What is workflow management?
Workflow management is currently a term that is used widely across many industries. Whether you are in accounting, legal services, real estate or mortgage broking everyone has been looking at how they can automate routine tasks, speed things up or improve the overall customer experience.
The COVID-19 pandemic has forced businesses to think about how their processes work with a distributed workforce. The old process of dropping the invoice off on the managers desk for approval has no longer been an option. Many organisations have been turning to workflow management technology to see if this can solve their process problems.
What is workflow management?
So, what is the difference between a workflow and a process?
Well why don’t we begin with the definition of a process as outlined by Nicole in her blog post on the 3’P’s – Policy, Process and Procedure.
Process Definition – A business process is a series of related, structured activities performed by a group of people to accomplish a specific organisational goal.
Process Example – The example used in Nicole’s blog was an accounts payable process. The invoice is received by Accounts Payable from the supplier in the mail. Any invoices that require approval are placed in the CEO’s in-tray for approval. Once approved the invoice is entered and matched in the finance system. The specific organisational goal is a paid supplier invoice. The key point to note in our process example is that the participants are held accountable for the completion of each step in the process.
Sounds easy so far right? Well when it comes to workflow there are literally hundreds of confusing definitions out there. Therefore, I landed on this one which I think makes the most sense.
Workflow Definition – A workflow is a series of sequential tasks that are carried out based on user-defined rules or conditions, to execute a business process. Workflow management systems can be used to help automate common time-consuming tasks.
Workflow Example – So, in our accounts payable example we might implement a workflow management system to capture an invoice centrally from a supplier and then automatically extract details to match against the purchase order. Business rule validation would then automatically direct the invoice to the relevant approver before payment is scheduled from the relevant bank account. The key point to note in our workflow example is that the speed, quality and sequence of how tasks are completed are the important elements.
How do I improve my workflow management?
One of the keys to workflow management is to avoid taking a technology first approach. Implementing a workflow management tool without understanding your processes will frustrate people in your team and will most likely create new process issues. Many organisations think that by transitioning their current processes into a workflow management tool they will see immediate benefits.
To improve workflow management in your organisations you need to:
- Document and understand your current processes
- Identify what steps in the process can be automated or partially automated
- Evaluate the various workflow management technologies that will best enable your process
- Document your agreed future state process based on the workflow management technology selected
- Develop a plan to rollout the new workflows to your team
Workflow management tools
A workflow management system provides the infrastructure to setup, track and control a workflow. There are many different types of workflow applications on the market that have been designed to help automate common time-consuming tasks. Selecting the right workflow management system will depend on the workflow you are seeking to improve.
Accounts Payable Workflow – Every business will have their own unique accounts payable process so there is no one size fits all for AP automation. There are many workflow management systems that help automate routine tasks in the accounts payable process. Some of these include:
Other workflow management systems – There are many different workflow management systems that have been designed to help automate routine tasks across any part of your business processes. Example workflows that you might be looking to speed up or automate might include:
- Client and employee onboarding workflow
- Project delivery workflow
Some workflow management systems that have been designed to enable these types of workflows include:
But remember implementing workflow management systems without having a good understanding of your business processes is doomed to deliver you sub-optimal results. If you want to learn more about how to improve your processes while working remotely then check out our blog on Virtual Process Improvement.
Understanding your processes is the key to workflow management improvement
Just like any other continuous improvement initiative understanding your processes is the key to improving your workflow management practices. The effort you invest to improve workflow in your business is almost always going to be worth it. However, the business value you derive will vary depending on where you decide to invest your time. You need to consider and prioritise where your time is going to add the most value.
You need to evaluate which workflows will provide you with the most reward for:
- Improving the flow of information
- Speeding things up
- Improving the quality of the end result
Defining a clear view of your workflow priorities will help you form a path to success.