Flowcharts are a visual representation of a process, showing the sequence of steps involved from start to finish. They are widely used in business analysis to map out processes, identify inefficiencies, and communicate complex workflows in an easy-to-understand manner.
Key Concepts
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Flowchart Symbols:
- Oval: Represents the start and end points of a process.
- Rectangle: Indicates a process or action step.
- Diamond: Denotes a decision point, where the flow can branch based on a yes/no question or condition.
- Arrow: Shows the direction of flow from one step to the next.
- Parallelogram: Used for input and output operations.
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Types of Flowcharts:
- Process Flowchart: Maps out the steps in a process in a linear fashion.
- Swimlane Flowchart: Divides the flowchart into lanes, each representing a different department or individual responsible for specific steps.
- Workflow Diagram: Focuses on the flow of tasks and information between people or systems.
Creating a Flowchart
Steps to Create a Flowchart
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Define the Process:
- Identify the process you want to map.
- Determine the start and end points of the process.
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List the Steps:
- Break down the process into individual steps.
- Ensure each step is clear and concise.
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Choose the Flowchart Type:
- Decide which type of flowchart best suits your needs (e.g., process flowchart, swimlane flowchart).
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Draw the Flowchart:
- Use flowchart symbols to represent each step.
- Connect the symbols with arrows to show the flow of the process.
- Include decision points where necessary.
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Review and Refine:
- Check the flowchart for accuracy and completeness.
- Make any necessary adjustments to improve clarity.
Example Flowchart
Let's create a simple flowchart for a process of approving a purchase order.
Start --> [Submit Purchase Order] --> [Review Purchase Order] --> {Approved?} {Approved?} --> Yes --> [Issue Purchase Order] --> End {Approved?} --> No --> [Request More Information] --> [Submit Purchase Order]
Flowchart in Diagram Form
+---------------------+ | Start | +---------------------+ | v +---------------------+ | Submit Purchase | | Order | +---------------------+ | v +---------------------+ | Review Purchase | | Order | +---------------------+ | v +---------------------+ | Approved? | +---------------------+ / \ Yes No | | v v +---------------------+ +---------------------+ | Issue Purchase | | Request More | | Order | | Information | +---------------------+ +---------------------+ | | v | +---------------------+ | | End | | +---------------------+ | | v +---------------------+ | Submit Purchase | | Order | +---------------------+
Practical Exercise
Exercise 1: Creating a Flowchart
Objective: Create a flowchart for the process of onboarding a new employee.
Steps:
- Define the start and end points of the onboarding process.
- List the steps involved in onboarding a new employee.
- Choose the appropriate flowchart type.
- Draw the flowchart using the correct symbols.
- Review and refine the flowchart.
Solution:
- Start: New employee hired.
- Steps:
- Complete paperwork.
- Set up workstation.
- Provide orientation.
- Assign a mentor.
- Begin training.
- Flowchart Type: Process Flowchart.
Flowchart:
+---------------------+ | Start | +---------------------+ | v +---------------------+ | Complete Paperwork | +---------------------+ | v +---------------------+ | Set Up Workstation | +---------------------+ | v +---------------------+ | Provide Orientation | +---------------------+ | v +---------------------+ | Assign a Mentor | +---------------------+ | v +---------------------+ | Begin Training | +---------------------+ | v +---------------------+ | End | +---------------------+
Common Mistakes and Tips
- Overcomplicating the Flowchart: Keep it simple and focus on the main steps.
- Using Incorrect Symbols: Ensure you use the correct symbols for each type of action.
- Lack of Clarity: Make sure each step is clearly defined and easy to understand.
- Not Reviewing: Always review the flowchart for accuracy and completeness.
Conclusion
Flowcharts are a powerful tool in business analysis for visualizing processes and identifying areas for improvement. By understanding the key symbols and steps involved in creating a flowchart, you can effectively map out processes and communicate them to stakeholders. Practice creating flowcharts for different processes to enhance your skills and improve your ability to analyze and optimize business workflows.
Fundamentals of Business Analysis
Module 1: Introduction to Business Analysis
Module 2: Business Process Analysis Techniques
Module 3: Data Analysis Methods
Module 4: Identifying Areas for Improvement
Module 5: Strategic Opportunities
- Identifying Opportunities
- Evaluating Opportunities
- Strategy Development
- Implementation and Monitoring
Module 6: Tools and Software for Business Analysis
Module 7: Case Studies and Exercises
- Case Study 1: Sales Process Analysis
- Case Study 2: Identifying Opportunities in a Supply Chain
- Exercise 1: Creating a Flowchart
- Exercise 2: SWOT Analysis of a Company