Peeling the onion: How to move through multiple discovery and analysis cycles
AGCO Finance is a joint venture between the global financial solutions partner DLL and AGCO, an agricultural equipment manufacturer. Sjoerd is working in AGCO Finance’s operations function. He focuses on improving efficiency and service levels. At first, Sjoerd was reluctant to do the process mining analysis himself. He is grateful that he did so because learning the process mining part is easy if you have the process and domain knowledge. Process mining has given him a fresh perspective on the different paths and steps in his processes. However, he needed to apply his domain knowledge to iterate through discovery, questions, and analysis cycles. With every new iteration, you will get more of the necessary insights that enable you to take steps to improve your business.
Peeling the onion: How to move through multiple discovery and analysis cycles
- 1. AGCO FINANCE POWERPOINT GUIDELINES – STRATEGY REFRESH FINDING YOUR WAY THROUGH THE SPAGHETTI OF COMPLEXITY June 2022 – Sjoerd van der Zee
- 4. 4 ‘PROOF OF CONCEPT’ : ONE DATASET, ONE MARKET!
- 5. 5 MY PROCESS MINING ‘PROJECT’ CHECKLIST 2. DATA VALIDATION 6. WRAP-UP 3. PROCESS DISCOVERY 5. MEASURE, ANALYZE & REFINE 4. DESIGN RESEARCH QUESTIONS 1. DATA EXTRACTION
- 6. 6 NO ISSUES WITH THE DATA EXTRACTION AND VALIDATION Exported everything that got recorded, one cannot ask for the unknown! The format matched Disco’s requirements: one line item = activity. Data was readily available, it just had to be “exported to Excel”. First import to Disco. Made the necessary alterations to the data.
- 7. 7 WHERE DO WE GO FROM HERE?
- 8. 8 DISCOVER BY SIMPLIFYING THE COMPLEXITY
- 9. 9 UNRAVEL YOUR ‘MAIN’ FLOW
- 10. 10 ONE PROCESS ENDS AT ‘PAID OUT’ AND ANOTHER ONE ENDING AT ‘WITHDRAWAL’
- 11. 11 FILTER ON DEALS THAT HAVE NOT BEEN WITHDRAWN
- 12. 12 REVIEW CHARTS AND USE ‘COMMON SENSE’
- 13. 13 DRAFT RESEARCH QUESTIONS Question Flow / Performance How many deals (if any) are ‘paid out’ without any of the assumed mandatory statuses? Flow What’s the percentage of ‘auto’ vs. ‘manual’ credit decisions? Flow What happens to deals that have duplication in tasks? Flow How long before ‘checkpoint 1’ is marked for the first time? Performance How long before deals are ‘paid out’? Performance Do deals get passed to ‘at pay-out’ when put in ‘withdrawn’? Flow Does the ‘checkpoint 2’ processing time exceed 4 hours? Performance What portion of the deals get passed to ‘withdrawn’ status within 21 days from ‘submitted’? Performance
- 14. 14 DEALS REQUIRE THE ‘PAID OUT’ ACTIVITY
- 15. 15 HIGHLIGHT DUPLICATION OF ACTIVITIES (REWORK)
- 16. 16 WHERE DO TASKS COME BACK MORE THAN ONCE?
- 17. 17 WHAT ATTRIBUTES TO THE REWORK OF THE ‘PAID OUT’ ACTIVITY?
- 18. 18 WHAT HAPPENS AFTER PAID-OUT?
- 19. 19 DEALS GOING BACK TO CHECK POINT 2 AFTER PAID OUT
- 20. 20 SHARE DEAL NUMBERS WITH THE BUSINESS FOR FURTHER ANALYSIS
- 21. 21 KEY TAKE AWAYS Feedback from subject matter experts is required to get to the right level of detail. Answering one question will generate new (additional) questions. Make lasagna from spaghetti by using the 80 – 20 rule. Keep on asking the ‘why’ question until there are no further questions. Manage expectations: getting ’to the interesting stuff’ requires multiple iterations.
- 22. 22 LESSONS LEARNED FOR AGCO FINANCE Improve/standardize recording of the event logs. It’s not just about measuring the ‘average’, consider the ‘median’ as well. A ‘standard’ way of working also improves the data quality. Process mining could be the first step to track and measure a business process.
- 23. 23 THANK YOU