For all your online business building info! , 2017-03-28 13:55:59
Business Processes and Systems to Automate Work
Whether your business small or large, make money online or offline, every business makes use of business processes (methods) to make money. Also every business can make use of business systems to automate work. Today we look at what business processes and business systems are and we also look at some examples.
What is a Business Process?
A business process is a set of interrelated tasks to accomplish a certain goal. Every business process begins with a customers need and ends with customers need fulfillment. The goal is in this case set by the customer.
Normally there are three types of business processes:
- Management process(es.) – oversees the operation of a system.
- Operational process(es.) – core business. Example: Manufacturing, Marketing, Sales and Purchasing.
- Supporting process(es.) – support the core business. Some example: Technical Support or Accounting.
Knowing your Business Processes
Why should you use business processes? Because it’s unavoidable to use business processes, whether you call them business process or a business method, every business uses a certain “way” to get the job done.
The goal is to streamline this “way” into a process, by writing this “way” on paper and removing unnecessary activities.
A well designed business process will increase effectiveness and efficiency of the goal the process is trying to accomplish. The increased effectiveness is good for the customer and the increased efficiency will lower the cost for the company.
We hope that you know see the benefit of knowing every process in your company. Only if you know your business “way” you can change it into a more effect “way.” You need to know your business processes if you want to use business systems (more on business systems below) to automate work.
Business Process Example
Let’s say that a customer buys a product online. The business process can be divided into several sub-processes:
- Order process – shopping basket, fill-out address form, credit card payment, confirmation e-mail.
- Delivery process – business reads order, looks they have order in stock (if not send out a delay e-mail), packages order, send order by mail to customer address.
Because you now know the buying process, you can see that most of your business work is done in the second sub-process. For instance you can decide to auto-source this part to a drop-shipping wholesaler which will packages and do the shipping part.
What are Business Systems?
A business system as a system which facilitates a business process (method of delivery.) Example a sauce machine that is putting the sauce on the hamburger (which is used in the example below.) Putting the sauce on the hamburger is part of the “hamburger creation process”.
Take a look at franchise businesses; they have (in most cases) solid business model in place. For instance McDonald’s, they make use of procedures or processes for everything, they even have a procedure for where and how much sauce there must be on a hamburger. They make use of proven business systems and processes for almost everything. When you buy the franchise rights you buy this proven business model (where all the processes and systems already are defined.)
An example of a business system could be the automation of posting new post to your Blog. The process is writing, formatting, posting, but the posting part can be automated.
(Read more in Scheduling Word-press posts.) Another example of a business system is an auto-responder that can be part of your e-mail process or product (information products) delivery process.
You need to know all your business processes, only then you can increase the effectiveness and efficiency of a process. To increase the efficiency you can use certain business systems that automate part of the process.
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