind the Decisions
Continuous improvement has worked for the betterment of DHL’s bottom line because it has brought about more flexibility. Flexibility in the sense that timely accomplishment of tasks frees up more time for the completion of more tasks; this will within no time make the company grow leaps and bounds. Sustainability will have been achieved in the long run. On the issue of finances, it must be said that in the short run it is very expensive for the company to deliver without mishaps and not transfer the costs and risks to the consumer. However, the costs are recovered in the long run using profits and consumer loyalty which resonates with repeat buys (Cosimato & Troisi, 2015).
References
Cosimato, S., & Troisi, O. (2015). Green supply chain management: Practices and tools for logistics competitiveness and sustainability. The DHL case study. The TQM Journal, 27(2), 256-276.
Jurburg, D., Viles, E., Jaca, C., & Tanco, M. (2015). Why are companies still struggling to reach higher continuous improvement maturity levels? Empirical evidence from high-performance companies. The TQM Journal, 27(3), 316-327.
Mocker, M., Ross, J., & Ciano, P. (2014). Building a Global Process Standard at the Most International Company on Earth: DHL Express.