Process Governance Principles

Purpose Of The Document #

The purpose of this document is to outline the principles, building blocks, management of resources and level of engagement necessary when BluePrintBI is used to enable proper process governance, addressing the following:

  • Allocated resources required to manage the BPM discipline effectively
  • Process ownership and accountability
  • Mitigation of losses by enabling the identification of the specific business areas and root causes of losses
  • Increase in cost efficiency
  • Operational regulatory compliance assurance
  • Confidence in the ability of the business to consistently deliver on committed client outcomes within acceptable quality and agreed timeframes

Key Stakeholders #

The diagram below outlines all the key stakeholders involved in establishing a process accountability culture within an organisation.

  1. For EXCO, Risk and Compliance Team and Senior Management, the benefits lie in the enablement of the following critical organisational objectives:
    • Process accountability
    • Elimination of wastage
    • Reduction of risk
    • Increase in cost efficiency
    • Consistent delivery on client outcomes, within acceptable timeframes and with quality
  2. Business Process Management and Governance Team attains assistance in:
    • Change enablement and facilitation
    • Acquisition of regulatory compliance and assurance certifications
  3. When Operations Management takes ownership of their processes and are being held accountable for the completeness and accuracy thereof, they derive the benefits of:
    • Control of and clarity on the way processes are executed in their domain
    • Elimination of key man dependency
    • Assurance that all staff have confidence in what is expected of them
    • Well documented job specifications and role definition
    • Complete, accurate and up to date training material
  4. Operational Staff derive the following benefits from a well-documented process universe:
    • Clear and reliable role definition
    • Clarity on the expected and acceptable methods of execution of processes
    • Current and up to date process definition to refer to for training and/or execution of unfamiliar tasks or processes
    • Assurance of knowing where the latest authorised versions of process information may be found

EXCO and Senior Management #

Process ownership as a culture should be sanctioned and enforced from the highest level of authority in the organisation. EXCO and senior management must value the importance and benefits of a documented process universe that is kept current and be eager to receive the business insights that would be derived from it.
A strategy should be formalised that illuminates the following:

  • Justification of a well-documented and current process universe
  • Expected outcomes by business area and the applicable timelines
  • Measurable goals with accountable senior management stakeholders

Risk And Compliance/Governance Team #

Achievement Of Governance Strategic Objectives #

The Risk and Compliance team should recognise BPBI as the chosen strategic enabler to achieve the defined overall company governance strategic objectives. The governance strategy should be translated into one-, three- and five-year goals and linked to expected business insights from BPBI.

Governance Functionality On BluePrintBI #

The Risk and Compliance team needs to define/maintain the following information on BPBI.

Risk Quantification #

The risk profile of a corporation is the cumulative result of the inherent risks in each of its processes, mitigated by the necessary controls applied.
Risks are mitigated on task level. A well-defined process universe enables the Risk and Compliance team to work together with process owners to identify the inherent risks in each process and implement the necessary mitigation for each risk, thus diminishing the overall residual risk in a corporation.
The Risk and Compliance team should define the inherent and residual risk rating framework on BPBI in terms of:

  • Risk categories applicable to the business
  • Likelihood and impact ratings

Risk Incident Management #

When process documentation is kept up to date, the root causes of risk incidents can be identified with confidence, by determining which process was involved and on exactly which step of the process the break took place. The necessary controls may be built into the process around the relevant step, to eliminate the possibility of a repetition of the incident.

Risk incidents should be logged on BPBI, by linking each risk incident to a specific task in a process on BPBI. If applicable, the risk incident on BPBI should be linked to the company risk management solution utilising referential log numbers between the two systems.

Control Framework Management #

Control objective frameworks may be defined and applied to process information on BPBI. These may include, for instance, ISAE3402, POPIA, FATCA or GDPRS.
Specific controls are implemented and executed or applied on step-level in a process. To attain assurance certification regarding a control framework, it is necessary to demonstrate that the relevant processes to which the controls are applicable have been identified, and the step in each process has been indicated where the control is applied. This is a minor task when the process universe is well-defined and current on BPBI.

