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Dick Lee
 Founder, High-Yield Methods
 Board of Directors. BP Group
Copyright 2009 BP Group         1
 What is Outside-In?

 Who’s using it?

 Why are they using it?

 Customer-alignment concept

 Training opportunities




                        Copyright 2009 High-Yield Methods   2
Copyright 2009 High-Yield Methods   3
From this
            From this



                        To This




                        4
 3M Company
 Apple Computer
 Fed-X
 Nordstrom’s
 Southwest Airlines




                       5
 Amazon.com
                                Best Buy
                                Gilead Sciences
                                Google
                                Hospitality sector
                                IBM/Lenovo
                                Tesco




Copyright 2009 High-Yield Methods              6
Steve Towers   Founder, BP Group,
               Towers Associates


John Corr,     President, BP Group,
               City Process

Dick Lee,      Founder, High-Yield
               Methods
               BP Group Board of
               Directors
                                      7
Copyright 2009 High-Yield Methods   8
Empowered customers


           Competitive edge

              Build customer
               relationships

                 Streamlining


Copyright 2009 High-Yield Methods   9
Copyright 2009 High-Yield Methods   10
Copyright 2009 High-Yield Methods   11
Customer Expectation Management (CEMM)


           Workflow Dynamics


         Visual Workflow (1996)


         Copyright 2009 High-Yield Methods   12
+ Customer-
                              centricity
                   +Revenue
          + Cost

Service



                                 13
“What”                                     “Who”


               Customer

 Enabling
                                            “How”
technology

“Why” emanates from strategy level
        Copyright 2009 High-Yield Methods           14
Workflow
                                          Application
                          (+ individual    software
                            process)

                         Communication     Enterprise
Customers   Strategies
                             flow         collaboration


                                            Systems
                           Data flow
                                          architecture




                                             15
O-I   Lean   Six Sigma
Customer-centric strategy     
Redesign workflow                          partly
Redesign communication flow   
Redesign data flow            
Reengineer individual work                   
Generate tech. requirements   
Requires special training                    
Designed for Office/Service   

                                             16
Office/Service Environments                                  Manufacturing Environments
Low repetition                                              High repetition

Decision-based business process                             Fixed business process

Adaptability critical                                       Consistency critical

Hundreds of key workflows                                   Dozens of key workflows

80 % + of defects in hand-offs                              Most defects in individual work

Invisible defects                                           Visible defects

Empowered staff                                             Compliant staff

Business process is the work                                Business process guides the work

Integrated work, data & communication flows                 Independent detached flows

Application data integration critical                       Embedded technology

Managed by macro-level metrics                              Managed by micro-level metrics

Outside-In                                                  Inside-out

                               Copyright 2009 High-Yield Methods                               17
18
I. Align strategy with customers
 From transformational opportunities to ongoing service



         II. Align process with strategy
 Flows (work, communication, data)+ individual process



       III. Align technology with process
Core systems, application software, messaging technology


                                                  19
Input      Process      Output

Customer    Situation
                         Strategies
 vision     analysis

Customer    Invent new   Priorities
  data

Customer
 maturity    Refine       Redefine
  model      current        work


                              20
Exec.


      Exec. sponsor

      Team captain


Cross-functional core team


     Resource teams

                             21
Assess
             Redesign      Output
 as-is
              Work flow    “What” work
 Workflow                    by “who”
             Comm. flow       “How” +
                               tech.
Comm. flow
              Data flow      Enabling
                            technology
Data flow     Individual      “How” +
               process         tech.



                                22
Exec.


      Exec. sponsor

      Team captain


Cross-functional core team


     Resource teams

                             23
Systems       Apps. &         Comm.
architect.    analytics      software
   Data       Application
integration      layer          UC

   Web        Forms, SaaS
                              Channels
Location &
 analysis     App. config.

“Records of   Analysis &      Routing
  record”     reporting

                                  24
C-Level


         Sponsor

      Team captain


Cross-functional core team


            IT

                             25
•Stronger customer relationships
 I.

       •Higher quality work
II.

       •Streamlining (cost reduction)
III.


