Simplicity is the key to an effective process

by 10 Nov 2016

When I consult with leaders in the mortgage industry, one of the key areas of focus always centers around business processes. How does the organization actually work? How is it structured? What are the various departments and tasks, and how do they fit together? Any organization that wishes to achieve a high level of success has had to sort through these questions at one time or another.

In my experience, the typical organization will have a highly complex process by default. As growth happens, new positions are added and new projects undertaken out of necessity rather than out of strategic planning. As a result, it can be very easy for the organizational structure to turn into a big mess. One of the most common concerns I've heard from folks in the industry is the confusion over business processes. Without deliberate consideration of how sensible the business process is, it will naturally grow into something far too complex.

Every organization is different, so the process will be different for every organization. However, no matter how the leaders in a company decide to structure its business processes, simplicity is absolutely vital to creating one that works sustainably. When employees try to function within a complex process, we often see redundant work being done or, worse, important tasks slipping through the cracks. When the process is simplified enough for everyone to understand, people know their roles and responsibilities. Simplicity alone won't guarantee an organization success in their business processes, but it is certainly the best place to start.


Should CFPB have more supervision over credit agencies?