8 simple steps to determine which workflow to map first
Will 2025 be a pedal-to-the-metal year for prosperity, job creation, and new ways of doing things? If that’s what you think, then now is the time to start documenting your workflows. Why? Prosperity + job creation + new ways of doing things = growth. Gaining clarity on the categories of work in your internal operations is a great way to prepare for growth.
Workflow documenting, aka mapping, can appear overwhelming if you’ve never done it before. How do you differentiate between a workflow and a procedure? And with multiple departments and teams performing multiple categories of work, how do you determine which workflows to map first?
Definitions
Workflow: the time-bound phases of a distinct process, from beginning to end, and the procedures performed throughout the process.
Examples: the lifecycle of a sales order; lifecycle of a service request; lifecycle of a new loan
Standard Operating Procedure (SOP): a unique set of tasks performed during a workflow, documented in a standardized format, saved in a shared location, updated regularly and reviewed annually
Examples: how to process a sales order in an enterprise resource planning (ERP) system; how to process a service request in a service ticketing system; how to add a new loan to a loan system
8 simple steps to determine which workflow to map first
When we moved to Nashville, my husband and I lived in a 16.6 ft. camper for eight weeks until our apartment was ready. Those eight weeks included some very cold December nights, which required a heated water hose to run from the water spigot to the camper. We found the hose we needed at a local RV business that sold and serviced RVs, and sold camping equipment and RV supplies. I’ll use a fictitious RV business as an example.
On a spreadsheet, enter:
The organization’s revenue-generating departments
Primary sales software used by each department
Annual revenue generated by each department
2024 new-hire-due-to-attrition number for each department
Average training cost per new employee
Average cost to hire a new employee
Add the training cost to hiring cost and multiply by the number of employees hired due to attrition
Calculate the “percent of revenue” by dividing the cost total for each department by the department’s revenue and multiplying the result by 100
Revenue and cost figures are for illustration purposes. The table does not include attrition costs.
After completing the table, identify the department with the highest “percent of revenue”, and ask two questions.
First question: why is turnover in the retail department so high? In this case, an argument could be made that Retail Sales Associates are high-turnover roles, anyway.
But now ask the second question: what are we doing wrong? Workflow maps can provide an answer.
Mapping the daily workflow of a Retail Sales Associate will provide insight into the process gaps, training gaps, poor procedures, and duplication of effort you were unaware existed. Identifying what needs improvement is a step toward retaining the talent you’ve hired.
Effective Continuous Improvement begins with clarity on workflows, procedures, and training plans.
This blog was written and edited by a human!
© 2024 Lori K. Barbeau