Business Process Management and Governance Team #

Process Quality, Maintenance Control, And Discipline #

A formalised BPM&G team that governs the methodology, maintenance, and overall process definition management, is the key foundation to ensuring a successful implementation of process ownership and accountability as a culture within an organisation.
This BPM&G team is held accountable for the quality, accuracy and completeness of all processes defined within the organisation.

Allocation Of Resources #

The successful implementation of process accountability as a culture within the organisation is directly dependant on the resources allocated to drive and support this strategic initiative. BPBI is the enabler of a process accountability culture.
Depending on the company size and number of processes, the following roles should be considered in creating a Business Process Governance Team:

  1. Business sponsor: Exco level (CRO or COO)
  2. Lead process analyst: Key User on BPBI driving:
    • Static data configuration and maintenance on BPBI
    • User training
    • Training on process definition methodology
    • Management Reporting creation and communication
    • Primary BPBI vendor contact person
  3. Support process analysts: Allocated to business areas to support process definition initiative
  4. Process owners: Accountable to have all processes under influence documented accurately and completely
  5. Task executor: Refer to the authorised processes published on the BPBI Web Viewer for training and role definition
  6. IT manager to:
    • Support the BPBI release roll-outs
    • Resolve any technical issues that might be applicable to the client environment

Progress Measurement And Project Management #

The defined strategy needs to be translated into measurable goals that are tracked and reported on to the stakeholders, monthly. BluePrintBI has pre-defined reports that may be used to report on the progress of process definition in the organisation and highlight areas that may need extra support.

Keeping Process Documentation Relevant #

Process documentation is kept relevant, alive and part of the operation of a business, by utilising and embedding it in the following business activities:

  • Training
  • Risk Incident Management
    • All risk incidents should be logged on BPBI to the specific task relating to the incident. Once the root cause of the incident has been identified, the process should be updated with the necessary steps and controls to prevent a repetition of the incident.
  • Platform to publish official documents
    BPBI should be the central repository for all official documents and templates that the company’s staff refer to. These documents should all be maintained in the BPBI Document Library. Once a new version of a document is loaded into the BPBI Document Library, all references to the specific document on all BPBI processes and tasks will automatically point to the latest version.
  • Quantifying Inherent and Residual Risk
    BPBI’s inherent and residual risk module should be utilised to ensure that risks are mitigated adequately by process tasks, driving process optimisation, and re-engineering on a continuous basis.
  • Period Review Functionality
    BPBI’s period review functionality ensures that all process documentation is reviewed and authorised at regular intervals, ensuring that all process information on BPBI is kept current.

Middle Management And Team Leaders – Process Owners #

Middle management and operational team leaders should ensure that the process information under their jurisdiction is always current and up to date, reflecting the latest changes in the operational practices in their domain. This function should be a part of the key performance indicators of middle management and team leaders. They should be held accountable for the definition, approval and maintenance of the process documentation within their areas of responsibility.

The following goals should be clearly defined by management as part of the KPIs impacting performance appraisals:

  1. Quality BPBI process documentation, which entails:
    • All business processes are documented on BPBI
    • All documented business processes are maintained and kept up to date on BPBI
    • Business process documentation complies to the BPBI process documentation methodology
    • All BPBI editors in their domain have attended BPBI Editor training
    • All processes are authorised on BPBI
    • All staff have been trained on the BPBI Web Viewer
  2. Staff training is facilitated on the BPBI process documentation
    • Team members refer to the BPBI Web Viewer for all training purposes
  3. All supporting documents and related information are attached to the processes, to enable:
    • Knowledge transfer/training
    • Business Continuity
    • Disaster Recovery

Operational Personnel #

The BluePrintBI Web Viewer is the central place where operational staff refer to for all training purposes and roles and responsibility clarification.
Employees have the confidence of knowing that the latest versions of their defined roles and responsibilities can be found on BPBI and there should never be a dispute as to what is expected or what the approved methods are for performing tasks. The latter also provides management with the confidence that the information they use for strategic decision making is sourced from business process documentation that reflects the true reality of the business at an execution level.

