6 steps to build your process management system

Does your business really need to manage processes?

If you're a startup, you might not need formal processes yet. With a small team and simple operations, things run smoothly. But as your business grows, clear processes become essential for efficiency, productivity, and control.

As management expert Edwards Deming said, “If you can’t describe what you’re doing as a process, you don’t know what you’re doing.” Without structured processes, businesses risk inefficiencies, wasted resources, and operational chaos.

Struggling with where to start, ineffective processes, or evaluating your current system? Don’t worry—we’re here to help.

What is a process, really?

Everyone talks about processes, yet misunderstandings remain, especially between process and procedure. Understanding the essence and relationship between these two concepts is crucial to setting the right goals before you start building them.

According to ISO 9000:2015, a process is defined as a “set of related or interacting activities that use inputs to deliver an intended outcome”. This "intended outcome" can be referred to as output, product, or service, depending on the context.

Meanwhile, ISO 9001:2015 defines a procedure as “a specified way to carry out an activity or process”. In an organization, a procedure is the standardized, formalized, documented way of executing an activity.

Example in the HR Department:

The human resource management process includes activities like recruiting new employees, training management, absence management, employee evaluation, and handling terminations. Each of these activities has its corresponding procedure, for instance, the recruiting activity follows a recruitment procedure.

Why is process management important?

Following a process ensures that activities are carried out consistently, minimizing human error and allowing new employees to perform tasks with the same accuracy as experienced staff.

For leadership, standardized processes free up time and provide flexibility in delegating tasks to employees. Leaders spend less time correcting mistakes and managing operations, allowing them to focus more on strategic planning and expanding the company.

In reality, growth and scaling often involve replicating core procedures. Without standardized operations to ensure consistency from the start, businesses may face significant challenges as they expand.

How to build a standard business process

There are several models worldwide for guiding businesses in creating process systems. After in-depth research and practical application, management solution experts have developed a 6-step sequential model:

Step 1: Assess current state

The first step in building a process is to assess the current state. This assessment should involve representatives from each department and their managers. The information gathered during this phase will help the business adjust its process-building plan effectively. Additionally, leadership can hold meetings with department heads to align everyone on the same goals and direction.

Using the data collected, the business can:

• Define the purpose of the process (input, output, and objectives).
• Determine the starting and ending points of the process.
• Identify the target audience or departments involved in the process.

Step 2: Write the process

A dedicated team should be established to handle the process development to facilitate better collaboration across departments. This team should be trained in process information, job analysis, risk assessment, and defining the process scope and applicable parties.

Next, the business should design a set of standard process documentation. Each step within a process should be documented and standardized, using flowchart tools (e.g., Visio, Google Drawings, Bizagi) and templates (e.g., Word, Excel) to make it clear and easy for all employees to follow.

After creating the standard process, relevant departments should meet to review and refine it. For example, if it’s a recruitment process, the HR team members should gather to ensure it aligns with departmental needs and to prevent overlapping or conflicting tasks with other departments. Once finalized, leadership approves the process through a signed document or email, and then stores it on a server, Google Drive, or a designated software platform.

Step 3: Implement the process

During implementation, a common issue is that only the person who developed the process follows it, while others do not apply it consistently. To effectively implement a process, the business needs to create a plan that incorporates communication activities.

In the planning phase, the business should identify the relevant employees, distribute the process documentation, set up regular reminders, and establish rewards and penalties. Once these elements are in place, the company should issue an official announcement to all departments regarding the new process.

Implementation should also include employee training through internal communication sessions to promptly address any questions, ensuring a smooth and aligned rollout. Consider using different media formats, articles, videos, radio, or even contests, to engage and motivate employees.

Step 4: Monitor the implementation

As the process is rolled out, the company needs a monitoring plan detailing who will check compliance, what activities will be monitored, who will be checked, and when checks will take place. Monitoring should be conducted periodically, with reports shared with leadership.

