Business Process Analysis and Improvement - Essay Example

Business Process Analysis and Improvement 1.0 Introduction Laudon and Laudon (522) indicates that business process management (BPM) is an effort that is designed to assist organizations to manage process changes that are required in different areas of the organization. Talent Seek (TS) has a problem in its recruitment process. The current process is very long and does not augur well for matching the ideal candidate to the job. BPM is a process of enabling continuous changes in order to improve organizational processes (522). It requires process mapping tools to identify and document the existing processes at TS and also to document existing processes in order to create a new model that can be translated into software systems (522). Seethamraju and Marjanovic (920) indicates that among other things increased competition, in shareholder requirements and new technologies are forcing organizations to make major changes very quickly. In TS’s case customer requirements are driving these changes and BPM is required in order to respond appropriately. The CEO is not pleased with the current process and is concerned that the survival of the business is at stake. The recruitment process needs to be improved in order to make it faster, cheaper and more flexible as well as to achieve better quality results. The task is to investigate the process and analyze the current issues and provide well argued proposals for the short term and long term future of the process. Only the first part of the process will be looked at and so the task is to carry out a detailed analysis of the coordination of the recruitment advertising and vacancy processing process. One of the aims is to ensure that information on job openings are known early so that the process can be completed in an efficient and effective manner. As noted the primary goal of the recruitment process is fast processing time and high client satisfaction. 2.0 The current process The current recruitment process at TS is rather lengthy and comprehensive. The result is that the private sector gets the best candidate because their process is more efficient and effective. The following are some of the issues at TS which has been having a negative impact on the service that the organization offers. Process instructions are not up to date and are not consistently followed by recruitment managers (RM’s); KPI’s are in place but they are usually measured once the position has already been filled; Extensive recruitment preparation; Advertising positions for which a candidate has already been identified; Position profiles updated and terms and conditions approved after a vacancy is identified; Extensive prescreening of applicants; and Inefficient processing of applications 3.0 Analysis of the current recruitment process The issues noted above needs to be dealt with as a matter of urgency. This will help the organization reduce the cost of the recruitment process. Savings can be generated in all the issues mentioned. 3.1 Dealing with the matter of outdated information Instructions relating to the recruitment process should be applied on a consistent basis throughout the organization. Exceptions should only relate to jobs for which no specific qualifications are required. Updated instructions should be made available to all personnel to whom it is applicable. This requires updates to be done regularly as part of the continuous improvement process which is a feature of business process improvement. Parnaby (497) indicates that organizations embarking on changes in their business process must ‘communicate a coherent and consistent standardized, yet non-bureaucratic vision and supporting framework, underpinned by detailed methodologies. This means that if a key individual is no longer employed to the organization the change program will not be negatively impacted. 2.2 How to make use of KPI’s The information from KPI’s should be used to improve the process in areas where this is possible. For example, the time taken to process an application would be a key issue as well as the time it takes for get information to the panelists. The applications should be screened as they come in. Therefore, after the closing date there will be less work. Once a candidate satisfies the position profile the application should be passed to the panelists via the internet. This will allow the panelist to carefully evaluate the candidate. After the closing date, a few days should be given to rank the candidates. A short list should then be made based on the rankings and candidates should then be scheduled for an interview within two weeks of the closing date. Candidates who have not been chosen for interview should be informed promptly. KPI’s should be constantly monitored and the information should be used to make improvements to the recruitment process. 2.3 How to reduce the preparation process The preparation process is too extensive. The job profile and terms and conditions of employment should be constantly revised updated where it is considered appropriate. It should not be left until when a vacancy has to be filled. This is a time consuming process and should be dealt with outside of the recruitment process. This will therefore reduce the time taken to carry out the recruitment process by between 10 and 20 days and help to reduce candidates’ frustration with the process. 2.4 Ensuring that resources are used efficiently and effectively The company has been wasting resources on advertising vacancies which are filled by other means and for which no payment will be received. A system needs to be set up where formal notification is given in writing so that TS does not waste resources on performing tasks for which it will not be paid. Word of mouth is not a practical way of receiving commitment for work done. There has to be proof that the company has been formally requested to carry out the process. This ad-hoc and word of mouth confirmation of vacancies needs to be discouraged by putting policies and procedures that indicate when the recruitment process should be initiated. It is assumed that once a formal request is made payment will be received. 