BluePrintBI Support #

The BluePrintBI Support Team offers the following support to BPBI users:

  • Direct and handheld support to the identified BPBI Super User of the organisation. All requests for assistance and/or information are sent to the email address, a group email that informs several support members which enables fast turnaround on the issue at hand.
  • A wide selection of training videos is available on the website: (using the password: Knowledge)
  • The following formal classroom BPBI User Training Modules are available:
  1. BluePrintBI Module 1 – Editor
  2. BluePrintBI Module 2 – SourceFusion
  3. BluePrintBI Module 3 – Setup and Data Maintenance
  4. BluePrintBI Module 4 – Risk, Governance and Governance Editor
  5. BluePrintBI Module 5 – Web Viewer – For Operational Use
  6. BluePrintBI Module 6 – Web Viewer – For Management Reporting

For more detail, please see link:

The Life Cycle Of A Mature Process Universe #

The diagram below depicts the process universe maturity life cycle in an organisation. It is described in more detail below.

Stage 1: Define Process universe In Hierarchy Tree #

During Stage 1 of the process definition life cycle, the operational process hierarchy is defined in terms of functional units within the organisation. Each functional unit is further divided into key functional areas, which contain the actual step-by-step processes.
Note that a value chain approach can also be followed when defining the organisation’s process hierarchy.
The operational process hierarchy is revisited and updated continuously throughout the process universe life cycle, as new processes and process groupings are identified and/or functional areas are restructured according to insights gained.

Stage 2: Processes Defined On Task-Level #

Stage 2 consists of the documentation of processes on a task level. Processes are documented in order of priority. Priority is determined considering the following parameters as guidelines:

  • Recent risk incidents
  • Burning points in the organisation and/or problem areas
  • High-risk processes
  • Processes that support a specific organisational initiative, e.g. a drive for heightened client-centricity or the need to attain a certain regulatory assurance certification.
  • SMEs (Subject Matter Experts) document processes and submit the documentation for approval by their superiors before it may be authorised on BPBI.

Stage 3: Review Of Process Quality #

Process owners review process information in terms of completeness, accuracy and compliance to the BPBI process documentation methodology. They are ultimately held responsible for the quality of the processes in their domain.

Stage 4: Authorisation Of Process Information On BluePrintBI #

Only once processes have been reviewed by the relevant process owners, may they be approved on BPBI. As soon as processes are approved on BPBI, the process documentation is made available on the BPBI Web Viewer. Operational staff makes use of these published processes on the BPBI Web Viewer for training purposes.

Stage 5: Process Enrichment #

During stage 5, processes are enriched with additional data attributes that will support the required management reporting, such as:

  1. Inefficiencies identified on operational step-level
  2. Application of a risk and compliance framework
  3. Risk incident information
  4. Inherent and residual risk quantification

Stage 6: Dashboards And Reporting #

BluePrintBI enables important business intelligence through management reporting that may be accessed through the Web Viewer, as well as the desktop reports and dashboards functionality. Some of the reports available are listed below. All these reports may be generated on sections of the BPBI process universe:

  1. Control framework application (for assurance certification)
  2. Inefficiencies (identified opportunities for improvement)
  3. Risk incidents by root cause (reflecting the total number, as well as financial impact per root cause)
  4. Technology usage
  5. Inherent and residual risk
  6. Process statuses
  7. The number of task-level processes depicted in the process hierarchy
  8. Task duration (enabling capacity planning)

Stage 7: Value Chain Definition #

During stage 7, BPBI’s value chain functionality is utilised to depict end-to-end processes in the organisation by referencing already defined processes as a sequential step within a value chain.

Stage 8: Optimisation And Reengineering #

Stage 8 involves the optimisation and restructuring of an area of the organisation towards a Target Operating Model, achieving strategic objectives (e.g. cost efficiency, risk reduction or improved client experience). BPBI facilitate the cloning of processes and/or the building of mirror operational structures that may be used to facilitate or model the change that is envisioned throughout the organisation.

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