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Related Experiment Videos

The process audit.

Michael Hammer1

  • 1Hammer and Company, Cambridge, Massachusetts, USA. michael_hammer@hammerandco.com

Harvard Business Review
|April 17, 2007
PubMed
Summary
This summary is machine-generated.

Executives can improve business processes with the Process and Enterprise Maturity Model (PEMM). This framework assesses process enablers and organizational capabilities for successful enterprise-wide transformation.

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Area of Science:

  • Business Process Management
  • Enterprise Architecture
  • Organizational Transformation

Background:

  • Business process redesign aims for significant improvements in cost, quality, and speed.
  • Many organizations struggle with process transformation due to uncertainty in execution.
  • Existing frameworks may lack broad applicability across industries and processes.

Purpose of the Study:

  • Introduce the Process and Enterprise Maturity Model (PEMM) for assessing process-based transformations.
  • Provide a framework to help executives comprehend, formulate, and evaluate transformation efforts.
  • Identify key characteristics for sustained high performance in business processes.

Main Methods:

  • Development of the Process and Enterprise Maturity Model (PEMM) over five years.

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  • Identification of two core components: process enablers and organizational capabilities.
  • Analysis of case studies from leading companies implementing PEMM.

    • Main Results:

    • PEMM categorizes essential characteristics into process enablers and organizational capabilities.
    • Process enablers are interdependent and crucial for individual process function.
    • Organizational capabilities create a supportive environment necessary for high performance.

    Conclusions:

    • PEMM offers a comprehensive approach to planning and evaluating process transformations.
    • The framework is applicable across all industries and processes, unlike some alternatives.
    • Companies can leverage PEMM to assess and guide their process improvement initiatives effectively.