Between a standard business procedure and a business process | Coursera Community
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Between a standard business procedure and a business process

  • 12 October 2019
  • 13 replies
  • 382 views

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I have been saddled with the responsibility of developing business processes for a new company in the downstream sector of the Nigerian oil and gas industry.

This company hopes to serve the needs of businesses with regards to refined petroleum products.

It also hopes to help interested individuals in the said sector to manage their investments, audit and improve such investments.


After making some enquiries, I learnt that to develop business processes, you need to put the structure, operations and the organisation type into consideration.



The crux of the matter is;

I NEED HELP IN UNDERSTANDING THE SIGNIFICANCE OF DRAFTING A STANDARD OPERATING PROCEDURE BEFORE DEVELOPING BUSINESS PROCESS.

13 replies

Userlevel 1
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I think you are asking about developing a business model?
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Well a business my understanding of a business model is it embodies all that is involved in customer value creation.

A example of what I have been saddled with is developing a process for the supply of automotive gas oil to businesses. Outlining all that is involved from loading to delivery, identifying areas of bottlenecks and unnecessary delays, and suggest improvement.
Userlevel 1
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So we are looking at operations management.
Userlevel 1
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In a broad scale, you are tasked with supply chain management because you are interested in other participants within the value chain.
Meanwhile to tackle your company's internal mechanisms, we can now look at operations management.
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Instead of operations management, should we call it business process management?
Userlevel 1
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Yeah, because it's now an integration of supply chain and operations management.
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Understanding your company's standard operating procedures makes you a better negotiator/planner for the company, lest you make a deal that is not feasible due to the company's present resources and capabilities.
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@Ezeogo Thank you very kindly.

But do you know anything about Standard Operating Procedure(SOP)?
What is the relationship between a SOP and a business process?
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I think SOP has to do with inventory, quality assurance, flow rate, labour utilisation etc.
The relationship is centred on internal and external networks. SOP is internal, business procedure is external.
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Thank you most graciously @Ezeogo.

I think I understand better now. I
Userlevel 1
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You are welcome.
Cheers
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@EzeogoThank you very kindly.

But do you know anything about Standard Operating Procedure(SOP)?
What is the relationship between a SOP and a business process?

Standard Operating Procedure is a procedural manual that  serves as a guide and reference to all aspects of an organization’s business processes or units. It details what is expected of each business process and the process owners and the policies that should guide or influence their operations. It should be comprehensive enough for every stakeholder of the organization.

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Let me know how can i help you to write any business process you need to understand the input /output and dependencies for the process,. SOP is different and business process documentation is different.

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