These reports should include information on which departments are adhering well, and which are not, specific violations, reasons for non-compliance, the effectiveness of the process, and recommended improvements. The dedicated team should also communicate findings, highlighting departments that are performing well, those that need improvement, common mistakes, and strategies for avoiding errors.

Step 5: Adjust the process

A process is rarely perfect on the first draft; it requires real-world application and optimization based on practical experience. However, since a process is a standardized, repeatable model, any undetected issues can result in repeated errors, leading to wasted resources and time. This is why businesses should regularly review their processes, especially newly implemented ones, to identify and correct any issues promptly.

Step 6: Digitize the process

Digitizing the process is not a mandatory step. Companies can implement processes manually, using physical documents and leader announcements. However, this approach can be time-consuming and resource-intensive, making it difficult for employees to fully understand and for leaders to monitor adherence effectively.

If possible, experts recommend embracing digital transformation. Start by selecting appropriate software, implementing the process within the software, and adjusting the process to align with the software’s features.

How to manage and maintain a business process

Many businesses have processes in place but often lack effectiveness in implementation. This is due to a mechanical approach to execution and not fully understanding the following principles:

Management principles:

• Processes should be documented and approved for validity.
• Processes must be communicated and trained thoroughly so employees understand and agree on them.
• Processes need to be monitored for effectiveness.
• Processes should undergo continuous improvement to enhance effectiveness.

These principles ensure that processes are implemented correctly and consistently. All information must be documented and communicated clearly to employees, allowing them to understand, execute correctly, and maintain discipline in following processes.

Processes often require multiple adjustments through testing, and some may evolve as the company grows. Continuous improvement is essential to keep processes aligned with business needs.

Maintenance principles:

• Leadership commitment: Ensure resources, review and approve processes, provide direction, and make decisions.
• Dedicated team: Responsible for developing, modifying, training, supporting, monitoring, reporting, and improving processes.
• Support tools and software: Reduce costs, automate task reminders, and easily monitor process effectiveness.
• Human resources and internal communication: Enforce rules, motivate employees, and reinforce adherence.

The maintenance principles emphasize the critical role of leaders and dedicated teams. Leaders have a holistic view of implementation, can assess effectiveness, identify issues, and make necessary decisions, direction, and resource allocations. Alongside process adherence, internal communication is key to reinforcing employees' commitment.

FAQs in building and implementing business processes

Does it take time to build a process?

The time required depends on the number of processes needed. The larger and more complex the organization, the more processes it will need. According to expert experience, companies with fewer than 100 employees typically have 20 to 40 processes.

Building a complete process system usually takes 2 to 4 months with at least 1 to 3 full-time staff involved. After development, additional time is needed for testing and adjustments to ensure the system is optimally suited to the business.

What challenges arise when implementing processes in large corporations?

With different teams or departments involved, processes may be implemented unevenly, leading to discrepancies in how they’re applied across the organization. Ensuring consistency in execution is key to achieving desired outcomes.

Also, new processes may need to integrate with existing technologies and systems. In large corporations with complex IT infrastructures, this integration can present technical challenges and delays.

How should process-related information be handled when an employee leaves?

It’s crucial to manage information properly when an employee departs to protect data confidentiality and retain their knowledge for the company.

Traditional management models often rely on physical document signing and tagging, which can be time-consuming and sometimes unnecessary.

To enhance data security, businesses are advised to transition documents to software-based systems. Digital management makes it easier to secure information, with options to set passwords and use specialized software to prevent unauthorized export of documents outside the company.

Final thoughts

Building and implementing processes is key to business growth and efficiency, but it’s not as easy as it sounds. Make sure your workflows are simple, clear, and well-documented so everyone’s on the same page. Test things out on a small scale first—think of it as a trial run. And remember, no process is perfect forever. Keep an eye on how it’s performing and don’t be afraid to tweak, refine, or even rethink it as your business evolves.