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A Process Analysis Technique (PAT) is a method of determining
the order in which business processes should be addressed for
improvement. The analysis takes into account data about the business
process – established from process
modeling and other documentation – and
converts that data into decision-making indicators, such as ratings
or rankings.
For example, a process analysis technique may be a traditional
cost benefit analysis (CBA). In this technique, the cost of a
process is compared to a quantifiable benefit (or value) that
the process renders to the organization. For each process, the
CBA might be expressed as a fraction with the benefit as numerator
and cost as denominator.
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When each process
is analyzed, they may be ranked from smallest CBA fraction to
largest, which, in theory, would put them in order of least valuable
(most cost for the least benefit) to most valuable. Then decision
makers could review the top items in the ranking to determine
which ones ought to be selected for initial process improvement.
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