2.6 Unnecessary prescreening The process sending applicants to be ranked to panelist should not be done at this stage. Candidates should first be chosen based on their having met the requirements in the advertisement. This can be done by TS. The applicants to be interviewed should then be shortlisted based on a simple evaluation. A shortlist should be made based on the results of the interview. An evaluation sheet should be provided for each of the panelist before interview where they will be required to rank the candidates based on their performance at the interview as well as their application. Time should be allowed at the interview for them to fill out a form which can be entered into a computerized system and in which the applicants will be ranked according to preset criteria. The psychometric and other tests may be administered just before the interview. After the first interview which is described as Round 1 a short list of about 3 to 5 candidates are chosen based on the ratings provided by the interview panelist. The candidates for the next stage should then be informed within two weeks of the date of the interview, after which the successful candidate is informed. The other candidates should not be informed until the position is filled. This will prevent TS from having to advertise the position again and therefore reduce the amount of reworking necessary. In the event that the successful candidate does not take up the offer or does not meet other qualification requirements another candidate could be identified from the shortlist. Making the process shorter will improve the organization’s chances of having to repeat the process for the same position. This will reduce the cost to TS assuming that they do not get paid for carrying out the process more than once to fill the same position. These savings will improve the company’s bottom line. 2.7 Labor intensive process The processing of applications is done manually throughout and this needs to change. Multiple copies of applications are currently made and sent to panelist for evaluation. Scanning the applications that are not on GovSource and emailing them to the panelist would reduce the time spent by TS human resource coordinators on this process. Additionally, the cost of making copies will be reduced substantially. Most of the applications – 50% are done through the regular mail while 30% is done through e-mail and a mere 10 % through the computerized recruitment system – GovSource. There are various problems associated with the use of GovSource by applicants who are not inside the relevant organizations. These problems need to be dealt with as a matter of urgency. 2.8 Dealing with other issues TS has been having problems agreeing interview time. Use can be made of collaboration technology such as video conferencing for members of the interview panel who may not be able to attend at the location where the interview will take place. 3.0 Conclusion and Recommendation The task of improving the recruitment process at TS should be properly governed. It therefore means that the CEO needs to get involved. Spanyi (223) indicates that some form of governance is required in order to create ‘the right structures, metrics, roles and responsibilities to measure and manage the performance’ of the organizations business processes. This will help to optimize and sustain improvements. Major savings can be achieved if certain stages are computerized. This would also reduce the need for certain positions at TS. If the time can be reduced by 10 to 20 days per month for just one of the processes then this translates to 120 to 240 days per annum. This means that starting from the position of Recruitment Managers down to the lowest level several positions may not be required. This would provide savings of at least $213,000 per annum if one recruitment manager and two human resource coordinator positions are cut. This alone would go a far way in reducing the cost of recruitment. The cost of copying could also be reduced significantly. The cloud based recruitment solution recommended by Ravi Sharma should be seriously considered since it has the potential to reduce cost significantly. The challenges posed by budgetary constraints should be weighed against the cost of providing service using current methods. This is a one-off investment and the process of putting it is place. The process classification framework can be used as a model in BPM. This will encourage the organization to see their recruitment activity from a cross industry process view-point (APOQ). Benchmarking is important as it provides a basis for improving work processes. The company already knows that the market is doing better at their recruitment process and so it is important that they understand why this is so and move expeditiously to make the necessary changes. Work cited Laudon, K.C and Jane P. Laudon. Managing Information Systems: Managing the Digital Firm. New Jersey: Prentice Hall, 2006. Print. Parnaby, J. “Business process systems engineering.” International Journal of Technology Management: 9.3-4 (1994): 497-508. Print Seethamraju, R and Olivera Marjanovic. “Role of process knowledge in business process improvement methodology: A case study.” Business Process Management Journal: 15.6 (2009): 920 – 936. Print Spanyi, Andrew. “Business Process Management Governance,” in Handbook on Business Process Management 2, ed. by vom Brocke, J and M. Rosemann: 223 - 238 APOQ. Process Classification Framework: Overview. APCQ. n.d. Web. Accessed 30 March 2012 Read More