5.2. Understanding and Managing the Organization Level

A process can be seen as a "value chain." By its contribution to the creation or delivery of a product or service, each step in a process should add value to the preceding steps. For example, one step in the product development process may be "prototype market-tested." This step adds value by ensuring that the product is appealing to the market before the design is finalized.

Processes are also consumers of resources. They need to be assessed not only in terms of the value they add, but also in terms of the amount of capital, people, time, equipment, and material they require to produce that value.

At the Organization Level, we "peel the onion" to increase our understanding of the customer-supplier ...

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