Understanding Company Processes
A business process is a sequence of interconnected activities that build upon each other to produce a specific output. Within a company, there are numerous such processes, activities, or tasks that are executed to achieve the organization's goals. Therefore, it is essential to manage and coordinate all business processes effectively. This coordination is facilitated by the organization's management through various management processes. Every organization has primary processes that ensure the production or provision of services to customers (core processes), as well as supporting processes that ensure the functioning and management of all the organization's resources.
Basic Types of Company Business Processes
- Core Business Processes
- Supporting Business Processes
- Management Processes
Examples of the Most Important Business Processes for an SME
- Sales and Marketing Processes
- Procurement Processes
- Production or Service Delivery Processes
- Financial Management Processes
- HR Management Processes
- IT management processes
- Asset and Facility Management Processes
or tasks performed to achieve organizational goals. Processes are performed by people. Business processes are structured workflows that define how tasks, activities, and roles interact to achieve organizational objectives. These processes are governed by company policies and Standard Operating Procedures (SOPs) that provide clear guidelines on how each activity should be executed. This ensures consistency, accountability, and efficiency across the organization.
- In other words processes define how your company operates, delivers value to customers, and achieves efficiency. Managing and improving these processes is key to mitigating risks and driving success.
Why Managing Business Processes Is Important
- Efficiency: Managed processes reduces errors and saves time.
- Risk Mitigation: Identifying bottlenecks or inefficiencies helps avoid potential pitfalls. Processes are sources of risks.
- Managing work and tasks: Well-defined processes can grow with the business.