Process Map. Business Process Optimization. Case Studies

From 2013 to 2017, a number of business processes were developed within the framework of the organizational development department:

1. Sales of primary real estate;
2. Putting a real estate object (address/building/pool of apartments/parking spaces) up for sale;
3. Procedure for agreeing discounts;
4. The procedure for forming prices for real estate objects;
5. The procedure for conducting tenders for core activities;
6. Interaction with the management company (planning, reporting, distribution of responsibilities and powers);
7. The procedure for recording temporary buildings and structures (TBS);
8. Preparation, coordination, conclusion of cost-intensive contracts;
9. Evaluation of a new object (land plot, legal entity) for investment purposes;
10. Procedure for acceptance of works by Technical Supervision;
11. Development project management processes (planning, making changes, updating, reporting);
12. The procedure for opening a new sales office;
13. Budgeting;
14. Procedure for handling complaints;
15. HR processes: selection and hiring of personnel, adaptation, dismissal of personnel.

Elaboration is the collection of data, analysis, description of the process to be in the Cross-Functional Flowchart notation, development/coordination/approval of regulations, their inclusion in the register, annual monitoring/audit of the process.

Context: development company (group of companies – investor, customer-developer, realtor, operating company), number of people 300-600.

Developing a top-level business process map for a company as a whole allows systematizing work on processes, outlining the horizons of work on optimizing and regulating the company’s processes. At the top level, a process map for a development company may look like this:

The list shows that individual processes are reflected on the process map, other processes of a more detailed level (procedures) are regulated in the form of a work order. All processes are entered into a common register, have a number of properties/analytics for version management, control of their relevance.

1. Business Process Sales of Primary Real Estate

Customer – Commercial Director

The purpose of the development  is to streamline the interaction between the departments of OPN (new buildings sales department), OI (mortgage department), OOiR (registration and registration department), OKS (customer service department), ORiU (registry and accounting department) in order to reduce time losses and reach a deal with the client as quickly as possible

The result of the process is that the planned sales volume (volume of signed contracts/contracted real estate objects) has been achieved over a period of time.

The boundaries of the process  are from the incoming call from the client (initial request) to the signing of the agreement on the purchase of real estate (DDU, PDCP, DCP, DUPT)

The owner of the process  is the head of sales management

Participants in the process  are OPN (new buildings sales department), OI (mortgage department), OOiR (registration and registration department), OKS (customer service department), ORiU (registry and accounting department)

Risks  – loss/distortion of information at the points of its transfer between departments: from OPN (new buildings sales department) to OOiR (registration and registration department) and back, from OI (mortgage department) to OPN (new buildings sales department) and back, sagging of the task with an undefined responsible person

Process automation — the sales process is “sewn” into the CRM system in the form of a chain of planned tasks for all process control points with a strictly defined document flow for the process and pre-configured reporting for process quality control, for example, using CRM MS Dynamics

2. Business process: Bringing an object to implementation

Customer – Commercial Director

The purpose of the development  is the timely preparation of a set of events (sales office, printing, advertising campaigns, price list, promotions) by the specified sales start date

The result of the process is a timely start of sales (the planned date is reflected in the project KSG and in the project financial model)

The process boundaries  range from obtaining a building permit/publication of a declaration to the set sales start date

The owner of the process  is the head of sales management

Participants in the process  : OPN (new buildings sales department), OI (mortgage department), OOiR (registration and registration department), OKS (customer service department), ORiU (registry and accounting department) + RP (project manager), UMiR (marketing and advertising department)

Risks  – the sales office is not ready, the parameters of real estate objects in the CRM are entered incorrectly, etc., and as a result, the sales start date is shifted “to the right”, later receipt of funds, lower project profitability

Process automation — CRM MS Dynamics + MS Project (preparation of sales office and other tasks)

3. Procedure for holding tenders for core activities

The customer is the president (and to some extent the head of the project management department, the head of the construction department)

The goal of the development  is to minimize costs when implementing work within the specified timeframes in accordance with the KSG (calendar-network schedule) of the project

The result of the process is the timely conclusion of a contract with the optimal contractor in accordance with the project’s KSG

Process boundaries  – 1) start of the tender according to the project’s KSG, 2) approved protocol of the TC (tender committee) with the selected winner of the tender

The owner of the process  is the head of the TO (tender department)

Participants in the process  are the head of the TO, RP (project manager), head of the UD (legal department), head of the FD (financial department), heads of engineering departments (PTO, utility networks), head of the SO (estimation department), head of the construction economics department.

Risks  – the risks are huge, inflated prices by the contractor, duplication of work, corruption (collusion with the contractor by the company’s employees through imitation of competition, participation of proxy legal entities in the tender), bankruptcy of the contractor in the process of fulfilling obligations under the contract

Process control – through the ECM, through the activities of the Audit and Control Department

Process automation – special portal solutions for tender procedures, EDM (electronic document management system) – development and approval of the Tender Task (TT)

4. Preparation, coordination, conclusion of cost contracts

The customer is the president (and to some extent the head of the project management department, the head of the construction department)

The purpose of the development  is to streamline the process of developing, coordinating, and signing contracts, and to eliminate the situation where everyone agrees on everything.

The result of the process is timely approval of high-quality documents.

The boundaries of the process  are 1) the approved protocol of the TC (tender committee) with the selected winner of the tender, 2) the agreement signed by both parties

A detailed description of the process – initiation, development, working approval/revision, quality control, final approval/visit, registration, signing

The process owner  is the project administrator.

Participants in the process  – according to the composition of the participants in the approval route

Risks  : employees press “approve” without reading and working through it, the manager, instead of himself, through the substitution mechanism, appoints a secretary to approve contracts worth tens of millions of rubles.

Process automation – EDS (electronic document management system)

Process control  – through the ECM, through the activities of the Audit and Control Department