       Copyright 2009 High-Yield Methods   26
27
 Global training
 25,000 members
 7,000 CPP certificates issued
 Global consulting network
 Online networking/education (BP Group, Outside-In
  Process group (both on Linkedin)
 Public certification sessions:
   Boston (12/15/09 – levels 1-3)
   Orlando (1/21/10 – levels 4 - 5)
   Chicago (2010)
                                                28
Copyright 2009 High-Yield Methods   29
Steve Towers’ new book:
release November/December 2009

     Copyright 2009 High-Yield Methods   30
Get started with Outside-In!




                               31

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Outside In Process - Chicago V3

  • 1. Dick Lee Founder, High-Yield Methods Board of Directors. BP Group Copyright 2009 BP Group 1
  • 2.  What is Outside-In?  Who’s using it?  Why are they using it?  Customer-alignment concept  Training opportunities Copyright 2009 High-Yield Methods 2
  • 4. From this From this To This 4
  • 5.  3M Company  Apple Computer  Fed-X  Nordstrom’s  Southwest Airlines 5
  • 6.  Amazon.com  Best Buy  Gilead Sciences  Google  Hospitality sector  IBM/Lenovo  Tesco Copyright 2009 High-Yield Methods 6
  • 7. Steve Towers Founder, BP Group, Towers Associates John Corr, President, BP Group, City Process Dick Lee, Founder, High-Yield Methods BP Group Board of Directors 7
  • 9. Empowered customers Competitive edge Build customer relationships Streamlining Copyright 2009 High-Yield Methods 9
  • 12. Customer Expectation Management (CEMM) Workflow Dynamics Visual Workflow (1996) Copyright 2009 High-Yield Methods 12
  • 13. + Customer- centricity +Revenue + Cost Service 13
  • 14. “What” “Who” Customer Enabling “How” technology “Why” emanates from strategy level Copyright 2009 High-Yield Methods 14
  • 15. Workflow Application (+ individual software process) Communication Enterprise Customers Strategies flow collaboration Systems Data flow architecture 15
  • 16. O-I Lean Six Sigma Customer-centric strategy  Redesign workflow   partly Redesign communication flow  Redesign data flow  Reengineer individual work   Generate tech. requirements  Requires special training   Designed for Office/Service  16
  • 17. Office/Service Environments Manufacturing Environments Low repetition High repetition Decision-based business process Fixed business process Adaptability critical Consistency critical Hundreds of key workflows Dozens of key workflows 80 % + of defects in hand-offs Most defects in individual work Invisible defects Visible defects Empowered staff Compliant staff Business process is the work Business process guides the work Integrated work, data & communication flows Independent detached flows Application data integration critical Embedded technology Managed by macro-level metrics Managed by micro-level metrics Outside-In Inside-out Copyright 2009 High-Yield Methods 17
  • 18. 18
  • 19. I. Align strategy with customers From transformational opportunities to ongoing service II. Align process with strategy Flows (work, communication, data)+ individual process III. Align technology with process Core systems, application software, messaging technology 19
  • 20. Input Process Output Customer Situation Strategies vision analysis Customer Invent new Priorities data Customer maturity Refine Redefine model current work 20
  • 21. Exec. Exec. sponsor Team captain Cross-functional core team Resource teams 21
  • 22. Assess Redesign Output as-is Work flow “What” work Workflow by “who” Comm. flow “How” + tech. Comm. flow Data flow Enabling technology Data flow Individual “How” + process tech. 22
  • 23. Exec. Exec. sponsor Team captain Cross-functional core team Resource teams 23
  • 24. Systems Apps. & Comm. architect. analytics software Data Application integration layer UC Web Forms, SaaS Channels Location & analysis App. config. “Records of Analysis & Routing record” reporting 24
  • 25. C-Level Sponsor Team captain Cross-functional core team IT 25
  • 26. •Stronger customer relationships I. •Higher quality work II. •Streamlining (cost reduction) III. Copyright 2009 High-Yield Methods 26
  • 27. 27
  • 28.  Global training  25,000 members  7,000 CPP certificates issued  Global consulting network  Online networking/education (BP Group, Outside-In Process group (both on Linkedin)  Public certification sessions:  Boston (12/15/09 – levels 1-3)  Orlando (1/21/10 – levels 4 - 5)  Chicago (2010) 28
  • 30. Steve Towers’ new book: release November/December 2009 Copyright 2009 High-Yield Methods 30
  • 31. Get started with Outside-In! 31